GoodRx Holdings Inc. GDRX shares experienced a surge in the extended session on Tuesday after the consumer-targeted digital healthcare platform reported better-than-expected results for the quarter. The shares of the company rallied as much as 15% in the after-hours trading session, following a 1.5% rise in the regular session to close at $5.29.
The company reported a fourth-quarter loss of $2 million, or break-even a share, compared with a loss of $39.9 million, or 10 cents a share, in the year-ago period. The adjusted loss, which excluded stock-based compensation expenses and other items, was 7 cents a share, even with the year-ago period. Revenue declined to $184.1 million from $213.3 million in the fourth quarter of 2019.
Analysts had expected a loss of 10 cents a share on revenue of $178.3 million. GoodRx’s total prescription volume in the quarter was up 2.8% year-over-year and up 6.2% quarter-over-quarter. The company also reported that its total visits to its websites and mobile applications increased to 54.5 million in the fourth quarter of 2020, up from 48.7 million in the same quarter of 2019.
GoodRx’s Chief Executive Officer, Doug Hirsch, said in a statement that the company was able to deliver strong results in the fourth quarter, despite the challenges posed by the COVID-19 pandemic. He said that GoodRx’s digital platform has been instrumental in helping consumers access healthcare services and save money on their prescriptions.
Hirsch added that the company’s ability to quickly respond to the needs of consumers during the pandemic has enabled GoodRx to build a strong foundation for long-term growth. He said that the company is well-positioned to capitalize on the opportunities presented by the continuing shift to digital healthcare and the increasing demand for cost-effective prescription drugs.
GoodRx also reported that its total gross profit increased to $48.7 million in the fourth quarter of 2020, up from $46.9 million in the same quarter of 2019. The company’s total operating expenses during the quarter declined to $46.7 million from $50.3 million in the fourth quarter of 2019.
GoodRx’s Chief Financial Officer, Sean Harper, said that the company’s strong financial performance in the fourth quarter was driven by its ability to efficiently manage its expenses and capitalize on the opportunities presented by the digital healthcare market. He said that the company remains focused on delivering long-term value to its shareholders.
Overall, GoodRx’s fourth-quarter results exceeded expectations and the company is well-positioned to capitalize on the opportunities presented by the digital healthcare market. The company’s strong financial performance and its ability to quickly respond to the needs of consumers during the pandemic have enabled GoodRx to build a solid foundation for long-term growth.
