Full Transcript: GoodRx Holdings Q2 2026 Earnings Call

GoodRx Holdings (NASDAQ: GDRX ) held its second-quarter earnings conference call on Thursday. Below is the complete transcript from the call. APIs provide real-time access to earnings call transcripts and financial data. Visit to learn more.

8% adjusted EBITDA margin. The company raised its full-year revenue and adjusted EBITDA guidance based on strong performance. Pharma Direct revenue increased by 76% year-over-year, driven by growth in consumer direct pricing programs and strategic partnerships with pharmaceutical manufacturers. The subscriptions segment also grew, with revenue up 39% year-over-year, highlighted by the launch of GoodRx Companion.

The company is focusing on scaling its Pharma Direct and subscriptions businesses, shifting resources from prescription transactions to these high-growth areas. It is also exploring AI to improve operational efficiency. GoodRx is expanding its Employer Direct offerings, targeting GLP-1 therapies, and integrating its subscription model to provide affordable healthcare solutions for employers. Management emphasized the strength of the GoodRx brand, noting over 280 million annual site visits, and highlighted strategic initiatives to enhance consumer engagement and long-term revenue growth.

Full Transcript OPERATOR Ladies and gentlemen, thank you for standing by and welcome to the GoodRx Holdings second quarter 2026 earnings call. As a reminder, today's conference call is being recorded. I would now like to introduce your host for today's call, Aubrey Reynolds, Director of Investor Relations. Ms.

Reynolds, you may begin. Aubrey Reynolds, Director & Head of Investor Relations Thank you, operator. Good morning everyone and welcome to GoodRx Holdings' earnings conference call for the second quarter 2026. Joining me today are Wendy Barnes, our Chief Executive Officer, and Justin Fengler, our newly appointed Chief Financial Officer.

Before we begin, I'd like to remind everyone that this call will contain forward-looking statements.

All statements made on this call that do not relate to matters of historical fact should be considered forward-looking statements, including, without limitation, statements regarding management's plans, strategies, goals and objectives, our market opportunity, our anticipated financial performance, underlying trends in our business and industry, including ongoing changes in the pharmacy ecosystem, our value proposition, our long-term growth prospects, our direct and hybrid contracting approach, collaborations and partnerships with third parties, including our point-of-sale cash programs and our integrated savings program, our e-commerce strategy, and our capital allocation priorities.

These statements are neither promises nor guarantees, but involve known and unknown risks, uncertainties, and other important factors. These factors, including the factors discussed in the Risk Factors section of our Annual Report on Form 10-K for the year ended December 31, 2025, and our other filings with the Securities and Exchange Commission, could cause actual results, performance, or achievements to differ materially from those expressed or implied by the forward-looking statements made on this call.

Any such forward-looking statements represent management's estimates as of the date of this call and we disclaim any obligation to update these statements even if subsequent events cause our views to change. In addition, we will be referencing certain non-GAAP metrics in today's remarks. com. I'd also like to remind everyone that a replay of this call will become available there shortly as well.

With that, I'll turn it over to Wendy. Wendy Barnes, CEO & President Thank you, Aubrey. And thank you to everyone for joining us today. The second quarter was a strong quarter for GoodRx.

We exceeded our revenue expectations, maintained disciplined profitability, and saw meaningful consumer engagement across the platform. That performance was driven by the two strategic priorities we outlined at the beginning of the year: first, Pharma Direct, which is scaling quickly due to growing manufacturer adoption of consumer direct pricing programs and sustained strength in GLP-1 access; second, subscriptions, which are becoming a central part of how we serve and retain consumers, as illustrated by the launch of our newest offering, GoodRx Companion, in May.

Based on our first full half performance and the trends we are seeing across the business, we are raising our full-year revenue and adjusted EBITDA outlook, which we will discuss in more detail later in the call. We are confident this puts us on a path to return to year-over-year revenue growth this year earlier than previously anticipated and reinforces our belief that GoodRx is building a more durable growth profile. That durability is rooted in a combination of assets that work together: a trusted brand, a large high-intent audience, and a nationwide pharmacy network.

Each year we see over 280 million site visits across our platform when cost and access are shaping prescription decisions. That gives manufacturers, retail pharmacy partners, and plan sponsors a scaled channel to make pricing, access, and savings programs visible and usable for consumers. And as more partners bring programs to GoodRx, we are able to deliver better prices, broader access, and more useful products directly to consumers, giving them more reasons to return to our platform, increasing engagement, and strengthening our revenue base over time. The market backdrop reinforces why this matters.

Affordability pressures continue to intensify. Consumers are bearing more cost, facing less predictable coverage, and increasingly need to know what a medication will cost before they reach the pharmacy counter. For example, in the ACA Marketplace, nearly 3 million fewer people are enrolled following the expiration of enhanced subsidies, and early 2027 rate filings point to another year of significant premium increases. Employers are under the same pressure, and as costs rise, many are covering less or shifting more of the expense to employees.

Across the board, coverage is becoming harder to maintain and more expensive to use. That makes execution our priority. Our focus now is to continue scaling the programs gaining traction, make them even easier for consumers to use, and turn the progress we demonstrated in the second quarter into sustained growth. Before I move into the business updates, I want to address yesterday's leadership announcement.

Chris McGinnis has transitioned from his role as Chief Financial Officer. On behalf of our board and management team, I want to thank Chris for his contributions to GoodRx Holdings, including his partnership during my first year as CEO and his leadership of the finance organization. Effective today, Justin Fengler, who currently serves as our Chief Strategy and Operations Officer, will take on the additional role of Chief Financial Officer. Justin has been with GoodRx for more than 10 years and has a deep understanding of the business, our financial model, our corporate development activities, and how we operate.

In his current role, he has helped connect our corporate strategy to the priorities, investments, M&A, and execution plans that guide the company. That experience, combined with his background in investment banking and consulting, makes him well positioned to lead the finance organization. You'll hear directly from Justin later in the call as he reviews our quarterly financial performance and outlook. With that, I'll turn back to the quarter and walk through our business updates, starting with Pharma Direct.

Q2 was a standout quarter, with revenue growing 76% year over year and 18% quarter over quarter, supported by strength in consumer direct pricing and advertising solutions that extend well beyond any single therapeutic category. We now have more than 135 consumer direct pricing programs, including the addition of top brands like Jardiance, Nurtec, Otezla, and Repatha, reinforcing the role GoodRx is playing in helping manufacturers bring affordability programs directly to consumers at scale. GLP-1s remain one of the clearest examples of the value of that model.

Demand remains strong, coverage remains limited or inconsistent, and the category is evolving rapidly as new therapies, formulations, and price points come to market. During the quarter, we supported several important launches and expansions, including Ozempic Pill, Wegovy HD, Foundao, and Zepbound QuickPen. These are in addition to our support of the Wegovy Pill launch earlier this year, as well as continued partnership with all other FDA-approved GLP-1 brands. , giving manufacturers a scaled way to turn pricing strategies into consumer access.

We believe GoodRx's role in GLP-1 access will remain important as the category evolves. Demand for GLP-1 therapies is growing rapidly, particularly in the self-pay segment, and we expect that momentum to persist for the foreseeable future. Coverage models are also changing, such as the Medicare Bridge program that launched on July 1st and runs through the end of 2027, offering $50 pricing on certain GLP-1 therapies to eligible Medicare beneficiaries.

We are watching adoption closely, but Medicare-age consumers represent a modest share of GLP-1 users on our platform today, and this program includes specific authorization, eligibility, and processing requirements that naturally limit its reach. Given the scale of demand and variation in coverage, we expect transparent self-pay access to maintain an important part of the market, creating ongoing opportunity across both Pharma Direct and GoodRx for weight loss. At the same time, the strength of Pharma Direct extends well beyond GLP-1.

We continue to deepen our partnerships with a more focused group of large pharmaceutical manufacturers, prioritizing strategic relationships with companies that have leading, high-value brands. As a result, our average deal size has increased year over year, reflecting both the expansion of existing partnerships and greater alignment around enterprise-scale programs. That breadth reduces concentration in any one category and gives us multiple avenues to compound growth over time. This strategy reinforces our ability to deliver meaningful value to manufacturers while driving more efficient, durable growth across our Pharma Direct offering.

Turning to Subscriptions, the number of subscription plans increased 14% year over year. Subscriptions are becoming a central part of how we serve and retain consumers, which is why we are shifting more product and marketing investment toward this model. They allow us to deliver value beyond an individual prescription, build deeper relationships with consumers, and help address a broader set of healthcare needs. That is increasingly important as consumers face higher out-of-pocket costs and less predictable coverage and look for solutions that can complement insurance.

A key step in that work was the launch of GoodRx Companion in May, our new subscription offering designed to make everyday healthcare more affordable and predictable. 99 per month with an annual plan, and offers 200 free generic medications, hundreds more for under $10, affordable online care visits, and savings across dental, vision, labs, and imaging. It is especially valuable for consumers managing chronic conditions, taking multiple medications, or navigating coverage limitations where out-of-pocket costs can be difficult to anticipate.

While we are not discontinuing Gold, Companion is now our primary subscription offering with a broader nationwide pharmacy network, richer benefits, and consistently lower prices. Early adoption has been encouraging, and we believe Companion gives us a broader membership platform to meet more of consumers' everyday healthcare needs. In addition, we continue to see growth across our condition-specific subscription offerings, led by GoodRx for weight loss, with ED and hair loss also contributing. Together with Companion, these offerings give us more ways to address healthcare needs where affordability, access, and convenience are meaningful barriers.

That is why we are reorienting more of the GoodRx experience around subscriptions, including making them the primary call to action across key surfaces such as our homepage and price pages. We believe this more integrated membership model can deliver greater value to consumers, deepen engagement, improve retention, and support more durable recurring revenue. Now turning to RX Marketplace, performance in the second quarter was in line with our expectations, reflecting the sequential moderation we discussed on our last call and our decision to direct more marketing and product investment toward our subscription offerings.

As subscriptions grow, some transactions that would have historically flowed through RX Marketplace will instead be served through our subscription offerings. That will moderate prescription transaction revenue and MACs over time, but we view it as a positive evolution of the business. Consumers receive more value, pharmacies benefit from increased prescription volume and stronger patient retention, and GoodRx builds deeper consumer relationships while generating subscription revenue with higher lifetime value. Companion is a clear example of how we are providing value to both consumers and our retail pharmacy partners.

It gives members access to meaningfully lower prices than they would receive through a traditional prescription discount while allowing them to continue filling at the pharmacies they already know and trust. It also delivers that value at no additional cost to retail partners. That makes Companion an important way to strengthen the consumer experience while reinforcing the value of our retail pharmacy network. We are also continuing to strengthen the network itself.

Our direct contracting model gives us a better foundation to support retailer economics and improve the consumer experience at the counter. Our e-commerce capability is now live at nearly 6,000 pharmacies nationwide, allowing consumers to engage digitally before arriving at the pharmacy and helping retail partners reduce friction and better capture demand. We are also extending the reach of our network into new channels. In May, we brought our nationwide pharmacy access to TrumpRx as a launch partner for generics, giving consumers more choice in where they fill.

Turning to Employer Direct. Building on the work we introduced last quarter, we are developing a significant and growing pipeline with partners expected to go live in Q4 and into Q1. Our initial focus is GLP-1s, where we combine manufacturer pricing enabled by Pharma Direct with the consumer-facing care and engagement model we built through GoodRx for weight loss. We also plan to integrate GoodRx Companion, giving employers the ability to subsidize the membership cost for employees and expand access to affordable generic medications.

Employer Direct creates the channel to bring those capabilities to plan sponsors at scale, helping lower costs for employers and out-of-pocket prices for employees, including through employer-funded wellness accounts that can be used toward eligible medication costs and related care. While still early, the employer response reinforces our view that GoodRx can help plan sponsors address prescription affordability in a more flexible and targeted way. We plan to have more to report in future quarters as these programs target serving larger employee populations. As we scale these growth initiatives, we are also focused on improving how quickly and efficiently we execute.

AI is becoming a more intentional part of the GoodRx operating model, with the focus on redesigning workflows, reducing manual work, and helping teams execute faster. We are hiring talent and investing in capabilities to embed AI more deeply into how we build and scale the platform, which we believe can accelerate product delivery and support greater operating leverage over time. I will now turn the call over to Justin to discuss second quarter results. Justin Fengler, Chief Financial Officer and Chief Strategy & Operating Officer Thank you, Wendy, and good morning, everyone.

8%. Our results were driven by continued momentum across our Pharma Direct and subscriptions offering, which are becoming a larger portion of overall revenue. 4 million, in line with the outlook we previously provided. Monthly active consumers totaled 5 million, down 12% year over year and down sequentially, reflecting normal seasonality in our integrated savings program and a deliberate shift of product and marketing investment toward our new subscription offerings.

Overall, these trends are unfolding as planned and consistent with the operating assumptions underlying our guidance. 6 million, up 76% year over year as we continue to deepen manufacturer partnerships and expand our consumer direct pricing platform. Our growth reflected continued momentum in our GLP-1 access programs, complemented by strong execution across our non—GLP-1 business.