Accolade Q3 2022 Earnings Report
Key Takeaways
Accolade reported a strong fiscal third quarter with revenue of $83.5 million, a 117% increase year-over-year, driven by earlier than expected achievement of performance-based revenue. The company also introduced preliminary guidance for fiscal year 2023, expecting 25% revenue growth.
Fiscal third quarter 2022 revenue reached $83.5 million, reflecting a 117% increase compared to $38.4 million in fiscal third quarter 2021.
The company serves more than 600 customers and 10 million members, adding over 200 customers since combining companies.
Accolade launched its first customers on Accolade Care and Accolade One on January 1, 2022.
Preliminary guidance for fiscal year 2023 projects 25% revenue growth and a reduction in Adjusted EBITDA loss.
Accolade
Accolade
Forward Guidance
Accolade provided forward-looking guidance for revenue and Adjusted EBITDA. For the fiscal fourth quarter ending February 28, 2022, the company expects revenue between $90 million and $93 million and Adjusted EBITDA between $(4) million and $(8) million.
Positive Outlook
- Revenue between $90 million and $93 million for the fiscal fourth quarter ending February 28, 2022
- Adjusted EBITDA between $(4) million and $(8) million for the fiscal fourth quarter ending February 28, 2022
- Revenue between $306 million and $309 million for the fiscal year ending February 28, 2022
- Adjusted EBITDA between $(48) million and $(52) million for the fiscal year ending February 28, 2022
- Revenue growth of 25% over fiscal year 2022 is expected for the fiscal year ending February 28, 2023
Challenges Ahead
- Adjusted EBITDA in a range of (11% to 12%) of revenue for the fiscal year ending February 28, 2023
- Accolade has not reconciled guidance for Adjusted EBITDA to net income (loss)
- Accolade has not provided forward-looking guidance for net income (loss)
- Forward-looking statements are subject to risks and uncertainties
- Actual results may differ materially from the results predicted