Overview

* Goosehead Q2 total revenue revenue grows 20% yr/yr to $94 mln, core revenue up 18%

* Adjusted EPS and EBITDA missed analyst expectations, per LSEG data

* Net income declines 24% yr/yr to $8.3 mln, adjusted EBITDA margin dips

Outlook

* Goosehead expects 2025 total written premiums between $4.38 bln and $4.65 bln

* Company projects 2025 total revenues between $350 mln and $385 mln

Result Drivers

* REVENUE GROWTH - Total revenues increased 20% to $94.0 mln, driven by an 18% rise in core revenues, attributed to increased producer count, improved franchise productivity, and stable premium rate increases

* WRITTEN PREMIUMS - Total written premiums rose 18% to $1.2 bln

* COST INCREASES - Operating expenses rose 21% to $64.9 mln, largely due to investments in corporate producers and technology and systems to enhance client experience

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q2 $94 mln

Revenue

Q2 Core $86.80

Revenue mln

Q2 Miss $0.49 $0.5 (10

Adjusted Analysts

EPS )

Q2 Net $8.30

Income mln

Q2 Miss $29.20 $29.80

Adjusted mln mln (6

EBITDA Analysts

)

Q2 31.0%

Adjusted

EBITDA

Margin

Analyst Coverage

* The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 4 "strong buy" or "buy", 5 "hold" and 1 "sell" or "strong sell"

* The average consensus recommendation for the multiline insurance & brokers peer group is "buy."

* Wall Street's median 12-month price target for Goosehead Insurance Inc ( GSHD ) is $130.00, about 22.5% above its July 22 closing price of $100.79

* The stock recently traded at 46 times the next 12-month earnings vs. a P/E of 57 three months ago

Press Release:

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)