Phreesia Q3 2023 Earnings Report
Key Takeaways
Phreesia, Inc. reported a revenue of $73.1 million for the third quarter of fiscal year 2023, representing a 31% increase compared to the same period in the prior year. The average number of healthcare services clients increased by 42% to 2,982, while the average revenue per healthcare services client decreased by 9% to $17,645. The company's net loss was $40.2 million, and adjusted EBITDA was negative $18.3 million. Cash and cash equivalents totaled $209.6 million as of October 31, 2022.
Revenue increased by 31% year-over-year, reaching $73.1 million.
Average healthcare services clients increased by 42% to 2,982.
Average revenue per healthcare services client decreased by 9% to $17,645.
Net loss amounted to $40.2 million.
Phreesia
Phreesia
Phreesia Revenue by Segment
Forward Guidance
Phreesia is updating its revenue outlook for fiscal year 2023 to at least $278 million, implying year-over-year growth of 30%. The company expects average healthcare services clients to increase by approximately 150 in the fourth quarter of fiscal year 2023. They are also raising their Adjusted EBITDA outlook for fiscal year 2023 to approximately negative $95 million.
Positive Outlook
- Revenue outlook for fiscal year 2023 updated to at least $278 million, up from a range of $273 million to $275 million.
- New revenue outlook implies year-over-year growth of 30%.
- Expect average healthcare services clients to increase by approximately 150 in the fourth quarter of fiscal year 2023.
- Expect fourth quarter subscription and related services revenue on a per average healthcare services client basis to remain roughly in line with our second and third quarter results.
- Adjusted EBITDA outlook for fiscal year 2023 raised to approximately negative $95 million from a range of negative $109 million to negative $106 million.
Revenue & Expenses
Visualization of income flow from segment revenue to net income