Talkspace

Talkspace is a subscription-based teletherapy platform that connects individuals with a network of 3,000 licensed mental health providers, covering more than 21 specializations through virtual counseling, psychotherapy, and psychiatry. It provides text-based therapy through its mobile app and website, allowing users to send unlimited messages 24/7. Similar to traditional treatments, Talkspace healthcare providers can treat mental health conditions, such as schizophrenia-spectrum disorders, bipolar disorders, and depression, including through prescription medication and management. 

The company initially launched as a B2C business comprising individuals who subscribe directly to the platform and later ventured into the B2B2C market consisting of large enterprise clients such as Google and Expedia as well as health plans and employee assistance programs such as Aetna, Cigna, Humana, and Optum. The B2C service includes online therapy, psychiatric medication and evaluation, couples therapy, and teen therapy, covering a range of conditions. Talkspace’s personalized text-based sessions are available under five different plans costing between USD 260–396 per month. As of March 2023, the company had 15,100 active members receiving care through its B2C channels and 98 million B2B2C covered lives.

The company partnered with menopause-focused telehealth startup Evernow in December 2023, with the two companies agreeing to utilize each other's services for expansion purposes. According to the partnership terms, Talkspace practitioners can access Evernow's resources to assist their clients undergoing menopause while also providing company members a discount when signing up for Evernow's care plans. On the contrary, Evernow's members would receive free access to some of Talkspace's self-guided therapy sessions.

Funding and financials

Talkspace began trading on the Nasdaq in June 2021, following the special purpose acquisition company merger with Hudson Executive Investment Corp. The move establishes Talkspace as the only publicly listed pure-play virtual behavioral health company. The transaction was expected to bring USD 250 million in growth capital, which the company intended to utilize for global expansion, to explore other mental health conditions, grow its user base, and add more partnerships.

For 2022 , Talkspace's net losses worsened 27% YoY to USD 80 million, while the company’s annual top-line revenue grew 5% YoY to USD 120 million driven by a 66% YoY increase in B2B revenues. In Q2 2023 , net losses for the quarter narrowed by 79.6% YoY to USD 4.7 million, while revenue grew 19% YoY to USD 35.6 million. The company's guidance for 2023 expected revenue to be in the range of USD 137 million–142 million (representing a YoY increase of 14.2%–18.3%). Adjusted EBITDA loss was projected to range between USD 16 million and USD 19 million. The firm was also projected to reach breakeven-adjusted EBITDA by the end of Q1 2024, with a cash balance of over USD 100 million.