eHealth (NASDAQ: EHTH) reported Q2 EPS of $0.07, $0.21 better than the analyst estimate of ($0.14). Revenue for the quarter came in at $88.8 million versus the consensus estimate of $80.78 million.

Scott Flanders, chief executive officer of eHealth stated, "eHealth delivered another quarter of strong revenue and Medicare enrollment growth. The number of second quarter Medicare approved members grew ahead of our expectations driven by favorable market dynamics, growth in online enrollments and an increase in agent productivity compared to a year ago. Importantly, this enrollment growth was achieved while also reducing our total acquisition costs per approved Medicare member allowing us to once again exceed our internal forecast for revenue and earnings. Based on the strength of our business and reflecting the capital raise we completed in March, we are increasing our financial guidance for the full year ending 2020."

GUIDANCE:

eHealth sees FY2020 EPS of $3.83-$4.32, versus the consensus of $3.82. eHealth sees FY2020 revenue of $630-670 million, versus the consensus of $639.48 million.

Based on information available as of July 23, 2020, eHealth is updating its guidance for the full year ending December 31, 2020 previously provided on April 23, 2020. These expectations are forward-looking statements and eHealth assumes no obligation to update these statements. Actual results may be materially different and are affected by the risk factors and uncertainties identified in this press release and in eHealth's annual and quarterly filings with the Securities and Exchange Commission.

The following is the updated guidance for the full year ending December 31, 2020:

• Total revenue is expected to be in the range of $630.0 million to $670.0 million, compared to the previous guidance of $600.0 million to $640.0 million. Revenue from the Medicare segment is expected to be in the range of $583.0 million to $619.0 million, compared to the previous guidance of $553.0 million to $589.0 million. Revenue from the Individual, Family and Small Business segment is expected to be in the range of $47.0 million to $51.0 million, consistent with the previous guidance.
• GAAP net income is expected to be in the range of $79.0 million to $94.0 million, compared to the previous guidance of $70.0 million to $85.0 million.
• Adjusted EBITDA(a) is expected to be in the range of $140.0 million to $155.0 million, compared to the previous guidance of $125.0 million to $140.0 million.
• Medicare segment profit(b) is expected to be in the range of $176.0 million to $193.0 million, compared to the previous guidance of $157.0 million to $174.0 million. Individual, Family and Small Business segment profit is expected to be in the range of $17.0 million to $18.0 million, consistent with the previous guidance.
• Corporate(c) shared service expenses, excluding stock-based compensation and depreciation and amortization, is expected to be in the range of $53.0 million to $56.0 million, compared to the previous guidance of $49.0 million to $52.0 million.
• Cash used in operations is expected to be in the range of $85.0 million to $95.0 million, compared to the previous guidance of $61.0 million to $64.0 million, and cash used for capital expenditures is expected to be in the range of $23.0 million to $25.0 million, compared to the previous guidance of $18.0 million to $20.0 million.
• GAAP net income per diluted share is expected to be in the range of $2.91 to $3.47, compared to the previous guidance of $2.55 to $3.10 per share.
• Non-GAAP net income per diluted share(d) is expected to be in the range of $3.83 to $4.32, compared to the previous guidance of $3.41 to $3.90 per share.

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