HealthEquity, Inc. (HQY) Earnings Call Transcripts

HealthEquity, Inc.'s Latest Earnings Call - Q1 FY2027

In the first quarter of fiscal 2027, HealthEquity, Inc. (HQY) reported a 7% year-over-year increase in revenue, reaching $297.2 million, driven by record service and custodial revenues. The company raised its fiscal 2027 revenue guidance to between $1.41 billion and $1.42 billion, reflecting strong account growth and operational efficiencies. Adjusted EBITDA margin expanded to 46%, indicating improved profitability, while net income was reported at $69.4 million, or $0.82 per diluted share, signaling robust financial health and operational leverage.

Reported metrics

Guidance from management

HealthEquity raised its fiscal 2027 revenue guidance to between $1.41 billion and $1.42 billion, with GAAP net income expected between $242 million and $248 million, or $2.88 to $2.95 per share. Adjusted EBITDA is projected between $625 million and $633 million, reflecting confidence in continued growth.

What management said

Well, so marketplace has no real cost of acquisition or cost to serve. And so most of that flows through. But I think Jim and I repeatedly say there's no such thing as service gross margin. Our service costs which go against all of the things that we do go against all of revenue, not just service revenue. So just a bit of a clarification associated with how we think about that. But the incremental margin on a marketp...

Yes. So I think you're speaking to the Allegis acquisition by UnitedHealth. So Allegis is a white-labeled software provider. We do not compete providing white-label products. We sell direct into our client base. We will note that what we will be watching for are those existing clients that may view that tie-up as competitive in terms of sharing data or opportunity, which could be interesting for us. And so we'll trac...

What analysts pressed on

Analysts expressed concerns regarding the potential impact of slowing healthcare utilization on revenue, particularly in interchange revenue growth. There were also questions about the sustainability of recent efficiency gains and how they might affect future service costs.

Main topics on the call

• Revenue Growth and Guidance — HealthEquity reported first-quarter revenue of $297.2 million, up 7% year-over-year, with service revenue hitting a record $122.9 million. Management raised fiscal 2027 revenue guidance to $1.41-$1.42 billion, reflecting...
• Account Growth and Market Share — The company added 172,000 new HSAs, achieving a 15% growth in new accounts, outpacing the industry growth rate of 6%. Management noted, "We bent the growth curve with total HSA growth of 8%," indicating strong market sha...
• Operational Efficiency and AI Integration — HealthEquity improved its adjusted EBITDA margin to 46%, up from 42% year-over-year, driven by AI-driven efficiencies that reduced manual handling of service requests by 25%. Management stated, "AI is an operational ampl...
• Marketplace Expansion — The marketplace now serves over 10,000 members, with new offerings in diagnostics and men's health. Management expressed optimism about marketplace contributions, stating, "Marketplace is helping more than 10,000 members...

Read the full HealthEquity, Inc. transcript (Q1 FY2027) → Summary generated from the call transcript; every figure above is stated by management on the record.

Earnings Call History

EarningsCalls.dev has 38 HealthEquity, Inc. earnings call transcripts on record, spanning January 15, 2020 to May 28, 2026. Based on this history, HealthEquity, Inc. reports quarterly. The most recent call on file is dated May 28, 2026. The full list is below — each row opens the complete, free-to-read transcript.

Ticker

HQY

Exchange

NasdaqGS

Country

US

Sector

Health Care

Industry

Health Care Providers and Services

Calls on record

38

First call

January 15, 2020

Most recent

May 28, 2026

Reporting cadence

quarterly