Accolade, Inc. (NASDAQ:ACCD) Q1 2024 Earnings Call Transcript

We believe the T5 relationship presents significant opportunity as we’ve talked about that now given the fact, unfortunately, the government field process tends to delay things. And so, it’s now at least at this point delayed till August of ’24, it could potentially delay beyond that, we don’t know. But what we can say is between Autism Care, between our other pursuits in the government, we can grow without the T5 arrangement. But with the T5 arrangement, we think there is a very real opportunity to show strong growth across the categories.

Operator: And thank you. And one moment for your next question. And our next question comes from Jonathan Yong from Credit Suisse. Your line is now open.

Jonathan Yong: Thanks for taking the question and congrats on a good quarter here. Just on the pipeline commentary, it sounds like things are tracking well. But I guess, can you provide any color on how it’s developing against your internal expectations? Is the pipeline larger than last year and alongside that it sounds like you’re selling more or there’s more interest in multi-product solutions? So I guess can you give any additional color on that? And what are people looking for which I think you talked about before? But just give a little more color there. Thanks.

Rajeev Singh: Hi, Jonathan. Pipeline is bigger than it was last year at this time. Pipeline continues to grow. I wouldn’t say beyond our expectations because our expectations are always aggressive but the pipeline continues to grow in a way that will support the objectives we have for the company for the year. As it relates to multiproduct deals last year, the majority of our deals were multi-product deals. And that same phenomenon is – we’re quite confident Q1 witnessed the same phenomenon. We are quite confident that that same thing will happen in Q2 through Q4 and because of the breadth of our trusted partner ecosystem and because of the breadth of our solutions, advocacy, primary care and mental health and expert medical opinion, that desire of customers to do – to one stop shop across a number of categories, we think differentiates us against a number of our competition.

Operator: And thank you. And one moment for our next question. And our next question comes from Jailendra Singh from Truist Securities.

Jailendra Singh: It’s a good try. This is Jailendra Singh from Truist Securities. Congrats on a good quarter. Thanks for taking my questions. One of your competitors recently announced partnership with in-home care provider to add virtual to in-home care model to its offerings. I was just curious on your thoughts on extending your offerings to home, and have you seen any demand in this area among your employer clients?

Rajeev Singh: Thanks Jailendra. I have a couple of thoughts here. First, you’ll see us continue to expand our partner ecosystem into new category. We announced today partnership that we’re really excited about, company called Equip that’s focused on really improving service for people, families, challenged by eating disorders. If you look across the breadth of the category that we’re delivering, we’re delivering the widest solutions to customers in categories that are directly relevant to and as I mentioned before improving clinical outcomes, improving convenience for their members and lowering costs. Do we believe over time that home health is an area that could potentially have an impact in those three categories? Absolutely we do and please stay tune in terms of whether – for us, it’s always about finding the right partner checking those three boxes and ensuring that is aligned with our customer’s expectations.