NASDAQ$NRDS

NerdWallet Inc · Q4 2023 earnings

Q4 2023 earnings · · Investor relations

Briefing

NerdWallet's Q4 2023 financial performance reflected a revenue decrease of 6% year-over-year, alongside strategic improvements aimed at enhancing efficiency and operational effectiveness.

NerdWallet reported a Q4 revenue of $133.7 million, a 6% decrease year-over-year. The company focused on structural improvements to increase efficiency and improve operations. Despite not meeting revenue or adjusted EBITDA outlook for Q4, the full year revenue increased by 11% compared to the previous year.

  • Q4 revenue was $133.7 million, a 6% decrease year-over-year.
  • GAAP income from operations was $4.6 million for Q4.
  • GAAP net loss was $2.3 million, or $0.03 loss per diluted share for Q4.
  • Non-GAAP operating income was $12.6 million for Q4.

Headline financials

Total Revenue

$134M

Previous: $142M-5.8%
EPS (adj)

-$0.03

Previous: $0.12-125.0%
Capital Expenditures

-$9.4M

Previous: $300K-3233.3%
Net Income

-$2.3M

Previous: $8.9M-125.8%
Operating Income

$4.6M

Previous: $7.9M-41.8%
Gross Profit

$120M

Previous: $130M-7.6%
R&D Expense

$20.3M

No prior period
Stock-Based Comp

$9.5M

Previous: $9.1M+4.4%

Revenue & EPS history

NerdWallet · Revenue · Quarterly

$134M

Q4 2023-5.8%vs Q4 2022
Beat estimate in 10 of 14 quarters(71%)
ActualEstimate

Revenue by segment

NerdWallet · $86.9M total across 2 segments · Q3 2023

  • Credit cards
    $54M-5.9%
  • Loans
    $32.9M+15.8%

Forward guidance

For the first quarter of 2024, NerdWallet expects revenue in the range of $155-$160 million, GAAP operating income in the range of $0-$3 million, Non-GAAP operating income in the range of $5-$8 million, and Adjusted EBITDA in the range of $21-$24 million.

Tailwinds

  • Revenue is expected in the range of $155-$160 million for Q1 2024.
  • GAAP operating income is expected in the range of $0-$3 million for Q1 2024.
  • Non-GAAP operating income is expected in the range of $5-$8 million for Q1 2024.
  • Adjusted EBITDA is expected in the range of $21-$24 million for Q1 2024.
  • The company expects a 2024 annual GAAP operating income margin in the range of 3-4.5%.

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 Q4 2023

Historical avgQ4 2023

+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

Earnings price reactions
QuarterReport dateReaction (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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