EverQuote's Q1 Earnings & Revenues Beat, Automotive Vertical Grows

EverQuote EVER reported first-quarter 2025 operating net income per share of 38 cents, which beat the Zacks Consensus Estimate by 17.8%. Moreover, the bottom line increased more than sevenfold year over year. (Find the latest EPS estimates and surprises on Zacks Earnings Calendar.)

The first quarter marks the fourth straight quarter of record revenue and adjusted EBITDA performance. All the verticles showed improvement. 

Behind EVER’s Headlines

Revenues in the Automotive insurance vertical increased 97% year over year to $152.7 million. The Zacks Consensus Estimate was pegged at $143 million and our estimate was pinned at $142.2 million.

Revenues in the Home and Renters insurance vertical totaled $13.9 million, which increased 10% year over year. The Zacks Consensus Estimate was pegged at $15.3 million and our estimate was pinned at $15.5 million. 

Revenues in the Other insurance vertical totaled $13 million, which plunged 98.4% year over year.  The Zacks Consensus Estimate was pegged at $24 million and our estimate was pinned at $0.2 million. 

Total revenues of $166.6 million beat the Zacks Consensus Estimate by 5.4%. The top line surged 83% year over year.

EverQuote, Inc. Price, Consensus and EPS Surprise

EverQuote, Inc. price-consensus-eps-surprise-chart | EverQuote, Inc. Quote

Total costs and operating expenses increased 77.6% to $158.6 million, mainly due to higher sales and marketing, cost of revenues, research and development costs, and general and administrative expenses. Our estimate was pegged at $137.8 million. 

EverQuote’s variable marketing margin increased 52.3% year over year in the quarter under review to $46.9 million. The Zacks Consensus Estimate was pinned at $45.4 million and our estimate was pegged at $45.6 million. 

Adjusted EBITDA was $22.5 million, up 196% year over year.

EVER’s Financial Update

EverQuote exited the first quarter of 2025 with cash and cash equivalents of $125 million, up 22% from 2024-end.

Total assets were $232.1 million, up 10.3% from 2024-end. Total stockholders' equity increased 10.4% to $149.5 million from 2024-end. 

Cash from operations was $23.3 million in the first quarter of 2025, up 124% year over year. 

EVER’s Q2 2025 Guidance

EverQuote estimates revenues in the range of $155-$160 million and a variable marketing margin in the band of $45-$47 million. The company expects adjusted EBITDA between $20 million and $22 million.

Zacks Rank of EVER

EVER currently sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

Performance of Other Insurers

Radian Group RDN reported first-quarter 2025 adjusted operating income of 99 cents per share, which beat the Zacks Consensus Estimate by 4.2%. The bottom line decreased 3.9% year over year. Operating revenues remained flat year over year at $306 million. The figure missed the Zacks Consensus Estimate by 6.4%. 

Mortgage insurance new insurance written decreased 17.7% year over year to $9.5 billion. Net premiums earned were $234 million, flat year over year. Persistency was 83.7% as of March 31, 2025, contracting 60 basis points (bps) year over year.

Prudential Financial, Inc. PRU reported first-quarter 2025 adjusted operating income of $3.29 per share, which beat the Zacks Consensus Estimate by 2.5%. The bottom line also rose 7.8% year over year. Total revenues of $13.4 billion declined 38% year over year and missed the Zacks Consensus Estimate by 7.7%. The decrease in revenues was due to lower premiums. 

Total benefits and expenses amounted to $18.9 billion, which declined 41% year over year in the first quarter. This decrease was due to lower insurance and annuity benefits, interest expense and operating expenses. The figure was higher than our estimate of $13 billion. 

Everest Group EG reported first-quarter 2025 operating income of $6.45 per share, which missed the Zacks Consensus Estimate by 13.5%. The bottom line dropped 60.5% year over year. Total operating revenues of nearly $4.3 billion increased 3.1% year over year on higher premiums earned and net investment income. The top line missed the consensus mark by 4.5%.

Gross written premiums declined 2% year over year to $4.4 billion, attributable to a 1.1% decline in Reinsurance and 0.1% lower gross written premiums in Insurance. The combined ratio deteriorated 1390 bps year over year to 102.7 in the reported quarter. The Zacks Consensus Estimate was pegged at 99, while our estimate was pinned at 93.

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This article originally published on Zacks Investment Research (zacks.com).

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