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Sep 30, 2023

GoodRx Q3 2023 Earnings Report

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.

Key Takeaways

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.

Total Revenue
$190M
Previous year: $187M
+1.4%
EPS
$0.06
Previous year: $0.07
-14.3%
Gross Profit
$141M
Previous year: $170M
-17.0%
Cash and Equivalents
$795M
Previous year: $729M
+9.1%
Free Cash Flow
$61.5M
Previous year: $33.1M
+86.0%
Total Assets
$1.71B
Previous year: $1.57B
+9.0%

GoodRx

GoodRx

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.

Positive Outlook

  • 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