Business
Porch Group Reports Third Quarter 2023 Results
Porch Delivers Q3 Adjusted EBITDA of $8.8 million GAAP net loss of $(5.7) million SEATTLE--(BUSINESS WIRE)-- Porch Group, Inc. (“Porch Group” or “the
About this update from Porch Group, Inc.
[{"type":"text","content":"\nPorch Delivers Q3 Adjusted EBITDA of $8.8 million\nGAAP net loss of $(5.7) million\n\n\n SEATTLE--(BUSINESS WIRE)--\nPorch Group, Inc. (“Porch Group” or “the Company”) (NASDAQ: PRCH), a leading vertical software company reinventing the home services and insurance industries, today reported third quarter results for the Company as of September 30, 2023, with total revenue of $129.6 million, which increased 67% compared to the prior year, and Adjusted EBITDA of $8.8 million, which increased $19.7 million compared to the prior year. GAAP net loss of $(5.7) million, compared to $(84.5) million in the prior year.\n\n\nCEO Summary\n\n\n\"We are pleased to share our financial results with positive Adjusted EBITDA of $8.8 million. In March 2022, we initially communicated our important target to be Adjusted EBITDA profitable in the second half of 2023, and we are well on our way to achieving that target. We continue to focus on ongoing profitability, with underwriting actions including premium per policy increases, non-renewing policies where our data suggests they are higher risk and deductible increases in our insurance business, launching new software modules coupled with price increases in our software businesses, capital allocation toward businesses that are generating strong returns like our warranty business, and cost reduction initiatives across the company.” Matt Ehrlichman, Chief Executive Officer, Chairman and Founder.\n\n\nThird Quarter 2023 Financial Results\n\n\n\nTotal revenue of $129.6 million, an increase of 67% or $52.2 million (third quarter of 2022: $77.4 million), driven by the Insurance Segment.\n\n\n\nRevenue less cost of revenue of $76.6 million, or 59% of total revenue (third quarter of 2022: $44.4 million, 57% of total revenue). Increase driven by premium per policy increases and other underwriting actions in the Insurance segment and a mix shift towards higher margin businesses in the Vertical Software segment.\n\n\n\nGAAP net loss of $(5.7) million, compared to $(84.5) million for the third quarter of 2022.\n\n\n\nAdjusted EBITDA of $8.8 million, an increase from the prior year (third quarter of 2022: loss of $(10.9) million). Positive in both segments and benefiting from strong expense control.\n\n\n\nGross written premium for the quarter in our Insurance segment was $154 million with approximately 334 thou...