For the quarter ended September 2025, Lemonade (LMND) reported revenue of $194.5 million, up 42.4% over the same period last year. EPS came in at -$0.51, compared to -$0.95 in the year-ago quarter.
The reported revenue represents a surprise of +2.92% over the Zacks Consensus Estimate of $188.99 million. With the consensus EPS estimate being -$0.72, the EPS surprise was +29.17%.
While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expectations to determine their next course of action, some key metrics always provide a better insight into a company's underlying performance.
Since these metrics play a crucial role in driving the top- and bottom-line numbers, comparing them with the year-ago numbers and what analysts estimated about them helps investors better project a stock's price performance.
Here is how Lemonade performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:
- In force premium (end of period): $1.16 billion compared to the $1.15 billion average estimate based on four analysts.
- Premium per Customer (end of period): $403.00 versus the four-analyst average estimate of $404.56.
- Customers (end of period): 2,869,900 versus the four-analyst average estimate of 2,842,712.
- Net loss ratio: 64% versus 69.4% estimated by four analysts on average.
- Gross loss ratio: 62% versus 71% estimated by four analysts on average.
- Net investment income: $9.7 million versus $10.75 million estimated by four analysts on average. Compared to the year-ago quarter, this number represents a +9% change.
- Ceding commission income: $32.2 million versus $27.06 million estimated by four analysts on average. Compared to the year-ago quarter, this number represents a +34.2% change.
- Commission and other income: $12.6 million compared to the $11.68 million average estimate based on four analysts. The reported number represents a change of +57.5% year over year.
- Net earned premium: $140 million versus $139.52 million estimated by four analysts on average. Compared to the year-ago quarter, this number represents a +46.3% change.
View all Key Company Metrics for Lemonade here>>>
Shares of Lemonade have returned +6.5% over the past month versus the Zacks S&P 500 composite's +1% change. The stock currently has a Zacks Rank #3 (Hold), indicating that it could perform in line with the broader market in the near term.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Lemonade, Inc. (LMND): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
Zacks Investment Research
