GoodRx Reports First Quarter 2025 Results

First Quarter 2025 Revenue In-line; Adjusted EBITDA Margin Beats Previous Guidance; Maintains Full Year 2025 Revenue Guidance Range; Raises Adjusted EBITDA Expectations

SANTA MONICA, Calif.--(BUSINESS WIRE)--May 07, 2025-- 

GoodRx Holdings, Inc. (Nasdaq: GDRX) ("we," "us," "our," "GoodRx," or the "Company"), the leading platform for medication savings in the U.S., has released its financial results for the first quarter of 2025.

First Quarter 2025 Highlights

   -- Revenue of $203.0 million 
 
   -- Net income of $11.1 million; Net income margin of 5.4% 
 
   -- Adjusted Net Income1 of $34.4 million; Adjusted Net Income Margin1 of 
      16.9% 
 
   -- Adjusted EBITDA1 of $69.8 million; Adjusted EBITDA Margin1 of 34.4% 
 
   -- Net cash provided by operating activities of $9.4 million 
 
   -- Exited the quarter with over 7 million consumers of prescription-related 
      offerings2 

"Since stepping into this role, I have dedicated my time strengthening our leadership team, gaining a deeper understanding of our business, meeting with key partners, understanding the macroeconomic environment, and identifying key capabilities and growth opportunities," said Wendy Barnes, Chief Executive Officer and President of GoodRx. "I can confidently say that we are in a very strong position to deliver meaningful value across the pharmacy ecosystem. Furthermore, we are focused on high-impact initiatives that we believe will drive our business forward in compelling ways."

 
(1)    Adjusted EBITDA, Adjusted EBITDA Margin, Adjusted Net Income, and 
       Adjusted Net Income Margin are non-GAAP financial measures and are 
       presented for supplemental informational purposes only. Adjusted EBITDA 
       Margin and Adjusted Net Income Margin are defined as Adjusted EBITDA 
       and Adjusted Net Income, respectively, divided by Adjusted Revenue. 
       Refer to the Non-GAAP Financial Measures section below for definitions, 
       additional information, and reconciliations to the most directly 
       comparable GAAP measures. 
(2)    Sum of Monthly Active Consumers (MACs) for Q1'25 and subscribers to our 
       subscription plans as of March 31, 2025. Refer to Key Operating Metrics 
       below for definitions of Monthly Active Consumers and subscription 
       plans. 
 

First Quarter 2025 Financial Overview (all comparisons are made to the same period of the prior year unless otherwise noted):

Revenue increased 3% to $203.0 million compared to $197.9 million.

Prescription transactions revenue increased 2% to $148.9 million compared to $145.4 million, primarily driven by improved unit economics related to contracting with our customers and partners and sales mix, partially offset by a 4% decrease in Monthly Active Consumers, primarily due to the broader changes in the retail pharmacy landscape.

Subscription revenue decreased 7% to $21.0 million compared to $22.6 million, primarily driven by a decrease in the number of subscription plans principally due to the sunset of our partnership subscription program, Kroger Savings Club.

Pharma manufacturer solutions revenue increased 17% to $28.6 million compared to $24.5 million, driven by organic growth as we continued to expand our market penetration with pharma manufacturers and other customers, including ongoing growth in our point of sale discount programs.

Net income was $11.1 million compared to a net loss of $1.0 million. Net income margin was 5.4% compared to a net loss margin of 0.5%. Adjusted Net Income(1) was $34.4 million compared to $32.6 million.

Adjusted EBITDA(1) was $69.8 million compared to $62.8 million. Adjusted EBITDA Margin(1) was 34.4% compared to 31.7%.

Cash Flow and Capital Allocation

Net cash provided by operating activities in the first quarter was $9.4 million compared to $42.6 million in the comparable period last year driven by changes in operating assets and liabilities, partially offset by an increase in net income after adjusting for non-cash items. Changes in operating assets and liabilities were principally driven by the timing of payments of prepaid services, accounts payable and accrued expenses, income tax payments and refunds, as well as collections of accounts receivable. As of March 31, 2025, we had cash and cash equivalents of $301.0 million and total outstanding debt of $498.8 million.

We are focused on a disciplined approach to capital allocation, centered on furthering our mission and creating shareholder value. Our capital allocation priorities are investing for profitable growth, paying down debt, buying back shares, and M&A that aligns with our strategic priorities. These capital allocation priorities support our long-term growth strategy while also providing flexibility to navigate near-term challenges.

Share Repurchases

During the first quarter of 2025, we repurchased 23.3 million shares of Class A common stock for an aggregate of $100.9 million. As of March 31, 2025, we had $189.4 million of unused authorized share repurchase capacity under our $450.0 million share repurchase program, which does not have an expiration date.

Guidance

For the full year 2025, management is anticipating the following:

 
  $ in millions          FY 2025    FY 2024  YoY Change 
---------------------  -----------  -------  ---------- 
  Revenue              $810 - $840  $792.3    2% - 6% 
---------------------  -----------  -------  ---------- 
  Adjusted EBITDA(3)   $273 - $287  $260.2    5% - 10% 
---------------------  -----------  -------  ---------- 
 

"For the full year 2025, we continue to believe that revenue will be in the range of $810 to $840 million, representing 2% to 6% growth compared to 2024," said Chris McGinnis, Chief Financial Officer and Treasurer. "There are a number of factors that influence revenue, including macro conditions such as consumer confidence and spending trends, tariffs and other policies related to drug pricing, economic climate, and our ongoing business development efforts driving our strategic initiatives. It's hard to predict the impact that these variables will ultimately have on our full year revenue, but in an effort to be as transparent as possible, at this point in the year we have greater conviction and visibility at the lower half of our range with achievement of strategic initiatives providing opportunities to deliver in the upper half of our range. With respect to our guidance for full year Adjusted EBITDA(3) , we are slightly increasing and narrowing the range, now believing it will be between $273 and $287 million, which represents approximately 5% to 10% growth compared to 2024."

"With the full year guidance as context, for the second quarter, we expect revenue to be up sequentially from the $203 million we reported in the first quarter with an Adjusted EBITDA Margin(3) roughly similar to the first quarter," concluded McGinnis.

 
(3)    Adjusted EBITDA Margin is Adjusted EBITDA divided by Adjusted Revenue. 
       Adjusted EBITDA and Adjusted EBITDA Margin are non-GAAP financial 
       measures and are presented for supplemental informational purposes 
       only. We have not reconciled our Adjusted EBITDA and Adjusted EBITDA 
       Margin guidance to GAAP net income or loss and GAAP net income or loss 
       margin, respectively, because we do not provide guidance for such GAAP 
       measures due to the uncertainty and potential variability of 
       stock-based compensation expense, acquired intangible assets and 
       related amortization and income taxes, which are reconciling items 
       between Adjusted EBITDA and Adjusted EBITDA Margin and their respective 
       most directly comparable GAAP measures. Because such items cannot be 
       provided without unreasonable efforts, we are unable to provide a 
       reconciliation of the non-GAAP financial measure guidance to the 
       corresponding GAAP measure. However, such items could have a 
       significant impact on our future GAAP net income or loss and GAAP net 
       income or loss margin. 
 

Investor Conference Call and Webcast

GoodRx management will host a conference call and webcast tomorrow, May 8, 2025, at 5:00 a.m. Pacific Time (8:00 a.m. Eastern Time) to discuss the results and the Company's business outlook.

To access the conference call, please pre-register using the following link:

https://register-conf.media-server.com/register/BI7c87cfc603d548b091271cdf679908ed

Registrants will receive a confirmation with dial-in details and a unique passcode required to join.

The call will also be webcast live on the Company's investor relations website at https://investors.goodrx.com, where accompanying materials will be posted prior to the conference call.

Approximately one hour after completion of the live call, an archived version of the webcast will be available on the Company's investor relations website at https://investors.goodrx.com for at least 30 days.

About GoodRx

GoodRx is the leading platform for medication savings in the U.S., used by nearly 30 million consumers and over one million healthcare professionals annually. Uniquely situated at the center of the healthcare ecosystem, GoodRx connects consumers, healthcare professionals, payers, pharmacy benefit managers, pharmaceutical manufacturers, and retail pharmacies to make saving on medications easier. By reducing friction and inefficiencies, GoodRx helps consumers save time and money when filling prescriptions so they can get the care they deserve. Since 2011, GoodRx has helped Americans save over $85 billion on the cost of their medications.

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