Ehealth, Inc. · NASDAQ:EHTH
Ehealth — Q3 2019 Earnings Presentation
15 slides from Ehealth's earnings presentation, Oct 24, 2019
Slide 1: Q3 2019 Financial Results Conference Call Slides
Q3 2019 Financial Results Conference Call Slides October 24, 2019
Slide 2: Non-GAAP Financial Measures
Non-GAAP Financial Measures Non-GAAP Information This presentation includes both GAAP and non-GAAP financial measures. The presentation of non-GAAP financial information is not intended to be considered in isolation or as a substitute for results prepared in accordance with GAAP. A reconciliation of
Slide 3: eHealth Q3 2019 Highlights
eHealth Q3 2019 Highlights Q3 2019 revenue grew 72% compared to Q3 2018, exceeding company’s expectations. Q3 2019, with Adjusted EBITDA of -$18.8MM, represented an investment quarter in preparation for Medicare Annual Enrollment Period (AEP) in Q4 Medicare segment revenue grew 75% year-over-year, w
Slide 4: Q3 2019 and Nine Months Revenue and Net Income / (Loss)
Q3 2019 and Nine Months Ended September 30, 2019 Revenue and Net Income / (Loss)(1) Q3 2019 Nine Months Ended September 30, 2019 Revenue ($MM) Revenue ($MM) $ 69.9 76% $ 204.5 $ 40.8 72% $ 116.5 Q3-FY18 Q3-FY19 Nine Months Ended 9/30/18 Nine Months Ended 9/30/19 Net Income / (Loss) ($MM) Net Income
Slide 5: Q3 2019 and Nine Months AEBITDA and Non-GAAP Net Income / (Loss)
Q3 2019 and Nine Months Ended September 30, 2019 AEBITDA(1) and Non-GAAP Net Income / (Loss)(2) Q3 2019 Nine Months Ended September 30, 2019 Adjusted EBITDA ($MM) Adjusted EBITDA ($MM) ($6.9) ($ 9.4) ($18.8) ($ 18.2) Q3-FY18 Q3-FY19 Nine Months Ended 9/30/18 Nine Months Ended 9/30/19 Non-GAAP Net In
Slide 6: Medicare Segment Revenue and Profit
Q3 2019 and Nine Months Ended September 30, 2019 Medicare Segment Revenue and Profit Q3 2019 Nine Months Ended September 30, 2019 Medicare Segment Revenue ($MM) Medicare Segment Revenue ($MM) $ 164.4 75% $ 57.2 85% $ 89.0 $ 32.7 Q3-FY18 Q3-FY19 Nine Months Ended 9/30/18 Nine Months Ended 9/30/19 Med
Slide 7: Medicare Application Volumes and Medicare Major Medical Online %
Q3 2019 and Nine Months Ended September 30, 2019 Medicare Application Volumes and Medicare Major Medical Online %(1) Q3 2019 Nine Months Ended September 30, 2019 Medicare Submitted Applications (000s) Medicare Submitted Applications (000s) 66% 56 177 72% 34 103 Q3-FY18 Q3-FY19 Nine Months Ended 9/30
Slide 8: Individual, Family and Small Business Segment Revenue and Profit
Q3 2019 and Nine Months Ended September 30, 2019 Individual, Family and Small Business Segment Revenue and Profit Q3 2019 Nine Months Ended September 30, 2019 Individual, Family and Small Business Segment Individual, Family and Small Business Segment Revenue ($MM) Revenue ($MM) $ 40.1 59% $ 12.7 46%
Slide 9: Approved Members
Q3 2019 and Nine Months Ended September 30, 2019 Approved Members Q3 2019 Nine Months Ended September 30, 2019 Medicare Approved Members (000s) Medicare Approved Members (000s) 51 162 70% 72% 30 94 Q3-FY18 Q3-FY19 Nine Months Ended 9/30/18 Nine Months Ended 9/30/19 IFP Approved Members (000s) IFP Ap
Slide 10: Commission Revenue Breakdown
Q3 2019 and Nine Months Ended September 30, 2019 Commission Revenue Breakdown Three Months Ended September 30, 2019 Three Months Ended September 30, 2018 ($000s) Net Commissions Revenue Adjustments Commission Net Commission Commission Net Commission Revenue from Revenue from Revenue from Revenue fro
Slide 11: Medicare Advantage Plan Member Turnover Trend Since Q4 2018
Medicare Advantage Plan Member Turnover Trend Since Q4 2018 Q4 18 Q1 19 Q2 19 Q3 19 (1) Estimated Beginning Membership 235,269 276,357 280,763 291,171 (2) Approved Members 83,376 40,741 36,576 35,171 Estimated Total New Paying Members from Approved Members (3) 76,180 39,087 34,614 33,284 (4) Less Es
Slide 12: Medicare Advantage Plan Member Turnover Trend Since Q4 2018 (Notes)
Medicare Advantage Plan Member Turnover Trend Since Q4 2018 (1) Estimated Beginning Membership is the Estimated Ending Membership for the period prior to the period of estimation. Membership is estimated using the methodology described in our periodic filings with the Securities and Exchange Commiss
Slide 13: Medicare Advantage Plan Member Turnover Rate by Year
Medicare Advantage Plan Member Turnover Rate(1) by Year Medicare Advantage Plan Member Turnover Rate(1) by Year Member is on the Plan 45% 35% 36% 30% 25% 18% 15% 16% 5% (2) (3) (4) (5) Year 1 Cumulative Years 2-3 Cumulative Years 4-6 Cumulative Years 7+ (1) Based on actual historical and estimated f
Slide 14: Appendix
Appendix 13
Slide 15: Reconciliation of GAAP to Non-GAAP Financial Measures
Reconciliation of GAAP to Non-GAAP Financial Measures Three Months Ended Nine Months Ended September 30, September 30, (In $000’s) 2019 2018 2019 2018 GAAP net loss $ (11,024) $ (8,972) $ (21,937) $ (25,831) Stock-based compensation expense 5,510 3,543 13,417 9,224 Change in fair value of earnout li