Selectquote Stock Earnings Reports

SelectQuote reported fiscal Q1 consolidated revenue of $329M, up 13% year-over-year, driven by Healthcare Services and Life Insurance growth. Senior (Medicare Advantage) revenue declined to $59M from $93M due to a one-time change in SEP beneficiary eligibility and fewer policies written (32% fewer), which was expected and led the Senior segment to a negative EBITDA of $21M. Healthcare Services (SelectRx) continued to ramp (including a new Kansas facility) but faced a near-term reimbursement headwind from one PBM that will disproportionately impact fiscal Q1 and Q2 EBITDA (roughly $20M, with the majority in Q2). Management is negotiating a longer-term agreement with the PBM, expects contract rates to revert to more normalized levels on Jan 1, 2026, and still sees SelectRx as a long-term driver of profit and cash flow, although they no longer expect to hit a previously stated $50M FY26 target for the segment. Consolidated quarterly EBITDA was negative $32M, slightly worse than prior guidance due to the SelectRx reimbursement change. Life Insurance revenue grew ~20% but carried near-term expense as agents were shifted during SEP preparation. Management reiterated the company-wide FY26 guidance range of $1.65B–$1.75B revenue and $120M–$150M adjusted EBITDA and expects to be operating cash-flow positive in FY26. They enter AEP with strong tenured agent retention, continued preseason hiring, and confidence in their data-enabled, agent-led model—positioning the company to defend and recapture policyholders amid continued carrier margin focus and plan changes. Key near-term investor watch items: outcome of PBM negotiations and the Q2 update (where management will refine outlook after AEP results), AEP/OEP enrollment and retention performance, and the trajectory of SelectRx margins returning to normalized levels in H2 (post-January 1, 2026).