Business
Porch Group Reports Fourth Quarter 2022 Results
- Reports $64.1 Million of Revenue, Growth of 24% Year-Over-Year - Insurance Segment continues strong growth, with atypical fourth-quarter weather impacting
About this update from Porch Group, Inc.
[{"type":"text","content":"- Reports $64.1 Million of Revenue, Growth of 24% Year-Over-Year - Insurance Segment continues strong growth, with atypical fourth-quarter weather impacting Adjusted EBITDA SEATTLE, March 14, 2023 (GLOBE NEWSWIRE) -- Porch Group, Inc. (“Porch Group” or “the Company”) (NASDAQ: PRCH), a leading vertical software company reinventing the home services and insurance industries, today reported fourth-quarter results for the Company as of December 31, 2022, with revenues of $64.1 million, compared to fourth-quarter 2021 revenues of $51.6 million. For the year ended December 31, 2022, Porch Group reported revenues of $275.9 million, compared to $192.4 million in 2021. CEO Summary “I am proud of the work and contributions from the entire Porch team in 2022 as we dealt with impacts of inflation, challenging capital markets, unusual weather volatility, and a housing market that slowed substantially. Throughout this time, we stayed focused on what we can control and moved forward in our strategy and toward our target of Adjusted EBITDA profitability in the second half of 2023,” said Matt Ehrlichman, Chief Executive Officer, Chairman and Founder of Porch Group. “We finished the year with another strong quarter of growth and cost discipline. We have announced our intention to apply for the creation of a Reciprocal Exchange to advance our insurance business, and I am excited about a future with expected higher and consistent margins, with reduced direct exposure to claims and weather events.” Fourth Quarter 2022 Financial Results Total revenue for the fourth quarter of 2022 was $64.1 million, an increase of 24% or $12.5 million from $51.6 million in the fourth quarter of 2021.Revenue less cost of revenue for the fourth quarter of 2022 was $43.9 million or 69% of total revenue, compared to $37.4 million or 73% of total revenue for the fourth quarter of 2021. Unexpected weather events caused higher-than-expected fourth quarter claims, adding approximately $7 million of additional costs in the quarter, including Winter Storm Elliott.GAAP net loss for the fourth quarter of 2022 totaled $35.5 million, compared to a GAAP net loss of $20.1 million for the fourth quarter of 2021. GAAP net loss for the fourth quarter of 2022 was impacted by higher-than-expected claims driven by Winter Storm Elliott.Adjusted EBITDA loss for the fourth quarter of 2022 to...