Goodrx Holdings, Inc. · NASDAQ:GDRX
Goodrx — Q4 2022 Earnings Presentation
29 slides from Goodrx's earnings presentation, Feb 28, 2023
Slide 1: Q4 2022 Earnings Presentation
Q4 2022 Earnings Presentation February 28, 2023
Slide 2: Forward-Looking Statements
Forward-Looking Statements This presentation contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. All statements contained in this presentation that do not relate to matters of historical fact should be considered forward-looking statements,
Slide 3: Doug Hirsch, Co-Founder & Co-CEO
Doug Hirsch Co-Founder & Co-CEO
Slide 4: In 2022, we continued to expand access to affordable healthcare and develop compelling products
In 2022, we continued to expand access to affordable healthcare and develop compelling products ___________________________ ___________________________ ___________________________ ___________________________ Launched Expanded our Expanded our core Ended the year with collaboration with Healthcare Pr
Slide 5: Our business model continues to have great potential
Our business model continues to have great potential • Direct contracts with top pharmacy partners 7M+ Prescription-related consumers1 • Providing high-value solutions to pharma manufacturers 90 • Increasing the value and access Net Promoter Score among health care providers and consumers2 we delive
Slide 6: Our four key areas of investment for long-term profitable growth
We believe our four key areas of investment will position us for long-term profitable growth: 1 2 Create a more direct Build on our strong consumer relationship to foundation to increase increase touchpoints and savings across entire Rx access basket GDRX Key Areas of Investment 3 4 Grow our positio
Slide 7: Trevor Bezdek, Co-Founder & Co-CEO
Trevor Bezdek Co-Founder & Co-CEO
Slide 8: Strengthened our network + PBM relationships
Strengthened our network + PBM relationships Retail Network Pharmacy Benefit Manager Relationships • Hybrid strategy has now been implemented across • Continued to deepen relationships with our key retailers, believed to greatly enhance the consumers and PBM partners stability and strength of our re
Slide 9: Prescription Transactions & Subscriptions
Prescription Transactions & Subscriptions Prescription Transactions Subscriptions • Volume across pharmacies increased 5% quarter- • Launched initiatives to ensure Gold members over-quarter and 12.5% year-over-year, excluding consistently receive even better pricing the impact from the grocer issue
Slide 10: Pharma Manufacturer Solutions & Provider Mode
Pharma Manufacturer Solutions & Provider Mode Pharma Manufacturer Solutions Provider Mode • Increased our engagement with pharma • Almost 400,000 providers engaged with us customers and rolled out solutions to help through our Provider Mode technology1 manufacturers reach more patients and providers
Slide 11: Q4 2022 highlights
Q4 2022 highlights Revenue Adjusted EBITDA 1 Cash Flow From Ops Consumers $184.1M $49.6M $31.9M 7M+ Declined (14%) YOY; 26.9% Adj. EBITDA 17% of Revenue Across prescription $40M - $50M Margin1 transactions and estimated grocer subscription offerings impact “ During 2022, we adjusted to the new macro
Slide 12: Karsten Voermann, CFO
Karsten Voermann CFO
Slide 13: Financials: PTR and Pharma Manufacturer Solutions Revenue
Financials (dollars in millions) Prescription Transactions Revenue (PTR) Pharma Manufacturer Solutions Revenue1 • Fourth quarter PTR decreased 19% year-over-year to $129.4 • Fourth quarter pharma manufacturer solutions revenue declined million due primarily to an 8% decrease in Monthly Active 23% ye
Slide 14: Financials: Subscription and Other Revenue
Financials (dollars in millions) Subscription Revenue1 Other Revenue1 • Fourth quarter subscription revenue increased 42% year-over- • Fourth quarter other revenue grew 8% year-over-year to $5.2 year to $24.6 million, due primarily to the increase in the monthly million, driven by an increase in the
Slide 15: Financials: Costs & Operating Expenses
Financials (dollars in millions) Q4 ‘22 Costs & Operating Expenses Q4 ’22 Q4 ‘21 % Change % Revenue Notes Increase in personnel related to consumer Cost of Revenue $17.4 $13.9 25% 9% support and allocated overhead due to the vitaCare acquisition Adjusted Cost of Revenue1 $17.0 $13.0 31% 9% Increases
Slide 16: Financials: Net Income (Loss) and Adjusted Net Income
Financials (dollars in millions) Net Income (Loss) Adjusted Net Income1 • Fourth quarter net loss was $2.0 million compared to a net loss • Fourth quarter Adjusted Net Income was $27.4 million compared of $39.9 million last year which was driven by a change in our tax to $40.5 million last year prov
Slide 17: Financials: Adjusted EBITDA and Cash Flow
Financials (dollars in millions) Adjusted EBITDA 1 Cash Flow • Fourth quarter Adjusted EBITDA was $49.6 million compared to • Fourth quarter net cash provided by operating activities was $62.3 million last year $31.9 million compared to $49.8 million last year, which was comprised of a net loss of $
Slide 18: Guidance
Guidance (dollars in millions) 1Q 2023 1Q 2022 Guidance Actuals % Change Total Revenue ~$181-183 $203.3 ~(10%) - (11%) Adjusted EBITDA Margin 1 Mid-twenty-percent range FY 2023 FY 2022 Guidance Actuals % Change Total Revenue ~$780-790 $766.6 ~2% - 3% Adjusted EBITDA Margin 1 Mid-twenty-percent range
Slide 19: GoodRx helps Americans get the healthcare they need at a price they can afford
GoodRx helps Americans get the healthcare they need at a price they can afford. 19
Slide 20: Q+A
Q+A
Slide 21: Appendix
Appendix
Slide 22: Key Operating Metrics
Key Operating Metrics The following table presents Monthly Active Consumers and Subscription Plans: Three Months Ended December 31, September 30, June 30, March 31, December 31, September 30, June 30, March 31, (in millions) 2022 2022 2022 2022 2021 2021 2021 2021 Monthly Active Consumers 5.9 5.8 5.
Slide 23: Non-GAAP Financial Measures
Non-GAAP Financial Measures The following table presents a reconciliation of net (loss) income, the most directly comparable financial measure calculated in accordance with GAAP, to Adjusted EBITDA, and presents net (loss) income margin, the most directly comparable financial measure calculated in a
Slide 24: Non-GAAP Financial Measures
Non-GAAP Financial Measures The following tables present a reconciliation of net (loss) income, the most directly comparable financial measures calculated in accordance with GAAP, to Adjusted Net Income: Three Months Ended December September June 30, March 31, December September June 30, March 31, (
Slide 25: Non-GAAP Financial Measures
Non-GAAP Financial Measures Each cost and operating expense is adjusted for, as applicable for the periods presented, acquisition related expenses, amortization of intangibles related to acquisitions, stock-based compensation expense, loss on extinguishment of debt, payroll tax expense related to st
Slide 26: Non-GAAP Financial Measures
Non-GAAP Financial Measures The following table presents a reconciliation of each non-GAAP, or adjusted, cost and expense measure to its most directly comparable financial measure calculated in accordance with GAAP: Three Months Ended December 31, September December 31, (dollars in thousands) 2022 2
Slide 27: GoodRx: Company Snapshot
GoodRx: Company Snapshot Trusted Ecosystem Profitable1 Growth with Scaled Platform Consumer First Partner Strong Cash from Ops 7M+ 90 90 $766.6M / $213.5M Prescription-related Consumer Provider FY22 FY22 Consumers2 Net Promoter Score3 Net Promoter Score3 Revenue AEBITDA4 ~900K $55B+ 19/20 $31.9M Pre
Slide 28: Q4 2022 Financial Data
Q4 2022 Financial Data (dollars in millions) Q4 ‘22 Q4 ‘21 Change Revenue $184.1 $213.3 (14%) Net Loss $2.0 $39.9 (95%) Adjusted Net Income2 $27.4 $40.5 (32%) Adjusted EBITDA2 $49.6 $62.3 (20%) Net Loss Margin1 1.1% 18.7% 1,760 bps Adjusted EBITDA Margin1, 2 26.9% 29.2% (230 bps) Cash Provided by Op
Slide 29: Definitions
Definitions • EHR – Electronic Health Record • PBMs (Pharmacy Benefit Managers) – PBMs aggregate demand to negotiate prescription • MACs (Monthly Active Consumers) – Refers to the number of unique consumers who have used a medication prices with pharmacies and GoodRx code to purchase a prescription