Digital healthcare firm GoodRx Q2 revenue misses estimates
Overview
GoodRx Q2 revenue of $203.1 mln missed analyst expectations, per LSEG data
Adjusted net income of $33.9 mln also missed analyst estimates, per LSEG data
Pharma Manufacturer Solutions revenue increased 32% yr/yr, showing strong growth
The digital healthcare company repurchased 10.2 mln shares of Class A common stock for $46.4 mln
Outlook
GoodRx expects FY 2025 revenue to increase from 2024
Company anticipates $35-$40 mln revenue loss in 2025 due to Rite Aid bankruptcy
GoodRx projects FY 2025 adjusted EBITDA of $265-$275 mln
Company expects Q3 revenue to be lower than Q4
Result Drivers
PHARMA SOLUTIONS GROWTH - Pharma Manufacturer Solutions revenue rose 32% yr/yr due to increased market penetration and consumer direct pricing growth
DECLINE IN PRESCRIPTION REVENUE - Prescription transactions revenue fell 3% due to a 14% drop in monthly active consumers, affected by retail pharmacy changes and savings program volume reduction
SUBSCRIPTION REVENUE DROP - Subscription revenue decreased 7% due to fewer subscription plans
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q2 Revenue | Miss | $203.10 mln | $205.90 mln (14 Analysts) |
Q2 Adjusted Net Income | Miss | $33.90 mln | $37.90 mln (10 Analysts) |
Q2 Net Income |
| $12.80 mln |
|
Q2 Adjusted EBITDA | Miss | $69.40 mln | $70.40 mln (12 Analysts) |
Q2 Adjusted EBITDA Margin |
| 34.2% |
|
Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 8 "strong buy" or "buy", 8 "hold" and 1 "sell" or "strong sell"
The average consensus recommendation for the online services peer group is "buy"
Wall Street's median 12-month price target for GoodRx Holdings Inc is $6.00, about 26.8% above its August 5 closing price of $4.39
The stock recently traded at 10 times the next 12-month earnings vs. a P/E of 11 three months ago
Press Release: ID:nBwc9jxPca
