Phreesia Stock is a health computer game

Health ecosystem management platform developer Phreesia (NYSE:PHR) stock fell (-40%) over the year. The company caters to small and medium-sized medical practices with a cloud-based software-as-a-service (SaaS) platform that optimizes workflow and operational efficiency. Its automated tools seamlessly handle everything from check-in, appointment scheduling and patient surveys to medical billing, automated data integration and report analysis. Their healthcare management platform serves over 100 million patient visits per year, impacting the entire healthcare ecosystem. Healthcare is one of the few recession-proof sectors that investors might consider sheltering in. The Company has raised its adjusted EBITDA outlook, which improves its profitability schedule. Phreesia has been ranked #1 in Patient Intake Management by KLAS for four consecutive years from 2019 to 2022. The company is reaping the benefits of going live with its new ERP system which is accelerating operational leverage on all investments. Phreesia is targeting $500 million in annualized revenue for fiscal year 2025. Conservative investors looking for healthcare IT infrastructure that is still experiencing double-digit growth can watch for opportunistic pullbacks in Phreesia's stock. p> MarketBeat.com - MarketBeatQ1 Fiscal 2022 Release

On May 17, 2022, Phreesia released its fiscal first quarter 2022 results for the quarter ending April 2022. The company reported an adjusted earnings per share (EPS) loss of (-$0.99) excluding one-time items versus consensus analysts estimate a loss of (-$1.09), beating estimates by $0.10. Revenue rose 31.2% year-over-year (YOY) to $63.35 million, beating analyst estimates of $62.24 million. Chaim Indig, CEO of Phreesia, commented: "We started the year strong with new customer wins and expansion within existing customers in healthcare and life sciences and have started to generate a operational leverage through our accelerated investments in fiscal years 2021 and 2022."

Guidelines reaffirmed

Phreesia reaffirmed revenue for fiscal year 2023 between $271 million and $275 million versus analysts' consensus estimate of $273.62. The company projects an annualized revenue target of $500 million in one quarter of fiscal 2025.

Takeaways from the conference call

Senior Vice President Balaji Gandhi reviewed some highlights of the quarter. Investments continue to show strong growth of 33% in the first quarter. Payment processing revenue was slightly below expectations and could persist through the end of the year, prompting the company to maintain its initial revenue forecast of 27% to 29% growth. Life Sciences was robust with 51% year-over-year growth during its period of strong seasonality. During the quarter, the Company began to see strong operating leverage across all of its investments, prompting the Company to adjust its EBITDA outlook to a range of (-$126 million) to (-$122 million). million), which is an improvement from its initial level (-$154 million). ) to (-$149 million). The Indig CEO reflected on the company's 17-year history and congratulated his teams and was happy to meet in person again. The company brings in about $11,500 in subscription revenue per customer consistently for multiple quarters. Average revenue per healthcare customer was $19,193 in the first quarter of fiscal 2023, down (-5%) year-on-year. However, the average number of healthcare customers increased by 33% to 2,526. The company ended the quarter with $269.2 million.