Castlight Health’s second-quarter earnings report should do a good bit to allay concerns that much of its sales revenue comes from Walmart. A little more than four months since its IPO, it has deepened its Fortune 500 customer base with the likes of Texas Instruments, Kellogg, Google and Sprint Corp. It’s also expanding price transparency tools to include dental practices later this year.
Last week it also entered a collaboration with Teladoc to make telemedicine for non-emergencies available as an alternative to an emergency room or urgent care facility visit. It is the latest company to join a platform that offers third-party solutions for companies’ employees called Castlight Connect. Earlier this year, it began a collaboration with Grand Rounds. The partnerships provide services that fit into the company’s broader goal of increasing price transparency and guiding employees and employers to select healthcare options that save money and reduce employees’ out-of-pocket costs.
A pharmacy channel on its dashboard, Castlight Pharmacy, helps users compare drug prices and was activated in the second quarter.
In a conference call, CEO and co-founder Giovanni Colella said 87 percent of customers have achieved statistically significant behavior change among their employees across areas such as lab testing and office visits.
Its quarterly revenue was $10.5 million, an increase of more than 350 percent that was mostly due to adding 42 new customers in the first half of the year. The company had 130 customers as of June 30. One of the 13 customers it added in the second quarter was California Public Employees Retirement System.
Still, it widened its operating loss to $21.8 million compared with $14.2 million in the second quarter last year.