GoodRx said Wednesday that its dispute with Kroger last year continues to affect the company’s bottom line.
The company reported a first-quarter net loss of $3.3 million, or 1 cent per share, compared with net income of $12.3 million, or 3 cents per share. , A year ago. Total quarterly revenue reached $184 million, down 10%. The prescription trading business, the company’s biggest revenue generator, fell 13%, to $155.5 million this year from $134.9 million in 2022.
Related: GoodRx Co-Founders Resign as Co-CEOs
GoodRx blamed the drop in its prescription-deal business on last year’s contract dispute with Kroger, the national grocery chain that temporarily stopped accepting GoodRx discounts at the point of sale last month. May 2022. The company also blamed the Kroger problem for a 5% drop in revenue. monthly active customers from 6.4 million in 2022 to 6.1 million this year.
During an earnings call, Interim CEO Scott Wagner, who took over from GoodRx co-founders and co-CEOs Trevor Bezdek and Doug Hirsch in April, said he would try to get it done. short and medium term growth plans for trading company prescriptions.
Initially, GoodRx slashed its revenue forecast by $30 million because Kroger represented a large portion of their prescription trading business. The company resolved the Kroger issue in August, but said the temporary disruption continues to affect its business. Wagner said he is focusing on emphasizing the relationship with the company’s pharmaceutical retail network, which includes more than 70,000 locations in the US.
Revenue from subscriptions, driven primarily by an increase in monthly subscription fees, increased 26% to $24.1 million.
This story first appeared in Digital Health Business & Technology.
