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Interesting snippets from the footnotes: “ For the year ended December 31, 2017 and 2018 and the nine months ended September 30, 2018 and 2019 (unaudited), the
by nknealk 7y ago
Interesting snippets from the footnotes:
“ For the year ended December 31, 2017 and 2018 and the nine months ended September 30, 2018 and 2019 (unaudited), the Company had customers that individually exceeded 10% or more of the Company’s net revenue...For the nine months ended September 30, 2018 (unaudited), individual customers accounted for 15% (Customer A), 12% (Customer B), 10% (Customer C) and 10% (Customer E) of the Company’s net revenue. For the nine months ended September 30, 2019 (unaudited), individual customers accounted for 14% (Customer A), 12% (Customer F), and 10% (Customer E) of the Company’s net revenue.”
“Certain of the Company’s investors are also customers of the Company. The Company recognized revenue under contractual obligations from such customers of $2,112 and $22,273 for the years ended December 31, 2017 and 2018, respectively, and $15,984 and $19,801 for the nine months ended September 30, 2018 and 2019 (unaudited)”
Sounds like they’re beholden to a handful of entities for the next year or two as they scale out.
- JacobDotVI 7y agoWhat happened to customer A and B? Edit: My question is what caused these corporate customers to churn? Did they maintain spend levels with One Medical while the other customers grew spend? Did they decrease spend below reporting thresholds? Did they stop using (or sponsoring) these services entirely?
- nknealk 7y agoGREAT question. Are they having trouble with customer retention? Are customers reducing spend year over year?
- synaesthesisx 7y agoMy assumption is that those customers are not individuals but organizations that offer One Medical as a perk to employees.
- cbhl 7y agoIt sounds like "customer" here is defined as "corporation paying for a bunch of its employees", and not "one poor person who had lots of doctors visits". Elsewhere in the S-1: "In 2017, 2018 and the nine months ended September 30, 2019, our top customers accounted for 42%, 37% and 36% of our net revenue, respectively. These customers included Google Inc., which accounted for 10% of our net revenue for 2018 and the nine months ended September 30, 2019." (Disclaimer: I work at Google, and they do pay for my One Medical membership.)
- zndr 7y agoCorrect, CMd+F for enterprise and they outline a LOT of information about their sales to larger organizations.