HealthEquity Boosts Share Buyback by $1B, Q1 Net Income Up 29%
HQY•HealthEquity posted Q1 net income up 29% to $69.4M with a 20% margin and 17% Adjusted EBITDA growth to $164.5M on $354.6M revenue (up 7%). The company expanded its share repurchase program by $1B and raised full-year revenue guidance to $1.410–$1.420B.
1. Q1 Financial Results
For the quarter ended April 30, HealthEquity reported revenue of $354.6M, a 7% year-over-year increase, alongside net income of $69.4M, up 29%, yielding a 20% margin. Adjusted EBITDA rose 17% to $164.5M, expanding margin to 46% from 42% a year ago.
2. Account and Asset Growth
HealthEquity’s HSA accounts reached 10.6M, an 8% increase, with 909K accounts invested (up 18%). Total accounts climbed to 17.8M including 7.2M complementary CDBs, while HSA assets surged 19% to $37.1B, split between $17.5B cash and $19.6B investments.
3. Share Repurchase and Guidance
During Q1, the company repurchased 1.5M shares for $123M and authorized an additional $1B buyback. Management raised fiscal 2027 revenue guidance to $1.410–$1.420B, net income to $242–$248M, non-GAAP EPS to $4.66–$4.73, and Adjusted EBITDA to $625–$633M.
