NASDAQ$LPRO

Open Lending Corporation · Q3 2023 earnings

Q3 2023 earnings · · Investor relations

Briefing

Open Lending's financial performance decreased due to lower certified loans and revenue, but the company focused on strategic investments for future growth.

Open Lending reported a decrease in certified loans and total revenue for Q3 2023 compared to the previous year. The company is focusing on positioning itself for future growth through strategic investments and believes it has a strong foundation with a substantial addressable market and positive cash flow.

  • The Company facilitated 29,959 certified loans during the third quarter of 2023, compared to 42,186 certified loans in the third quarter of 2022.
  • Total revenue was $26.0 million during the third quarter of 2023, compared to $50.7 million in the third quarter of 2022.
  • Net income was $3.0 million during the third quarter of 2023, compared to $24.5 million in the third quarter of 2022.
  • Adjusted EBITDA was $10.3 million during the third quarter of 2023, compared to $29.4 million in the third quarter of 2022.

Headline financials

Total Revenue

$26M

Previous: $50.7M-48.7%
EPS (adj)

$0.02

Previous: $0.19-89.5%
Certified Loans

30.0K

Previous: 42.2K-29.0%
Adjusted EBITDA Margin

40.0%

No prior period
Capital Expenditures

-$103K

Previous: -$637K+83.8%
Free Cash Flow

$2.9M

Previous: $23.9M-87.9%
Net Income

$3M

Previous: $24.5M-87.8%
Operating Income

$4.54M

Previous: $27.8M-83.7%
Gross Profit

$20.6M

Previous: $45.5M-54.6%
Cash & Equivalents

$233M

Previous: $202M+15.3%
Total Assets

$383M

Previous: $399M-3.9%
R&D Expense

$1.72M

No prior period
Stock-Based Comp

$2.66M

Previous: $1.3M+105.6%

Revenue & EPS history

Open Lending · Revenue · Quarterly

$26M

Q3 2023-48.7%vs Q3 2022
Beat estimate in 7 of 15 quarters(47%)
ActualEstimate

Revenue by segment

Open Lending · $26M total across 3 segments · Q3 2023

  • Program Fees
    $15.4M-29.4%
  • Profit Share
    $8.02M-69.8%
  • Claims Admin & Other Service Fees
    $2.57M+12.0%

Forward guidance

The Company is issuing guidance ranges for Q4 2023 as follows: Total Certified Loans between 22,000 and 26,000; Total Revenue between $25 and $29 million; Adjusted EBITDA between $11 and $14 million.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q3 2023

Historical avgQ3 2023

-0.6%

Avg return

Earnings day

+0.8%

Avg return

5 days after

+5.8%

Avg return

30 days after

54%

15 / 28 earnings

Positive

+26.7%

Q1 2023

Best reaction

-57.6%

Q4 2024

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+18.7%+15.6%+31.9%
Q4 2025+19.2%+19.0%+19.8%
Q3 2025-8.9%+3.1%+13.7%
Q1 2025+19.2%+29.0%+29.7%
Q4 2024-57.6%-63.0%-53.6%
Q3 2024-12.5%-6.5%-13.1%
Q2 2024-0.2%-4.4%-1.6%
Q1 2024+6.3%+12.6%+32.6%
Q4 2023-7.8%-11.3%-21.3%
Q3 2023-7.6%-10.1%+5.5%
Q2 2023-23.8%-20.9%-22.1%
Q1 2023+26.7%+27.8%+44.8%
Q4 2022-21.2%-16.0%-14.5%
Q3 2022+0.7%-5.7%+4.4%
Q2 2022-0.6%-1.2%-14.5%
Q1 2022-7.4%-17.9%-13.7%
Q4 2021+21.6%+26.0%+20.6%
Q3 2021-17.4%-11.3%-33.3%
Q2 2021+1.2%-8.9%+6.9%
Q1 2021-1.9%+0.7%+8.5%
Q4 2020+11.9%+21.7%+16.1%
Q3 2019+2.0%+1.8%+11.9%
Q3 2020+2.8%+7.9%+19.9%
Q4 2019+5.3%+8.7%+16.7%
Q2 2019+5.3%+8.7%+16.7%
Q1 2020+5.3%+8.7%+16.7%
Q1 2019+5.3%+8.7%+16.7%
Q2 2020-2.4%+0.3%+16.4%

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