PHR - Earnings call transcript Q3 2021

Due to licensing restrictions, you must log in to view earnings call transcripts.

Operator

Good morning, ladies and gentlemen. And welcome to the Phreesia’s Fiscal Third Quarter 2021 Earnings Conference Call. At this time, all participants are in a listen-only mode. Later, we will conduct a question-and-answer session, and instructions will follow at that time. I would now like to introduce Balaji Gandhi, Vice President, Investor Relations for Phreesia. Mr. begin. may you Gandhi,

Balaji Gandhi

call Good Officer, the welcome year third October President, Indig; Amy on ended Operator. Officer Resources, Chief conference Co-Founder, Human Altier; and XXXX, Phreesia’s and call on Chaim today’s Participating XXXX. for quarter Chief XX, Phreesia morning. you, are to Executive Financial And and earnings which from Tom Thank VanDuyn. of Vice fiscal Senior

disclosure as Q&A of Chaim, from and we our session. Amy SEC, found A available which at a our Form issued complete in both results Following press prepared remarks of are the website ir.phreesia.com. related on in our will Tom, submission be well can release conduct Investor to the our section of X-K earnings yesterday as evening, Relations

today’s recorded call. the replay a and conclusion following call available As being a the is be will of reminder,

XX-Q, with later factors included particular, projected which results the expenses, Form forward-looking and XXE of including known provisions today’s the in to Section will Safe risk During we statements outlook describe to during on those costs materially strategy, revenue in performance for These the future cause call, expected of Harbor our fiscal or Act financial forward-looking statements the this prospects, implied risks results, Exchange growth, our XXXX, are statements of actual partnerships, XX, Act, the filed our services, today. our contained the the expected that COVID-XX to be Securities could Securities business, subject impact launches including revenue, pandemic future the will XXXX, of pursuant and products operating for relating years make overall In our and and ended and January those to XXA from SEC our and of differ Section business. our statements business and uncertainties in long-term our call. of unknown

future today as on update required this events. predictions our no based beliefs we to undertake forward-looking by All forward-looking we statements are not that of law. of make on and as as statements applicable and call should rely them obligation You assumptions on

We measures from provide to with materials, non-GAAP Xth It considered reconciliation A of in information non-GAAP GAAP our financial may investors. Principles after which our furnished results. certain may earnings SEC. accordance be to for measures and isolation our refer will substitute X-K website the not with Accounting with in Accepted be to in GAAP additional supplemental should Generally not These order the release also found to Relations December found on also closed or results addition as ir.phreesia.com. a to in be our filed on Form and were market at in Investor

a As different today’s call participating are we reminder, locations. from four on

will to us. patience your appreciate the CEO, Indig. call our I with over we So Chaim turn now

Chaim Indig

you, Thank Good navigating We Balaji. are everyone. pandemic. the morning, hope safely you

quarter results reflect our organization. third Our across solid performance

evaluated. amongst COVID-XX the our KLAS to intake the the score through recognized on based X% was year-over-year. Average up up fiscal growth. year-over-year, EBITDA revenue take year-over-year. rated In down For million response a team’s by reflecting their the and pandemic. was our November, Research. million, year-over-year. continued year-over-year. provider total XX% million, in clients Life average continued highest was commitment perspective up $X.X of $X.X million, KLAS Sciences up a the $X.X number vendors $XX.X moment performance our the XX to quarter, XX% solution XX% was recognize client per long-term to of investment clients with provider revenue patient revenue third the throughout pandemic management their was approximately and Phreesia’s X,XXX, overall The was I $XX,XXX, want In Adjusted our firsthand rating communities highest clients report

entire value recognized Phreesia it eligibility broadest the like healthcare functionalities, this important work and across brings acknowledge having to adoption I benefits. of including payments, and providers our the their third-party screenings, Specifically, for would the and country. to our deepest pre-registration, of was team clinical various latest for validation

to Phreesia. our joining strong and a into and successful culture. retiring important planned the Since Now meaningfully the May the from leadership and to positive press across deep career. well an our goes a we Phreesia report impact XXXX, In turning impact yesterday, Tom His our Rasmussen earnings with XXXX. from release Tom conjunction Tom at financial a post has Altier had is in transition Randy organization. announcing long transition performance of CFO planned after issued beyond in role our CFO

recruiting executive We he transitions Phreesia to thrilled semi-retirement the that a trusted for best to and entire his for and speak and the team. wish advisor as the he him year. his are as will team contributions thanking I family on In Tom stay next prioritized Chief accounting anticipation finance found joined in November company in retirement succession and and Officer our who as public of Accounting deep with individual a of healthcare software. Tom’s We XXXX. and as leader us that planning, experience Randy, strong we in part

position year played Muscle on as Randy your in our for role past important has a Randy public new strengthen long-term continues expand company growth. finance team he evolution our role. the an and us to to to as Over

Back operate in to to brief company update a prepared indefinitely. March, our physical remotely our Phreesia on footprint. Moving company’s on

continue of our expire those operate We office XXX% plans, to City the to lease remotely. New end decision allow the York we with at January. to made Consistent

continue have and team significant many the We including presence our area, Evan leadership employee will of me. to New in York including members

office legal in Carolina offices filing. SEC a assume executive and our principal Raleigh, of North the our address from will regulatory However, perspective,

governance Vice an Resources, published. reporting to that the on our environmental, share equality have our provide initiatives. Human and to an Now, social would update report VanDuyn we Amy findings on of like important we Senior of I asked gender President recently

for HR you over of a Amy? letter decade met those not in Amy, instrumental organization been a For and she who has our growth. have has

Amy VanDuyn

and we committed and good Phreesia with better who a on retaining healthcare individuals, ability and At Chaim, that recognize aligned mission to execute creating Thank to that experience our everyone. are recruiting morning, our mission. engaging on of relies more you,

We a and are to creating equitable all for regions. diverse inclusive committed environment

organize equality and efforts determine to we publish be data, the first team should gender begin that to we Board leadership ESG As our our area address.

reported We reporting, would Equality After will culture, framework known Bloomberg follow the policies. to provide in Board order invest our the women, pathways data, a gender in and for objective, and Gender data, leadership family widely Index. universe to inclusive equality continue strong prioritize comparable pay transparent we and for to determined we leave equity accepted that researching of and representation,

if Us Equality producing from this based women, Investor ir.phreesia.com. women, the our third after who employed women The data is upper over all February Balaji revenue roles covers held section base, the XX% population ending excludes about About highlights of our of note review inclusion or its leave of covers Equality and Index, Here Equality parental of with January information were from ‘XX of the management Gender is you at our questions. XXXX. and up Relations employee are report of employees Report during of our XX% will follow-up quartile Phreesia a are are We Women now covering some required Please Tom. of available XXXX and XX% encourage the Canada. to take full that who XX% in top by to report employees website call Report U.S. of promoted updated on data their are The months our in for are Phreesia any I the all the XX% the XX Gender are middle Gender January turn our year employee Bloomberg remained between fiscal annually. XX% XX, in women, women, return. return and of which management of by women XXXX fiscal employees XX% year you have and senior make ‘XX,

Tom Altier

Thank and the and fiscal fiscal comment good flows the review everyone. quarter for for XXXX. you, cash our will third Amy, outlook statement, the remainder and of sheet on morning, and fiscal XXXX balance income I

quarter. client of year-over-year. was XX% $XX.X XX% and revenue payment quarter. during the services up the the revenue growth provider end revenue, two month drivers year-over-year, year-over-year. trends million the of due new client up fee provider from September and fees patient to recovered processing revenue related subscription of was related were Payment through provider up the year-over-year. and revenue provider per year-over-year were of was existing sustained expansion average the in growth year-over-year, average up in levels quarter, processing up and visit clients $XX.X $XX.X million in XX% revenue revenue primarily $XX.X was First, services clients. the to revenue pre-pandemic XX% up million, X% as and combines Total third million, XX% which Subscription provider quarter, The and XX% Provider

Our was $X.X increased was the Science quarters recent demand million our stronger Life XX% in client quarter, year-over-year. growth than up reflecting offerings. for

Life Our solid messages strong reflect campaigns campaigns. more for delivering results and execution for demand Science existing on both new

organization basis and XX release is expense and reflecting the Moving Research our EBITDA XXX revenue Please and several or earnings to $X.X be an ramp-up was Cost expense XX that of our down line non-GAAP to XX.X% XX-Q during growth. grew non-GAAP the total a revenue. on line adjusted and support note basis XX% points basis points total services quarter SEC. filed the will press on with million of XX.X% items $X.X revenue, up the Sales including to measures our in was up percentage reconciliation stock marketing each excludes full year-over-year and to I year-over-year as of of from year-over-year continued expenses, review for year-over-year. expense which revenue, compensation our client item. basis a million included Form points or million GAAP $X.X expense development in adjusted of to

was due see XX.X%, fourth quarter expense next level the legal. solutions. to well XX.X% of evidenced XXX-basis-point Payment the We past sequential expense processing the of fiscal expect modeling the to previous transaction as That expenses more quarters over across expect and basis benefit lower our payment existing particularly by up was in in mix points XXX versus as total to or year-over-year. to costs and platform, the company processing year-over-year, commentary $X.X in the year-over-year. into is new leverage continued will of around X% ramping General the margin the up and Payment allocated and products pace payment. from begin with XXXX. type a million, mix The several be $X.X basis XXX finance our decline accelerate as of for R&D muted was was investment quarter of administrative up revenue, public consistent From routing of increase operating the we and in and processing points million year margin. perspective dollars

and XXst. company outstanding July to the million return cash Adjusted to down October $X.X outflow million, balance on from as issued related quarter-to-quarter variability December an capitalized The opportunities on operations were $XXX.X to margins development. to the offering transaction incorporate is EBITDA seeing even $XXX.X in market. the increase $X.X million the prior expect the closed million outflow up Capital expenditures was to across in the for million the Shares capture an XX% type for shares XXst million in $XXX.X of year-over-year Cash we quarter. from was Cash Xth mix. $XXX,XXX of we million. were due the prior on the of in year. versus flow proceeds an acceleration range includes we X.X $X forward, million Going largely with our due million, XXrd. $X.X $XXX,XXX Shares of and software in decline equity quarter the million and $XX.X investment are $X which the net outstanding of was million, up as the sheet $X.X October growth from quarter

ends of which million In terms report December expect we XXXX, to to XX, on $XXX the fiscal of revenue outlook for remainder year our of for full fiscal $XXX the million. XXXX,

For between we XX% XXXX. XX, XX% fiscal revenue to fiscal XXXX, expect grow and year over full January XXXX ending the year

promotion. XXXX, as organization the fiscal ensure invest to working forward on we more our hiring will with across of Randy Randy fiscal on the the continue growth. I the look his cash in our CFO to up smooth into reins to anticipated a to team to Congratulations compared transition ramp to closely and XXXX, several support business We X, months XXXX. May over next

We questions. are your to ready Operator? take

Operator

from comes line Samuel the [Operator Thank you. is your question Instructions] first Anne Your with Anne, of open. line JPMorgan.

Anne Samuel

Hi.

your First congratulations Tom like offer I’d to my to upcoming on retirement.

Tom Altier

Thanks, Anne.

Anne Samuel

that’s wondering or recently quantified in Is have you about, of this was think acute tail should we can You going going just presentations growth? should for forward? XX% that your exceed how you providing just think think I the next a why more opportunity year contribute about part to and how longer growth some market is we of to

Chaim Indig

we way growth, to is, drivers But provide a of the it not being able it bit Anne, little about and have it growth this multiyear our gives one just guidance is -- in been of more to forward. us year. moving driver is us next talking a comfort

this a growth comprehensive while So hit us set for our helps continuously I a of clients. think solution objectives, to providing broader

Anne Samuel

great. more, That’s little And different the maybe quarter. was your a provider then one of competition this just growth

lower really saw and provider growth little but the was a strong historical. revenue clients, client just bit You provider than

or nuance So is there that? maybe any I was that just to wondering COVID is

Chaim Indig

on Phreesia the to that providers on their sales and able treat focused we patients heads in people our in focused provider getting team way had our think solution. growth. really team The really like quarter hands needed I of out that our it we unexpectedly to is, getting and of just strong on jobs and down needed patients front And be are to implementation do and to about an

Anne Samuel

nice congrats Well, Great. the quarter guys. on

Chaim Indig

you. Good luck. Thank

Operator

from line question with line comes Daniels Ryan open. William your Ryan, Your of the next Blair. is

Ryan Daniels

Yeah, suite into the for are one R&D basis? I or existing areas you spend. Thanks any increasing focused maybe products in go-forward a Can just that is question. around guys. guess the investing highlight acute on in particular taking you the on moving

Chaim Indig

I Ryan. hey, --

in we products. it for to way and our is, we think as where actively to investors best have we will those we communicate clients have continuously about us -- market of the investing. using all as are think visibility, And the those I in

products how add people product, our we do value have informing understand new investor ROI, only will it we really… we and on As those using base we we committed and drive to right? continuously It’s after will the are

Ryan Daniels

Okay.

Chaim Indig

we … across actively communicating. been all have that the areas

Ryan Daniels

then the to to as XX% XX% Okay. willing that Fair year, And fiscal out nice obviously enough. coming the are to we you guys guidance. look provide

And Thanks. gives it a couple of in customer Number are assumptions even So is, that normalcy the implementations, the market, of the your fiscal year in provide comfort, one base. et guidance, on number in just ran pre-pandemic just the before what the strength two, new is what questions you that. is kind to underlying that just cetera?

Chaim Indig

talking Ryan, talk year are you when -- We are about for year talking next or about the clarification, just guidance, of some you you about end the or…

Ryan Daniels

For ‘XX….

Chaim Indig

For XXXX?

Ryan Daniels

Yeah.

Chaim Indig

For XXXX.

Okay.

Ryan Daniels

guidance? XXXX the XX% to XX%

Chaim Indig

we be the important an rails to it’s for and really expectations Look, as growth. think set to appropriate organization able guide us around

very there articulated COVID some are have We also disclosures. that clearly

So did disclosures we with the should massive we I provided But can’t happen that properly? future. that will ample answer think Balaji, what you change. in COVID have I provided any tell

Balaji Gandhi

Yes. Yes.

Our know some guidance pandemic. of we prognostication of the is not what sort on on just now? kind based It’s

Ryan Daniels

-- congratulations Okay. color… any squeeze And just then Tom more if first I and can one and

Tom Altier

you. Thank

Ryan Daniels

just congrats. and retirement long on to the stay Thanks advisor? on how going as an and view more … you are

Tom Altier

be Yeah. want of indefinitely advisor. on to certain CFO planning as an I period say I until May Xst will don’t Thanks, staying time. and for but Ryan. on a

and haven’t he’s real experience in under am his worked it companies he is including abilities been yet. that and going just two position. am of We CFO going I of lot confident will and be very a confident exactly SAP the reins able in He have of I to Metadata, out has forward. take XX-Ks to his public the -- belt Randy

the to looking we So are transition. forward really

Operator

with is the line from Sean, Wieland of Sandler. Your next question open. Piper comes line Sean your

Sean Wieland

to the and… add XX-K you going your Hi. to Tom Tom, my signing for semi-retirement. you. will be are Thank semi-congrats I

Tom Altier

Yes.

Sean Wieland

Okay. is full-time And staying little on a that be a you going while, role or to part for time? with

Tom Altier

part it’s think I projects time thing. of special that kind

Sean Wieland

in payments Got as growth going here. oh, it. margins, investments capture so opportunities. payment Decline What growth am investments investments then question market? cited growth right. seeing two you And as in on opportunities and are I my the -- calls opportunities margins the we All in capture you sorry. I what is, we got

Tom Altier

Wait.

call. or for that other So our the call was for

Sean Wieland

Yeah. your for That was call.

Tom Altier

Okay.

checking. Just

are demand capture We we as, we of look right? general unfair share see in thesis fair is, program bit Board, are our we so we and SDR market. across So to investing hiring. hiring are of want the a Our

We are growing our sales organization.

customer organization our significantly. grow very to of teams the teams, engineering resources specifically we and parts to implementation success and our Our of support all our all those, the of all those teams, materially -- expect

Sean Wieland

you. Awesome. Thank

Tom Altier

Thank you.

Operator

comes from of line Hooker Donald your line question with Your open. next is KeyBanc. the Donald,

Donald Hooker

Good Great. morning.

may shot. on little I to provided the you net there, of quarter. exposure you of base to will a us had can an anything I your you add client So, opportunity but of little a update out, in terms a or are very push but lay answer, an percent mean, bit question here luck seeing this because it quarter a little I I saw I -- your will I and revenues we curious. like not mean, as in what space. guess, maybe are hospitals you sure give just of sounds I am of ask quantification bit bit a nice interesting my small it’s it or a the Last hospital quantification take client

Chaim Indig

doing the in So, where our on right in in we charge. will implementing communicate crack is with not I we job that, any wins. are what They has appropriate successes space. of who hospital will a that is are And phenomenal communicate I the hospital Tom They have team, or how now, I listening absolutely other our know any our of parts communications all hospital and say working organization are our been our as sales has opportunities. the

Donald Hooker

to some on up not feels It with are for out push willing numbers there. whatever I revenue net. it’s But just retention? how if is I selling getting revenue answer or changes retention, attrition how And or your great clients into, in typical marketplace market like metrics us you am in questions. the and holding The to -- obviously Okay. obviously, physician fine again that, going those details, better. a a that understand. Can maybe your just Fair are maybe of all you curious these enough. but update But of the that’s like are want directionally do you tumultuous terms growth been in might practice to clients. of you terms things are given anything revenue some attrition,

Chaim Indig

So, look, much as a I to our focus that have we they as when much or revenue. to last The the they patients. pay reported And want treating clients on because right as to be thing very of are most focused thoughtful, is their attention back. quarter come now lot for they as have visits

their of I COVID-XX rise a populations. them and think aware on their are the it’s impact of in the communities communities lot having of acutely patient in their

the if that able very patients you talk being to it is that? and anything everyone with So about Phreesia making situation tough where at they And number work feels I aligned. I know that’s sure like environments. is think their I mission very care and about organization patients very same think Tom, and much one a and around else in all to else appropriate I lucky that is treat want their get organizations for focus am that to

Tom Altier

Yeah.

rev difference Just are the retention numbers a result answer as COVID. in not the any significant of specifically to seeing question, we

Donald Hooker

Tom. so Okay. you much Thank Bye. and congrats,

Tom Altier

you. Thank Yeah.

Operator

question next open. Needham. your with of MacDonald from Ryan, line is the Your Ryan comes line

Ryan MacDonald

out. and just my I taking starting Good guess morning. for Thanks Tom, questions, congratulations.

with through trending November as levels end the just we of of can sort to seeing visit you starting You some the to are talked see the through month understand about would wave you patient of quarter. obviously what be extent to to of curious again the pre-pandemic shutdowns volumes cases coming? provide are We back clarity, another

Chaim Indig

Harvard I jump visit volume with updates think we focused provide the on team on we our don’t -- you in in policy don’t could and clarify? Tom will and Harvard this of works on on and any shaping do, Why -- Commonwealth level we I I this all the that If public it’s near-term closely the Fund -- publishing have debate. and forum.

standpoint, So forum. in I and our we give to haven’t not just think, real on will from volume this color time we visit in continue

Ryan MacDonald

view vaccine. away And calendar we maybe into on a of hopefully are obviously looking the the good. couple you Sounds as follow-up as months or are sort distribution mass a different from ‘XX, from a -- of

that platform Assuming case obviously, to help there patients ones at strong we manage, providers clinics the clinics see the flow are demand are of use that and and zero help probably, patients all? hospitals or visiting managing that contact for Is a an Thanks. to sort hospitals distribution the distribution. sort intake and Phreesia in emerging a the of manage increase during process of

Chaim Indig

teams and we with do, helping know committed an we So, breadth every that vaccine their been continue been clients and including our excited help it’s I us clients. of And as our we say with the will to we that, I to work our of mandate patients with of the day. major things those can and to what have of always that’s health do been some organization working the actively have systems part gets do clients mandated are will distribution. anything and with our the of states some responsibility

they I in any do, going and say this -- pencil do I that. drive the in on to to type I are pencil revenue that which a things they of mission. would is So opportunity towards continues wouldn’t company

Ryan MacDonald

Thanks.

Operator

question comes Stephanie Leerink. Davis open. SVB Stephanie, line next Your is of your line from with the

Stephanie Davis

congrats… congrats on well-deserved a retirement. Thank you. Randy Tom

Tom Altier

Thank you.

Stephanie Davis

feat. a City …on and not an out for biggest York new seat Chaim, congratulations getting lease, of New easy

there. work good So

up your Sciences any and that’s for in a your been we was I there’s now. the offering? consistent few if in either a there, step see traction changes have hoping in you dramatic business Life take or accelerated back market quarters putting Now, outperformance could the

Chaim Indig

City of we I our lease. don’t why New York So, not did clarify, get out first

we and a space was out let that have pandemic expire are didn’t us signed found we we -- the decade it before our and not landlords we just lease, the hit. because we of it for cost just effective to hadn’t wonderful new there. been for But want were hadn’t that clarify We have get

comes it to Sciences. Life when So

calls. we think this communicated I on previous

continuously with job a have our with provide Sciences new phenomenal just done of our wonderful value not very team amount We increased Life being collaborative that pre-pandemic clients has but the to this of and trust investment relationships and building team a able Sciences with throughout Life just pandemic being and existing clients.

significantly expect We of organization and of in invested be the and product. an in have the also across it investment creation data we continued from that content area that to to future to spectrum science sales

has very So team with our pleased and mission continuously out that results the culture. company impact has we on the the put it and are that

Stephanie Davis

volumes safe uptick back of even through And read next an to year further as see this start outperformance could that lower during the you there? things is visit to given it pandemic during to go normal

Chaim Indig

is in think anything safe. this world don’t I

our the company shape as we the and can group is have value to drive product that So their right do to an great what do phenomenal organization do continue drive And best best a towards if mission, results I are any our that we of I we say and we continue very in great clients. deliver a and great feel for continue to could I -- be. comfortable will to thing that people if think,

Stephanie Davis

you. Thank good. Sounds

Chaim Indig

Thank you.

Operator

line comes John, next from open. with John the of line your Raymond question is James. Your Ransom

John Ransom

other calls. have am you… But any not Good on morning. I

Chaim Indig

All right. John. Good morning,

John Ransom

Okay. Good morning.

some for flat feedback So that Sciences maybe Life years. business heard won’t that XX the next we be

more little a there. optimistic are you So

the what’s So change?

Chaim Indig

be would that point. point, would Well, I at commit I because on think can’t -- will that how be you old Tom? at XX the What Tom next XXX you years,

Tom Altier

That’s…

John Ransom

Probably less, XXX not…. am or XXX, I so probably

Tom Altier

XXX.

Chaim Indig

will XXX. right. All be Tom All right.

little those the be about So right keep investments, a investments at When would what felt comfortable right we and the and we to well I that very And lot more say of we got will David the and if to had helm can of with the able those investments thesis with going made. we making is, and to producing bit being that some a able to it made talk us team to we we results. say We leadership, that I markets. public think investors more were the to returns our look what comfortable we produce because that are a clients. results is our we it

that make I investments guess base. continue will So the will that communicate investor we return us to think in will that we when to capital

John Ransom

Okay.

Operator

Baade question line next Your comes D.A. Hannah, Davidson. line your the open. is of from Hannah with

Hannah Baade

taking retirement well. Thanks and congrats to extent Hi. my the for I on question as Tom

the As you enter sales the to have market, ambulatory SDRs acute devoted compare sales acute And between and the care the length cycles motion? could of you and solely you contrast acute?

Chaim Indig

have hospitals both in a mostly common to a and is footprint patient have on creating that early health focused that SDRs are So We what market, ambulatory hospitals we for have I we done -- could those we and front where or going facilities health on we on experience. focused acute calling be is, the we in past, the the ambulatory. have systems -- that door believe in also, have And stages systems. communicated mostly on hospital are of have we focused this

Hannah Baade

Great. Thank your Could to you plans follow you. since allocation Thank have use And an cash strong any in has post your you. the you regard the obviously, sheet on and this IPO? some capital clarity overall balance strategy provide shifted incredibly on. if

Chaim Indig

stay will cheap probably always cheap. am I and Well, I still

about appropriately. each allocation, still very a think precious we very capital dollar to So allocate like from we being it it to want us and

and us utilizing things near-term. feel we comfortable an our return the value materially to as with have it general is, in we population. is it going so, employee organization view helps in and And then and to investor those mission And our our does base, the if it and clients

-- has about right? Board that we can think, is all that. increase I our that’s Well, and say communicated that answers investments think, will I we I Tom that across the then,

Tom Altier

Yeah.

answer. I think that’s appropriate an

Chaim Indig

Okay.

Operator

Capital. RBC Sean, from Your the Dodge line next question you line open. is comes Sean with of

Sean Dodge

Good have new expanding clients from give on and of you? or Tom, call like in the logos I ones that are Can us what new Maybe the existing strength. Thanks. morning. you I you the guess those the a you for sense proportion came were and added you will many new net in highlighted provider, quarter, how

Tom Altier

so some Well, be would new logos. I don’t why clarification? all Those provide

it number, if you new So to add client. that a is

So it I am an -- expand color? be That providing wouldn’t client. enough

Sean Dodge

No.

Okay. good a clarification. That’s

you a but add add just got that’s know, Is So eight the that you accretive have revenue sites still all I a multi-specialty if if practice, you that’s site one, multi-site, don’t client. for to -- one it… average that’s one,

Chaim Indig

Yeah.

Sean Dodge

correct? interpretation my …

Chaim Indig

got it. You

Sean Dodge

Okay.

Chaim Indig

Yeah.

Sean Dodge

Got it.

Okay.

Chaim Indig

just the in our bunch interpretation of it we site, actually I That a too. sold think, out documents

Sean Dodge

it. Got

Okay.

Chaim Indig

right? that is Tom,

Tom Altier

Yeah. Yeah. That’s correct.

Chaim Indig

can actually it the SX. in see You

there on that is. think is metric section what a whole explaining exactly I

Sean Dodge

the just you in right. is it maybe savings you or looks company-wide can New All lease lease It realized York? for Then specific happen sense something expect more give of the XXXX. a this to have us Ontario expires like there then offices virtualization New should we the expiration, the also and York is

Chaim Indig

Yeah.

in we at in you expect It a don’t a the probably will no the a have our form done, to Amy, But people in is Ottawa metric. of operationalize footprint a saving run on any forward. savings, myself our reasons It should is, bring or do legal how executives company still people we and should based move. a We bring goal period. actually for viewed So bunch way in and cost in and do during our a and shape cost the first, there some this this of that a and expect think be business. -- change Amy, moving I your going operate way And get lease I some need would to into that to together on presence because people footprint. collaborating. is I go collaborate virtual be money spend there physical bunch shouldn’t a need not viewed of think to did as pencil other as have right? go move I research savings a that

Amy VanDuyn

That great Yes. was a response.

Sean Dodge

Thank right. All Okay. you.

Chaim Indig

you. Thank

Operator

open. Schoenhaus your Scott Your Scott, next is with comes Stephens. from question line of line

Scott Schoenhaus

first color sales team vaccine? question result after provide if of to now Thanks. had My mix sales the a the and there? If your pending realign also a is to team. clients certain COVID and Chaim of Hey, you. go pipeline, on you Thank could strategies your proverbial the as us current

Chaim Indig

are And join organization I process. we their because would organization career. sales love send or join. sales I on But job is form Balaji, am articulating to a starting to ever to working I sales of would pipeline our going are talking give at that them can information existing doing it. clients about shape to great my and folks is the about any and say any really they phenomenal about making and helping prospects was it phenomenal say career, sure sales what And place through a ever in phenomenal grow when I have our it can and the actively that a team them way recruiting that to beg if is please So with for sales is I people

Scott Schoenhaus

Great.

you a as of follow-up fiscal mix provider client and guided retirement out color the congrats rate growth the Tom on kind Could year any more to? you that versus on between a the in time Just follow-up revenue for that guidance provide well. for the growth Thanks question provider revenue on growth. ‘XX time broadly -- maybe and your it’s on

Tom Altier

you. Thank

Chaim Indig

would that think because answer No his Tom problem. let actually I question, I turn. it’s

Tom Altier

Yeah.

client So we provider in did quarter. outsize the have growth third

moderate were in your what around but would not question all to doing I fiscal maybe way expect back head the and percentages that we there ‘XX think direction. I was growth toward the pre-pandemic,

question. answers So that if your

Scott Schoenhaus

Thank It Great. you. does.

Tom Altier

Thanks.

Scott Schoenhaus

to some in of And see quarter-to-quarter? we a that fluctuation just maybe on hey, terms Tom, could question, more bit little clarify

Tom Altier

Yeah. Yeah.

as to some mentioned. You quarter-to-quarter, fluctuations are Balaji see going

Operator

David Your comes is line the David, Larsen BTIG. line next of with from unmute. question if David, your you are please mute, on open.

open. is line Your

David Larsen

of about focusing other ramped on now quarter, of your of on Can Sorry have sales force? some maybe good many pandemic, kind pretty I do fully Thanks. areas sort know the up? about them all they during of a you How are back guys guys. that. were business Congratulations talk the you sales now?

Chaim Indig

problem. No

a ask and happily want on diversity we I you view information our sales sales if about gender give organization in on prioritization first, of her So, because it. both And sales we that organization of to women clarify, our the Amy guys sales and have could doing bunch clients. the move into actually team, the and -- were focus our just new did has folks of cross-sell

people got many how we Tom, hey, do sales So, now?

Tom Altier

Yeah.

We are -- right excluding XX SDRs, we now. are about

Chaim Indig

And roles I for Yeah. don’t really think obvious hire holiday we in XXX-ish are reasons. December we at and those SDRs

David Larsen

like getting air you it air pricing, COVID subscription-related talk processing a sequential like the fees, your about a looks earlier despite around obviously, services. too But pretty pocket. maybe Okay. was talk concerns potential no not It payment good the little And just year. mean in I there’s specific. can about There looks increase bit pocket then

getting as at folks to or any are not possible. and all and this you really pricing implement just and on deploy productive of sort as want pushback So be

Chaim Indig

much good pilot I and is like the a to So as pocket, be And slide at once steer as around those air possible. really for the possible. an amount around on as week value fly done gets about it it able is to as much tried as try week when possible, we likes pilot think client to we is to about our what like create turbulence pockets as as to to -- while a little base of have deliver least hitting says way to like, years. air I every the might pre-pandemic be to think

the what are doing where so is And moving is continuously focused around team on. we

of the the and senior meetings weekly we having are out and organization resources. basis we think operational continuously a group be on are And I would tight don’t are and doing to continuously a very amazing that where phenomenal benefit put of leadership. figuring how operators an have tenured group watching -- in I management a organization we the titrating understands and such that’s appropriate team We of the think where with without that such

David Larsen

just other solutions within seeing pressure built is competing not really other fears now respect Okay. downward any to you that? pricing, are price seen that like putting you are with or And with or then that are have ambulatory EMR on that products

Chaim Indig

probably see But the is we and haven’t see pressure. that of most being as pressure pricing the always I downward in I affecting world that when else have heavily. the of solutions, being that more paper. The thing don’t anything competing think what’s don’t realities have just something think than happening -- seen we I encountered have will biggest price even just price that’s we you market cause especially the and massive and

David Larsen

much. so it. Thanks Appreciate

Operator

line the from Daniel, Daniel with comes Grosslight open. your line is question Citi. next of Your

Daniel Grosslight

with folks COVID you new really just are pulling or and providers can because folks year had Hi, guys. held of going the had more kind And for during was pretty providers. you the started here. XXXX, trigger Thanks the to held ads questions just of for are buying that Obviously conversations more phenomenal you doing these if be conversations with solution? now conversations terms Are wondering taking the pandemic of quarter. off into providers initial little of those expect a a these detail you on they a that started? earlier on provide that of and result most number off this I in recently and had in it forward on do added the still the

Chaim Indig

through been to like years. many them to of health as for practices world if, and think Phreesia it’s them groups SCR with it’s and the we systems talking clients. possible our just and different to it’s XX as we I and And and not become with and tools when they So always all it’s sometimes are with talking are sometimes as, we communicating marketing have channels

many make as possible, keep we different that going of as have the titrate as we be some size, is talking of complexity. that been to a -- we as that for to But as them months have some as for many are much can have practices. allows cost three ways And are effectively. spans possible these to to in commitment our we continuously goal groups do talking gamut And front in so, you and for to and to us are of able doing our those decade, actively of we folks we that sure been and it

Daniel Grosslight

Got it.

much the increased investments flow Okay. capitalized? will of that are And you and you going to on do expect statement will how much going that the will be income forward, be make through how

Chaim Indig

Tom?

Tom Altier

Yeah.

You center. -- The data capitalized can’t have I will capitalized give software an But components. got costs. exact and breakdown. you costs both be mostly

will the But big the through those So are income rest two the flow cap going expenditures forward. statement.

Daniel Grosslight

going should CapEx we up step But in Okay. forward? see a

Tom Altier

Yeah.

to data center going are them. caps both off in see You it from and of in

Daniel Grosslight

you. Got Yeah.

to and I Randy my your role. And congrats Thanks. retirement expanded your Okay. add on on will guys. Tom Thanks

Tom Altier

Appreciate Thanks it. a lot.

Chaim Indig

Sure.

Operator

question. time your Raymond We a follow-up more do one with have we line And from Ransom is for John open. James. John, have

John Ransom

Hey.

where you you your are ran [inaudible] hospital Just additional? guys about and are to go the finger your you really put from can you so are coming know what’s back changed? Tom on Phreesia changed are you fully you And don’t kind are the am mostly Maybe hospitals one more are those And locations circle on put I positioned move back, on already of these exciting there quickly. I secondly, hiring generally versus ground. that what’s finger opportunities intakes

Chaim Indig

off the little So at I end. a John bit -- if you trailed

we that, So clients? that are ambulatory was that I is hospitals are I heard right? what think already to selling mostly Is the… And

John Ransom

Yeah.

Chaim Indig

…sales type…

John Ransom

little Is this better. I my take headset… off

Chaim Indig

I could hear lot A now. you better.

John Ransom

Yeah.

Chaim Indig

great. That’s

John Ransom

Yeah.

two of already of the it? the side mostly places summer are the are over mean the think what new secondly warm handling opportunity are from you leads these And do physician new So things, friends something kind then you accelerated. places changed? where I and changed these where

Chaim Indig

and to on places, are environment. to it’s in that the have what we they success -- mostly side I where had we or physician so where accelerated -- These I say focus. will don’t hospital And say want are tend that’s if tending we not is, the know are I accelerated

I think now about just are we talk ready it. to

years investing it for we… have and in been We

John Ransom

Yeah.

Chaim Indig

the and areas of amounts … of hospital ton great experience to has years for around the patient continue And really come a that everything to I is future. space in one tough expect to invest improvement. that but space think the and a intake

be to able that working clients to in excited be really are space. with We

John Ransom

me. all Thank That’s you. Great. for

Chaim Indig

Great.

Operator

remarks. This will I concludes Indig the call to turn session. Chaim question-and-answer closing over back our now for

Chaim Indig

to and hopefully safe Year this of happy please the holidays well happy everyone. a everyone with wish to in just vaccinated. and congratulations on great say and Tom I want you Randy, Have All see right one. stay and wait New to to Year call all New and can’t a I listening a

Operator

gentlemen, and behalf concludes today’s call. for you thank Ladies of On participating. conference this Phreesia,

disconnect. now may You

Phreesia (PHR) 9 Dec 202021 Q3 Earnings call transcript