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GoodRx
American healthcare company From Wikipedia, the free encyclopedia
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GoodRx Holdings, Inc., is an American healthcare company that operates a telemedicine platform and free-to-use website and mobile app that track prescription drug prices in the United States and provide drug coupons for discounts on medications.[3] GoodRx checks drug prices at more than seventy-five thousand pharmacies in the United States.[4][5] The platform allows individuals to consult with a doctor online and obtain a prescription for certain types of medications at a cost of US$20, regardless of insurance status.[3] Medical testing services, which vary in price, are also offered through the platform.[3]
In 2017, the website received about fourteen million visitors a month.[6] As of February 25, 2020, "millions of people" had downloaded the GoodRx app.[7]
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History
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Financial Performance
GoodRx was founded in Santa Monica, California, in 2011. GoodRx experienced substantial growth in net income in 2017 ($9 million), 2018 ($44 million) and 2019 ($66 million) while a loss of $293.6 million in 2020 due to IPO-related expenses.[8] During these years it expanded its services to include telehealth, and became a publicly traded company.
GoodRx generated $745.4 million in revenue for the full year 2021, a 35.36% increase over 2020. GoodRx's stock price trended downward during the first half of 2021, with shares falling 10.7%.[9] It has been attributed to Amazon's entry into the online pharmacy market and a significant deceleration in GoodRx's user growth.[10]
GoodRx reported full-year revenue of $766.6 million, with adjusted EBITDA reaching $213.5 million, exceeding guidance in the fourth quarter.[11] GoodRx reported that 41% of prescriptions filled using its coupons were newly adherent, meaning they would not have been filled without the service.[12]
GoodRx reported a full-year 2023 revenue of $750.3 million, a decrease of 2.1% from 2022. However, its fourth-quarter revenue increased by 7% year-over-year, showing a positive shift in its financial trajectory. GoodRx achieved an Adjusted EBITDA of $217.4 million for the year and an Adjusted EBITDA Margin of 28.6%.[13]
In 2024, GoodRx achieved 6% revenue growth with $792.3 million for the full year and turned a net loss into a positive net income of $16.4 million. The company also demonstrated strong operational efficiency, with a 32.8% increase in full-year Adjusted EBITDA.[14]
In Q2 2025, GoodRx reported revenue of $203.1 million, a 1.2% increase from the previous year, and a net income of $12.8 million, a significant 92% jump, which resulted in a 6.3% net income margin. However, prescription transaction revenue declined by 3% due to a decrease in monthly active consumers, but this was offset by strong 32% growth in its Pharma Manufacturer Solutions business. GoodRx also saw a 7% decrease in subscription revenue.[15]
Mergers and Acquisitions
In 2017, the company announced partnerships with major pharmaceutical companies to negotiate lower prescription drug costs.[6][16]
In 2019, GoodRx acquired HeyDoctor, a telemedicine company, to integrate virtual healthcare services into the platform.[17]
In 2021, a health video content producer, HealthiNation was acquired by GoodRx that helped provide consumers with health information and offers pharmaceutical manufacturers new ways to reach relevant audiences.[18][19]
In April 2022, GoodRx acquired VitaCare Prescription Services from TherapeuticsMD to strengthen its pharma manufacturer solutions business.[20]
Partnerships
GoodRx has deep relationships with major pharmacy chains, including Walgreens, Walmart, CVS Caremark, and Publix, to allow customers to use GoodRx discounts and Gold benefits.[21] GoodRx began its partnership with CVS Caremark in July 2023 to automatically apply coupons to insured CVS customers purchasing generic prescriptions at certain locations.[22] In April 2024, GoodRx added Publix into their network, allowing GoodRx Gold members to use their cards at Publix Pharmacies. [23]
GoodRx partners with Pharmacy Benefit Management like Caremark, Express Scripts, and MedImpact to apply their savings directly to eligible insurance plans and members.[24]
GoodRx collaborates with drug companies, such as Novo Nordisk, to make certain medications more affordable for self-paying patients.[25]
GoodRx partners with companies like Affirm, Benefitfocus, and DoorDash to integrate their services that offers members discounts and financial flexibility for prescriptions.[26]
GoodRx also partners with organizations like the American Academy of Family Physicians Foundation to support broader access to care.[27]
In October 2022, GoodRx launched Provider Mode which allows healthcare providers to use the app to compare costs of drugs for patients based on different payment methods and drug alternatives.[28]
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Key people
The Santa Monica-based startup was founded in September 2011 by Trevor Bezdek and former Facebook executives Doug Hirsch and Scott Marlette.[4][29][30][31] Marlette was one of the first 20 employees at Facebook and built Facebook's photo application.[29] In 2005, Hirsch was the Vice President of Product at Facebook, working closely with Mark Zuckerberg.[30]
Controversy
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On February 25, 2020, Consumer Reports published an article stating that GoodRx shared user data—specifically, pseudonymized advertising ID numbers that companies use to track the behavior of web users across websites, the names of the drugs that users browsed, and the pharmacies where user sought to fill prescriptions—with Google, Facebook, and around twenty other Internet-based companies.[7] A few days later, GoodRx released a statement claiming it had made changes to prevent user search data on medical conditions and pharmaceuticals from being shared with Facebook.[32][33] In March 2020, GoodRx stopped sending data about user prescriptions to Facebook.[34]
On February 1, 2023, the Federal Trade Commission fined GoodRx US$1.5 million for violations of the Breach Notification Rule and the Federal Trade Commission Act for allegedly failing to obtain specific, informed, and unambiguous consent from users before disclosing health-related information[35] to Facebook and Google.[36][37]
In November 2024, independent pharmacies filed at least class action lawsuits against GoodRx and major pharmacy benefit managers. The cases, brought by independent pharmacies in California, Michigan, Pennsylvania, and Rhode Island, allege that GoodRx and the PBMs collaborated to suppress reimbursements for generic prescription drugs.[38] It alleges that agreements using GoodRx’s software suppressed reimbursements for generic drugs and violated the Sherman Antitrust Act. The suits claim the practices amount to price fixing which harms small pharmacies while benefits PBMs and their affiliates. [39]
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References
External links
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