EverQuote Inc.(NASDAQ: EVER) stock gained by 0.23% at also close whereas the EVER stock price plunge by 5.42% in the pre-market trading session. EverQuote is a well-known internet insurance marketplace that connects customers with insurers. The company’s purpose is to help consumers safeguard their most valuable assets: their family, property, and future.
EVER stock’ Financial Highlights
For the third quarter ending September 30, 2021, EverQuote released preliminary, unaudited financial figures.
- Total revenue is projected to be between $106.5 and $107.5 million, relative to $109 and $111 million in the forecast.
- In comparison to the guidance of $33 – $34 million, the variable marketing margin is projected to be in the region of $32 – $32.5 million.
- The GAAP net loss is projected to be in the $6.0–$5.5 million range.
- Compared to expectations of $4.5-5.5 million, adjusted EBITDA is projected to be in the region of $2.0-2.5 million.
The company said today that it expects to cut non-marketing operational expenditures (excluding non-cash items) by around 10%, with the cuts mostly coming from its car marketplace activities.
Jayme Mendal, CEO of EverQuote commented,
Difficulties in the auto insurance market harmed their third-quarter results, some of their important carrier clients had relatively high claims losses, resulting in a rapid pullback of their marketing activities in an attempt to recover goal levels of profitability. These industry characteristics, they feel, are just temporary and will be corrected when carriers change their pricing strategies to a new underwriting climate. They believe other non-auto verticals to be unaffected by these issues, and they remain optimistic about the health insurance vertical’s fourth-quarter performance.
John Wagner, CFO of EverQuote stated,
They believe that they will be well placed for future development when auto insurance carriers revert to their usual pattern of recruiting consumers through digital channels as a consequence of acting rapidly to simplify their processes. They believe that having a more sustainable cost structure will help them achieve long-term growth and profitability.
