Filing Flows › Healthequity (HQY) › Q4 FY25
Healthequity (HQY) Q4 FY25 earnings results (fourth quarter fiscal 2025)
10-K filed Mar 18, 2025
Healthequity (HQY) reported revenue of $312M for the fourth quarter fiscal 2025 (Q4 FY25), +19% from a year earlier and +4% from the quarter before. Operating margin was 13.5%, net earnings $26.4M (8.5% of revenue).
Healthequity, Q4 FY25: revenue $312M (+19% year over year), operating margin 13.5%, net earnings $26.4M, operating cash flow $75.7M. The chart follows the revenue to costs, profit and cash.
| Q4 FY25 | Amount | Q/Q | Y/Y |
|---|---|---|---|
| Revenue | $312M | +4% | +19% |
| Gross profit | $189M | -4% | +16% |
| Operating profit | $42.1M | +115% | +8% |
| Net earnings | $26.4M | +362% | 0% |
| Operating cash flow | $75.7M | -16% | -2% |
| Free cash flow | $75.4M | -16% | -1% |
What changed
Revenue was $311.8M in Q4 FY25, up 19% year over year and up 4% from the previous quarter. Custodial revenue was the largest line at 46% of revenue.
Gross margin was 60.6%, down 1.6 points from a year earlier. Operating profit was $42.1M, a 13.5% margin (down 1.3 points year over year). Of the extra revenue versus a year earlier, 7% reached operating profit, below the 15% margin then. Operating expenses grew 18% against revenue growth of 19%. The fastest-growing cost line was General & admin (+30%). Net earnings were $26.4M, roughly flat year over year. The effective tax rate was 12.0%.
Operating cash flow was $75.7M (down 2% year over year), 287% of net earnings. Non-cash charges added back $39.2M of depreciation and amortization and $21.7M of share-based compensation. Working capital and other items used $11.5M. Capital expenditures of $328K left free cash flow of $75.4M.
Questions
What was Healthequity's revenue in the fourth quarter fiscal 2025?
Healthequity (HQY) reported revenue of $312M for the fourth quarter fiscal 2025 (Q4 FY25), +19% from a year earlier and +4% from the quarter before.
Was Healthequity profitable in the fourth quarter fiscal 2025?
Operating profit was $42.1M (13.5% of revenue) and net earnings $26.4M.
Source: Healthequity 10-K on SEC EDGAR.