NASDAQ$HQY
HealthEquity Inc · Q3 2023 earnings
Q3 2023 earnings · · Investor relations
Briefing
HealthEquity's financial performance for Q3 2023, marked by revenue growth and a narrower net loss.
HealthEquity reported a 20% increase in revenue to $216.1 million, a reduced net loss of $1.6 million, and a 20% increase in Adjusted EBITDA to $73.4 million. The company also saw growth in HSAs, total HSA assets, and total accounts.
- Revenue increased by 20% to $216.1 million compared to Q3 FY22.
- Net loss decreased to $1.6 million, compared to $5.0 million in Q3 FY22.
- Adjusted EBITDA increased by 20% to $73.4 million compared to Q3 FY22.
- Total HSAs grew by 23% to 7.7 million compared to Q3 FY22.
Headline financials
Revenue & EPS history
HealthEquity · Revenue · Quarterly
$216M
Revenue by segment
HealthEquity · $216M total across 3 segments · Q3 2023
- Service Revenue$109M+5.7%50.2%
- Custodial Revenue$74.6M+52.3%34.5%
- Interchange Revenue$32.9M+16.5%15.2%
Forward guidance
For the fiscal year ending January 31, 2023, management expects revenue of $850 million to $860 million, a net loss between $34 million and $27 million, non-GAAP net income between $106 million and $114 million, and Adjusted EBITDA of $261 million to $271 million. For the fiscal year ending January 31, 2024, management expects revenue of approximately $950 million to $970 million and Adjusted EBITDA of approximately 33-34% of revenue.
Tailwinds
- Revenue of $850 million to $860 million is expected for the fiscal year ending January 31, 2023.
- Net loss is projected to be between $34 million and $27 million for FY23.
- Non-GAAP net income is anticipated to be between $106 million and $114 million for FY23.
- Adjusted EBITDA is expected to range from $261 million to $271 million for FY23.
- Revenue of approximately $950 million to $970 million is expected for the fiscal year ending January 31, 2024.
Headwinds
- Net loss is still expected for the fiscal year ending January 31, 2023.
- The outlook for net loss is between $34 million and $27 million.
- Assumes an average annualized yield on HSA cash of approximately 2.25%.
- Future results are subject to risks including those related to the COVID-19 pandemic, competition, and cybersecurity breaches.
- The company's projections rely on several assumptions that may prove to be incorrect.
Historical earnings impact
How earnings announcements have historically affected this stock's price.
Avg. return before/after earnings
Based on 19 quarterly earnings reports · overlaid with Q3 2023
-0.4%
Avg return
Earnings day
-1.9%
Avg return
5 days after
-1.1%
Avg return
30 days after
55%
29 / 53 earnings
Positive
+10.8%
Q1 2024
Best reaction
-22.2%
Q4 2020
Worst reaction
| Quarter | Report date | Reaction (Day 0) | +5 days | +30 days |
|---|---|---|---|---|
| Q1 2027 | — | — | — | |
| Q4 2026 | +0.7% | +2.8% | +8.4% | |
| Q3 2026 | -2.9% | -5.5% | -7.7% | |
| Q2 2026 | +7.6% | +4.7% | -0.3% | |
| Q1 2026 | +9.1% | +7.1% | -1.5% | |
| Q4 2025 | -17.1% | -11.2% | -16.9% | |
| Q3 2025 | -4.8% | -4.6% | -0.5% | |
| Q2 2025 | +3.9% | -4.2% | -1.7% | |
| Q1 2025 | +2.1% | +4.4% | +2.3% | |
| Q4 2024 | -1.9% | -4.0% | -3.7% | |
| Q3 2024 | +0.4% | -0.8% | -0.7% | |
| Q2 2024 | +4.4% | +2.4% | +9.4% | |
| Q1 2024 | +10.8% | +9.4% | +6.1% | |
| Q4 2023 | +0.8% | -1.1% | +0.7% | |
| Q3 2023 | -2.3% | -7.7% | -9.8% | |
| Q2 2023 | +0.1% | +4.6% | +5.5% | |
| Q1 2023 | +2.0% | -0.0% | -4.8% | |
| Q4 2022 | +2.4% | +11.3% | +20.3% | |
| Q3 2022 | -21.3% | -24.8% | -14.4% | |
| Q2 2022 | +1.2% | -1.4% | -0.8% | |
| Q1 2022 | +0.4% | -3.2% | -1.6% | |
| Q4 2021 | -5.9% | -9.4% | -11.8% | |
| Q3 2021 | -3.7% | -8.5% | +8.1% | |
| Q2 2021 | +5.4% | -11.8% | -6.2% | |
| Q1 2021 | -6.6% | +5.9% | -5.6% | |
| Q4 2020 | -22.2% | -17.9% | -15.1% | |
| Q3 2020 | +2.9% | +9.6% | +17.4% | |
| Q2 2020 | -6.1% | -6.3% | -8.1% | |
| Q1 2020 | +1.7% | +6.0% | -0.4% | |
| Q4 2019 | +2.9% | -10.2% | -23.8% | |
| Q3 2019 | -17.5% | -23.8% | -38.8% | |
| Q2 2019 | +2.9% | +3.0% | -3.9% | |
| Q1 2019 | +4.8% | +4.6% | +1.1% | |
| Q4 2018 | +8.7% | +6.7% | +11.3% | |
| Q3 2018 | -5.8% | -6.4% | -1.7% | |
| Q2 2018 | +7.3% | +6.0% | +23.1% | |
| Q1 2018 | +8.8% | +7.4% | -0.2% | |
| Q4 2017 | -4.6% | -12.1% | -0.9% | |
| Q3 2017 | -1.1% | -2.4% | -2.8% | |
| Q2 2017 | +3.0% | -0.7% | +13.1% | |
| Q1 2017 | +7.9% | +7.4% | +11.7% | |
| Q4 2016 | +5.2% | — | — | |
| Q3 2016 | -4.6% | — | — | |
| Q2 2016 | +6.5% | — | — | |
| Q1 2015 | -0.1% | — | — | |
| Q1 2016 | +3.2% | — | — | |
| Q4 2013 | -0.1% | — | — | |
| Q1 2014 | -0.1% | — | — | |
| Q4 2015 | -1.0% | — | — | |
| Q3 2014 | -8.0% | — | — | |
| Q3 2015 | +0.7% | — | — | |
| Q2 2015 | -0.3% | — | — | |
| Q4 2014 | -0.3% | — | — | |
| Q2 2014 | -0.3% | — | — |
Discussion
Share your read of this quarter. Sign-in carries your eToro identity.
Join the conversation
Sign in with eToro to post your read of this quarter and vote on others'.
Sign in with eToro