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Mar 31, 2021

Root Q1 2021 Earnings Report

Root reported strong financial and operating performance.

Key Takeaways

Root delivered its first $200 million-plus quarter of Direct Written Premium, along with $6 million in Gross Profit and $27 million in Direct Contribution, driven by improvements in loss ratio.

Direct Written Premium increased 23% to $203 million.

Direct Earned Premium increased 11% to $160 million.

Direct Loss Ratio improved 22 points to 71%.

Gross Profit increased by $23 million to $6 million.

Total Revenue
$68.6M
Previous year: $124M
-44.7%
EPS
-$7.2
Previous year: -$9.29
-22.5%
Direct Written Premium Growth
23%
Direct Loss Ratio
71%
Renewal Premium % of Direct
62%
Gross Profit
$6M
Previous year: $124M
-95.2%
Cash and Equivalents
$1.11B
Free Cash Flow
-$91.3M
Total Assets
$1.7B

Root

Root

Forward Guidance

Forward-looking statements relate to future performance, expected financial results for 2021, ability to retain and acquire customers, and ability to improve retention rates and release new products.