On this page of StockholderLetter.com we present the latest annual shareholder letter from MEDIFAST INC — ticker symbol MED. Reading current and past MED letters to shareholders can bring important insights into the investment thesis.
2 0 23 ANNUAL RE PORT

Our strategy is to offer a
holistic solution where our
customers can get everything
they need in one place, making
it easier to change their lifestyles
to support overall weight loss and
health and wellness goals.
Chairman & Chief Executive Officer
Dear Fellow Stockholder:
The start of the year is always busy,
especially this year, as our team is
driving important transformation work
across the business. It   s an exciting and
demanding period for us, and I am
looking forward to sharing the progress
we are making against our goals.
Medifast has always taken a
comprehensive approach to health and wellness, having
been founded by a physician, and further developed by
experts in health and behavioral change. We have stood
at the forefront of evidence-based wellness solutions over
the last 40-plus years and have consistently recognized
that all people looking to transform their health are
different, and, that as a result, it takes a uniquely tailored
approach to offer the best possible chance of success.
In a world where health and wellbeing can be a difficult
and solitary journey, our programs have provided
personalized support to people who want to learn
healthy habits, be part of a like-minded community, and
embrace a healthier lifestyle.
Over the course of our history, we   ve learned some
important things. We know that people achieve better
outcomes when they have a coach, as well as when they
are able to plug into a community of like-minded people.
It   s also clear that learning healthy habits is a powerful
tool that can be leveraged into the creation of a healthier
lifestyle.
While health and wellness has been changed markedly
over recent years, largely fueled by the broad
accessibility of medical weight loss solutions, our insights
remain central to our future success as we look to
transform our business to respond.
US expenditure on weight loss medications is projected
to reach approximately $100 billion by 2030, and a fastgrowing market is emerging for supporting products and
services to help customers utilizing GLP-1 medications
as part of their health and wellness journeys. According
to a BCG study, the market for supporting products and
services for the GLP-1 US market is expected to be worth
approximately $50 billion or more by 2030.
This is a market that we believe Medifast is uniquely
positioned to address.
With that in mind, Medifast is embarking on its biggest
and most important transformation to date, taking bold
steps to forge a new future as a diversified health and
wellness company with significantly increased growth
opportunities.
Achieving this will take significant focus on a series of
important growth initiatives. We have already begun
empowering our Coaches with enhanced programs
and tools, particularly in digital environments, cultivating
new markets through tailored products and nutrition kits,
broadening our customer base, and making our lifestyle
and habit-development approach to health and wellness
complementary to the segment of the population who
want to use medical intervention to achieve weight loss.
These recent moves have significantly expanded our total
addressable market.
Research shows that about half of our prospective
customers would consider using GLP-1 medications to
aid in their weight loss. Lifestyle modification remains a
crucial element for long-term weight loss success for those
on medications. The medications themselves are often
prescribed with instructions for the user to make lifestyle
modifications. Therefore, personalized support is crucial in
helping people to stay accountable and to achieve their
health goals.
At the end of 2023, we announced a strategic
collaboration with leading telehealth provider, LifeMD,
Inc., through which we are now able to deliver a unique,
holistic offer for consumers using GLP-1 medications.
Customers have access to both our personalized habitbased, coach-guided approach along with the medical
expertise of board-certified affiliated LifeMD clinicians.
With independent OPTAVIA Coaches and LifeMD
Clinicians working together, we have the ability to provide
all consumers in the United States with the nutrition,
education, and support necessary to help make living a
healthy lifestyle second nature.
Our strategy is to offer a holistic solution where our
customers can get everything they need in one place,
making it easier to change their lifestyles to support
overall weight loss and health and wellness goals. With
a more complete offer     inclusive of access to weight
loss medications through a LifeMD clinician, our line of
nutrition products, and support from a Coach and a
community that is on a similar journey     the value our
Coaches can bring to their customers has never been
more compelling.
At Medifast, our vision is a world in which people are
empowered and able to achieve Lifelong Transformation,
by making a healthy lifestyle second nature.
We have built a robust business with a powerful platform,
and we are a leader in our space. We change lives for
the better, and we do it in a unique and effective way    
whether we are working with Coaches and Customers,
or helping the communities in which we live and work
through our corporate social responsibility platform
Healthy Habits For All.
Certainly, we have seen some pressure on our business
that is reflected in our results and future expectations.
Like many companies in the public markets, we continue
to battle with some significant headwinds with the
changing macro environment. At the same time, we
continue to demonstrate our financial and operational
agility, adjusting our model and our market approach,
and driving for even greater efficiency. We have an
experienced team that has shown a consistent ability to
pivot to take advantage of opportunities as they emerge,
and a strategy in place working alongside world-class
partners to help deliver on the exciting possibilities ahead.
We also have a well-capitalized business with a strong
financial foundation and a solid balance sheet with no
debt, which helps to power our current transformation.
While we expect the road ahead will remain bumpy, I
believe our strategic direction puts us on a path to drive
long-term success.
We believe that Medifast is poised to shape the future
of health and wellness, and that delivery against our
goals should position us well for the long-term, helping
form the foundation of the company   s strategy to
return to growth and in broadening and deepening
our acquisition channels to drive forward our mission
to empower individuals on their path to optimal health
and wellbeing. Medifast has the financial strength and
strategic flexibility to invest in our ongoing operational and
marketing effectiveness, and the scientific and medical
heritage that provides us with credibility to play in this
rapidly-developing space. That is the kind of business we
want to create, and the value we want to provide to our
stockholders. Thank you for your ongoing support as an
investor in this company. I am proud of all that we have
achieved, and I look forward to updating you on our
progress in the coming quarters and years.
Sincerely,
Dan Chard
Chairman & Chief Executive Officer
FORWARD-LOOKING STATEMENTS
Certain information included in this Annual Report, such as descriptions of Medifast   s objectives or goals
constitute    forward looking statements    within the meaning of the Private Securities Litigation Reform Act
of 1995, Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange
Act of 1934, as amended. Forward-looking statements give expectations of future events and are not
guarantees of future performance and are subject to certain risks, uncertainties, and other factors, many of
which are beyond the Company   s control and are difficult to predict, such as: Medifast   s inability to attract
and retain independent OPTAVIA Coaches; Industry competition and new weight loss products, including
weight loss medications or services; health or advertising related claims by our customers; Medifast   s
inability to continue to develop new products; effectiveness of Medifast   s advertising and marketing
programs, including use of social media by OPTAVIA Coaches; and other uncertainties and factors
identified in Medifast   s filings with the U.S. Securities and Exchange Commission. Although Medifast believes
that these expectations, statements, and assumptions are reasonable, actual results could differ materially
from those expressed or implied in the forward-looking statements; therefore, the reader should not place
undue reliance upon these statements, which speak only as of the date of this Annual Report. Unless legally
required, Medifast undertakes no obligation to update publicly any forward-looking statements, whether as
a result of the new information, future events, or otherwise.
 • shareholder letter icon 5/8/2024 Letter Continued (Full PDF)
 • stockholder letter icon 5/1/2023 MED Stockholder Letter
 • stockholder letter icon More "Consumer Goods" Category Stockholder Letters
 • Benford's Law Stocks icon MED Benford's Law Stock Score = 81


MED Shareholder/Stockholder Letter Transcript:

2 0 23 ANNUAL RE PORT


Our strategy is to offer a
holistic solution where our
customers can get everything
they need in one place, making
it easier to change their lifestyles
to support overall weight loss and
health and wellness goals.
Chairman & Chief Executive Officer

Dear Fellow Stockholder:
The start of the year is always busy,
especially this year, as our team is
driving important transformation work
across the business. It   s an exciting and
demanding period for us, and I am
looking forward to sharing the progress
we are making against our goals.
Medifast has always taken a
comprehensive approach to health and wellness, having
been founded by a physician, and further developed by
experts in health and behavioral change. We have stood
at the forefront of evidence-based wellness solutions over
the last 40-plus years and have consistently recognized
that all people looking to transform their health are
different, and, that as a result, it takes a uniquely tailored
approach to offer the best possible chance of success.
In a world where health and wellbeing can be a difficult
and solitary journey, our programs have provided
personalized support to people who want to learn
healthy habits, be part of a like-minded community, and
embrace a healthier lifestyle.
Over the course of our history, we   ve learned some
important things. We know that people achieve better
outcomes when they have a coach, as well as when they
are able to plug into a community of like-minded people.
It   s also clear that learning healthy habits is a powerful
tool that can be leveraged into the creation of a healthier
lifestyle.
While health and wellness has been changed markedly
over recent years, largely fueled by the broad
accessibility of medical weight loss solutions, our insights
remain central to our future success as we look to
transform our business to respond.
US expenditure on weight loss medications is projected
to reach approximately $100 billion by 2030, and a fastgrowing market is emerging for supporting products and
services to help customers utilizing GLP-1 medications
as part of their health and wellness journeys. According
to a BCG study, the market for supporting products and
services for the GLP-1 US market is expected to be worth
approximately $50 billion or more by 2030.
This is a market that we believe Medifast is uniquely
positioned to address.
With that in mind, Medifast is embarking on its biggest
and most important transformation to date, taking bold
steps to forge a new future as a diversified health and
wellness company with significantly increased growth
opportunities.
Achieving this will take significant focus on a series of
important growth initiatives. We have already begun
empowering our Coaches with enhanced programs
and tools, particularly in digital environments, cultivating
new markets through tailored products and nutrition kits,
broadening our customer base, and making our lifestyle
and habit-development approach to health and wellness
complementary to the segment of the population who
want to use medical intervention to achieve weight loss.
These recent moves have significantly expanded our total
addressable market.
Research shows that about half of our prospective
customers would consider using GLP-1 medications to
aid in their weight loss. Lifestyle modification remains a
crucial element for long-term weight loss success for those
on medications. The medications themselves are often
prescribed with instructions for the user to make lifestyle
modifications. Therefore, personalized support is crucial in
helping people to stay accountable and to achieve their
health goals.
At the end of 2023, we announced a strategic
collaboration with leading telehealth provider, LifeMD,
Inc., through which we are now able to deliver a unique,
holistic offer for consumers using GLP-1 medications.
Customers have access to both our personalized habitbased, coach-guided approach along with the medical
expertise of board-certified affiliated LifeMD clinicians.
With independent OPTAVIA Coaches and LifeMD
Clinicians working together, we have the ability to provide
all consumers in the United States with the nutrition,
education, and support necessary to help make living a
healthy lifestyle second nature.
Our strategy is to offer a holistic solution where our
customers can get everything they need in one place,
making it easier to change their lifestyles to support
overall weight loss and health and wellness goals. With
a more complete offer     inclusive of access to weight
loss medications through a LifeMD clinician, our line of
nutrition products, and support from a Coach and a
community that is on a similar journey     the value our
Coaches can bring to their customers has never been
more compelling.
At Medifast, our vision is a world in which people are
empowered and able to achieve Lifelong Transformation,
by making a healthy lifestyle second nature.
We have built a robust business with a powerful platform,
and we are a leader in our space. We change lives for
the better, and we do it in a unique and effective way    
whether we are working with Coaches and Customers,
or helping the communities in which we live and work
through our corporate social responsibility platform
Healthy Habits For All.
Certainly, we have seen some pressure on our business
that is reflected in our results and future expectations.
Like many companies in the public markets, we continue
to battle with some significant headwinds with the
changing macro environment. At the same time, we

continue to demonstrate our financial and operational
agility, adjusting our model and our market approach,
and driving for even greater efficiency. We have an
experienced team that has shown a consistent ability to
pivot to take advantage of opportunities as they emerge,
and a strategy in place working alongside world-class
partners to help deliver on the exciting possibilities ahead.
We also have a well-capitalized business with a strong
financial foundation and a solid balance sheet with no
debt, which helps to power our current transformation.
While we expect the road ahead will remain bumpy, I
believe our strategic direction puts us on a path to drive
long-term success.
We believe that Medifast is poised to shape the future
of health and wellness, and that delivery against our
goals should position us well for the long-term, helping
form the foundation of the company   s strategy to
return to growth and in broadening and deepening
our acquisition channels to drive forward our mission
to empower individuals on their path to optimal health
and wellbeing. Medifast has the financial strength and
strategic flexibility to invest in our ongoing operational and
marketing effectiveness, and the scientific and medical
heritage that provides us with credibility to play in this
rapidly-developing space. That is the kind of business we
want to create, and the value we want to provide to our
stockholders. Thank you for your ongoing support as an
investor in this company. I am proud of all that we have
achieved, and I look forward to updating you on our
progress in the coming quarters and years.
Sincerely,
Dan Chard
Chairman & Chief Executive Officer
FORWARD-LOOKING STATEMENTS
Certain information included in this Annual Report, such as descriptions of Medifast   s objectives or goals
constitute    forward looking statements    within the meaning of the Private Securities Litigation Reform Act
of 1995, Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange
Act of 1934, as amended. Forward-looking statements give expectations of future events and are not
guarantees of future performance and are subject to certain risks, uncertainties, and other factors, many of
which are beyond the Company   s control and are difficult to predict, such as: Medifast   s inability to attract
and retain independent OPTAVIA Coaches; Industry competition and new weight loss products, including
weight loss medications or services; health or advertising related claims by our customers; Medifast   s
inability to continue to develop new products; effectiveness of Medifast   s advertising and marketing
programs, including use of social media by OPTAVIA Coaches; and other uncertainties and factors
identified in Medifast   s filings with the U.S. Securities and Exchange Commission. Although Medifast believes
that these expectations, statements, and assumptions are reasonable, actual results could differ materially
from those expressed or implied in the forward-looking statements; therefore, the reader should not place
undue reliance upon these statements, which speak only as of the date of this Annual Report. Unless legally
required, Medifast undertakes no obligation to update publicly any forward-looking statements, whether as
a result of the new information, future events, or otherwise.




shareholder letter icon 5/8/2024 Letter Continued (Full PDF)
 

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