MedPal AI reported rapid growth at its online weight-loss clinic, taking the digital health group’s annualised revenue run rate to £49m just months after launch.
The company said group revenue reached about £4.1m in October, up from £3.2m in September, driven by New Health, its clinic providing GLP-1 weight-loss medicines such as those behind Wegovy and Ozempic.
New Health’s revenue rose 33% to £3.63m, and it has served more than 53,000 customers since it began marketing in July, around 2.7% of the UK market for the drugs.
Medpal repeat orders surge
Encouragingly for investors in the £55m market cap firm, repeat orders more than doubled to £1.34m, making up 37% of the clinic’s revenue, up from 23% in September. These carry no customer acquisition cost and are higher value, and the company said recurring revenue now made up 45% of its group total. A higher percentage of recurring orders bodes well for future margins and profitability.
Touching on the embedding of AI in operations, Medpal said its AI agent, Juno, handled most of the clinic’s customer messages without human involvement.
Jason Drummond, Founder and Chief Executive Officer, said: “New Health’s revenue grew again in October, increasing by a third month-on-month to over £3.6 million, and repeat orders are now the fastest growing part of our business: revenue from returning customers more than doubled in the month to £1.34 million and is up more than thirteen-fold since August. The Group’s revenue run rate is now approaching £50 million a year from a standing start twelve months ago.
“Customers want a fair price, fast delivery and great service, and they come back to whoever gives them all three. New Health is built on those three things.
“We believe we offer among the best value GLP-1 treatment in the UK, we now run seven days a week with Saturday dispensing and Sunday delivery, customers can select their preferred date of delivery and Juno answers nine in ten customer messages instantly, day or night.”