Porch Group Reports Second Quarter 2026 Results

Insurance Services Revenue Growth of 38% YoY; Reciprocal Policies Written³ Growth of 38% YoY

SEATTLE--(BUSINESS WIRE)--Porch Group, Inc. (“Porch,” “the Company,” “we,” “our,” “us”) (NASDAQ: PRCH), a new kind of homeowners insurance company, today reported second quarter results through June 30, 2026, that exceeded our expectations. As a result, the Company raised guidance for the remainder of the year.

CEO Summary

“Q2 was a strong quarter and another clear proof point that the model is working. We exceeded expectations, grew Adjusted EBITDA (Excluding Reciprocal)¹ meaningfully, delivered positive net income attributable to Porch, and are raising guidance² across the board. Insurance Services continues to run ahead of schedule, with Reciprocal Written Premium³ scaling, total Reciprocal Policies Written³ up 38% year-over-year, and strong earnings flow-through from premium into Adjusted EBITDA (Excluding Reciprocal)¹. With strong capacity, expanding top-of-funnel activity, and rapid policy growth, we believe Porch is increasingly positioned for sustained profitability, a stronger balance sheet profile, and disciplined premium growth over time,” said Matt Ehrlichman, Chief Executive Officer, Chairman and Founder.

Second Quarter 2026 Key Financial Highlights

• Consolidated revenue was $140.9 million, up 12% YoY. Porch-Owned Segments Revenue (Excluding Reciprocal)¹, representing the revenue contributions across the Porch-owned businesses, was $131.8 million, up 23% YoY, led by Insurance Services revenue of $92.9 million, up 38% YoY.
• Net income attributable to Porch was $5.6 million.
• Adjusted EBITDA (Excluding Reciprocal)¹ of $39.1 million grew 150% YoY, largely driven by $139.8 million of Reciprocal Written Premium (“RWP”).
• Consolidated gross profit was $87.6 million. Porch-Owned Segments Gross Profit (Excluding Reciprocal)¹, representing the gross profit contributions across the Porch-owned businesses, grew 25% YoY to $111.6 million.

Second Quarter 2026 Operational Highlights

• Top-of-funnel expansion continued, with Q2 2026 producing agency branch locations rising 148% from Q2 2025 and quote volumes rising 87% from Q2 2025.
• Conversion remained well above prior-year levels, helping drive 206% YoY growth in Q2 2026 RWP³ from new customers, with momentum increasing exiting the quarter.
• Reciprocal Policies Written³ grew 38% YoY, an acceleration in the rate of year-over-year growth relative to Q1 2026 (33% year-over-year).
• Capacity continued to build: statutory surplus at the Porch Reciprocal Exchange (the “Reciprocal”) ended Q2 2026 at $169.9 million, up 33% versus Q2 2025 and up 3% versus Q1 2026. Surplus combined with non-admitted assets ended at $376.5 million, supporting our ability to scale premiums long into the future while maintaining a healthy Reciprocal.

The following table presents the Company’s unaudited segment operating results for the current quarter.

The following table reconciles segment Adjusted EBITDA to Adjusted EBITDA (Excluding Reciprocal).

The following table presents the Company’s unaudited segment operating results for the same quarter of the prior year.

The following table reconciles segment Adjusted EBITDA to Adjusted EBITDA (Excluding Reciprocal).

The following table presents the Company’s key performance measures and operating metrics. Definitions are on page 12 of this release.

Porch-Owned Segments Full-Year 2026 Financial Outlook

Financial guidance represents the businesses owned by Porch, and does not include the future expected results of the Reciprocal which is owned by its policyholder-members and not by Porch. Porch-Owned Segments full-year 2026 guidance is as follows:

Porch provides full year 2026 guidance based on current market conditions, assumptions, and expectations as of the date of this release. Actual results may vary due to a number of factors, and there is no guarantee that the Company will be able to achieve these results. Porch is not providing reconciliations of expected Porch-Owned Segments Revenue (Excluding Reciprocal), Porch-Owned Segments Gross Profit (Excluding Reciprocal), or Adjusted EBITDA (Excluding Reciprocal) for future periods to the most directly comparable measures prepared in accordance with GAAP because the Company is unable to provide these reconciliations without unreasonable effort because certain information necessary to calculate such measures on a GAAP basis is unavailable or dependent on the timing of future events outside of the Company’s control.

Balance Sheet Information (unaudited)

The following table provides the components of cash and cash equivalents, restricted cash and cash equivalents, and investments.

At June 30, 2026, the total of cash, cash equivalents, restricted cash and cash equivalents, and investments of Porch-Owned Segments and corporate was $126.8 million. The decrease from March 31, 2026, was primarily driven by the timing of bi-annual cash interest payments and the purchase of 2.1 million shares of Porch common stock from the Reciprocal partially offset by Adjusted EBITDA (Excluding Reciprocal)¹ of $39.1 million. Porch also holds $106 million surplus notes from the Reciprocal, which are eliminated in consolidation. The surplus notes bear interest of SOFR +9.75%.

At June 30, 2026, the total of the Reciprocal’s cash, cash equivalents, restricted cash and cash equivalents, and investments was $331.0 million.

As of June 30, 2026, outstanding principal for convertible debt was $475.1 million. This includes $134.0 million of 9.00% Convertible Senior Unsecured Notes due May 2030 (the “2030 Notes”), $333.3 million of 6.75% Convertible Senior Secured Notes due October 2028 (the “2028 Notes”), and $7.8 million of 0.75% Convertible Senior Unsecured Notes due September 2026 (the “2026 Notes”). Management expects to settle the 2026 Notes at maturity on September 15, 2026.

In June 2026, the Reciprocal sold approximately 2.1 million shares of Porch common stock to Porch’s wholly owned captive reinsurance business for an aggregate cash purchase price of approximately $15 million, representing a price per share of $7.17, which was the Nasdaq closing price on March 31, 2026, the date the parties received the requisite corporate approvals for the transaction subject to the receipt of regulatory approvals. The Reciprocal still holds approximately 16.2 million shares of Porch common stock, providing continued upside potential should the share price appreciate.

Conference Call

Porch management will host a conference call today July 29, 2026, at 5:00 p.m. Eastern time (2:00 p.m. Pacific time). The call will be accompanied by a slide presentation available on the Investor Relations section of the Company’s website at ir.porchgroup.com. A question-and-answer session will follow management’s prepared remarks.

All are invited to listen to the event by registering for the webinar, a replay of the webinar will also be available. See the Investor Relations section of Porch’s corporate website at ir.porchgroup.com.

About Porch Group

Porch Group, Inc. (“Porch”) is a new kind of homeowners insurance company. Porch's strategy to win in homeowners insurance is to deploy leading vertical software solutions in select home-related industries, provide the best services for homebuyers including important moving services, leverage unique data for advantaged underwriting, and provide more protection for policyholders.

To learn more about Porch, visit ir.porchgroup.com.

Forward-Looking Statements

Certain statements in this release are considered forward-looking statements as defined by the Private Securities Litigation Reform Act of 1995. These statements are based on the beliefs and assumptions of management. Although we believe that our plans, intentions, and expectations reflected in or suggested by these forward-looking statements are reasonable, we cannot assure you that we will achieve or realize these plans, intentions, or expectations. Forward-looking statements are inherently subject to risks, uncertainties, and assumptions. Generally, statements that are not historical facts, including statements concerning our financial outlook and guidance, possible or assumed future actions, business strategies, events, or results of operations, are forward-looking statements. These statements may be preceded by, followed by, or include the words “believe,” “estimate,” “expect,” “project,” “forecast,” “may,” “will,” “should,” “seek,” “plan,” “scheduled,” “anticipate,” “intend,” or similar expressions.

Forward-looking statements are not guarantees of performance. You should not put undue reliance on these statements which speak only as of the date hereof. You should understand that the following important factors, among others, could affect our future results and could cause those results or other outcomes to differ materially from those expressed or implied in our forward-looking statements:

• expansion plans and opportunities, and managing growth, to build a consumer brand;

• the incidence, frequency, and severity of weather events, extensive wildfires, and other catastrophes;

• economic conditions, especially those affecting the housing, insurance, and financial markets;

• expectations regarding revenue, cost of revenue, operating expenses, and the ability to achieve and maintain future profitability;

• existing and developing federal and state laws and regulations, including with respect to insurance, warranty, privacy, information security, data protection, and taxation, and management’s interpretation of and compliance with such laws and regulations;

• the structure, availability, and performance of Porch Reciprocal Exchange (the “Reciprocal”)’s and Homeowners of America (“HOA”)’s reinsurance programs to protect against loss and maintain their financial stability ratings and a healthy surplus, the success of which are dependent on a number of factors outside management’s control;

• the possibility that a decline in our share price would result in a negative impact to the Reciprocal’s surplus position and may require further financial support to enable the Reciprocal to meet applicable regulatory requirements and maintain financial stability rating;

• the possibility that a decline in our share price would result in a negative impact to our captive reinsurance business' capital and collateral portfolio, and may require further financial support to enable the captive reinsurance business to meet applicable regulatory requirements;

• uncertainties related to regulatory approval of insurance rates, policy forms, insurance products, license applications, acquisitions of businesses, or strategic initiative, and other matters within the purview of insurance regulators (including the discount associated with the shares contributed to HOA that were subsequently transferred to the Reciprocal in connection with the closing of the sale of HOA to the Reciprocal);

• the ability of the Company and its affiliates to successfully operate and manage the Reciprocal and our ability to successfully operate our businesses alongside a reciprocal exchange;

• our ability to implement our plans, forecasts and other expectations with respect to the Reciprocal and to realize expected synergies and/or convert policyholders from our existing insurance carrier business into policyholders of the Reciprocal;

• reliance on strategic, proprietary relationships to provide us with access to personal data and product information, and the ability to use such data and information to increase transaction volume and attract and retain customers;

• the ability to develop new, or enhance existing, products, services, and features and bring them to market in a timely manner;

• the ability to effectively integrate and leverage artificial intelligence and machine learning technologies;

• changes in capital requirements, and the ability to access capital when needed to provide statutory surplus;

• our ability to timely repay our outstanding indebtedness;

• the increased costs and initiatives required to address new legal and regulatory requirements arisi

Investor Relations Contact
IR@porch.com