Phreesia, Inc. (NYSE: PHR) has reported its financial results for the fiscal first quarter ended April 30, 2025. The company's total revenue for the quarter was $115.9 million, representing a 15% increase year-over-year. The average number of healthcare services clients (AHSCs) also saw a significant uptick, reaching 4,411, which reflects a 9% increase compared to the same period in the prior year.
Furthermore, the total revenue per AHSC was $26,283, marking a 6% increase year-over-year. The company's net loss for the quarter was $3.9 million, a substantial improvement from the net loss of $19.7 million in the corresponding period of the previous year. Additionally, Phreesia reported an adjusted EBITDA of $20.8 million for the quarter, compared to $4.1 million in the same period of the prior year.
The company's net cash provided by operating activities also demonstrated positive momentum, amounting to $14.9 million in the quarter, in contrast to a net cash outflow of $0.7 million in the same period in the prior year. Free cash flow was reported at $7.5 million, a significant improvement from the negative $6.2 million in the corresponding period of the previous year.
As of April 30, 2025, Phreesia's cash and cash equivalents stood at $90.9 million, representing an increase of $6.7 million from January 31, 2025. Looking ahead, the company is maintaining its revenue outlook for fiscal 2026, expecting revenue to be in the range of $472 million to $482 million. The adjusted EBITDA outlook for fiscal 2026 has been updated to a range of $85 million to $90 million, from a previous range of $78 million to $88 million. Phreesia also expects AHSCs to reach approximately 4,500 in fiscal 2026, with an anticipated increase in total revenue per AHSC compared to fiscal 2025.
The company's cash position, including cash generated from its normal operations, is expected to provide flexibility to achieve its fiscal 2026 outlook. Additionally, Phreesia's available borrowing capacity under its credit facility with Capital One serves as an additional source of capital for potential future growth opportunities. The market has reacted to these announcements by moving the company's shares -5.61% to a price of $23.55. For the full picture, make sure to review Phreesia's 8-K report.
