Stock slumps as revenue outlook is lowered and sales disappoint

  • GoodRx shares fall 23% after cutting annual revenue outlook
  • Third quarter sales miss analyst expectations
  • Company posts loss of $38.5 million for Q3

Shares of GoodRx slumped after the company cut its annual revenue outlook and logged lower sales in the third quarter than analysts had been expecting. The stock was down 23% at $4.22 at noon EST on Thursday. The digital healthcare platform said it now expects $742 million to $748 million in revenue for 2023, down from its previous guidance for $750 million to $760 million. For the third quarter, GoodRx posted a loss of $38.5 million, or 9 cents a share, compared with $41.7 million, or 10 cents a share, in the same quarter a year ago. Quarterly revenue slipped to $180 million from $187.3 million in the year-ago quarter, below analyst projections for $188.5 million. The miss was attributed to a $10 million contract termination payment the company had to pay a client during the quarter, which was recognized as a reduction of revenue. The decline was partially offset by organic growth in prescription transaction revenue.

Factuality Level: 8
Factuality Justification: The article provides specific financial figures and compares them to analysts’ expectations. It also mentions the reason for the revenue decline and includes information about adjusted earnings. However, it does not provide any additional sources or perspectives to verify the accuracy of the information.
Noise Level: 3
Noise Justification: The article provides relevant information about GoodRx’s slumping shares, lower sales, and reduced revenue outlook. It includes specific figures and compares them to analyst projections. However, it lacks in-depth analysis or insights into the reasons behind the decline and the potential implications for the company.
Financial Relevance: Yes
Financial Markets Impacted: Shares of GoodRx
Presence Of Extreme Event: No
Nature Of Extreme Event: No
Impact Rating Of The Extreme Event: No
Rating Justification: The article pertains to financial topics as it discusses the financial performance of GoodRx, a digital healthcare platform. The company’s lower sales and reduced annual revenue outlook have impacted its stock, which is down 23% and in negative territory year-to-date. However, there is no mention of an extreme event in the article.
Public Companies: GoodRx (N/A)
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