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LendingTree Q3 Earnings Top Estimates, EBITDA Improves Y/Y

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Key Takeaways

  • LendingTree's Q3 adjusted EPS rose to $1.70, topping estimates and doubling year over year.
  • Total revenues climbed 18% to $307.8 million, driven by strong variable marketing margins.
  • 2025 revenue outlook lifted to $1.08-$1.09 billion, with higher EBITDA and marketing margin forecasts.

LendingTree, Inc.’s (TREE - Free Report) third-quarter 2025 adjusted net income per share of $1.70 topped the Zacks Consensus Estimate of $1.23 per share. The figure compares favorably with the 80 cents reported in the prior-year quarter

Results were driven by a rise in revenues. An increase in adjusted EBITDA was an added positive. However, a rise in total cost was a spoilsport.

Results exclude certain non-recurring items. After considering these, TREE reported a GAAP net income of $10.2 million against the net loss of $58 million in the year-ago quarter.

TREE’s Revenues, Variable Marketing Margin Increase

Total revenues in the third quarter grew 18% year over year to $307.8 million. The reported figure surpassed the Zacks Consensus Estimate by 10.5%.

The total cost of revenues was $11 million, up 17.5% from the prior-year quarter.

Adjusted EBITDA totaled $39.8 million, up 47.9% from the year-ago quarter. The variable marketing margin was $93.2 million, up 20.7% year over year.

As of Sept. 30, 2025, cash and cash equivalents were $68.6 million compared with $149.1 million as of June 30. Long-term debt was $388.4 million compared with $385.1 million as of June 30, 2025.

LendingTree’s Outlook

The company provided the fourth-quarter view and updated its 2025 outlook.

Q4

For the fourth quarter of 2025, total revenues are estimated to be between $280 million and $290 million.

Adjusted EBITDA and the variable marketing margin are anticipated to be $29.5-$31.5 million and $82-$85 million, respectively.

2025

For 2025, total revenues are expected to be between $1.08 billion and $1.09 billion compared with the prior mentioned $1.0-$1.05 billion.

Adjusted EBITDA is projected to be in the range of $126-$128 million compared with the previously stated $119-$126 million.

The variable marketing margin is expected to be in the range of $337-$340 million compared with the $329-$336 million mentioned previously.

Our View on LendingTree

TREE’s inorganic growth moves have strengthened its online lending platform. Its third-quarter results primarily benefited from an increase in EBITDA. The company’s efforts to increase revenues by diversifying its non-mortgage product offerings will support top-line growth in the future.

LendingTree, Inc. Price, Consensus and EPS Surprise

Currently, LendingTree carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Performance of Other Finance Stocks

Hancock Whitney Corp.’s (HWC - Free Report) third-quarter 2025 earnings per share of $1.49 exceeded the Zacks Consensus Estimate of $1.41. Further, the bottom line rose 12% from the prior-year quarter.

HWC’s results benefited from an increase in non-interest income and NII, alongside lower provisions. Also, higher loans were another positive. However, higher adjusted expenses and lower deposit balances were headwinds.

The Bank of New York Mellon Corporation’s (BK - Free Report) third-quarter 2025 adjusted earnings of $1.91 per share surpassed the Zacks Consensus Estimate of $1.76. Also, the bottom line reflected a jump of 25.7% from the prior-year quarter.

Results were primarily aided by a rise in fee revenues and NII. BNY Mellon recorded a provision benefit in the quarter, which was a tailwind. Growth in assets under custody and/or administration further supported the results. However, higher expenses and a lower assets under management balance were the undermining factors for BK.


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