NASDAQ$NRDS
NerdWallet Inc · Q2 2024 earnings
Q2 2024 earnings · · Investor relations
Briefing
Reported a 5% year-over-year revenue increase, but fell short of non-GAAP operating income guidance due to unexpected headwinds in organic search traffic.
NerdWallet reported Q2 2024 revenue of $150.6 million, a 5% increase year-over-year. The company experienced a GAAP net loss of $9.4 million, or $0.12 loss per diluted share. They are seeing early signs of recovery and continue to believe they have a path to achieving their mid- and long-term targets.
- Revenue reached $150.6 million, a 5% increase year-over-year.
- GAAP loss from operations was $9.6 million.
- GAAP net loss amounted to $9.4 million, or $0.12 loss per diluted share.
- Adjusted EBITDA was $14.3 million.
Headline financials
Revenue & EPS history
NerdWallet · Revenue · Quarterly
$151M
Revenue by segment
NerdWallet · $86.9M total across 2 segments · Q3 2023
- Credit cards$54M-5.9%62.1%
- Loans$32.9M+15.8%37.9%
Forward guidance
NerdWallet provided guidance for the third quarter of 2024, with revenue expected in the range of $172-$180 million, up 15% year-over-year at the midpoint. They anticipate GAAP operating income (loss) to be in the range of $(1)-$5 million, non-GAAP operating income in the range of $17-$21 million, and adjusted EBITDA in the range of $30.5-$34.5 million.
Tailwinds
- Revenue is expected to increase by 15% year-over-year at the midpoint.
- Non-GAAP operating income is expected in the range of $17-$21 million.
- Adjusted EBITDA is expected in the range of $30.5-$34.5 million.
- Annual GAAP operating income (loss) margin in the range of (0.5%)-1.1%.
- Annual adjusted EBITDA margin in the range of 14.75%-15.75%.
Headwinds
- GAAP operating income (loss) is expected in the range of $(1)-$5 million.
- The company committed to a restructuring plan, effective August 1, 2024, intended to reduce the Company’s operating expenses.
- The Restructuring Plan will reduce the size of the Company’s workforce by approximately 15% of its full-time employees as compared to its headcount as of December 31, 2023.
- The Company expects to incur a total estimated pre-tax restructuring charge of approximately $8 million to $10 million in connection with the Restructuring Plan.
- The charges that the Company expects to incur and the savings the Company expects to realize are subject to several assumptions.
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 Q2 2024
+6.0%
Avg return
Earnings day
+4.1%
Avg return
5 days after
+4.8%
Avg return
30 days after
55%
12 / 22 earnings
Positive
+43.5%
Q3 2023
Best reaction
-28.6%
Q1 2023
Worst reaction
| Quarter | Report date | Reaction (Day 0) | +5 days | +30 days |
|---|---|---|---|---|
| Q1 2026 | +2.8% | -22.8% | -26.8% | |
| Q4 2025 | +7.5% | +11.2% | -3.1% | |
| Q3 2025 | -2.0% | +1.5% | +26.7% | |
| Q1 2025 | +29.2% | +40.1% | +31.8% | |
| Q4 2024 | -18.6% | -25.0% | -34.8% | |
| Q3 2024 | +30.1% | +25.3% | +22.9% | |
| Q2 2024 | -27.8% | -31.8% | -18.4% | |
| Q1 2024 | -6.3% | -8.6% | -0.2% | |
| Q4 2023 | +4.1% | +8.0% | -2.4% | |
| Q3 2023 | +43.5% | +65.6% | +70.7% | |
| Q2 2023 | -8.1% | -10.1% | -13.9% | |
| Q1 2023 | -28.6% | -33.6% | -29.5% | |
| Q4 2022 | +27.3% | +24.0% | +18.9% | |
| Q3 2021 | +27.7% | +26.0% | +20.1% | |
| Q3 2022 | +27.7% | +26.0% | +20.1% | |
| Q2 2021 | +11.2% | +12.9% | +10.7% | |
| Q2 2022 | +6.3% | +9.3% | +9.9% | |
| Q1 2022 | -1.0% | -20.8% | +17.3% | |
| Q1 2021 | -1.0% | -20.8% | +17.3% | |
| Q4 2019 | -2.2% | +3.3% | -23.7% | |
| Q4 2020 | -2.2% | +3.3% | -23.7% | |
| Q4 2021 | +13.1% | +6.3% | +16.8% | |
| Q3 2020 | — | — | — | |
| Q2 2020 | — | — | — | |
| Q1 2020 | — | — | — |
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