Accolade, Inc.

Good day and thank you for standing by. Welcome to the accolade fourth quarter 2023 earnings results conference call. At this time, all participants are in a listen-only mode. After the speaker's presentation, there'll be a question and answer session. To ask a question during the session, you'll need to press star 1-1 on your telephone. You will then hear an automated message advising your hand is raised. To withdraw your question, please press star 1-1 again. Please be advised today's conference is being recorded. I would now like to hand the conference over to your speaker today, Todd Friedman, head of investor relations. Please go ahead.

Thanks, operator. Welcome, everyone, to our fiscal fourth quarter earnings call. With me on the call today are our chief executive officer, Rajiv Singh, and our chief management officer, Steve Barnes. Shantanu Nidhi, our chief health officer, will join us for the question and answer portion of the call later. Before turning the call over to Rajiv, please note that we will be discussing certain non-GAAP financial measures that we believe are important when evaluating accolades performance. Details and relationship between these non-GAAP measures, the most comparable GAAP measures, and the reconciliations thereof can be found in the press release that is posted on our website. Also, please note that certain statements made during this call will be forward-looking statements as defined by the Private Securities Litigation Reform Act of 1995. Such forward-looking statements are subject to risks, uncertainties, and other factors that could cause the actual results for accolades to differ materially from those expressed or implied on this call. For additional information, please refer to our cautionary statement in our press release and our findings with the SEC, all of which are available on our website. With that, I turn the call over to our CEO, Rajiv Singh.

Thanks, Todd, and thank you, everyone, for joining us as we kick off fiscal 2024 at Accolade. It's an appropriate moment to acknowledge that today's Accolade has transformed from an advocacy and navigation company to a personalized healthcare company that delivers exceptional, high-quality healthcare to our 12 million members across the country. We're unique in that we offer exceptional service powered by our frontline care teams and technology, clinical outcomes driven by our primary care physicians, therapists, nurses, and pharmacists. and an open platform that makes our partners and the brick-and-mortar healthcare system far more effective. We're building a customer-focused nationwide healthcare company from those unique assets, and we're excited about the future. Today's call marks the end of a transformational year for Accolade and the start of the next phase in Accolade's evolution. In fiscal 2023, we delivered over 30% growth in ARR booking, over 30% revenue growth in our virtual primary care offerings, achieved our revenue and adjusted EBITDA targets, and ended the year serving more than 800 customers and 12 million lives. We've diversified our business across customer size and verticals, across solutions, and across distribution channels. And given the strategic actions we made at the end of February, we enter fiscal 2024 with a more streamlined organization operating as one accolade that is materially closer to achieving positive cash flows. At a high level, here's what we learned in fiscal 2023. The market for personalized healthcare solutions remains strong, and the demand environment shows no signs of weakening in spite of the broader macroeconomic environment. Core to the differentiation of our personalized healthcare suite is the diversity of our offerings as a substantial portion of our new customers opted to buy more than one of our solutions. Our solutions are differentiated and drive high win rates as demonstrated by adding a significant number of new customers. including a large public university, a major hospitality company, and one of the world's largest consumer brands. Our customers trust us and value our solutions, as evidenced by the expansion of our relationships with many of them this year. And innovators and disruptors in healthcare view us as a differentiated platform, as demonstrated by the growth of our trusted partner ecosystem. At the outset of the year, we believed that these data points would emerge. Today, we can state them as facts. Now, let's focus on our outlook for the next fiscal year and also give you a preview of what we plan to cover at our Capital Markets Day on May 8th. We spent the last 18 months working hard to integrate the three solutions that we acquired. Those efforts have produced great results with a more unified customer experience and a strong customer reception to our vision for an integrated personalized healthcare offering. While we've been focused on integration, we've also spent that time allowing the businesses to run independently in many respects. The rationale was very simple. We wanted to study and understand the businesses, retain critical talent, and map out the logical integration points and synergies thoughtfully. Having accomplished those objectives, on February 28th, we announced that we're bringing the various teams together under a single unified structure. One product organization, one clinical organization, one care delivery organization, one accolade. This is already having the effect of streamlining decision-making and accolade and improving our operating structure as we scale to serve hundreds more customers and millions more members. The common thread through every stage of our growth continues to apply today, a single-minded obsession with the member and the customer. Steve will provide more detail later, but today we quantified our earlier statements about the improvement in adjusted EBITDA. Our updated guidance today shows that we have cut our expected loss in half this year thoughtfully with a strategy that allows us to execute well and serve our members and customers with extraordinary quality. Strong new bookings in fiscal year 23 give us excellent visibility into fiscal year 2024 and beyond. For those of you who are new to Accolade, our initial contracts are typically three years, so our 33% growth in ARR bookings gives us good visibility into our current year revenue as well as a solid preview for fiscal year 2025. Our confidence regarding achieving positive adjusted EBITDA as a business is extremely high. Looking ahead, the momentum we saw last year appears to be continuing in the current year, both in terms of the size of the pipeline and our PIP flow, as well as general market interest from both prospective and existing customers. The pipeline is larger now than it was at this time last year. Another notable item is a ramping interest in our trusted partner ecosystem from our current customers as well as prospects. We'll spend more time on this at Capital Markets Day, but new and existing customers and partners are recognizing the value of Accolade as a distribution channel and enabling partner for important healthcare innovation. Perhaps more importantly, this is further evidence of the incremental value we drive via integration of best-in-class clinical solutions with our open platform, combined with our frontline care team's ability to deliver a high level of what we call good utilization. In short, the demand for our services remains strong. The value we provide to companies in terms of ROI and cost savings, and to their employees and their families via improved healthcare outcomes and lower costs, continues to drive our value proposition and our pipeline. Additionally, we're especially excited about the growth we're seeing in virtual primary care. It's worth noting that while we may deliver primary care to both commercial customers and directly to consumers, we view our primary care business as a single operant. It is the same physician base, same customer platform, and same member experience across the board, whether a patient comes to us directly as a consumer, through an employer, or via a health plan partnership. Finally, it's become a hallmark of our business that our rapid diversification has provided numerous vectors for growth. We're seeing opportunities to drive growth across all our distribution channels, commercial, health plan, government, and consumer. Now, let me give you a preview of our May 8th capital markets day. When Accolade went public nearly three years ago, I wrote these words in our IPO perspective. Strategic executives have long appreciated that the health and well-being of their employees is something they must care about and invest in. Today, employee health and well-being is a business continuity issue. Employers can't afford to overlook it. Employers must give employees and their families trusted clinical guidance and personalized support to help them live their healthiest lives. physically, emotionally, and financially. In 2020, when we published that perspective, Accolade was a navigation and advocacy company with $132 million in revenue and serving roughly 50 customers. We would become the first publicly traded navigation company. Today, we're forecasting FY24 revenue at approximately three times that level. We have more than 800 customers representing 12 million lives, and we are a fully integrated personalized healthcare business. Over that three years, the market has sought to identify the categories that will thrive in a difficult economic environment and beyond, and the companies that will lead those categories. On May 8th in Las Vegas, you will hear why personalized healthcare is the future of healthcare and why Accolade is well positioned to lead a massive new category as the first nationwide healthcare delivery company obsessed with the member experience. Healthcare is a $4 trillion market, and yet you would be hard pressed to name many healthcare companies that are defined by their obsession with delivering extraordinary customer experiences. In other categories, companies like Chick-fil-A, USAA, T-Mobile, and Zappos lead based on their single-minded focus on customer value. We're building that type of customer-focused company in healthcare. On May 8th, we'll explain what it means to be obsessed with the member experience in healthcare and how our unique blend of technology and humanity, what we call engineered to care, is the right approach. We'll share new product demos and data points that demonstrate the ROI we deliver, both from a health and cost outcome perspective. And we'll talk about the growing contribution and strategic importance of our primary care offering, as well as the increasing collaboration in healthcare and how we're building our ecosystem. Steve will dive deeper into our business model to help you understand the path, not just to break even, but also how we think about Accolade on the way to being a billion-dollar revenue business and beyond. And as a real highlight, we'll be featuring a number of our customers and partners to help tell the story of the future of healthcare. We hope you can join us in Las Vegas or on the webcast. Reach out to Todd Friedman if you have any questions. Now, I'm going to turn the call over to Steve to review the financials and share our year-end metrics. Steve?