Executive Summary

Q4 2024 net revenues rose 41% year over year to $389.1M, driven by 67% growth in submissions and a 27% reduction in direct operating cost per submission; adjusted EBITDA more than doubled to $117.8M and diluted EPS was $1.56 .
Profitability inflected strongly: net income of $58.0M vs a loss in Q4 2023; net income margin reached 14.9% and adjusted EBITDA margin was 30.3% .
Agency revenue mix expanded materially in Q4, aided by the rapid integration of e‑TeleQuote, while non-agency revenue declined year over year (consistent with strategic pivot) .
Management did not issue specific numeric guidance; they outlined qualitative expectations for revenue and profit expansion in the first three quarters of 2025 and “cautious optimism” for Q4 2025 given less plan-exit disruption versus 2024 .
Wall Street consensus (S&P Global) revenue/EPS estimates for Q4/FY 2024 were unavailable, so we cannot assess beats/misses vs estimates; nonetheless, operational efficiency and e‑TeleQuote performance were the stock reaction catalysts highlighted by management .

What Went Well and What Went Wrong

What Went Well

Efficiency: Direct operating cost per submission fell 27% YoY to $501; adjusted EBITDA rose 107% YoY to $117.8M, with adjusted EBITDA margin expanding to 30.3% (“industry leading $501”) .
Technology and AI: CEO emphasized “continued investment in artificial intelligence and advanced analytics” and PlanFit Checkup growth (+72% YoY) as key levers improving conversion and consumer experience .
e‑TeleQuote integration: Delivered 54,000 AEP submissions (+170% YoY), enabled by GoHealth’s platform, training, and lead optimization; CFO cited approximately $1.1B of commissions receivable and a successful term loan refinancing (maturity 2029) .

Quote: “We continue to focus on driving sustainable, profitable growth… reinforced through continued innovation and operational excellence.” – CEO, Vijay Kotte .

What Went Wrong

Revenue per submission pressure: Sales per submission declined 16% YoY in Q4 to $804, reflecting product mix and market dynamics even as costs fell; non-agency revenue declined materially YoY .
Change Healthcare incident: In Q3 2024, the cybersecurity outage reduced revenue by >$8.8M and earnings by >$7.8M; while largely mitigated by Q4, it underscores operational dependency risks .
Cash flow: FY 2024 cash from operations was negative $21.6M vs +$109.1M in FY 2023, reflecting investment choices and mix shifts (agency vs non‑agency) .

Financial Results

Core Financials vs Prior Periods and Prior Year

Metric	Q2 2024	Q3 2024	Q4 2024	Q4 2023
Revenue ($USD Millions)	$105.9	$118.3	$389.1	$276.7
Diluted EPS ($USD)	$(2.70)	$0.46	$1.56	$(0.22)
Net Income Margin (%)	(56.0%)	13.0%	14.9%	(0.8%)
Adjusted EBITDA ($USD Millions)	$(12.3)	$(12.1)	$117.8	$57.0
Adjusted EBITDA Margin (%)	(11.6%)	(10.2%)	30.3%	20.6%

Notes: Q4 sequential step-up reflects AEP seasonality, ETQ integration, and cost efficiencies; YoY growth broad-based across submissions, margins .

Segment/Revenue Disaggregation

Metric ($USD Millions)	Q3 2024	Q4 2024
Commission Revenue (Agency)	$77.9	$278.4
Partner Marketing & Other (Agency)	$14.4	$27.2
Total Agency Revenue	$92.3	$305.6
Non‑Agency Revenue	$24.4	$81.6
Other Revenue	$1.6	$2.0
Total Net Revenue	$118.3	$389.1

KPIs and Unit Economics

KPI	Q2 2024	Q3 2024	Q4 2024
Submissions (units)	152,394	166,195	481,445
Sales per Submission ($)	$690	$702	$804
Direct Operating Cost per Submission ($)	$641	$663	$501
Direct Operating Cost of Submission ($MM)	$97.6	$110.2	$241.3
Sales/Direct Operating Cost of Submission (x)	1.1	1.1	1.6

Guidance Changes

Metric	Period	Previous Guidance	Current Guidance	Change
Revenue	2025 Q1–Q3	None disclosed	“Meaningful revenue growth” vs 2024 (qualitative)	Qualitative outlook
Profit (EBITDA/Net)	2025 Q1–Q3	None disclosed	“Profit expansion” vs 2024 (qualitative)	Qualitative outlook
AEP Dynamics	Q4 2025	None disclosed	“Cautious optimism”; fewer plan exits than 2024; still positive dynamics	Qualitative outlook
OpEx/Tax/OI&E/Dividends	2025	None disclosed	No explicit numeric guidance provided	Maintained “no numeric guidance”

Management explicitly refrained from issuing numeric guidance; they framed expectations qualitatively by period .

Earnings Call Themes & Trends

Topic	Previous Mentions (Q2 2024)	Previous Mentions (Q3 2024)	Current Period (Q4 2024)	Trend
AI/Technology (PlanFit, Encompass, automation)	Advanced AI/automation to lower acquisition costs; workflow personalization	25% call time reduction; PlanGPT; agent onboarding -40%	PlanFit Checkups +72% YoY; cost per submission down 27%	Strengthening
e‑TeleQuote integration	Acquisition announced (Sept close) context via later filings	Acquisition added ~$90.5M contract assets; $77.4M bargain purchase gain	54k AEP submissions; +170% YoY; platform/training drove outperformance	Strong execution
CAC/Direct Operating Cost	Emphasis on “industry-leading” direct cost metric	11% YoY improvement in Q3	27% YoY improvement in Q4; $501 per submission	Improving
Agency vs Non‑Agency mix	Mix to drive CFFO; expects changes in 2H	Shift toward agency contracts amid market dynamics	Agency revenue surged; non‑agency down YoY	Mix tilting to agency
Regulatory/Macro (CMS)	Monitoring dynamics	AEP disruption (coverage losses, benefit reductions)	CMS projecting 4.3% avg MA revenue increase in 2026; broker commission +7.7%	Supportive backdrop
Capital Structure	Focus on debt paydown earlier	Term loan refinanced; SOFR+7.5%; maturity 2029	New $475M term loan; flexibility for growth	Improved liquidity

Management Commentary

“The successful onboarding and optimization of e‑TeleQuote… and continued investment in artificial intelligence and advanced analytics have further strengthened GoHealth’s position as a leading digital Medicare marketplace.” – CEO, Vijay Kotte .
“Adjusted EBITDA… grew 107% year-over-year in Q4… As we begin 2025, we are optimistic that the favorable market dynamics we experienced will persist through at least the first three quarters…” – CFO, Brendan Shanahan .
“PlanFit Checkups grew 72% in Q4 2024… we recommended approximately 29,000 consumers remain in their current Medicare Advantage plan during Q4.” – CEO, Vijay Kotte .
“The new $475 million term loan facility… offers improved financial terms… This refinancing… provides us the opportunity to continue pursuing strategic growth initiatives.” – CFO, Brendan Shanahan .

Q&A Highlights

CAC trajectory and margins: Management sees further runway in cost reduction via marketing analytics, guided sales standardization, and automation; direct operating cost per submission reached ~$500 in Q4 and is a core margin lever .
AEP 2025 dynamics: Fewer plan exits expected vs 2024 but still disruptive; GoHealth intends to target geographies with health-plan competitiveness, leveraging marketing and agent matching .
PlanFit Save impact: Small in Q4 due to broad benefit degradation necessitating switches; viewed as an “arrow in the quiver” when benefits are stable .
Balance sheet optionality: Considering alternatives (including securitization of commissions receivable) to lower cost of capital; opportunistic vs “desperation” moves .
Guidance stance and cash deployment: No numeric guidance; will deploy cash to high-ROI marketing/technology or pay down debt depending on market conditions .

Estimates Context

S&P Global Wall Street consensus revenue and EPS estimates for Q4/FY 2024 were unavailable at the time of analysis due to data access limits, so we cannot assess beats/misses vs consensus. Management emphasized qualitative drivers of performance rather than numerical guidance .

Key Takeaways for Investors

Q4 operating leverage was exceptional: 41% revenue growth with 107% adjusted EBITDA growth and a 27% cut in cost per submission; efficiency gains appear sustainable into 2025 given technology and process standardization .
Agency revenue mix and ETQ integration are key to monetization and scale; ETQ contributed 54k submissions and demonstrates portability of GoHealth’s platform across agent cohorts .
Non-agency revenue declines reflect strategic mix choices; combined with lower CAC, the model is less dependent on one channel and better aligned with lifetime value and retention economics .
Capital structure is improved (term loan to 2029), providing flexibility to allocate cash to marketing/technology or debt reduction as conditions warrant .
2025 setup: management expects favorable dynamics in the first three quarters and “cautious optimism” for Q4; investors should watch CMS rate/commission updates and regional competitive shifts .
Without consensus estimates, trading catalysts hinge on continued KPI momentum (submissions, CAC, PlanFit engagement) and clarity on agency/non‑agency mix; monitor quarterly disclosures for LTV assumptions and cash flow trajectory .
Risk checklist: operational dependencies (e.g., Change Healthcare), regulatory evolution (CMS marketing rules), and health plan benefit competitiveness remain pivotal to conversion and persistency .

GoHealth, Inc. (GOCO)·Q4 2024 Earnings Summary