Overview
Goosehead Q3 revenue rises 16% yr/yr to $90.4 mln
Adjusted EBITDA for Q3 beats analyst expectations
Company repurchased $58.7 mln of shares in Q3
Outlook
Company expects 2025 total written premiums between $4.38 bln and $4.65 bln
Goosehead projects 2025 total revenues between $350 mln and $385 mln
Result Drivers
PREMIUM AND REVENUE GROWTH - Premiums grew 15% and total revenue increased 16% over prior-year period, driven by increased producer count, improved franchise productivity, and moderating premium rate increases, per CEO Mark Miller
SHARE REPURCHASE - Co repurchased $58.7 mln of shares in Q3 at an average price of $85.58, aiming to drive shareholder value, per CEO Mark Miller
INVESTMENTS IN GROWTH - Increased operating expenses due to investments in corporate producers and technology to enhance client experience
Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
Q3 Revenue
$90.40 mln
Q3 Core Revenue
$83.90 mln
Q3 Net Income
$12.70 mln
Q3 Adjusted EBITDA
Beat
$29.70 mln
$29.50 mln (7 Analysts)
Q3 Adjusted EBITDA Margin
33%
Analyst Coverage
The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 4 "strong buy" or "buy", 6 "hold" and 1 "sell" or "strong sell"
The average consensus recommendation for the multiline insurance & brokers peer group is "buy."
Wall Street's median 12-month price target for Goosehead Insurance Inc is $93.50, about 27% above its October 21 closing price of $68.25
The stock recently traded at 31 times the next 12-month earnings vs. a P/E of 48 three months ago
Press Release: ID:nGNX2kHCJD
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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)