In This Article:
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Revenue: $106.4 million for the quarter, above the top of the guided range.
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Adjusted EBITDA: Well ahead of guidance, benefiting from early recognized PG revenue and solid expense control.
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Free Cash Flow: Positive $3.1 million generated in the quarter.
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Cash Position: Cash, cash equivalents, and marketable securities totaled more than $234 million at the end of the second fiscal quarter.
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Net Cash Position: More than $23 million relative to convertible notes.
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Full-Year Revenue Guidance: Reiterated at $460 million to $475 million.
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Full-Year Adjusted EBITDA Guidance: Positive $15 million to $20 million.
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Third Fiscal Quarter Revenue Guidance: $104 million to $107 million.
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Third Fiscal Quarter Adjusted EBITDA Loss Guidance: Between $3 million and $5 million.
Release Date: October 08, 2024
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Positive Points
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Accolade Inc (NASDAQ:ACCD) reported revenue for the quarter at $106.4 million, exceeding the top of their guidance range.
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The company achieved adjusted EBITDA well ahead of guidance, indicating strong financial performance.
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Accolade Inc (NASDAQ:ACCD) generated positive free cash flow of approximately $3.1 million during the quarter.
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The company maintains a strong cash position with over $234 million in cash, cash equivalents, and marketable securities.
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Accolade Inc (NASDAQ:ACCD) reaffirmed its full-year guidance, demonstrating confidence in its financial outlook and business strategy.
Negative Points
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The company anticipates an adjusted EBITDA loss between $3 million and $5 million for the third fiscal quarter.
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There is a wider revenue guidance range for the full year, indicating potential variability in revenue outcomes.
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Accolade Inc (NASDAQ:ACCD) faces challenges in managing the timing of operating expenses, which have been pushed to the second half of the fiscal year.
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The company is experiencing pressure from employers for more rigorous ROI guarantees due to rising healthcare costs.
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Accolade Inc (NASDAQ:ACCD) is navigating a dynamic market with potential pricing pressures and vendor consolidation in the employee benefits space.
Q & A Highlights
Q: Can you discuss the selling season and how navigation is prioritized relative to other corporate priorities like GLP-1s? A: Rajeev Singh, CEO: Trends like GLP-1s drive demand for advocacy and primary care, as they require navigation in complex care situations. Our ability to offer bundled services, including primary care and advocacy, makes us unique and positively impacts our win rate.