Phreesia (PHR) Q2 2026 earnings summary

Executive summary

• Achieved first-ever positive net income of $0.7 million in Q2 FY2026, reversing a prior year net loss of $18.0 million, reflecting improved financial discipline and operational execution.

• Total revenue grew 15% year-over-year to $117.3 million for the quarter ended July 31, 2025.

• Announced definitive agreement to acquire AccessOne for $160 million, expanding payment solutions capabilities and increasing the addressable market by $6 billion.

• Adjusted EBITDA rose to $22.1 million, up from $6.5 million a year ago, with margin improving to 19%.

• Leadership changes include naming Evan Roberts and David Linetsky as Presidents of Provider Solutions and Network Solutions, respectively.

Financial highlights

• Q2 FY2026 total revenue: $117.3 million, up from $102.1 million in Q2 FY2025.

• Adjusted EBITDA for Q2 FY2026: $22.1 million, compared to $6.5 million in Q2 FY2025.

• Net income per diluted share: $0.01 in Q2 FY2026, compared to $(0.31) in Q2 FY2025.

• Free cash flow for Q2 FY2026: $9.6 million, up from $3.7 million year-over-year.

• Cash and cash equivalents increased to $98.3 million as of July 31, 2025.

Outlook and guidance

• Fiscal 2026 revenue outlook maintained at $472–$482 million, excluding AccessOne contribution.

• Adjusted EBITDA guidance raised to $87–$92 million for fiscal 2026.

• AHSCs expected to reach approximately 4,500 in fiscal 2026, with revenue per AHSC projected to increase year-over-year.

• Sufficient liquidity and borrowing capacity to support growth and acquisition plans.

• AccessOne acquisition expected to close in Q3 or early Q4 FY2026, with updates to outlook post-close.