Benefitfocus Announces First Quarter 2014 Financial Results

Benefitfocus, Inc. (Nasdaq:BNFT), a provider of cloud-based benefits software solutions, announced its first quarter 2014 financial results at close of market on Monday.

Total revenue for the quarter increased 29% from first quarter of 2013, to $30.7 million. Net loss was $12.4 million compared with $5.6 million in first quarter of 2013. Net loss per share was $.051.

"Benefitfocus delivered a strong start to 2014 with first quarter financial results that were above the high end of our guidance on both the top and bottom line," said Shawn Jenkins, president and CEO. "There is tremendous market activity in both the insurance carrier and employer market as customers recognize that the changing benefits landscape requires a fundamentally different approach that empowers employees to make informed decisions about the benefits package that best fits their unique circumstances."

Jenkins said the company is hosting its annual user conference, One Place, at which the company will introduce new functionality that will extend the value of the Benefitfocus platform, deepen the data analytics capability and launch the third-party implementation program.

"Cloud-based benefits administration is still in its early days," he said, "and we are committed to continuing to push the pace of innovation in this market."

Other first quarter and recent business highlights include:

• Ending the quarter with 418 large employer customers, up from 304 at the end of the year ago period and 393 at the end of the fourth quarter of 2013, and 43 insurance carrier customers, up from 36 at the end of the year ago period and 40 at the end of the fourth quarter of 2013.
• Adding new carrier customer relationships with United HealthCare, MassMutual and BlueCross of Idaho.
• Announcing United HealthCare has selected Benefitfocus to manage the electronic enrollment process across their mid-sized and large employer markets throughout the country. This is will allow all of United HealthCare's insurance products to be available in one place to customers through the Plan Shopping App. In addition, United HealthCare will be deploying the company's Benefit Informatics to provide customers with historical claims information while using the Plan Shopping App to enable more informed buying decisions.

The company provided guidance through the end of the year, with expectations of total revenue to be $130.6 million to $134 million and a non-GAAP net loss of $59 million to $63 million.

Benefitfocus provides cloud-based benefits software solutions for consumers, employers, insurance carriers and brokers and has served more than 20 million consumers on its platform, which consists of an integrated portfolio of products and services enabling clients to more efficiently shop, enroll, manage and exchange benefits information.