Key Takeaways
- HealthEquity shares fell Tuesday after the company’s outlook for next year missed analysts’ estimates.
- The news offset better-than-expected quarterly results as revenue from all its units grew from the year before.
- The number of the company’s health savings accounts and other consumer-directed benefits rose.
Shares of HealthEquity (HQY) tumbled Tuesday after the health savings account (HSA) custodian’s outlook for next year missed forecasts.
The company said it expects fiscal 2026 full-year revenue of $1.275 billion to $1.295 billion. Analysts surveyed by Visible Alpha were looking for a range with a midpoint of $1.315 billion.
The weaker-than-expected outlook offset HealthEquity’s strong third-quarter results, with EPS of 78 cents and revenue up 21% year-over-year to $300.4 million. Both figures exceeded estimates.
Service revenue came in at $119.2 million, custodial revenue was $141 million, and interchange revenue totaled $40.3 million. All three grew from the year before.
The number of HSAs was up 15% to 9.5 million, with total HSA assets jumping 33% to $30 billion. Total accounts, which include HSAs and other consumer-directed benefits (CDB), rose 8% to 16.5 million.
HealthEquity shares fell 5.6% to $95.39 Tuesday, though even with Tuesday’s drop, they’ve gained about 43% since the start of the year.
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Correction—December 10, 2024: This article has been updated to correct a misstatement of HealthEquity’s forward guidance.
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