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EverQuote (EVER) Q2 Earnings and Revenues Top Estimates
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EverQuote, Inc. (EVER - Free Report) reported an adjusted net loss of 7 cents per share for second-quarter 2021, narrower than the Zacks Consensus Estimate of a loss of 10 cents per share. The company had reported a loss of 10 cents per share in the prior-year quarter.
EverQuote witnessed increased revenues from automotive insurance vertical and other insurance verticals in the second quarter, offset by higher expenses.
Total revenues improved 34.6% year over year to $105 million, driven by the solid performance of automotive insurance vertical and other insurance verticals, which include home and renters, life, health, and commercial insurance. Moreover, the top line beat the Zacks Consensus Estimate by 2.9%.
Variable marketing margin grew 39.8% year over year to $32.8 million.
Revenues from Automotive insurance vertical increased 33.7% year over year to $86.3 million.
Revenues from other insurance verticals, which include home and renters, life, health and commercial insurance, increased 36.5% from the year-ago period to $18.7 million.
Total costs and operating expenses increased 31.6% to $106.9 million mainly due to higher cost of revenues, sales and marketing, research and development, and general and administrative expenses as well as acquisition-related.
Adjusted EBITDA increased 65.4% year over year to $6.6 million.
Quote requests increased 0.1% year over year in the quarter under review to $6.8 million.
Financial Update
As of Jun 30, 2021, EverQuote had assets worth $138.8 million, up 7.6% from the level at 2020 end.
Cash and cash equivalents increased 27.2% from the 2020-end level to $54.5 million.
Shareholder equity at the end of the reported quarter increased 15% from the 2020-end to $81.6 million.
EverQuote’s cash flow from operations surged 93.8% to $7.7 million year over year.
Q3 Guidance
Revenues are anticipated to be in the range of $109- $111 million, indicating a year-over-year increase of 22% at the mid-point.
Variable marketing margin is projected to be in the range of $33-$34 million, a year-over-year increase of 14% at the mid-point.
Adjusted EBITDA is expected to be in the range of $4.5-$5.5 million, a year-over-year decrease of 4% at the mid-point.
2021 Guidance
Revenues are anticipated to be in the range of $440-$446 million, which indicates a 28% year-over-year increase at the mid-point and marks an increase from the previously mentioned $434-$442 million.
Variable marketing margin is projected to be in the range of $138-$141 million, which increased from the previously mentioned $136-$140 million. Also, it indicates an increase of 28% year over year at the mid-point.
Adjusted EBITDA is expected to be in the range of $23-$26 million, which indicates an increae of 33% year over year at the mid-point. However, it declined from the previously stated guidance of $26 - $30 million.
Adjusted EBITDA is anticipated to be impacted by incremental investments in preparation for this year’s health open enrollment period which will take place in the fourth quarter of 2021.
Among other insurance industry players, which have reported second-quarter earnings so far, the bottom line of Everest Re Group, Ltd. , Arthur J. Gallagher & Co. (AJG - Free Report) and Cincinnati Financial Corporation (CINF - Free Report) beat the respective Zacks Consensus Estimate.
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EverQuote (EVER) Q2 Earnings and Revenues Top Estimates
EverQuote, Inc. (EVER - Free Report) reported an adjusted net loss of 7 cents per share for second-quarter 2021, narrower than the Zacks Consensus Estimate of a loss of 10 cents per share. The company had reported a loss of 10 cents per share in the prior-year quarter.
EverQuote witnessed increased revenues from automotive insurance vertical and other insurance verticals in the second quarter, offset by higher expenses.
EverQuote, Inc. Price, Consensus and EPS Surprise
EverQuote, Inc. price-consensus-eps-surprise-chart | EverQuote, Inc. Quote
Behind the Headlines
Total revenues improved 34.6% year over year to $105 million, driven by the solid performance of automotive insurance vertical and other insurance verticals, which include home and renters, life, health, and commercial insurance. Moreover, the top line beat the Zacks Consensus Estimate by 2.9%.
Variable marketing margin grew 39.8% year over year to $32.8 million.
Revenues from Automotive insurance vertical increased 33.7% year over year to $86.3 million.
Revenues from other insurance verticals, which include home and renters, life, health and commercial insurance, increased 36.5% from the year-ago period to $18.7 million.
Total costs and operating expenses increased 31.6% to $106.9 million mainly due to higher cost of revenues, sales and marketing, research and development, and general and administrative expenses as well as acquisition-related.
Adjusted EBITDA increased 65.4% year over year to $6.6 million.
Quote requests increased 0.1% year over year in the quarter under review to $6.8 million.
Financial Update
As of Jun 30, 2021, EverQuote had assets worth $138.8 million, up 7.6% from the level at 2020 end.
Cash and cash equivalents increased 27.2% from the 2020-end level to $54.5 million.
Shareholder equity at the end of the reported quarter increased 15% from the 2020-end to $81.6 million.
EverQuote’s cash flow from operations surged 93.8% to $7.7 million year over year.
Q3 Guidance
Revenues are anticipated to be in the range of $109- $111 million, indicating a year-over-year increase of 22% at the mid-point.
Variable marketing margin is projected to be in the range of $33-$34 million, a year-over-year increase of 14% at the mid-point.
Adjusted EBITDA is expected to be in the range of $4.5-$5.5 million, a year-over-year decrease of 4% at the mid-point.
2021 Guidance
Revenues are anticipated to be in the range of $440-$446 million, which indicates a 28% year-over-year increase at the mid-point and marks an increase from the previously mentioned $434-$442 million.
Variable marketing margin is projected to be in the range of $138-$141 million, which increased from the previously mentioned $136-$140 million. Also, it indicates an increase of 28% year over year at the mid-point.
Adjusted EBITDA is expected to be in the range of $23-$26 million, which indicates an increae of 33% year over year at the mid-point. However, it declined from the previously stated guidance of $26 - $30 million.
Adjusted EBITDA is anticipated to be impacted by incremental investments in preparation for this year’s health open enrollment period which will take place in the fourth quarter of 2021.
Zacks Rank
EverQuote currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1Rank (Strong Buy) stocks here.
Performance of Other Insurers
Among other insurance industry players, which have reported second-quarter earnings so far, the bottom line of Everest Re Group, Ltd. , Arthur J. Gallagher & Co. (AJG - Free Report) and Cincinnati Financial Corporation (CINF - Free Report) beat the respective Zacks Consensus Estimate.