Insurance distributor SelectQuote's Q4 revenue falls 7%, misses analyst estimates

Selectquote

25/08/2026 13:21

Overview
U.S. insurance distributor's fiscal Q4 revenue declined and missed analyst expectations
Company posted a net loss for the quarter, while adjusted EBITDA improved yr/yr
Fiscal 2027 guidance calls for higher revenue and adjusted EBITDA, with improved operating cash flow

Outlook
SelectQuote expects fiscal 2027 revenue between $1.35 bln and $1.45 bln
Company sees fiscal 2027 adjusted EBITDA of $90 mln to $115 mln
SelectQuote forecasts fiscal 2027 operating cash flow of more than $60 mln

Result Drivers
HEALTHCARE SERVICES SCALE - Co said improved operating cash flow was largely driven by scale in Healthcare Services and operating efficiency
SENIOR SEGMENT PRESSURE - Senior segment revenue and policy submissions declined, reflecting industry turbulence and changes by insurance carriers
COST SAVINGS INITIATIVES - Technology-enabled workstream efficiencies implemented, expected to drive annual expense savings of over $30 mln

Company press release: ID:nBw4HcGr9a

Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
Q4 Revenue
Miss
$321.7 mln
$353.44 mln (4 Analysts)
Q4 Loss Per Share
 
$0.19
 
Q4 Net Loss
 
$16.8 mln
 
Q4 Adjusted EBITDA
 
$11.9 mln
 

Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 2 "strong buy" or "buy", 2 "hold" and no "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 SelectQuote, Inc. is $3.00, about 286.6% above its August 24 closing price of $0.78

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For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(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.)