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Jun 30, 2023
LendingTree Q2 2023 Earnings Report
Reported strong segment margins and expense discipline, driving upside amidst challenged revenue growth.
Key Takeaways
LendingTree reported consolidated revenue of $182.5 million. The company's expense actions, combined with strong margins in the Insurance and Consumer segments, generated Adjusted EBITDA of $26.7 million. Customer demand for new loans and insurance continues to outpace the appetite for new customers at LendingTree's partners.
Consolidated revenue reached $182.5 million.
GAAP net income was $(0.1) million, or $(0.01) per diluted share.
Variable marketing margin amounted to $76.5 million.
Adjusted EBITDA stood at $26.7 million, with adjusted net income per share at $1.14.
LendingTree
LendingTree
LendingTree Revenue by Segment
Revenue by Segment
Home Revenue
CapyFin.comConsumer Revenue
CapyFin.comInsurance Revenue
CapyFin.com Forward Guidance
LendingTree is updating its full-year 2023 outlook and introducing its outlook for Q3.
Positive Outlook
- Full-year 2023 Revenue of $680 - $700 million
- Full-year 2023 Variable Marketing Margin of $275 - $290 million
- Full-year 2023 Adjusted EBITDA of $70 - $80 million
- Third-quarter 2023 Revenue: $155 - $170 million
- Third-quarter 2023 Variable Marketing Margin: $65 - $75 million
Challenges Ahead
- LendingTree is not able to provide a reconciliation of projected variable marketing margin or adjusted EBITDA to the most directly comparable expected GAAP results due to the unknown effect, timing and potential significance of the effects of legal matters and tax considerations.
- Expenses associated with legal matters and tax considerations have in the past, and may in the future, significantly affect GAAP results in a particular period.
- Full-year 2023 Revenue compared to the prior range of $760 - $800 million
- Full-year 2023 Variable Marketing Margin vs prior range of $290 - $310 million
- Full-year 2023 Adjusted EBITDA vs prior range of $80 - $90 million
Revenue & Expenses
Visualization of income flow from segment revenue to net income