HealthEquity, Inc. HQY posted better-than-expected first-quarter results after Tuesday’s closing bell.HealthEquity reported quarterly earnings of 97 cents per share, which beat the consensus estimate of 88 cents. Quarterly revenue came in at $330.8 million, beating the Street estimate of $321.17 million."The HealthEquity team started fiscal 2026 with a strong first quarter that included record quarterly revenue, record Adjusted EBITDA and increased guidance for the year," said Scott Cutler, CEO of HealthEqu ...

Core Insights - HealthEquity, Inc. (HQY) reported adjusted earnings per share (EPS) of 97 cents for the first quarter of fiscal 2026, exceeding the Zacks Consensus Estimate by 19.8% and showing a year-over-year improvement of 21.3% [2][10] - The company generated revenues of $330.8 million in the fiscal first quarter, surpassing the Zacks Consensus Estimate by 3% and reflecting a 15% increase from the prior-year quarter [3][10] - HealthEquity's total number of Health Savings Accounts (HSAs) reached 9.9 million, a 9% year-over-year increase, with total HSA assets amounting to $31.3 billion, up 15% year over year [4][5] Revenue Breakdown - Service revenues for the quarter totaled $119.8 million, up 1.3% year over year, driven by an increase in HSAs and invested HSA assets [7] - Custodial revenues reached $156.5 million, marking a 28.6% increase from the previous year, while interchange revenues totaled $54.6 million, up 14.4% year over year [8][10] Margin and Profitability - HealthEquity's gross profit rose 19.9% to $224.3 million, with the gross margin expanding by 270 basis points to 67.8% [11][10] - Operating profit improved significantly by 99.6% to $83.1 million, with the operating margin expanding by 1060 basis points to 25.1% [13][10] Financial Position - At the end of the first quarter of fiscal 2026, HealthEquity had cash and cash equivalents of $287.9 million and total debt of $1.06 billion, unchanged from the previous quarter [14] - Net cash provided by operating activities was $64.7 million, slightly down from $65.4 million a year ago [14] Guidance and Future Outlook - HealthEquity has reiterated its revenue guidance for fiscal 2026, projecting revenues between $1.285 billion and $1.305 billion, with adjusted EPS expected in the range of $3.61-$3.78 [15] - The company added 150,000 new HSAs during the quarter and reported a significant reduction in fraud-related costs, which dropped from $11 million to $3 million, enhancing margins and member trust [17][18]

Shares of HealthEquity (NASDAQ: HQY ) have been a solid performer over the past year, gaining 28% as the company has benefitted from secular growth in health savings accounts (HSAs) and higher-for-longer interest rates. Shares continued their strong run TuesdayOver fifteen years of experience making contrarian bets based on my macro view and stock-specific turnaround stories to garner outsized returns with a favorable risk/reward profile. If you want me to cover a specific stock or have a question for an ar ...

HealthEquity (HQY) came out with quarterly earnings of $0.97 per share, beating the Zacks Consensus Estimate of $0.81 per share. This compares to earnings of $0.80 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of 19.75%. A quarter ago, it was expected that this provider of services for managing health care accounts would post earnings of $0.71 per share when it actually produced earnings of $0.69, delivering a surprise of -2.82 ...

HealthEquity (HQY) Q1 2026 Earnings Call June 03, 2025 04:30 PM ET Company Participants Richard Putnam - Investor RelationsScott Cutler - President, CEO & DirectorStephen D. Neeleman - Founder & Vice ChairmanJames Lucania - CFO & Executive VPAnne Samuel - Executive DirectorC. Gregory Peters - Managing Director - InsuranceScott Schoenhaus - Managing DirectorMatthew Inglis - Equity Research Senior AssociateDavid Larsen - Managing DirectorConstantine Davides - Managing Director Conference Call Participants Geo ...

Financial Data and Key Metrics Changes - Revenue increased by 15% year over year, reaching $119.8 million for the first quarter [19] - Adjusted EBITDA rose by 19% to $140.2 million, with adjusted EBITDA as a percentage of revenue at 42% compared to 41% in the previous year [21] - Net income for the first quarter was $53.9 million or $0.61 per share on a GAAP basis, while non-GAAP net income was $85.8 million or $0.97 per share [21] - Custodial revenue grew by 29% to a record $156.5 million [20] - Fraud reimbursements decreased significantly from $11 million in Q4 to $3 million in Q1 [20][21] Business Line Data and Key Metrics Changes - Health Savings Accounts (HSAs) grew by 9%, with total accounts increasing by 7% [6] - Cash and Depository (CDB) accounts grew by 4%, with net CDB account growth of 260,000 year over year [6] - HSA assets increased by $4 billion year over year, totaling over $31 billion [6][7] - The number of HSA members who invest grew by 16%, driving invested assets up by 24% to $14.2 billion [7] Market Data and Key Metrics Changes - HealthEquity serves nearly a quarter of all HSAs in the USA, reflecting market share growth [8] - The average balances of HSA members grew by 6% this year [7] - The annualized yield on HSA cash was 3.5% for the quarter [20] Company Strategy and Development Direction - The company is focusing on expanding its Member First secure mobile experience and leveraging AI technology to enhance claims processing and member satisfaction [9][10] - HealthEquity is advocating for legislative changes to expand HSA access, particularly for working seniors eligible for Medicare [15][18] - The company aims to help employers reduce healthcare costs while empowering employees to build health security [7][8] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the enterprise pipeline and selling season despite softer macroeconomic conditions [7][30] - The company is cautious about the macro impact on job creation and slower GDP growth affecting new account sales [31] - Management believes that the proposed budget bill could significantly expand the addressable market for HSAs, potentially allowing 20 million more families access [16][18] Other Important Information - The company repurchased approximately $60 million of its outstanding shares during the quarter [22] - HealthEquity is committed to reducing fraud costs to one basis point of total HSA assets per year [21][26] Q&A Session Summary Question: What is the reason for the slowdown in HSA selling conditions? - Management noted that the current sales are lower than last year but still higher than two years ago, expressing optimism about the enterprise pipeline and the potential for growth despite macroeconomic challenges [30] Question: What is the duration of the locked-in rates from forward treasury contracts? - The company locked in rates for five-year treasury contracts to enhance rate migration [33] Question: How much of the fraud costs above the one basis point are included in the guidance? - Management indicated that they are not changing their outlook based on the current quarter's fraud costs, which were in line with expectations [39] Question: Can you clarify the net increase in the addressable market due to proposed legislation? - Management clarified that the net increase is 20 million, considering both Medicare Part A individuals and those on exchanges [42] Question: How is the company tracking towards app downloads and security measures? - The company reported 1.2 million app downloads and is focused on enhancing security through mobile authentication methods [49] Question: Has there been any fallout from elevated fraud levels on enterprise retention? - Management confirmed that there has been no fallout from fraud, with retention rates higher than in previous years [54] Question: Is the AI technology already impacting service costs? - Management stated that while they do not break out exact costs, AI is expected to help reduce service costs over time by automating interactions [100]

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 April 30, 2025 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Commission file number: 001-36568 HEALTHEQUITY, INC. (Exact name of registrant as specified in its charter) Delaware 52-2383166 (State or other jurisdiction of incorporation or organization) (I.R.S. E ...

HealthEquity Reports First Quarter Ended April 30, 2025 Financial Results Highlights of the first quarter include: HSAs as of April 30, 2025 were 9.9 million, an increase of 9% year over year, including 770,000 HSAs with investments, an increase of 16% year over year. Total Accounts as of April 30, 2025 were 17.1 million, including 7.2 million other consumer-directed benefits ("CDBs"). Total HSA Assets as of April 30, 2025 were $31.3 billion, an increase of 15% year over year. Total HSA Assets included $17. ...

Highlights of the first quarter include: Revenue of $330.8 million, an increase of 15% compared to $287.6 million in Q1 FY25.Net income of $53.9 million, an increase of 87% compared to $28.8 million in Q1 FY25, with non-GAAP net income of $85.8 million, an increase of 22% compared to $70.3 million in Q1 FY25.Net income per diluted share of $0.61, an increase of 85% compared to $0.33 in Q1 FY25, with non-GAAP net income per diluted share of $0.97, an increase of 21% compared to $0.80 in Q1 FY25.Adjusted EBIT ...

POLAND - 2025/02/14: In this photo illustration, the HealthEquity Inc company logo is seen displayed ... More on a smartphone screen. (Photo Illustration by Piotr Swat/SOPA Images/LightRocket via Getty Images)SOPA Images/LightRocket via Getty ImagesHealthEquity (NASDAQ:HQY), a custodian for health savings accounts, is set to announce its earnings on Tuesday, June 3, 2025. Historically, the stock has demonstrated a strong likelihood of positive returns following its earnings announcements. Over the last five ...