eHealth spends on increased demand, guides below the Street

|By:, SA News Editor

eHealth (EHTH) is out with preliminary results for Q4 and FY13.

FY13: Revenue seen at $178-180M (guidance was $168-174M). Non-GAAP EPS seen at $0.34-0.41 (guidance was $0.61-0.71).

Q4: Revenue seen at $53-55M. Non-GAAP EPS seen at -$0.03 to $0.04. Consensus is $0.21.

Here's CEO Gary Lauer, explaining: "We experienced a significant increase in demand for our Individual & Family Plan product during Q4's Open Enrollment Period under the ACA and made the decision to spend into the increased demand and pursue longer-term growth at the expense of Q4 earnings." (PR)

EHTH +4.9% AH