HealthEquity Reports First Quarter Ended April 30, 2022 Financial Results
HealthEquity reported Q1 FY23 revenue of $205.7 million, marking a 12% increase from $184.2 million in Q1 FY22. However, the company incurred a net loss of $13.6 million compared to $2.6 million in the previous year, with non-GAAP net income falling by 27% to $22.7 million. Adjusted EBITDA was $58.3 million, down 1%. The total number of HSAs increased by 26% to 7.4 million, with total HSA assets reaching $20.3 billion—a 35% increase. Outlook for FY23 projects revenues between $827 million and $837 million.
- Q1 revenue of $205.7 million, a 12% increase YoY.
- Total HSA assets rose to $20.3 billion, a 35% increase YoY.
- 7.4 million HSAs, an increase of 26% YoY.
- 159,000 new HSAs sold in Q1, up from 115,000 YoY.
- Net loss of $13.6 million, significantly higher than $2.6 million in Q1 FY22.
- Non-GAAP net income decreased by 27%, from $31 million to $22.7 million.
- Adjusted EBITDA decreased by 1% from $59 million in Q1 FY22.
Highlights of the first quarter include:
- Revenue of
$205.7 million , an increase of12% compared to$184.2 million in Q1 FY22. - Net loss of
$13.6 million , compared to$2.6 million in Q1 FY22, with non-GAAP net income of$22.7 million , a decrease of27% compared to$31.0 million in Q1 FY22. - Net loss per diluted share of
$0.16 , compared to$0.03 in Q1 FY22, with non-GAAP net income per diluted share of$0.27 , compared to$0.38 in Q1 FY22. - Adjusted EBITDA of
$58.3 million , a decrease of1% compared to$59.0 million in Q1 FY22. - 7.4 million HSAs, an increase of
26% compared to Q1 FY22. - Total HSA Assets of
$20.3 billion , an increase of35% compared to Q1 FY22. - 14.5 million Total Accounts, including both HSAs and complementary CDB accounts, an increase of
13% compared to Q1 FY22. - The Company closed its acquisition of the HealthSavings HSA portfolio on March 2, 2022.
DRAPER, Utah, June 06, 2022 (GLOBE NEWSWIRE) -- HealthEquity, Inc. (NASDAQ: HQY) ("HealthEquity" or the "Company"), the nation's largest health savings account ("HSA") non-bank custodian, today announced financial results for its first quarter ended April 30, 2022.
"We started fiscal year 2023 with record new HSA sales for a first quarter and overall highs for Total HSA Assets, HSAs, Total Accounts, and quarterly revenue," said Jon Kessler, President and CEO of HealthEquity. "With the benefit of an improved economy and higher interest rates, we are off to a fast start for the fiscal year and are well-positioned to outpace the market and deliver strong revenue and adjusted EBITDA in fiscal 2023."
First quarter financial results
Revenue for the first quarter ended April 30, 2022 was
HealthEquity reported a net loss of
Adjusted EBITDA was
Account and asset metrics
HealthEquity reported sales of 159,000 new HSAs in the first quarter ended April 30, 2022, compared to 115,000 in the first quarter ended April 30, 2021. HSAs as of April 30, 2022 were 7.4 million, an increase of
Total HSA Assets as of April 30, 2022 were
HealthSavings HSA portfolio acquisition
In March 2022, we acquired the Health Savings Administrators, L.L.C., HSA portfolio, which consisted of
Business outlook
For the fiscal year ending January 31, 2023, management expects revenues of
See “Non-GAAP financial information” below for definitions of our Adjusted EBITDA and non-GAAP net income. A reconciliation of the non-GAAP financial measures used throughout this release to the most comparable GAAP financial measures is included with the financial tables at the end of this release.
Conference call
HealthEquity management will host a conference call at 4:30 pm (Eastern Time) on Monday, June 6, 2022 to discuss the first quarter 2023 financial results. The conference call will be accessible by dialing 844-791-6252, or 661-378-9636 for international callers, and referencing conference ID 6370704. A live audio webcast of the call will also be available on the investor relations section of our website at http://ir.healthequity.com.
Non-GAAP financial information
To supplement our financial information presented on a GAAP basis, we disclose non-GAAP financial measures, including Adjusted EBITDA, non-GAAP net income, and non-GAAP net income per diluted share.
- Adjusted EBITDA is adjusted earnings before interest, taxes, depreciation and amortization, amortization of acquired intangible assets, stock-based compensation expense, merger integration expenses, acquisition costs, gains and losses on equity securities, amortization of incremental costs to obtain a contract, costs associated with unused office space, and certain other non-operating items.
- Non-GAAP net income is calculated by adding back to GAAP net income (loss) before income taxes the following items: amortization of acquired intangible assets, stock-based compensation expense, merger integration expenses, acquisition costs, gains and losses on equity securities, costs associated with unused office space, and losses on extinguishment of debt, and subtracting a non-GAAP tax provision using a normalized non-GAAP tax rate.
- Non-GAAP net income per diluted share is calculated by dividing non-GAAP net income by diluted weighted-average shares outstanding.
Non-GAAP financial measures should be considered in addition to results prepared in accordance with GAAP and should not be considered as a substitute for, or superior to, GAAP results. We believe that these non-GAAP financial measures provide useful information to management and investors regarding certain financial and business trends relating to the Company's financial condition and results of operations. The Company cautions investors that non-GAAP financial information, by its nature, departs from GAAP; accordingly, its use can make it difficult to compare current results with results from other reporting periods and with the results of other companies. In addition, while amortization of acquired intangible assets is being excluded from non-GAAP net income, the revenue generated from those acquired intangible assets is not excluded. Whenever we use these non-GAAP financial measures, we provide a reconciliation of the applicable non-GAAP financial measure to the most closely applicable GAAP financial measure. Investors are encouraged to review the related GAAP financial measures and the reconciliation of the non-GAAP financial measures to their most directly comparable GAAP financial measure as detailed in the tables below.
About HealthEquity
HealthEquity and its subsidiaries administer HSAs and other consumer-directed benefits for our more than 14 million accounts in partnership with employers, benefits advisors, and health and retirement plan providers who share our mission to connect health and wealth and value our culture of remarkable “Purple” service. For more information, visit www.healthequity.com.
Forward-looking statements
This press release contains “forward-looking statements” within the meaning of the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995, including but not limited to, statements regarding our industry, business strategy, plans, goals and expectations concerning our markets and market position, product expansion, future operations, expenses and other results of operations, revenue, margins, profitability, acquisition synergies, future efficiencies, tax rates, capital expenditures, liquidity and capital resources and other financial and operating information. When used in this discussion, the words “may,” “believes,” “intends,” “seeks,” “aims,” “anticipates,” “plans,” “estimates,” “expects,” “should,” “assumes,” “continues,” “could,” “will,” “future” and the negative of these or similar terms and phrases are intended to identify forward-looking statements in this press release.
Forward-looking statements reflect our current expectations regarding future events, results or outcomes. These expectations may or may not be realized. Although we believe the expectations reflected in the forward-looking statements are reasonable, we can give you no assurance these expectations will prove to be correct. Some of these expectations may be based upon assumptions, data or judgments that prove to be incorrect. Actual events, results and outcomes may differ materially from our expectations due to a variety of known and unknown risks, uncertainties and other factors. Although it is not possible to identify all of these risks and factors, they include, among others, risks related to the following:
- the impact of societal and economic changes arising out of the COVID-19 pandemic on the Company, its operations and its financial results;
- our ability to realize the anticipated financial and other benefits from combining the operations of recent and future acquisitions with our business successfully;
- our ability to compete effectively in a rapidly evolving healthcare and benefits administration industry;
- our dependence on the continued availability and benefits of tax-advantaged health savings accounts and other consumer-directed benefits;
- our ability to successfully identify, acquire and integrate additional portfolio purchases or acquisition targets;
- the significant competition we face and may face in the future, including from those with greater resources than us;
- our reliance on the availability and performance of our technology and communications systems;
- potential future cybersecurity breaches of our technology and communications systems and other data interruptions, including resulting costs and liabilities, reputational damage and loss of business;
- the current uncertain healthcare environment, including changes in healthcare programs and expenditures and related regulations;
- our ability to comply with current and future privacy, healthcare, tax, ERISA, investment adviser and other laws applicable to our business;
- our reliance on partners and third-party vendors for distribution and important services;
- our ability to develop and implement updated features for our technology and communications systems and successfully manage our growth;
- our ability to protect our brand and other intellectual property rights; and
- our reliance on our management team and key team members.
For a detailed discussion of these and other risk factors, please refer to the risks detailed in our filings with the Securities and Exchange Commission, including, without limitation, our Annual Report on Form 10-K for the fiscal year ended January 31, 2022 and subsequent periodic and current reports. Past performance is not necessarily indicative of future results. We undertake no intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. Forward-looking statements should not be relied upon as representing our views as of any date subsequent to the date of this press release.
Investor Relations Contact
Richard Putnam
801-727-1209
rputnam@healthequity.com
HealthEquity, Inc. and its subsidiaries
Condensed consolidated balance sheets
| (in thousands, except par value) | April 30, 2022 | January 31, 2022 | |||
| (unaudited) | |||||
| Assets | |||||
| Current assets | |||||
| Cash and cash equivalents | $ | 161,247 | $ | 225,414 | |
| Accounts receivable, net of allowance for doubtful accounts of 30, 2022 and January 31, 2022, respectively | 86,003 | 87,428 | |||
| Other current assets | 31,673 | 38,495 | |||
| Total current assets | 278,923 | 351,337 | |||
| Property and equipment, net | 21,003 | 23,372 | |||
| Operating lease right-of-use assets | 62,599 | 63,613 | |||
| Intangible assets, net | 1,007,864 | 973,137 | |||
| Goodwill | 1,645,836 | 1,645,836 | |||
| Other assets | 48,842 | 49,807 | |||
| Total assets | $ | 3,065,067 | $ | 3,107,102 | |
| Liabilities and stockholders’ equity | |||||
| Current liabilities | |||||
| Accounts payable | $ | 13,661 | $ | 27,541 | |
| Accrued compensation | 33,405 | 47,136 | |||
| Accrued liabilities | 47,840 | 57,589 | |||
| Current portion of long-term debt | 10,938 | 8,750 | |||
| Operating lease liabilities | 11,807 | 12,171 | |||
| Total current liabilities | 117,651 | 153,187 | |||
| Long-term liabilities | |||||
| Long-term debt, net | 918,514 | 922,077 | |||
| Operating lease liabilities, non-current | 64,344 | 65,232 | |||
| Other long-term liabilities | 13,919 | 14,185 | |||
| Deferred tax liability | 95,376 | 99,846 | |||
| Total long-term liabilities | 1,092,153 | 1,101,340 | |||
| Total liabilities | 1,209,804 | 1,254,527 | |||
| Commitments and contingencies | |||||
| Stockholders’ equity | |||||
| Preferred stock, outstanding as of April 30, 2022 and January 31, 2022, respectively | — | — | |||
| Common stock, issued and outstanding as of April 30, 2022 and January 31, 2022, respectively | 8 | 8 | |||
| Additional paid-in capital | 1,692,835 | 1,676,508 | |||
| Accumulated earnings | 162,420 | 176,059 | |||
| Total stockholders’ equity | 1,855,263 | 1,852,575 | |||
| Total liabilities and stockholders’ equity | $ | 3,065,067 | $ | 3,107,102 | |
HealthEquity, Inc. and its subsidiaries
Condensed consolidated statements of operations and comprehensive loss (unaudited)
| Three months ended April 30, | |||||||
| (in thousands, except per share data) | 2022 | 2021 | |||||
| Revenue | |||||||
| Service revenue | $ | 104,348 | $ | 102,534 | |||
| Custodial revenue | 59,365 | 46,978 | |||||
| Interchange revenue | 41,966 | 34,690 | |||||
| Total revenue | 205,679 | 184,202 | |||||
| Cost of revenue | |||||||
| Service costs | 80,874 | 70,632 | |||||
| Custodial costs | 6,641 | 5,009 | |||||
| Interchange costs | 6,991 | 5,445 | |||||
| Total cost of revenue | 94,506 | 81,086 | |||||
| Gross profit | 111,173 | 103,116 | |||||
| Operating expenses | |||||||
| Sales and marketing | 16,560 | 14,086 | |||||
| Technology and development | 45,183 | 35,469 | |||||
| General and administrative | 23,727 | 20,687 | |||||
| Amortization of acquired intangible assets | 23,698 | 19,814 | |||||
| Merger integration | 9,294 | 8,807 | |||||
| Total operating expenses | 118,462 | 98,863 | |||||
| Income (loss) from operations | (7,289 | ) | 4,253 | ||||
| Other expense | |||||||
| Interest expense | (10,461 | ) | (6,689 | ) | |||
| Other expense, net | (301 | ) | (3,630 | ) | |||
| Total other expense | (10,762 | ) | (10,319 | ) | |||
| Loss before income taxes | (18,051 | ) | (6,066 | ) | |||
| Income tax benefit | (4,412 | ) | (3,451 | ) | |||
| Net loss and comprehensive loss | $ | (13,639 | ) | $ | (2,615 | ) | |
| Net loss per share: | |||||||
| Basic | $ | (0.16 | ) | $ | (0.03 | ) | |
| Diluted | $ | (0.16 | ) | $ | (0.03 | ) | |
| Weighted-average number of shares used in computing net loss per share: | |||||||
| Basic | 84,022 | 81,747 | |||||
| Diluted | 84,022 | 81,747 | |||||
HealthEquity, Inc. and its subsidiaries
Condensed consolidated statements of cash flows (unaudited)
| Three months ended April 30, | |||||||
| (in thousands) | 2022 | 2021 | |||||
| Cash flows from operating activities: | |||||||
| Net loss | $ | (13,639 | ) | $ | (2,615 | ) | |
| Adjustments to reconcile net loss to net cash provided by operating activities: | |||||||
| Depreciation and amortization | 39,486 | 31,768 | |||||
| Stock-based compensation | 13,986 | 12,799 | |||||
| Amortization of debt discount and issuance costs | 812 | 1,228 | |||||
| Other non-cash items | — | 893 | |||||
| Deferred taxes | (4,470 | ) | 3,243 | ||||
| Changes in operating assets and liabilities: | |||||||
| Accounts receivable, net | 1,425 | (475 | ) | ||||
| Other assets | 7,317 | 2,249 | |||||
| Operating lease right-of-use assets | 2,034 | 3,369 | |||||
| Accrued compensation | (13,731 | ) | (17,748 | ) | |||
| Accounts payable, accrued liabilities, and other current liabilities | (24,056 | ) | (381 | ) | |||
| Operating lease liabilities, non-current | (1,821 | ) | (2,308 | ) | |||
| Other long-term liabilities | (266 | ) | (1,104 | ) | |||
| Net cash provided by operating activities | 7,077 | 30,918 | |||||
| Cash flows from investing activities: | |||||||
| Purchases of software and capitalized software development costs | (13,635 | ) | (15,469 | ) | |||
| Purchases of property and equipment | (1,155 | ) | (2,490 | ) | |||
| Acquisition of intangible member assets | (59,413 | ) | (309 | ) | |||
| Acquisitions, net of cash acquired | — | (49,533 | ) | ||||
| Net cash used in investing activities | (74,203 | ) | (67,801 | ) | |||
| Cash flows from financing activities: | |||||||
| Principal payments on long-term debt | (2,187 | ) | (15,625 | ) | |||
| Settlement of client-held funds obligation, net | 2,335 | (353 | ) | ||||
| Proceeds from exercise of common stock options | 2,811 | 4,189 | |||||
| Proceeds from follow-on equity offering, net of payments for offering costs | — | 456,642 | |||||
| Net cash provided by financing activities | 2,959 | 444,853 | |||||
| Increase (decrease) in cash and cash equivalents | (64,167 | ) | 407,970 | ||||
| Beginning cash and cash equivalents | 225,414 | 328,803 | |||||
| Ending cash and cash equivalents | $ | 161,247 | $ | 736,773 | |||
HealthEquity, Inc. and its subsidiaries
Condensed consolidated statements of cash flows (unaudited) (continued)
| Three months ended April 30, | ||||||
| (in thousands) | 2022 | 2021 | ||||
| Supplemental cash flow data: | ||||||
| Interest expense paid in cash | $ | 15,496 | $ | 4,988 | ||
| Income tax payments (refunds), net | 55 | (4,852 | ) | |||
| Supplemental disclosures of non-cash investing and financing activities: | ||||||
| Purchases of software and capitalized software development costs included in accounts payable, accrued liabilities, or accrued compensation | 2,917 | 3,982 | ||||
| Purchases of property and equipment included in accounts payable or accrued liabilities | 1,165 | 765 | ||||
| Purchases of intangible member assets included in accounts payable or accrued liabilities | 1,305 | — | ||||
| Contingent consideration recognized at acquisition | — | 8,147 | ||||
| Exercise of common stock options receivable | — | 5 | ||||
Stock-based compensation expense (unaudited)
Total stock-based compensation expense included in the condensed consolidated statements of operations and comprehensive loss is as follows:
| Three months ended April 30, | |||||
| (in thousands) | 2022 | 2021 | |||
| Cost of revenue | $ | 3,007 | $ | 2,403 | |
| Sales and marketing | 2,014 | 2,188 | |||
| Technology and development | 3,380 | 3,013 | |||
| General and administrative | 5,585 | 5,195 | |||
| Other expense, net (1) | — | 342 | |||
| Total stock-based compensation expense | $ | 13,986 | $ | 13,141 | |
(1) Equity-based awards exchanged for cash in connection with the Luum acquisition.
Total Accounts (unaudited)
| (in thousands, except percentages) | April 30, 2022 | April 30, 2021 | % Change | January 31, 2022 | ||||
| HSAs | 7,359 | 5,846 | 26 | % | 7,207 | |||
| New HSAs from sales - Quarter-to-date | 159 | 115 | 38 | % | 472 | |||
| New HSAs from sales - Year-to-date | 159 | 115 | 38 | % | 918 | |||
| New HSAs from acquisitions - Year-to-date | 90 | — | n/a | 740 | ||||
| HSAs with investments | 506 | 371 | 36 | % | 455 | |||
| CDBs | 7,095 | 6,986 | 2 | % | 7,192 | |||
| Total Accounts | 14,454 | 12,832 | 13 | % | 14,399 | |||
| Average Total Accounts - Quarter-to-date | 14,427 | 12,870 | 12 | % | 14,326 | |||
| Average Total Accounts - Year-to-date | 14,427 | 12,870 | 12 | % | 13,450 | |||
HSA Assets (unaudited)
| (in millions, except percentages) | April 30, 2022 | April 30, 2021 | % Change | January 31, 2022 | |||||||
| HSA cash | $ | 12,935 | $ | 10,026 | 29 | % | $ | 12,943 | |||
| HSA investments | 7,330 | 4,987 | 47 | % | 6,675 | ||||||
| Total HSA Assets | 20,265 | 15,013 | 35 | % | 19,618 | ||||||
| Average daily HSA cash - Year-to-date | 12,910 | 10,051 | 28 | % | 10,579 | ||||||
| Average daily HSA cash - Quarter-to-date | 12,910 | 10,051 | 28 | % | 12,118 | ||||||
Client-held funds (unaudited)
| (in millions, except percentages) | April 30, 2022 | April 30, 2021 | % Change | January 31, 2022 | ||||||
| Client-held funds | $ | 872 | $ | 903 | (3) % | $ | 897 | |||
| Average daily Client-held funds - Year-to-date | 865 | 899 | (4) % | 842 | ||||||
| Average daily Client-held funds - Quarter-to-date | 865 | 899 | (4) % | 822 | ||||||
Reconciliation of net loss to Adjusted EBITDA (unaudited)
| Three months ended April 30, | |||||||
| (in thousands) | 2022 | 2021 | |||||
| Net loss | $ | (13,639 | ) | $ | (2,615 | ) | |
| Interest income | (52 | ) | (408 | ) | |||
| Interest expense | 10,461 | 6,689 | |||||
| Income tax benefit | (4,412 | ) | (3,451 | ) | |||
| Depreciation and amortization | 15,788 | 11,954 | |||||
| Amortization of acquired intangible assets | 23,698 | 19,814 | |||||
| Stock-based compensation expense | 13,986 | 12,799 | |||||
| Merger integration expenses | 9,294 | 8,807 | |||||
| Acquisition costs (1) | 6 | 5,939 | |||||
| Amortization of incremental costs to obtain a contract | 1,067 | 1,272 | |||||
| Costs associated with unused office space | 1,294 | — | |||||
| Other | 844 | (1,826 | ) | ||||
| Adjusted EBITDA | $ | 58,335 | $ | 58,974 | |||
(1) For the three months ended April 30, 2021, acquisition costs included
Reconciliation of net loss outlook to Adjusted EBITDA outlook (unaudited)
| Outlook for the year ending | |
| (in millions) | January 31, 2023 |
| Net loss | |
| Interest expense | 43 |
| Income tax benefit | (17) - (15) |
| Depreciation and amortization | 64 |
| Amortization of acquired intangible assets | 97 |
| Stock-based compensation expense | 73 |
| Merger integration expenses | 31 |
| Amortization of incremental costs to obtain a contract | 4 |
| Costs associated with unused office space | 5 |
| Adjusted EBITDA |
Reconciliation of net loss to non-GAAP net income (unaudited)
| Three months ended April 30, | |||||||
| (in thousands, except per share data) | 2022 | 2021 | |||||
| Net loss | $ | (13,639 | ) | $ | (2,615 | ) | |
| Income tax benefit | (4,412 | ) | (3,451 | ) | |||
| Loss before income taxes - GAAP | (18,051 | ) | (6,066 | ) | |||
| Non-GAAP adjustments: | |||||||
| Amortization of acquired intangible assets | 23,698 | 19,814 | |||||
| Stock-based compensation expense | 13,986 | 12,799 | |||||
| Merger integration expenses | 9,294 | 8,807 | |||||
| Acquisition costs | 6 | 5,939 | |||||
| Costs associated with unused office space | 1,294 | — | |||||
| Total adjustments to loss before income taxes - GAAP | 48,278 | 47,359 | |||||
| Income before income taxes - Non-GAAP | 30,227 | 41,293 | |||||
| Income tax provision - Non-GAAP (1) | 7,557 | 10,323 | |||||
| Non-GAAP net income | 22,670 | 30,970 | |||||
| Diluted weighted-average shares | 84,022 | 81,747 | |||||
| Non-GAAP net income per diluted share | $ | 0.27 | $ | 0.38 | |||
(1) The Company utilizes a normalized non-GAAP tax rate to provide better consistency across the interim reporting periods within a given fiscal year by eliminating the effects of non-recurring and period-specific items, which can vary in size and frequency, and which are not necessarily reflective of the Company’s longer-term operations. The normalized non-GAAP tax rate applied to each period presented was
Reconciliation of net loss outlook to non-GAAP net income outlook (unaudited)
| Outlook for the year ending | |
| (in millions, except per share data) | January 31, 2023 |
| Net loss | |
| Income tax benefit | (17) - (15) |
| Loss before income taxes - GAAP | (68) - (58) |
| Non-GAAP adjustments: | |
| Amortization of acquired intangible assets | 97 |
| Stock-based compensation expense | 73 |
| Merger integration expenses | 31 |
| Costs associated with unused office space | 5 |
| Total adjustments to loss before income taxes - GAAP | 206 |
| Income before income taxes - Non-GAAP | 138 - 148 |
| Income tax provision - Non-GAAP (1) | 35 - 37 |
| Non-GAAP net income | 103 - 111 |
| Diluted weighted-average shares | 84 |
| Non-GAAP net income per diluted share (2) |
(1) The Company utilizes a normalized non-GAAP tax rate to provide better consistency across the interim reporting periods within a given fiscal year by eliminating the effects of non-recurring and period-specific items, which can vary in size and frequency, and which are not necessarily reflective of the Company’s longer-term operations. The normalized non-GAAP tax rate applied to each period presented was
(2) Non-GAAP net income per diluted share may not calculate due to rounding of non-GAAP net income and diluted weighted-average shares.
Certain terms
| Term | Definition |
| HSA | A financial account through which consumers spend and save long-term for healthcare on a tax-advantaged basis. |
| CDB | Consumer-directed benefits offered by employers, including flexible spending and health reimbursement arrangements (“FSAs” and “HRAs”), Consolidated Omnibus Budget Reconciliation Act (“COBRA”) administration, commuter and other benefits. |
| HSA member | Consumers with HSAs that we serve. |
| Total HSA Assets | HSA members’ custodial cash assets held by our federally insured depository partners and our insurance company partners. Total HSA Assets also includes HSA members' investments in mutual funds through our custodial investment fund partner. |
| Client | Our employer clients. |
| Total Accounts | The sum of HSAs and CDBs on our platforms. |
| Client-held funds | Deposits held on behalf of our Clients to facilitate administration of our CDBs. |
| Network Partner | Our health plan partners, benefits administrators, and retirement plan recordkeepers. |
| Adjusted EBITDA | Adjusted earnings before interest, taxes, depreciation and amortization, amortization of acquired intangible assets, stock-based compensation expense, merger integration expenses, acquisition costs, gains and losses on equity securities, amortization of incremental costs to obtain a contract, costs associated with unused office space, and certain other non-operating items. |
| Non-GAAP net income | Calculated by adding back to GAAP net income (loss) before income taxes the following items: amortization of acquired intangible assets, stock-based compensation expense, merger integration expenses, acquisition costs, gains and losses on equity securities, costs associated with unused office space, and losses on extinguishment of debt, and subtracting a non-GAAP tax provision using a normalized non-GAAP tax rate. |
| Non-GAAP net income per diluted share | Calculated by dividing non-GAAP net income by diluted weighted-average shares outstanding. |
FAQ
What were HealthEquity's Q1 FY23 financial results?
How did HealthEquity's revenue in Q1 FY23 compare to Q1 FY22?
What is the forecast for HealthEquity's revenue in FY23?
How many HSAs does HealthEquity manage as of April 30, 2022?
What was the non-GAAP net income for HealthEquity in Q1 FY23?
