GoodRx’s fourth-quarter earnings mirrored the shopper digital well being agency’s monetary challenges.
Quarterly income decreased 14% to $184 million, and the agency mentioned its concern with Kroger, a nationwide grocery chain, value it $forty to $50 million in misplaced income. Kroger briefly stopped accepting GoodRx’s reductions on the objective of sale in may. The matter was resolved in August however GoodRx mentioned on the time the monetary influence of the dispute was going to linger for the the rest of the yr.
additionally, revenues in GoodRx’s prescription transactions enterprise decreased 19% to $129.4 million. the agency additionally noticed an eight% decrease in month-to-month energetic prospects engaged with the prescription transaction enterprise.
To offset the income decline, GoodRx reduce administrative prices as effectively as to its gross sales and advertising spending inside the fourth quarter. gross sales and advertising funds decreased 21% to $eighty 4.1 million, whereas administrative funds decreased 19% to $28.6 million.
GoodRx laid off one hundred forty workers, or sixteen% of its workforce, in September throughout its know-how and advertising teams.
the agency posted a fourth-quarter internet lack of $2 million or zero cents per share, in contrast with a internet lack of $39.9 million or 10 cents per share in 2022. the event was tied to a provision in earnings taxes beneath which GoodRx acquired a $2.eight million revenue in 2022 in contrast with a $forty five.eight million expense in 2021.
For the yr, GoodRx posted a internet lack of $32.eight million, or eight cents per share, in contrast with a internet lack of $25 million, or 6 cents per share, in 2021. income elevated from $745 million in 2021 to $765 million in 2022. the agency mentioned it expects a small income enhance in 2023, to between $780 and $790 million.
GoodRx just at present paid $1.5 million in a settlement to the Federal commerce fee as a end result of it allegedly was sharing well being knowledge with third events. The FTC additionally prohibited GoodRx from sharing well being knowledge with third events as a part of its enforcement movement.
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