NASDAQ$GDRX

GoodRx Holdings Inc. · Q3 2023 earnings

Q3 2023 earnings · · Investor relations

Briefing

GoodRx reported results with revenue decreasing primarily due to a contract termination payment, partially offset by growth in prescription transactions revenue. They are working to rebuild momentum in the business with an eye toward compounding growth in 2024 and beyond.

GoodRx's third quarter 2023 results showed a revenue of $180.0 million, a decrease of 4% compared to the previous year. Adjusted Revenue increased by 1% to $190.0 million. The company reported a net loss of $38.5 million and an Adjusted EBITDA of $53.5 million.

  • Revenue of $180.0 million; Adjusted Revenue of $190.0 million.
  • Net loss of $38.5 million; Adjusted Net Income of $25.5 million.
  • Adjusted EBITDA of $53.5 million.
  • Exited the quarter with over 7 million consumers of prescription-related offerings.

Headline financials

Total Revenue

$180M

Previous: $187M-3.9%
EPS (adj)

$0.06

Previous: $0.07-14.3%
Monthly Active Consumers

6.1M

Previous: 5.8M+5.2%
Subscription Plans

930.0K

Previous: 1.1M-12.3%
Capital Expenditures

-$634K

Previous: -$3.82M+83.4%
Free Cash Flow

-$39.1M

Previous: -$45.6M+14.1%
Net Income

-$38.5M

Previous: -$41.7M+7.8%
Operating Income

-$38.3M

Previous: -$15.7M-143.9%
Gross Profit

-$18.7M

Previous: -$17.4M-7.6%
Cash & Equivalents

$795M

Previous: $729M+9.1%
Total Assets

$1.71B

Previous: $1.57B+9.0%
R&D Expense

$31.2M

No prior period
Stock-Based Comp

$32.6M

Previous: $29M+12.4%

Revenue & EPS history

GoodRx · Revenue · Quarterly

$180M

Q3 2023-3.9%vs Q3 2022
Beat estimate in 8 of 14 quarters(57%)
ActualEstimate

Revenue by segment

GoodRx · $175M total across 3 segments · Q3 2023

  • Prescription Transactions
    $135M+3.2%
  • Subscription
    $23.2M-12.5%
  • Pharma Direct
    $15.9M-35.1%

Forward guidance

GoodRx is guiding to fourth quarter revenue and Adjusted Revenue in the range of $188 million to $194 million, representing 2%-5% year-over-year growth, and Adjusted EBITDA Margin in the mid-to-high twenty-percent range. They expect their 2024 Adjusted EBITDA Margin to meet or exceed 4Q23.

Tailwinds

  • Fourth quarter revenue and Adjusted Revenue in the range of $188 million to $194 million, representing 2%-5% year-over-year growth
  • Adjusted EBITDA Margin in the mid-to-high twenty-percent range
  • The business is expected to grow next year at a roughly similar rate to the growth rate implied in the 4Q23 guide
  • 2024 Adjusted EBITDA Margin is expected to meet or exceed 4Q23
  • Balance sheet and liquidity position remained strong in the third quarter, while generating healthy cash flow from operations

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 Q3 2023

Historical avgQ3 2023

-5.3%

Avg return

Earnings day

-8.5%

Avg return

5 days after

-5.0%

Avg return

30 days after

37%

10 / 27 earnings

Positive

+29.1%

Q4 2023

Best reaction

-37.4%

Q1 2022

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+0.4%+10.5%+3.5%
Q4 2025-19.5%-15.5%-20.8%
Q3 2025+1.8%-6.1%-16.9%
Q1 2025+11.9%+13.5%+7.7%
Q4 2024+1.8%-4.5%-8.0%
Q3 2024-20.0%-23.1%-19.6%
Q2 2024-16.3%-20.2%-10.5%
Q1 2024-13.3%-12.6%+12.4%
Q4 2023+29.1%+17.6%+9.7%
Q3 2023-12.4%-8.8%+9.1%
Q2 2023-5.6%-14.1%-29.3%
Q1 2023+7.0%+10.9%+17.5%
Q4 2022+5.6%+13.6%+14.2%
Q3 2022-21.5%+10.4%+0.8%
Q2 2022+10.5%+4.1%-12.6%
Q1 2022-37.4%-30.1%-43.5%
Q4 2021-36.3%-39.2%-27.9%
Q3 2021-5.7%-5.1%-5.4%
Q2 2021+20.0%+13.3%+37.1%
Q1 2021+5.1%+2.4%+24.8%
Q4 2018-10.5%-14.2%-7.9%
Q2 2020-3.9%-7.8%-1.2%
Q4 2020-3.9%-7.8%-1.2%
Q1 2020-7.3%-29.1%-16.5%
Q3 2019-7.3%-29.1%-16.5%
Q3 2020-7.3%-29.1%-16.5%
Q4 2019-7.3%-29.1%-16.5%
Q2 2019
Q1 2019

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