David Larsen: Hi. Can you give a little bit of color around your ACV, your annual contract value in your pipeline? I think it came in at $309 million at the end of the last fiscal year, so if we increased that by 20%, should we expect $371 million for fiscal ’24? And then your bookings, I think we’re trying to get around $70 million annually, should we expect that number to be like $84 million for fiscal ’24 annually, which would be up 20%, just any color there would be very helpful. Thank you.
Steve Barnes: I’ll kick it off guys, and feel free to jump in, of course. Dave, so with respect to bookings, Raj talked about selling season. The fact is, we’re right in the midst of selling season right now and continuing to close deals around that. But you’re right in the data you’re quoting as far as end of year last year ACV and ARR. But we report out on those at the end of the fiscal year, so we’ll come back to you given that those are key metrics that we hit in the fourth quarter call. But in terms of color as we both were commenting on in various ways, got good visibility towards our current year outlook in terms of our guidance for the year and towards that 20% top-line growth rate that we’ve been speaking about consistently.
Operator: Thank you. One moment for our next question. Our next question will come from the line of Stan Berenshteyn from Wells Fargo. Your line is open.
Stan Berenshteyn: Hi. Thanks for taking my questions. Maybe sticking with virtual primary care. Can you share what percent of new PlushCare members in the quarter joined as a result of those members seeking GLP-1-related care? Thanks.
Rajeev Singh: And we haven’t broken out membership by conditions that they are seeking. What we can tell you that we talked about in the past quarters is that a double-digit percentage of those business came from or were associated with GLP-1 or weight loss and that trend continued into this quarter.
Operator: Thank you. One moment for our next question. And our next question will come from the line of Robert Simmons from D.A. Davidson. Your line is open.
Robert Simmons: Hey. Thanks for taking the question. So, can you talk a bit about what kind of a ramp and traction that you’re seeing with virtual primary care and with taking Plush to the enterprise?
Rajeev Singh: Yes, absolutely. Happy to. I think it’s one of the parts of the business that when we — when we took Accolade Care or taking PlushCare to the enterprise as you put it, in last year, that we were most excited about the opportunity to go live with, call it 0.5 million people or so at the beginning of the year. What we’re seeing and I’ll give Dr. Nundy an opportunity to weigh in here as well. What we’re seeing is, first that not only did we go live with that base, but that we saw the kind of utilization that we would expect on that base in the first seven, eight months since we’ve gone live. The second thing, we learned a lot. We learned a lot about incremental ways in which people were engaging with our solution, which has led us to really refine our value proposition associated with physicians being embedded in our advocacy care teams.
And the reason for that, it should be used cases that customers and members are identifying through their usage that we’re really excited about. Shantanu, would you like to add a little bit more color there?
Shantanu Nundy: Yes, absolutely. And it’s a great question. Yes, I mean, just to give a couple of clinical examples of areas where, like Raj alluded to, I mean I think we anticipated — we know that 20%, 30% of Americans don’t have primary care physicians and we — that our solution, because we’re delivering primary care virtually, comprehensively would be a great option for them. I think some of the learnings beyond that was, we started seeing members who have primary care physicians, but just weren’t able to access them or weren’t able to get sort of, the solutions from those primary care physicians come to us. So, one example is, patients being discharged from the hospital. You know, it’s very well studied that patients get better outcomes if they see their PCP within 48 hours of discharge from the hospital.
But because of the access issues, a lot of times people weren’t able to see their doctors in that shorter period of time. And so, our physicians were able to see those members right in that critical moment and I think resulting in downstream reductions and things like readmissions. A second example is, pretty commonly, members can get in to see their physicians around a time where they need to refill. And we’re finding that that’s an opportunity to actually talk to those members about the chronic conditions that they’re getting the results for, and inform them about some of the trusted partners that we have that can also help complement sort of the pharmacologic option. So, just some examples of where we’re able to drive value for employers in sort of those moments of need and really lean into that physician-led advocacy approach.
Operator: Thank you. One moment for our next question. And our next question will come from the line of Jack Wallace from Guggenheim Partners. Your line is open.
Jack Wallace: Hey, thanks for taking my questions, and congrats on the beat. Speaking of the beat, you beat by more than the $2 million pull-forward, but you kept the full year guidance. I’m just wondering if you could help us think about the kind of the buckets of where the — you can end up in the higher end of the range or the lower end of the range just thinking of whether it’s the performance guarantees, new wins, or even some of the utilization fees and those assumptions in the back half of the year? And on that point, just how much of that might be a swing factor related to the GLP-1 space? Thank you.
Steve Barnes: Hey, Jack, it’s Steve. So, you’re right, we beat the range by a little bit more than the performance guarantee. We — you remember, just walking you back a quarter ago, we raised guidance last quarter. We’re reaffirming that guidance as we’re here moving through selling season and driving growth across the business. As we head into the back half of the year, certainly the variables on the business are around the items you talked about, the virtual primary care utilization, and EMO utilization, and PGs. We factor into our guidance historical performance and what we’re seeing this year as well into the guidance and have good confidence in that number and we’ll certainly report back on how we progress there. But important point here is that we raised guidance last quarter and we’re reaffirming that today.
