UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended September 30, 2024 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission File Number: 001-33071 _____________________________________________ EHEALTH, INC. (Exact name of registrant as specified in its charter) _____________ ...

Financial Data and Key Metrics Changes - Third quarter revenue excluding net adjustment revenue was $57.2 million, a 9% year-over-year increase driven primarily by strong Medicare enrollments [44] - Including tail revenue, third quarter revenue was $58.4 million, reflecting a 10% decrease year-over-year [45] - Adjusted EBITDA excluding tail revenue was negative $36 million, an improvement of $4.3 million compared to Q3 a year ago [57] Business Line Data and Key Metrics Changes - Medicare segment revenue excluding tail revenue grew 13% year-over-year, while including tail revenue, it generated $53.2 million compared to $55.5 million in Q3 of 2023 [45] - Medicare Advantage submissions grew 26%, while Medicare supplement submitted applications grew 5% year-over-year [50] - Total acquisition costs per approved Medicare member improved 16% year-over-year [51] Market Data and Key Metrics Changes - The company experienced a 22% increase in total Medicare submitted applications, including Med Supp and prescription drug plans [35] - The Medicare supplement market is expected to gain greater adoption in areas where carriers have scaled back their MA benefits [36] Company Strategy and Development Direction - The company is focused on enhancing its capital structure and unlocking shareholder value while preparing for the annual enrollment period (AEP) [83] - A rebranding strategy and integrated marketing campaign titled "Your Medicare Matchmaker" were launched to improve customer engagement [17] - The company is diversifying its offerings by introducing a dedicated Medicare supplement sales team and expanding its carrier partnerships [38] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the company's ability to sustain momentum through the end of the year and into 2025, emphasizing a focus on achieving a successful AEP [82] - The company is well-positioned to take market share in an industry with decreasing competitive capacity, driven by a strong pipeline of appointments for new and existing members [16] Other Important Information - The company achieved HITRUST Certification, enhancing its credibility with carrier partners [32] - The company ended the quarter with $117.8 million in cash and cash equivalents, down from $160.6 million at the end of Q3 2023 [59] Q&A Session Summary Question: Can you quantify the larger pipeline early in the AEP and your ability to convert demand? - Management noted that the pipeline was significantly larger than last year due to proactive outreach efforts targeting beneficiaries affected by plan withdrawals and service area reductions [65][66] Question: How are advertising changes impacting the AEP? - Management indicated that political advertising did not hinder their messaging, and all channels are performing above expectations, leading to lower costs and higher conversion rates [70][73] Question: What is the outlook for tail revenues? - Management expressed confidence in the recent changes made to tail revenue constraints, indicating that they chose a conservative approach and have seen positive tail adjustments historically [76][78]

EHealth (EHTH) came out with a quarterly loss of $1.86 per share versus the Zacks Consensus Estimate of a loss of $1.13. This compares to loss of $1.54 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of -64.60%. A quarter ago, it was expected that this provider of internet-based heath insurance agency services would post a loss of $0.71 per share when it actually produced a loss of $1.09, delivering a surprise of -53.52%.Over the ...

Medicare Submissions and Membership - Q3 2024 Medicare submissions grew 22% year-over-year, with Medicare Advantage submissions increasing by 26%[3] - Total Medicare approved members increased by 6% year-over-year, driven by a 14% increase in Medicare Advantage approved members[3] - Total approved members as of September 30, 2024, were 58,266, a slight decrease from 58,467 in 2023, with Medicare members increasing by 6% to 42,871[27] - Medicare Advantage approved members increased to 143,529, a 9% growth from 131,117 in 2023[30] - Total Medicare members decreased by 2% to 1,159,422 in 2024 from 1,184,015 in 2023[31] - Estimated total Medicare membership for 2024 is 873,426, reflecting a 1% increase from 868,333 in 2023[31] Financial Performance - Q3 2024 total revenue was $58.4 million, a decrease of 10% from $64.7 million in Q3 2023, primarily due to lower positive net adjustment revenue[3] - Positive net adjustment revenue for Q3 2024 was $1.2 million, down from $12.2 million in Q3 2023[3] - Non-GAAP total revenue excluding net adjustment revenue increased by 9% year-over-year[3] - Q3 2024 GAAP net loss was $42.5 million, an increase of 15% compared to a net loss of $37.0 million in Q3 2023[3] - Adjusted EBITDA for Q3 2024 was $(34.8) million, compared to $(28.1) million in Q3 2023; adjusted EBITDA excluding net adjustment revenue improved by $4.3 million year-over-year[3] - Full year 2024 total revenue guidance is expected to be between $470.0 million and $495.0 million[5] - GAAP net loss for the full year 2024 is expected to be in the range of $(36.5) million to $(22.0) million[5] - Non-GAAP total revenue excluding net adjustment revenue for Q3 2024 was $57,211, a 9% increase from $52,505 in Q3 2023[37] - GAAP total revenue for Q3 2024 was $58,409, down 10% from $64,718 in Q3 2023[37] - Non-GAAP Medicare segment revenue for Q3 2024 was $52,131, a 13% increase from $46,232 in Q3 2023[38] - GAAP net loss for Q3 2024 was $42,473, compared to a net loss of $37,025 in Q3 2023, representing a 15% increase in losses[36] - Adjusted EBITDA for Q3 2024 was $(36,030), an improvement of 11% from $(40,310) in Q3 2023[36] Revenue Breakdown - Commission revenue decreased by 16% to $48,222 in Q3 2024 from $57,239 in Q3 2023, while other revenue increased by 36% to $10,187[16] - Medicare segment revenue for Q3 2024 was $53,221, a decrease of 4% from $55,523 in Q3 2023, while year-to-date revenue increased by 13% to $194,857 from $172,787[23] - Employer and Individual segment revenue dropped 44% to $5,188 in Q3 2024 from $9,195 in Q3 2023, with a year-to-date decline of 31% to $22,372 from $32,422[23] - The total commission revenue for Q3 2024 was $48,222, a 16% decrease from $57,239 in Q3 2023, while year-to-date commission revenue remained stable at $185,996 compared to $185,428[25] Operating Costs and Expenses - Total operating costs and expenses decreased by 2% to $101,608 in Q3 2024 from $104,114 in Q3 2023[16] - Marketing and advertising expenses increased by 2% to $29,665 in Q3 2024, while general and administrative expenses decreased by 12% to $20,297[16] - Non-GAAP operating costs and expenses for the nine months ended September 30, 2024, were $281,764, compared to $275,910 in 2023[33] - The company expects to incur stock-based compensation expenses of approximately $20.0 million for the full year 2024[41] Cash and Liquidity - Cash, cash equivalents, and marketable securities totaled $117.8 million as of September 30, 2024[3] - Cash, cash equivalents, and restricted cash at the end of the period were $67,122, down from $155,208 at the end of Q3 2023[18] - Net cash used in operating activities was $(29,283) for Q3 2024, compared to $(24,681) in Q3 2023[18] Segment Losses - The Medicare segment reported a segment loss of $17,933 in Q3 2024, compared to a loss of $15,331 in Q3 2023, reflecting a 17% increase in losses[23] - E&I segment profit (loss) for the three months ended September 30, 2024, was $(799) thousand, a decline of $(5,609) thousand or 117% from a profit of $4,810 thousand in 2023[40] - Medicare segment loss excluding net adjustment revenue improved to $(19,023) thousand, a decrease of $5,599 thousand or 23% from $(24,622) thousand in 2023[40] Methodology Changes - Starting Q1 2024, the company modified its expense allocation methodology, no longer allocating facilities-related expenses, which are now reported under "General and administrative"[61] - The reclassification of expenses from marketing, customer care, and technology to general and administrative had no impact on total operating costs, loss from operations, or net loss per share[61] Importance of Non-GAAP Measures - The company emphasizes the importance of non-GAAP financial measures for assessing its operating performance and trends[52] - The company estimates membership for Medicare-related, individual and family, and ancillary health insurance plans based on commission payments received, adjusting for historical cancellation rates[59] - For small business health insurance plans, membership numbers are updated based on notifications from groups or carriers, but cancellations are often communicated directly to carriers without informing the company[60]

AUSTIN, Texas, Nov. 6, 2024 /PRNewswire/ -- eHealth, Inc. (Nasdaq: EHTH), a leading private online health insurance marketplace, today announced its financial results for the third quarter ended September 30, 2024. Please click the PDF link to access the full earnings press release: The earnings press release and earnings presentation can also be accessed on the eHealth Investor Relations website at https://ir.ehealthinsurance.com. View PDF eHealth, Inc. Announces Third Quarter 2024 Results Webcast and Conf ...

Ten years after full ACA implementation, eHealth report highlights gap between enrollees who receive subsidies and those who don't AUSTIN, Texas, Oct. 30, 2024 /PRNewswire/ -- The Affordable Care Act (ACA) was fully implemented ten years ago in 2014, but with open enrollment just around the corner, enrollees are split on the law's success, according to original research released today by eHealth Inc. (Nasdaq: EHTH) (eHealth.com), a leading online private health insurance marketplace. In a poll of more than ...

Certification validates that eHealth is utilizing leading security practices to protect sensitive information AUSTIN, Texas, Oct. 28, 2024 /PRNewswire/ -- Today eHealth, Inc. (Nasdaq: EHTH) (eHealth.com), a leading online private health insurance marketplace, is pleased to announce that it has successfully achieved HITRUST i1 certification for its carrier integration platform hosted through Amazon Web Services, marking a significant milestone in the company's ongoing commitment to uphold the highest standar ...

AUSTIN, Texas, Oct. 16, 2024 /PRNewswire/ -- Today eHealth, Inc. (Nasdaq: EHTH) (eHealth.com), a leading online private health insurance marketplace, proudly announces its certification by Great Place to Work®, a global leader in workplace culture recognition. This prestigious certification is entirely based on feedback from current employees about their experiences. This year, an impressive 84% of employees say eHealth is a Great Place to Work. Employees indicated their satisfaction with the company's cult ...

Core Insights - eHealth is prepared for a dynamic Medicare Annual Enrollment Period (AEP) starting October 15, 2024, offering comprehensive support to beneficiaries [1] Group 1: Innovations and Technology - eHealth is launching the "LiveAdvise" tool, allowing beneficiaries to interact with live agents via video, enhancing the shopping experience [2] - Additional tools introduced include "MatchMonitor" for existing customers, "AppTracker" for application status updates, and improved usability features on the ecommerce site [2] - The company is focusing on personalized needs analysis tools and enhanced live agent chat functions to improve customer experience [2] Group 2: Marketing and Brand Strategy - eHealth is building on its new brand identity with marketing campaigns featuring a spokesperson named Eve, showcasing real-life beneficiaries [3] - An integrated marketing strategy will be deployed across various channels, including paid search, direct mail, and social media [3] Group 3: Organizational Changes and Support - eHealth has made strategic adjustments to empower leadership and foster innovation, hiring new licensed insurance agents to support AEP goals [4] - The company has implemented a "100% Verification" standard for telephonic enrollments to enhance clarity and quality [4] Group 4: Employee Engagement and Customer Care - eHealth is promoting employee involvement through the "We are eHealth" campaign and the "AEP Aces" initiative, encouraging staff to assist during peak AEP weeks [5] - Employees are motivated to volunteer, aiming to reduce hold times and improve beneficiary experiences [5] Group 5: Industry Context - eHealth's CEO highlighted potential challenges for Medicare beneficiaries due to significant changes in plans, emphasizing the company's commitment to helping them find suitable coverage [6]

Medicare sustainability is a top-three voting issue for 84% of Medicare beneficiaries, according to eHealth original research AUSTIN, Texas, Oct. 8, 2024 /PRNewswire/ -- With Medicare's Annual Enrollment Period starting next week, new research from eHealth, Inc. (NASDAQ: EHTH) (eHealth.com), a leading private online health insurance marketplace, finds that beneficiaries are entering what is expected to be one of the most disruptive Annual Enrollment Periods in years fearful of cost increases and changes to ...