For the quarter ended December 2025, Lemonade (LMND) reported revenue of $228.1 million, up 53.3% over the same period last year. EPS came in at -$0.29, compared to -$0.42 in the year-ago quarter.
The reported revenue compares to the Zacks Consensus Estimate of $216.67 million, representing a surprise of +5.28%. The company delivered an EPS surprise of +28.97%, with the consensus EPS estimate being -$0.41.
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.
As these metrics influence top- and bottom-line performance, comparing them to the year-ago numbers and what analysts estimated helps investors project a stock's price performance more accurately.
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): $1.24 billion versus the four-analyst average estimate of $1.22 billion.
- Premium per Customer (end of period): $414.00 versus the four-analyst average estimate of $406.54.
- Customers (end of period): 2,984,513 versus 3,008,014 estimated by four analysts on average.
- Net loss ratio: 53% compared to the 62.1% average estimate based on four analysts.
- Gross loss ratio: 52% versus the four-analyst average estimate of 61.8%.
- Total Revenue- Net investment income: $9.2 million versus $10.4 million estimated by five analysts on average. Compared to the year-ago quarter, this number represents a -2.1% change.
- Total Revenue- Ceding commission income: $33.2 million compared to the $30.64 million average estimate based on five analysts. The reported number represents a change of +12.2% year over year.
- Total Revenue- Commission and other income: $6.2 million versus $12.77 million estimated by five analysts on average. Compared to the year-ago quarter, this number represents a -27.9% change.
- Total Revenue- Net earned premium: $179.5 million compared to the $162.87 million average estimate based on five analysts. The reported number represents a change of +77.4% year over year.
View all Key Company Metrics for Lemonade here>>>
Shares of Lemonade have returned -23% over the past month versus the Zacks S&P 500 composite's -0.8% change. The stock currently has a Zacks Rank #4 (Sell), indicating that it could underperform the broader market in the near term.
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Lemonade, Inc. (LMND): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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