Connecture, Inc., together with its subsidiaries, operates as a Web-based consumer shopping, enrollment, and retention platform for health insurance distribution in the United States. The company offers personalized health insurance shopping solutions, which recommend various insurance plans based on an individual's preference, health status, preferred provider, medication, and expected out-of-pocket cost. Its customers include payers, brokers, government agencies, and Web-based insurance marketplace operators who distribute health and ancillary insurance. The company was formerly known as SimplyHealth.com, Inc. and changed its name to Connecture, Inc. in 2002. Connecture, Inc. was founded i...
18500 West Corporate Drive
Brookfield, WI 53045
Founded in 1999
Connecture, Inc. Reports Unaudited Consolidated Earnings Results for the Second Quarter and Six Months Ended June 30, 2017; Re-Affirms Earnings Guidance for the Full Year of 2017
Aug 7 17
Connecture, Inc. reported unaudited consolidated earnings results for the second quarter and six months ended June 30, 2017. For the quarter, the company reported revenue of $18,302,000, loss from operations of $3,983,000, loss before income taxes of $5,011,000, adjusted LBITDA of $2,333,000, net loss of $5,011,000 or $0.30 per basic and diluted share, compared to the revenue of $18,729,000, loss from operations of $7,159,000, loss before income taxes of $9,900,000, adjusted LBITDA of $5,468,000, net loss of $9,900,000 or $0.47 per basic and diluted share, a year ago. The increase in revenue was due to revenue growth of $2.9 million, or 32.1%, in its Medicare segment, $1.4 million, or 34.6%, in Private Exchange segment, and $0.3, or 18.2%, million in its Enterprise State segment, offset by a decrease of $4.2 million, or 19.4%, in its Enterprise Commercial segment.
For the six months, the company reported revenue of $36,574,000, loss from operations of $6,661,000, loss before income taxes of $8,711,000, adjusted LBITDA of $3,403,000, net loss of $8,711,000 or $0.51 per basic and diluted share, compared to the revenue of $36,286,000, loss from operations of $13,061,000, loss before income taxes of $17,211,000, adjusted LBITDA of $9,373,000, net loss of $17,236,000 or $0.81 per basic and diluted share, a year ago. Net cash used in operations activities was $13,374,000 against $15,468,000 a year ago. Purchases of property and equipment was $315,000 against $643,000 a year ago.
The company re-affirmed earnings guidance for the full year of 2017. The company expects total revenue to be in the range of $73.0 to $78.0 million. Adjusted EBITDA is expected to be in the range of a $3.0 million loss to $0.5 million income, and includes the cost reduction actions taken in 2016 combined with further reductions in 2017 which are expected to decrease its total cost of revenue and operating expenses in 2017 by at least $15.0 million. This reflects a substantial improvement from its $13.6 million loss in 2016, establishing a new base level from which the company expects to improve in subsequent years.