NASDAQ$EHTH

eHealth Inc · Q4 2023 earnings

Q4 2023 earnings · · Investor relations

Briefing

Delivered strong Medicare enrollment and revenue growth with substantial improvement in profitability metrics.

eHealth's Q4 2023 results reflect the success of their transformation program and AEP preparedness efforts, with a 26% YoY revenue increase driven by strong Medicare enrollment growth and improved profitability metrics. The company's operating cash flow exceeded expectations due to favorable retention trends in the Medicare book of business.

  • Q4 2023 total revenue increased 26% year-over-year to $247.7 million.
  • Medicare Advantage approved members increased 22% year-over-year.
  • Medicare Advantage LTV increased 11% year-over-year to $1,151.
  • GAAP net income improved $31.5 million year-over-year to $52.2 million.

Headline financials

Total Revenue

$248M

Previous: $196M+26.2%
EPS (adj)

$1.27

Previous: $1.14+11.4%
MA Approved Members

159.6K

No prior period
Capital Expenditures

-$1.99M

Previous: $22K-9154.5%
Net Income

$52.2M

Previous: $20.7M+152.5%
Operating Income

$59.4M

Previous: $30.7M+93.1%
Gross Profit

$242M

Previous: $195M+23.7%
Stock-Based Comp

$5.47M

Previous: $4.38M+24.9%

Revenue & EPS history

eHealth · Revenue · Quarterly

$248M

Q4 2023+26.2%vs Q4 2022
Beat estimate in 9 of 14 quarters(64%)
ActualEstimate

Revenue by segment

eHealth · $64.7M total across 2 segments · Q3 2023

  • Medicare
    $55.5M+23.0%
  • Employer and Individual
    $9.2M

Forward guidance

eHealth provides guidance for the full year ending December 31, 2024, with total revenue expected to be in the range of $450 million to $475 million, GAAP net loss expected to be in the range of $(40) million to $(20) million, adjusted EBITDA expected to be in the range of $(5) million to $20 million, and operating cash flow expected to be in the range of $(15) million to $(5) million.

Tailwinds

  • Total revenue is expected to be in the range of $450 million to $475 million.
  • GAAP net income (loss) is expected to be in the range of $(40) million to $(20) million.
  • Adjusted EBITDA(1) is expected to be in the range of $(5) million to $20 million.
  • Operating cash flow is expected to be in the range of $(15) million to $(5) million.
  • Excluding the impact of positive net adjustment revenue in both years, the mid-point of our 2024 guidance reflects approximately 12% year-over-year total revenue growth and a substantial improvement in GAAP net income (loss) and adjusted EBITDA(1).

Headwinds

  • Actual results may be materially different and are affected by the risk factors and uncertainties identified in this press release and in eHealth’s annual and quarterly reports filed with the Securities and Exchange Commission.
  • The above guidance includes the expected impact of positive net adjustment revenue in the range of $0 to $15 million.
  • GAAP net income (loss) is expected to be in the range of $(40) million to $(20) million.
  • Adjusted EBITDA(1) is expected to be in the range of $(5) million to $20 million.
  • Operating cash flow is expected to be in the range of $(15) million to $(5) million.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q4 2023

Historical avgQ4 2023

-1.0%

Avg return

Earnings day

-1.1%

Avg return

5 days after

+0.6%

Avg return

30 days after

45%

29 / 65 earnings

Positive

+25.2%

Q3 2022

Best reaction

-34.3%

Q2 2014

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+1.5%-7.1%-12.7%
Q4 2025-30.7%-17.5%-32.3%
Q3 2025-21.8%-16.2%-22.9%
Q1 2025+23.2%+19.2%-8.1%
Q4 2024+3.3%-5.7%-28.2%
Q3 2024+9.2%+3.5%+12.2%
Q2 2024-12.8%-7.7%-18.8%
Q1 2024+12.4%+8.2%+9.4%
Q4 2023-8.2%-7.1%-14.6%
Q3 2023-8.5%-11.7%+2.1%
Q2 2023-0.1%-1.1%-14.2%
Q1 2023+15.1%+8.2%+49.1%
Q4 2022-8.4%+2.5%+5.4%
Q3 2022+25.2%+27.8%+47.4%
Q2 2022-2.7%+16.8%-32.2%
Q1 2022+22.5%+31.1%+31.1%
Q4 2021-16.7%-25.5%-20.1%
Q3 2021-25.8%-30.7%-35.2%
Q2 2021-5.9%-9.3%-28.6%
Q1 2021-0.7%-5.2%-8.4%
Q4 2020+5.9%+6.6%+19.4%
Q3 2020-6.8%-8.2%-8.7%
Q2 2020-31.1%-36.9%-40.3%
Q1 2020-8.1%-7.1%+12.4%
Q4 2019-0.6%-13.7%-22.3%
Q3 2019+0.2%+10.8%+39.3%
Q2 2019+24.8%+21.5%+10.5%
Q1 2019+3.7%-2.0%+4.3%
Q4 2018-3.6%-7.2%-4.9%
Q3 2018+13.2%+15.2%+23.0%
Q2 2018-3.6%-1.2%+24.6%
Q1 2018+17.3%+21.6%+31.9%
Q4 2017-16.2%-4.1%-12.2%
Q3 2017+7.0%+15.3%+3.5%
Q2 2017-5.3%-8.3%+23.3%
Q1 2017+23.2%+39.6%+59.9%
Q4 2016+8.9%+6.3%+2.5%
Q3 2016-31.8%-30.2%-5.6%
Q2 2016-29.4%-32.2%-18.6%
Q1 2016+23.2%
Q4 2015+0.7%
Q3 2015-4.2%
Q2 2015+21.4%
Q1 2015+13.5%
Q4 2014-3.6%
Q3 2014+15.4%
Q2 2014-34.3%
Q1 2014-12.3%
Q4 2013-8.5%
Q3 2013+9.6%
Q2 2013-1.8%
Q1 2013+7.3%
Q4 2012-22.8%
Q3 2012+9.5%
Q4 2011-1.1%
Q2 2012+9.7%
Q1 2011+1.0%
Q1 2012+0.6%
Q4 2009-2.5%
Q3 2010-3.1%
Q3 2011-3.1%
Q4 2010-7.0%
Q2 2011-7.0%
Q2 2010-7.0%
Q1 2010+2.0%

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