GoodRx(GDRX) - 2025 Q2 - Quarterly Report

FORWARD-LOOKING STATEMENTS Forward-Looking Statements Overview This section outlines forward-looking statements, their predictive nature, and risks that could cause actual results to differ - Forward-looking statements cover future results, financial position, industry trends, impact of retail pharmacy changes, macroeconomic environment, collaborations, and business strategy[7] - Key risks include limited operating history, sustainability of growth rates, ability to attract and retain consumers, reliance on prescription transactions, changes in medication pricing, dependence on industry participants (PBMs, pharmacies, pharma manufacturers), competitive nature of the industry, and regulatory risks[8] - The company does not plan to publicly update or revise any forward-looking statements unless required by applicable law[9] PART I. FINANCIAL INFORMATION Item 1. Financial Statements This section presents unaudited condensed consolidated financial statements, providing a snapshot of financial health and performance Condensed Consolidated Balance Sheets The condensed consolidated balance sheets summarize assets, liabilities, and equity as of June 30, 2025, compared to December 31, 2024 Condensed Consolidated Balance Sheets (in thousands) | (in thousands) | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Cash and cash equivalents | $281,318 | $448,346 | | Accounts receivable, net | $189,027 | $145,934 | | Total current assets | $550,614 | $659,255 | | Total assets | $1,318,706 | $1,388,067 | | Total current liabilities | $130,909 | $123,903 | | Total liabilities | $675,675 | $663,409 | | Total stockholders' equity | $643,031 | $724,658 | - Cash and cash equivalents decreased by $167.0 million from December 31, 2024, to June 30, 2025[16] - Accounts receivable, net, increased by $43.1 million, indicating higher outstanding payments from customers[16] Condensed Consolidated Statements of Operations This statement details revenues, costs, expenses, and net income for the three and six months ended June 30, 2025 and 2024, highlighting profitability Condensed Consolidated Statements of Operations (in thousands, except for per share amounts) | (in thousands, except for per share amounts) | Three Months Ended June 30, 2025 | Three Months Ended June 30, 2024 | Six Months Ended June 30, 2025 | Six Months Ended June 30, 2024 | | :--- | :--- | :--- | :--- | :--- | | Revenue | $203,070 | $200,610 | $406,040 | $398,490 | | Total costs and operating expenses | $176,261 | $180,732 | $355,851 | $371,231 | | Operating income | $26,809 | $19,878 | $50,189 | $27,259 | | Net income | $12,843 | $6,694 | $23,895 | $5,685 | | Basic EPS | $0.04 | $0.02 | $0.06 | $0.01 | | Diluted EPS | $0.04 | $0.02 | $0.06 | $0.01 | - Net income for the three months ended June 30, 2025, increased by 91.8% to $12.8 million from $6.7 million in the prior year[19] - Net income for the six months ended June 30, 2025, increased significantly to $23.9 million from $5.7 million in the prior year, a 320.4% increase[19] Condensed Consolidated Statements of Stockholders' Equity This statement details changes in stockholders' equity for the six months ended June 30, 2025 and 2024, reflecting repurchases, compensation, and net income Condensed Consolidated Statements of Stockholders' Equity (in thousands) | (in thousands) | Balance at Dec 31, 2024 | Stock-based compensation (Q1 2025) | Repurchases of Class A common stock (Q1 2025) | Net income (Q1 2025) | Balance at Mar 31, 2025 | Stock-based compensation (Q2 2025) | Repurchases of Class A common stock (Q2 2025) | Net income (Q2 2025) | Balance at Jun 30, 2025 | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Total Stockholders' Equity | $724,658 | $23,312 | $(100,920) | $11,052 | $654,347 | $25,880 | $(46,352) | $12,843 | $643,031 | - Total stockholders' equity decreased from $724.7 million at December 31, 2024, to $643.0 million at June 30, 2025, primarily due to significant stock repurchases[23] - The company repurchased 23.3 million shares of Class A common stock for $100.9 million in Q1 2025 and 10.2 million shares for $46.4 million in Q2 2025[23] Condensed Consolidated Statements of Cash Flows This statement summarizes cash flows from operating, investing, and financing activities for the six months ended June 30, 2025 and 2024 Condensed Consolidated Statements of Cash Flows (in thousands) | (in thousands) | Six Months Ended June 30, 2025 | Six Months Ended June 30, 2024 | | :--- | :--- | :--- | | Net cash provided by operating activities | $58,993 | $52,287 | | Net cash used in investing activities | $(70,191) | $(37,844) | | Net cash used in financing activities | $(155,830) | $(161,836) | | Net change in cash and cash equivalents | $(167,028) | $(147,393) | | Cash and cash equivalents, End of period | $281,318 | $524,903 | - Net cash provided by operating activities increased by $6.7 million year-over-year, driven by higher net income[30][157] - Net cash used in investing activities increased by $32.3 million, primarily due to a $30.0 million acquisition in 2025[30][158] - Net cash used in financing activities decreased by $6.0 million, mainly due to lower stock repurchases and debt payments, partially offset by decreased proceeds from stock option exercises[30][159] Notes to Condensed Consolidated Financial Statements These notes provide detailed explanations and disclosures supporting the condensed consolidated financial statements 1. Description of Business GoodRx operates a price comparison platform for prescription drugs, offering negotiated prices and other healthcare products - GoodRx offers a price comparison platform for prescription drugs, providing curated, geographically relevant pricing and access to negotiated prices via GoodRx codes[34] - Additional offerings include subscription programs, pharmaceutical manufacturer solutions, and telehealth services[34] 2. Summary of Significant Accounting Policies This note outlines the basis of presentation for unaudited condensed consolidated financial statements, confirming adherence to GAAP and SEC rules - The financial statements are prepared in conformity with GAAP and SEC rules for interim financial information, with certain information condensed or omitted[35] - The company operates as one operating segment, with the CEO and President serving as the chief operating decision maker (CODM)[38][39] - Recent ASUs include 2025-05 (Financial Instruments-Credit Losses), 2024-03 (Income Statement - Expense Disaggregation Disclosures), and 2023-09 (Income Taxes - Improvements to Income Tax Disclosures), with the company evaluating their impacts[48][50][51](index=51&type=chunk