Goodrx Holdings Inc
NASDAQ:GDRX
Goodrx Holdings Inc
GoodRx Holdings Inc., established at the intersection of healthcare and technology, has carved a niche in the American pharmaceutical industry by addressing one of its most notorious challenges: the high cost of prescription medications. Originally founded in 2011, GoodRx aims to ease the financial burden of medication costs for consumers by providing a platform that aggregates drug pricing information from pharmacies across the United States. By doing so, it empowers users to compare prices, identify potential savings, and subsequently make informed decisions about their medication purchases. At its core, GoodRx operates as a digital intermediary; its app and website seamlessly connect consumers with discounted prescription offers through partnerships with pharmacy benefit managers (PBMs) and retail pharmacies.
The company's revenue model is primarily built on a commission and advertising framework. When users select a coupon from GoodRx and purchase at a pharmacy, the company receives a fee from its pharmacy partners or PBMs. Additionally, GoodRx leverages its vast user base, which is largely driven by organic traffic resulting from the essential nature of its service, to generate advertising revenues from pharmaceutical companies and other health-related entities eager to reach consumers actively seeking medication solutions. By continually expanding its services, such as telehealth offerings and a subscription model called GoodRx Gold, the company seeks to deepen its integration into the consumer healthcare experience while maintaining its core mission of providing accessible and affordable medication options.
GoodRx Holdings Inc., established at the intersection of healthcare and technology, has carved a niche in the American pharmaceutical industry by addressing one of its most notorious challenges: the high cost of prescription medications. Originally founded in 2011, GoodRx aims to ease the financial burden of medication costs for consumers by providing a platform that aggregates drug pricing information from pharmacies across the United States. By doing so, it empowers users to compare prices, identify potential savings, and subsequently make informed decisions about their medication purchases. At its core, GoodRx operates as a digital intermediary; its app and website seamlessly connect consumers with discounted prescription offers through partnerships with pharmacy benefit managers (PBMs) and retail pharmacies.
The company's revenue model is primarily built on a commission and advertising framework. When users select a coupon from GoodRx and purchase at a pharmacy, the company receives a fee from its pharmacy partners or PBMs. Additionally, GoodRx leverages its vast user base, which is largely driven by organic traffic resulting from the essential nature of its service, to generate advertising revenues from pharmaceutical companies and other health-related entities eager to reach consumers actively seeking medication solutions. By continually expanding its services, such as telehealth offerings and a subscription model called GoodRx Gold, the company seeks to deepen its integration into the consumer healthcare experience while maintaining its core mission of providing accessible and affordable medication options.
Revenue: Q3 revenue was $196 million, up $1 million year-over-year, but prescription transaction revenue was down 9% due to Rite Aid closures and lower volume in an integrated savings program.
Manufacturer Solutions Strength: Manufacturer Solutions revenue grew 54% year-over-year to $43.4 million, driven by new and expanded partnerships, and is projected to grow about 35% for the full year.
Profitability: Adjusted EBITDA rose 2% to $66.3 million with margin improvement of 50 basis points to 33.8%.
Guidance Unchanged: Full-year revenue guidance remains at or above $792 million, and adjusted EBITDA guidance is unchanged at approximately 2% to 6% growth, with Q4 revenue expected to decline sequentially.
Strategic Partnerships: Expanded direct-to-consumer cash programs with major pharma (Novo Nordisk, Amgen) and launched new pharmacy solutions like RxSmartSaver at Kroger nationwide.
Macro Tailwinds Expected: Management sees 2026 benefiting from increased uninsured rates and higher out-of-pocket costs, likely boosting cash prescription volumes and supporting long-term growth.
Marketing & Brand: New brand campaign increased unaided awareness and search volume, reinforcing GoodRx as a trusted name in prescription savings.
