NYSE$HIPO

Hippo Holdings Inc · Q1 2024 earnings

Q1 2024 earnings · · Investor relations

Briefing

Hippo demonstrated strong top-line growth and improved loss ratios in Q1 2024.

Hippo Holdings reported a strong start to 2024 with revenue up 114% year-over-year to $85 million. The company saw improvements in its HHIP gross loss ratio and a reduction in GAAP sales and marketing, technology and development, and general and administrative expenses. Net loss and Adjusted EBITDA also improved significantly.

  • Consolidated TGP increased by 20% year-over-year, with Services and IaaS representing 80% of TGP.
  • Services and IaaS drove TGP growth, increasing by 37% and 25% year-over-year, respectively.
  • HHIP Q1 gross loss ratio improved by 21 percentage points year-over-year to 80%.
  • GAAP S&M, T&D, and G&A collectively declined from 135% of revenue to 48% and these expenses declined 24% year-over-year, a reduction of $13 million.

Headline financials

Total Revenue

$85.1M

Previous: $39.8M+113.8%
EPS

-$1.47

Previous: -$3.01+51.2%
Capital Expenditures

-$100K

Previous: $0.00
Free Cash Flow

-$35.8M

Previous: -$69.8M+48.7%
Net Income

-$35.7M

Previous: -$69.8M+48.9%
Operating Income

$24.6M

Previous: -$20.7M+218.8%
Gross Profit

$64.3M

Previous: $24M+167.9%
Stock-Based Comp

$8.4M

Previous: $16.1M-47.8%

Revenue & EPS history

Hippo Holdings · Revenue · Quarterly

$85.1M

Q1 2024+113.8%vs Q1 2023
Beat estimate in 6 of 14 quarters(43%)
ActualEstimate

Forward guidance

Hippo is reiterating its guidance for the full year 2024.

Tailwinds

  • Expects TGP to grow to more than $1.3 billion
  • Expects revenue to grow to more than $340 million
  • Expects an adjusted EBITDA loss of between $41 and $51 million for the full year, with more than 90% of the losses coming in the first two quarters
  • Expects to be adjusted EBITDA positive in Q4
  • 41% of annual PCS-cat load is estimated to occur in Q2

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 Q1 2024

Historical avgQ1 2024

+1.9%

Avg return

Earnings day

-0.4%

Avg return

5 days after

-1.2%

Avg return

30 days after

64%

14 / 22 earnings

Positive

+35.6%

Q3 2023

Best reaction

-22.0%

Q2 2023

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-1.9%-5.9%-10.3%
Q4 2025-5.3%-1.7%-12.3%
Q3 2025+5.5%-6.4%-15.2%
Q1 2025-15.9%-7.2%+13.4%
Q4 2024+2.3%-6.7%-23.3%
Q3 2024-3.3%+10.3%+69.8%
Q2 2024+18.5%+20.0%+15.9%
Q1 2024-0.1%-1.0%-3.9%
Q4 2023+27.6%+27.2%+66.3%
Q3 2023+35.6%+29.7%+23.7%
Q2 2023-22.0%-33.0%-29.3%
Q1 2023+7.1%+4.1%-9.2%
Q4 2022+0.1%-0.5%-2.2%
Q3 2022+4.1%-7.5%-9.4%
Q2 2022+10.9%+5.3%+15.6%
Q1 2022-17.2%-4.1%-26.6%
Q4 2021+1.0%-4.1%-2.6%
Q4 2020+2.0%-2.7%-30.1%
Q3 2021+2.0%-2.7%-30.1%
Q3 2020+2.0%-2.7%-30.1%
Q2 2021-11.8%-20.3%+2.7%
Q1 2021+0.2%+0.6%+0.8%
Q2 2020
Q1 2020

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