Business
Open Lending Reports Third Quarter 2020 Financial Results
The Company Announces that OEM #2 Came Back Online in October as Planned AUSTIN, Texas, Nov. 10, 2020 (GLOBE NEWSWIRE) -- Open Lending Corporation (NASDAQ:
About this update from Open Lending Corporation
[{"type":"text","content":"The Company Announces that OEM #2 Came Back Online in October as Planned\nAUSTIN, Texas, Nov. 10, 2020 (GLOBE NEWSWIRE) -- Open Lending Corporation (NASDAQ: LPRO) (the “Company” or “Open Lending”), a leading provider of lending enablement and risk analytics solutions to financial institutions, today reported financial results for its third quarter of 2020.\n “We are very encouraged by our third quarter results, which include an 8% increase in certified loans, a 35% increase in revenue and a 29% increase in Adjusted EBITDA compared to the third quarter of 2019,” said John Flynn, Chairman and CEO Open Lending. “Our lending partners have proven resilient and continue to utilize our platform throughout the COVID-19 pandemic. We believe the low interest rate environment, the increased demand and value of used cars, and consumers moving out of cities and reluctant to use public modes of transportation are driving these positive trends. We are also thrilled that OEM#2 came back on to our platform in October as planned.” Three Months Ended September 30, 2020 Highlights The Company facilitated 20,696 certified loans during the third quarter of 2020, compared to 19,087 certified loans in the third quarter of 2019Total revenue was $29.8 million, compared to $22.1 million in the third quarter of 2019Gross profit was $27.3 million, compared to $20.2 million in third quarter of 2019GAAP net loss of $(71.1) million, compared to GAAP net income of $14.7 million in third quarter 2019. The GAAP net loss was primarily attributable to $(83.1) million in change in estimated fair value of contingent consideration shares awarded as part of the business combination with Nebula Acquisition Corporation (“Nebula”) on June 10, 2020. Given the share price performance milestones for the contingent consideration have all been met as of August 2020, net income beginning in the fourth quarter of 2020 and beyond will not be burdened by any changes to the fair value of the contingent consideration shares.Adjusted EBITDA was $19.7 million, compared to $15.3 million in the third quarter of 2019 Adjusted EBITDA is a non-GAAP financial measure. Reconciliations of this non-GAAP financial measure to its most directly comparable GAAP financial measure are provided in the financial tables included at the end of this press release. An explanation of this measure and how i...