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Mar 31, 2024
Porch Q1 2024 Earnings Report
Reported strong operating execution in Q1, increasing full year Adjusted EBITDA Guidance.
Key Takeaways
Porch Group, Inc. reported first quarter results with total revenue of $115.4 million, a 32% increase compared to the prior year. GAAP net loss was $13.4 million, an improvement of $25.4 million, and Adjusted EBITDA Loss was $16.8 million, an improvement of $5.1 million compared to the prior year.
Total revenue increased by 32% year-over-year to $115.4 million, driven by the Insurance segment.
GAAP net loss improved by $25.4 million year-over-year, reaching $13.4 million.
Adjusted EBITDA Loss improved by $5.1 million year-over-year, totaling $16.8 million.
The company increased full year Adjusted EBITDA profitability guidance.
Porch
Porch
Forward Guidance
Porch Group provides full year 2024 guidance based on current market conditions and expectations as of the date of this release. Full year 2024 guidance is as follows: Revenue $450m to $470m Growth of 5% to 9% Revenue Less Cost of Revenue $230m to $240m Adjusted EBITDA $2.5m to $12.5m Gross Written Premium $460m to $480m
Positive Outlook
- Revenue is expected to be between $450 million and $470 million, representing a growth of 5% to 9%.
- Revenue less cost of revenue is projected to be between $230 million and $240 million.
- Adjusted EBITDA is anticipated to be between $2.5 million and $12.5 million.
- Gross Written Premium is expected to be between $460 million and $480 million.
- Guidance assumes a 63% gross loss ratio for the full year 2024, in line with the 5-year weighted average.
Challenges Ahead
- Catastrophic weather in excess of historical experiences, would create downside to the lower end of the range.
- The company's ability to achieve and maintain future profitability.
- Economic conditions, especially those affecting the housing, insurance, and financial markets.
- Existing and developing federal and state laws and regulations, including with respect to insurance, warranty, privacy, information security, data protection, and taxation.
- Reliance on strategic, proprietary relationships to provide us with access to personal data and product information, and the ability to use such data and information to increase transaction volume and attract and retain customers.