Loading...
•
Dec 31, 2022
MediaAlpha Q4 2022 Earnings Report
Announced fourth quarter and full year 2022 financial results.
Key Takeaways
MediaAlpha's fourth quarter revenue was $124 million, a 23% decrease year-over-year. The results exceeded expectations, driven by strong carrier spend in the Health insurance vertical. The Property & Casualty insurance vertical continued to be negatively impacted.
Fourth quarter revenue was $124 million, down 23% year over year.
Fourth quarter Transaction Value was $169 million, down 31% year over year.
Fourth quarter Transaction Value from Property & Casualty was down 53% year over year to $57 million.
Fourth quarter Transaction Value from Health was flat year over year at $99 million.
Forward Guidance
Guidance for Q1 2023 reflects typical seasonality along with an improvement in market conditions in P&C vertical compared with Q4 2022.
Positive Outlook
- P&C Transaction Value to nearly double in Q1 2023 compared with Q4 2022, indicative of both the early stages of recovery from the hard market and normal seasonality.
- Transaction Value between $180 million - $195 million.
- Revenue between $106 million - $116 million.
- Adjusted EBITDA between $5.5 million - $7.5 million.
- Cash operating expenses to be in line with Q4 2022.
Challenges Ahead
- Click pricing is expected to be down on a year-over-year basis.
- In Health vertical, expect modest year-over-year growth in Transaction Value.
- For the Life and Other verticals, expect Transaction Value to decline year over year at a similar rate as in Q4 2022.
- P&C Transaction Value to be well below Q1 2022 levels.
Historical Earnings Impact
Analyze how earnings announcements historically affect stock price performance
Avg. Return Before/After Earnings
Loading earnings performance data...
Loading earnings reaction data...