NYSE$LMND
Lemonade Inc. · Q3 2023 earnings
Q3 2023 earnings · · Investor relations
Briefing
Lemonade's Q3 2023 performance showed strong growth in in-force premium and gross profit, alongside improvements in gross loss ratio and adjusted EBITDA loss.
Lemonade reported strong Q3 2023 results with in-force premium growing by 18%, gross profit increasing by 170%, and gross loss ratio improving by 11 percentage points. The company's adjusted EBITDA loss also improved by 39%, and they anticipate being cash-flow positive in late 2025.
- In-force premium grew 18% year-over-year, reaching $719 million.
- Gross loss ratio improved by 11 percentage points, landing at 83%.
- Gross profit was up 170% year-over-year, totaling $22 million.
- Adjusted EBITDA loss improved by 39% year-over-year, amounting to a $40 million loss.
Headline financials
Revenue & EPS history
Lemonade · Revenue · Quarterly
$115M
Forward guidance
For Q4 2023, Lemonade anticipates in force premium between $726 - $729 million, gross earned premium between $174 - $176 million, revenue between $107 - $109 million, and an adjusted EBITDA loss between ($44) - ($42) million.
Tailwinds
- In force premium at December 31, 2023 of $726 - $729 million
- Gross earned premium of $174 - $176 million
- Revenue of $107 - $109 million
Headwinds
- Adjusted EBITDA loss of ($44) - ($42) million
- Stock-based compensation expense of approximately $16 million
- Capital expenditures of approximately $3 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
+0.8%
Avg return
Earnings day
+3.7%
Avg return
5 days after
+10.5%
Avg return
30 days after
44%
11 / 25 earnings
Positive
+57.5%
Q3 2023
Best reaction
-25.2%
Q4 2023
Worst reaction
| Quarter | Report date | Reaction (Day 0) | +5 days | +30 days |
|---|---|---|---|---|
| Q1 2026 | +3.7% | -13.6% | -11.5% | |
| Q4 2025 | -6.1% | -20.6% | -2.4% | |
| Q3 2025 | +34.3% | +34.5% | +34.6% | |
| Q1 2025 | +0.8% | +3.6% | +19.2% | |
| Q4 2024 | +12.6% | +18.5% | +3.1% | |
| Q3 2024 | +28.8% | +33.6% | +176.3% | |
| Q2 2024 | -23.6% | -26.6% | -18.1% | |
| Q1 2024 | +3.0% | +4.1% | -4.2% | |
| Q4 2023 | -25.2% | -20.6% | -24.4% | |
| Q3 2023 | +57.5% | +53.1% | +66.4% | |
| Q2 2023 | -22.4% | -26.8% | -36.3% | |
| Q1 2023 | +32.0% | +47.8% | +64.1% | |
| Q4 2022 | -2.9% | -0.7% | -21.1% | |
| Q3 2022 | +11.2% | +13.7% | -7.3% | |
| Q2 2022 | +14.1% | +27.5% | -3.2% | |
| Q1 2022 | -6.7% | +13.7% | +3.5% | |
| Q4 2021 | +2.3% | +5.8% | +12.7% | |
| Q3 2021 | -10.8% | -9.3% | -34.0% | |
| Q2 2021 | -10.0% | -7.6% | -14.0% | |
| Q1 2021 | -12.4% | -1.9% | +43.8% | |
| Q1 2020 | -12.4% | -1.9% | +43.8% | |
| Q4 2020 | -22.2% | -29.8% | -27.8% | |
| Q3 2020 | -15.0% | -1.0% | +38.9% | |
| Q2 2020 | -5.6% | -2.0% | -20.1% | |
| Q4 2019 | -5.6% | -2.0% | -20.1% | |
| Q3 2019 | — | — | — | |
| Q2 2019 | — | — | — | |
| Q4 2018 | — | — | — | |
| Q3 2018 | — | — | — | |
| Q2 2018 | — | — | — |
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