WILMINGTON, DE — Phreesia (NYSE: PHR) reported a return to profitability and double-digit revenue growth in its fiscal first quarter, as the healthcare technology company integrates its AccessOne acquisition and expands patient financing capabilities while maintaining its full-year outlook.
Revenue rose 13% year over year to $130.9 million for the quarter ended April 30, while net income totaled $3.0 million, compared with a net loss of $3.9 million in the same period a year earlier, the company reported.
The results underscore Phreesia’s efforts to broaden its role in healthcare administration and patient payments as providers seek new ways to manage collections and patient engagement.
Adjusted EBITDA increased to $30.5 million from $20.8 million a year earlier, while free cash flow more than doubled to $16.4 million from $7.5 million. Cash generated from operations rose to $23.9 million from $14.9 million.
Average healthcare services clients increased 7% to 4,708, while revenue per client rose 6% to $27,811.
Chief Executive Officer and Co-Founder Chaim Indig pointed to progress integrating AccessOne, expanding healthcare provider marketing offerings and incorporating artificial intelligence into company operations.
“We entered the new fiscal year with an experienced team, a strong financial profile and continued momentum across several key initiatives,” Indig said.
During the quarter, Phreesia refinanced acquisition-related debt through a new five-year, $275 million senior secured revolving credit facility with Capital One. The company borrowed $92.2 million under the facility to retire a short-term bridge loan used to help finance its acquisition of AccessOne.
Phreesia also expanded AccessOne’s securitization facility with PNC Bank, increasing available capacity from $200 million to $300 million and extending the program through April 2029.
The expanded facility is intended to support AccessOne’s patient financing platform by providing healthcare providers with upfront funding for eligible patient receivables. The revised agreement also broadens eligibility to include a larger number of community hospitals and specialty practices.
The company maintained its fiscal 2027 revenue outlook of $510 million to $520 million and reaffirmed adjusted EBITDA guidance of $125 million to $135 million.
Management noted that some network solutions clients have reduced planned spending levels for the second half of the fiscal year because of brand-specific factors and regulatory developments. Phreesia said it does not view the trend as evidence of a structural decline in demand but acknowledged increased forecasting uncertainty within that segment.
The company expects AccessOne to contribute approximately $37 million in revenue during fiscal 2027 and continues to project mid-single-digit growth in healthcare services clients and low-single-digit growth in revenue per client.
As of April 30, Phreesia held $76.4 million in cash, cash equivalents and restricted cash and had $84.2 million outstanding under its Capital One credit facility.
Support the local news that supports Chester County. MyChesCo delivers reliable, fact-based reporting and essential community resources—free for everyone. If you value that, click here to become a patron today.