"Our brand strength, best-in-class telesales organization, and broad carrier portfolio positioned eHealth to deliver another outstanding AEP," said Derrick Duke, Chief Executive Officer of eHealth. "eHealth's differentiated value proposition resonated with beneficiaries, driving high-intent traffic to our platform and enabling us to strategically shift away from third-party marketing toward our most profitable direct channels. eHealth delivered AEP enrollments and revenue within expectations while outperforming on profitability, demonstrating the power of our focused execution and operational agility."
AEP Operational Highlights
AEP enrollment volume was in line with last year's, reflecting another period of significant changes in the Medicare Advantage ("MA") market and our strategic decision to focus on quality.
Direct branded channels contributed a greater share of total MA agency enrollments during the AEP versus a year ago. These channels typically generate better lead quality and drive stronger retention.
Deployment of Artificial Intelligence ("AI") screeners enhanced marketing yield and improved sales efficiency.
eHealth expects to post a meaningful year-over-year increase in fourth quarter MA constrained lifetime value ("LTV") of commissions, reflecting higher MA commission rates for plan year '26 and a favorable persistency trend.
Last year's AEP cohort, enrolled in a similarly active consumer environment, continued to outperform its predecessor in terms of retention, based on data available as of December 18, 2025.
Updated 2025 Guidance
Based on information available as of December 18, 2025, eHealth is revising its guidance ranges for the full year ending December 31, 2025:
Total revenue is expected to be in the range of $540.0 million to $560.0 million, compared to the prior range of $525.0 million to $565.0 million.
GAAP net income (loss) is expected to be in the range of $30 million to $45 million, compared to the prior range of $9.0 million to $30.0 million.
Adjusted EBITDA(1) is expected to be in the range of $80 million to $95 million, compared to the prior range of $60 million to $80 million.
Operating cash flow is expected to be in the range of $(25.0) million to $0 million, compared to the prior range of $(25.0) million to $10.0 million.
The above guidance includes the impact of positive net adjustment revenue which is expected to be in the range of $40 million to $45 million, compared to the previous range of $40 million to $43 million.
These expectations are forward-looking statements, and eHealth assumes no obligation to update these statements. Actual results may differ materially and are affected by the risk factors and uncertainties identified in this press release and in eHealth's annual and quarterly reports filed with the Securities and Exchange Commission.
(1) See the end of this press release for a definition of our non-GAAP financial measure along with a reconciliation to the most comparable GAAP financial measure.
About eHealth, Inc.
We're Matchmakers. For over 25 years, eHealth has helped millions of Americans find the healthcare coverage that fits their needs at a price they can afford. As a leading independent licensed insurance agency and advisor, eHealth offers access to over 180 health insurers, including national and regional companies.
For more information, visit eHealth.com or follow us on LinkedIn, Facebook, Instagram, and X. Open positions can be found on our career page.
Forward-Looking Statements
This press release contains statements that are forward-looking statements as defined within the Private Securities Litigation Reform Act of 1995. These include statements regarding factors that impacted our Annual Enrollment Period (AEP) performance; our expectations regarding our business, operations, initiatives and strategies; our expected operating and financial performance for the 2025 fiscal year; our 2025 annual guidance for total revenue, GAAP net income (loss), adjusted EBITDA and operating cash flow; our estimates for positive net adjustment revenue and its expected impacts on our 2025 annual guidance; our expectation for the AEP enrollment cohort and its expected impact on our financial condition; our estimates regarding Medicare Advantage approved members and Medicare approved members for the fourth quarter of 2025; our expectation for improvement in our LTV; our expectation for improvement in margin for the fourth quarter of 2025; our expectation regarding MA commission rates for plan year 2026, timing of receipt of commission and payment ...
