Phreesia (NYSE:PHR) Posts Earnings Results, Beats Expectations By $0.03 EPS

Phreesia (NYSE:PHR) posted its quarterly earnings results on Wednesday. The company reported $0.05 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.02 by $0.03, FiscalAI reports. The business had revenue of $130.94 million for the quarter, compared to analyst estimates of $130.08 million. Phreesia had a return on equity of 5.30% and a net margin of 1.85%.The business’s revenue was up 12.9% compared to the same quarter last year. During the same period in the prior year, the company posted ($0.07) EPS.

Here are the key takeaways from Phreesia’s conference call:

• Revenue rose 13% year over year to $130.9 million, driven by strong payment solutions growth of 40% and network solutions growth of 15%. The company also delivered its third straight quarter of positive net income and improved Adjusted EBITDA to $30.5 million.
• Cash generation improved meaningfully, with operating cash flow of $23.9 million and free cash flow of $16.4 million, both up significantly from a year ago. Phreesia also refinanced its bridge loan into a new 5-year revolving credit facility, improving balance sheet flexibility.
• AccessOne is becoming a larger growth driver after Phreesia expanded the PNC securitization facility to $300 million and extended it through April 2029. Management said this should broaden the addressable market, especially for non-investment-grade clients, but it was early to quantify the incremental opportunity.
• The company kept fiscal 2027 guidance unchanged, maintaining revenue of $510 million to $520 million and Adjusted EBITDA of $125 million to $135 million. Management noted more variability in network solutions forecasting in the second half of the year, but said the rest of the business remains in line with March expectations.
• Phreesia sees growth runway beyond PatientConnect from new products like ProviderConnect and continued AI-driven efficiency gains. Management said ProviderConnect already has momentum and is expected to contribute more in future years, while a May restructuring plan should deliver annualized expense savings.

Phreesia Price Performance

NYSE:PHR opened at $9.45 on Friday. The company has a quick ratio of 1.53, a current ratio of 1.53 and a debt-to-equity ratio of 0.41. The business’s 50-day moving average price is $9.49 and its 200 day moving average price is $13.60. Phreesia has a 52-week low of $7.77 and a 52-week high of $32.76. The firm has a market cap of $583.79 million, a P/E ratio of 63.01 and a beta of 0.89.

Key Stories Impacting Phreesia

Here are the key news stories impacting Phreesia this week:

• Positive Sentiment: Phreesia reported first-quarter fiscal 2027 EPS of $0.05, beating estimates, and revenue of $130.94 million, also ahead of expectations, with revenue up 12.9% year over year. Phreesia Announces First Quarter Fiscal 2027 Results
• Positive Sentiment: Management also guided fiscal 2027 revenue to $510 million-$520 million, which brackets Wall Street expectations and suggests continued growth momentum. Phreesia Shares Rise After 1Q Earnings, Rev Beat
• Positive Sentiment: DA Davidson reaffirmed a Buy rating on Phreesia, reinforcing the view that the post-earnings setup remains constructive. DA Davidson Reiterates Buy Rating on Phreesia Inc. (PHR)
• Neutral Sentiment: Piper Sandler downgraded the stock to Neutral, citing a more balanced risk/reward despite keeping a $12 price target. Phreesia downgrade by Piper Sandler
• Negative Sentiment: Multiple law firms announced or reiterated Phreesia securities-class-action reminders ahead of the July 13 lead-plaintiff deadline, adding legal uncertainty and potential distraction. Rosen law firm reminder

Wall Street Analyst Weigh In

PHR has been the subject of several recent research reports. BMO Capital Markets lowered their target price on Phreesia from $32.00 to $14.00 and set an “outperform” rating for the company in a report on Tuesday, March 31st. Citigroup restated a “market perform” rating on shares of Phreesia in a research report on Friday. Wells Fargo & Company reiterated an “equal weight” rating and issued a $9.00 price objective (down from $15.00) on shares of Phreesia in a research report on Wednesday, May 20th. Wall Street Zen lowered shares of Phreesia from a “buy” rating to a “hold” rating in a research note on Saturday, April 4th. Finally, Mizuho reduced their price objective on Phreesia from $22.00 to $19.00 and set an “outperform” rating for the company in a research report on Tuesday, March 24th. Nine analysts have rated the stock with a Buy rating, nine have assigned a Hold rating and one has assigned a Sell rating to the company. Based on data from MarketBeat, the stock currently has an average rating of “Hold” and an average target price of $16.65.

Insider Buying and Selling at Phreesia

In related news, General Counsel Allison C. Hoffman sold 6,176 shares of the firm’s stock in a transaction that occurred on Monday, April 20th. The shares were sold at an average price of $9.06, for a total transaction of $55,954.56. Following the completion of the sale, the general counsel directly owned 157,309 shares in the company, valued at approximately $1,425,219.54. This trade represents a 3.78% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available at the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider David Linetsky sold 8,332 shares of the firm’s stock in a transaction on Friday, April 10th. The stock was sold at an average price of $8.07, for a total value of $67,239.24. Following the sale, the insider directly owned 224,056 shares of the company’s stock, valued at approximately $1,808,131.92. This represents a 3.59% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders sold 50,493 shares of company stock valued at $461,983 in the last ninety days. Company insiders own 5.20% of the company’s stock.

Institutional Investors Weigh In On Phreesia

Several hedge funds have recently bought and sold shares of PHR. Royal Bank of Canada lifted its stake in Phreesia by 208.8% in the first quarter. Royal Bank of Canada now owns 24,119 shares of the company’s stock valued at $617,000 after acquiring an additional 16,309 shares during the last quarter. AQR Capital Management LLC increased its position in Phreesia by 471.2% during the first quarter. AQR Capital Management LLC now owns 160,032 shares of the company’s stock worth $4,090,000 after buying an additional 132,015 shares during the last quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. increased its position in Phreesia by 3.6% during the first quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 62,557 shares of the company’s stock worth $1,599,000 after buying an additional 2,158 shares during the last quarter. NewEdge Advisors LLC raised its holdings in Phreesia by 262.7% during the first quarter. NewEdge Advisors LLC now owns 15,437 shares of the company’s stock valued at $395,000 after buying an additional 11,181 shares in the last quarter. Finally, Goldman Sachs Group Inc. raised its holdings in Phreesia by 0.4% during the first quarter. Goldman Sachs Group Inc. now owns 600,012 shares of the company’s stock valued at $15,336,000 after buying an additional 2,402 shares in the last quarter. 92.10% of the stock is owned by hedge funds and other institutional investors.

Phreesia Company Profile

Phreesia, Inc (NYSE: PHR) is a provider of patient intake management solutions designed to streamline front-office workflows for healthcare organizations. The company’s cloud-based platform digitizes patient registration, appointment scheduling, insurance verification, consent documentation and payment collection through touchscreen kiosks, tablets and mobile devices. By replacing paper forms and manual processes, Phreesia enhances data accuracy, reduces administrative burden and improves the patient experience.

Founded in 2000 by Chaim Indig and headquartered in Burlington, Massachusetts, Phreesia offers a modular software suite that integrates with electronic medical record (EMR) and practice management systems.