Health Insurance Innovations, Inc. (HIIQ), a leading cloud-based technology platform and distributor of affordable individual and family health insurance and supplemental plans, today announced financial results for the Q4 and year ended December 31, 2017. HIIQ specifically reported the following:
2017 Annual Consolidated Financial Highlights
-Record revenue was $250.5 million, compared to $184.5 million in 2016, an increase of 35.8%.
-Record total collections from members (premium equivalents) of $395.6 million compared to $311.6 million in 2016, an increase of 27.0%.
-Net income was $26.5 million, compared to $13.1 million in 2016, an increase of 102.3%.
-Record adjusted EBITDA (earnings before interest, taxes, depreciation and amortization) was $45.5 million, compared to $27.8 million in 2016, an increase of 63.7%.
-Record GAAP diluted earnings per share was $1.50, compared to $0.57 in 2016, an increase of 163.2%.
-Record adjusted earnings per share, also referred to as adjusted net income per share, or adjusted EPS, was $1.65 compared to $1.12 in 2016, an increase of 47.3%.
-Record policies in force as of December 31, 2017, totaled approximately 376,100, compared to 290,100 as of December 31, 2016, an increase of 29.6%.
-Cash and cash equivalents totaled $39.3 million as of December 31, 2017, an increase of $27.1 million from December 31, 2016.
-Premium equivalents, adjusted EBITDA, and adjusted EPS are non-GAAP financial measures. See the reconciliations of these measures to their respective most directly comparable GAAP measure below in this press release.
2018 Full Year Guidance
The Company expects annual revenue for 2018 to be between $290 million and $300 million or grow approximately 15% to 20% year-over-year, adjusted EBITDA to be between $54 million and $57 million or grow approximately 20% to 25% year-over-year and adjusted EPS to be between $2.45 and $2.55 or grow approximately 48% to 55% year-over-year. These guidance numbers are based on the Company’s current method of accounting for revenue. As an emerging growth company, it will be adopting the revised revenue recognition standard, known as ASC 606, in the fourth quarter of 2018.
“We continue to efficiently provide affordable healthcare solutions to consumers who would not otherwise have insurance that meets their needs. As we look ahead, we will continue to invest in our technology platform to improve our member’s experience and we will launch the next generation of our technology platform in 2018. We will also continue to invest in ecommerce, enhance our scalability and maintain our competitive advantage,” said Gavin Southwell, HIIQ’s Chief Executive Officer and President.
Fourth Quarter 2017 Consolidated Financial Highlights
-Record revenue was $69.5 million, compared to $51.4 million in the fourth quarter of 2016, an increase of 35.2%.
-Record total collections from members (premium equivalents) of $106.3 million compared to $85.3 million in the fourth quarter of 2016, an increase of 24.6%.
-Net income was $5.0 million, compared to $1.4 million in the fourth quarter of 2016, an increase of 257.1%.
-Record adjusted EBITDA was $10.5 million, compared to $8.9 million in the fourth quarter of 2016, an increase of 18.0%.
-GAAP diluted earnings per share was $0.30, compared to a loss of $0.02 in the fourth quarter of 2016.
-Adjusted EPS, was $0.37 compared to $0.35 in the fourth quarter of 2016, an increase of 5.7%.
2017 Financial Discussion
2017 revenues of $250.5 million increased 35.8%, compared to 2016, driven by an increase in policies in force, favorable commission margins and improved discount benefit plan offerings.
A live earnings conference call will be held on Thursday, March 1, 2017, at 8:30 a.m. Eastern time. To participate in the call, please dial (877) 407-9039 (domestic) or (201) 689-8470 (international). The conference ID is 13675038. The online replay can be accessed using the conference passcode 13675038, on the Investor Relations section of the company’s website at http://investor.hiiquote.com/.
To learn more about HIIQ and to track its ongoing progress please visit the Vista Partners HIIQ Coverage Page.
Health Insurance Innovations, Inc. Reports Record Fourth Quarter and Fiscal 2017 Financial and Operating Results
Record Revenues of $250.5 million, up 35.8% YOY Record GAAP Diluted Earnings per Share of $1.50, up 163.2% YOY Record Adjusted Earnings per Share of $1.65, up 47.3% YOY Record Policies in Force totaled …..