Phreesia(US:PHR)2023-06-01 00:17Financial Data and Key Metrics Changes - Revenue in the first quarter was $84 million, up 32% year-over-year, marking the ninth consecutive quarter of over 30% year-over-year revenue growth [28][41] - Adjusted EBITDA outlook for fiscal 2024 was raised to a range of negative $60 to negative $55 million, showing continued improvement on the path to profitability [56] Business Line Data and Key Metrics Changes - Average number of healthcare services clients was 3,309, up 31% year-over-year, with total revenue for average healthcare services clients at $25,338, up 1% year-over-year [41] - Subscription and related services revenue grew 30% year-over-year, payment processing revenue grew 25% year-over-year, and network solutions revenue was up 46% year-over-year [41] Market Data and Key Metrics Changes - The company maintained its revenue outlook for fiscal 2024 in the range of $353 million to $356 million, implying growth of 26% to 27% over fiscal 2023 revenue [56] - A significant increase in payment volume was noted, with a $1 billion volume quarter in payment processing, indicating strong market demand [101] Company Strategy and Development Direction - The company is focused on maintaining revenue and profitability targets for fiscal 2025, aiming for $125 million of revenue in a quarter, which implies $500 million of annualized revenue [43] - Continued investment in R&D is emphasized as a key area for future growth, with the company planning to enhance its product offerings and capabilities [70] Management's Comments on Operating Environment and Future Outlook - Management noted that patient volumes in the first quarter were stronger than anticipated, indicating a positive trend in demand [58] - The company expressed confidence in its ability to finance its fiscal 2025 targets with its current cash position, which stands at approximately $150 million [86] Other Important Information - The company is actively exploring partnerships and integrations with other healthcare IT service offerings to drive incremental subscription growth [103] - Management highlighted the importance of client satisfaction and product quality as key drivers of business success [94] Q&A Session Summary Question: What contributed to the higher patient volumes in the first quarter? - Management attributed the stronger-than-expected volumes to seasonal strength and effective campaign pacing [58] Question: How should we think about the sales and marketing expenses going forward? - Management indicated that operating leverage on sales and marketing expenses will be a source of achieving EBITDA positivity [63] Question: What is the outlook for the Medicare Advantage market? - Management acknowledged headwinds in the Medicare market but remains optimistic about the growth potential of the MemberConnect product [180]