NYSE$LMND

Lemonade Inc. · Q4 2025 earnings

Q4 2025 earnings · · Before market open · Investor relations

Briefing

Lemonade reported Q4 2025 revenue of $228.1M with a net loss of $21.7M as in-force premium grew 31%.

Revenue increased 53% to $228.1 million on higher gross earned premium and ceding commission income. Net loss improved to $21.7 million from $30.0 million a year ago. In-force premium reached $1.24 billion (+31% YoY).

  • Q4 revenue $228.1M (+53% YoY).
  • In-force premium $1.24B (+31%).
  • Gross loss ratio improved to 52%.
  • FY26 IFP growth guide 32%; path to Q4 2026 adjusted EBITDA profitability.

Headline financials

Total Revenue

$228M

Previous: $149M+53.3%
EPS (adj)

-$0.29

Previous: -$0.42+31.0%
In-Force Premium

$1.24B

Previous: $944M+31.0%
Customers

3.0M

Previous: 2.4M+22.8%
Premium per Customer

$414.00

Previous: $388.00+6.7%
Gross Earned Premium

$290M

Previous: $226M+28.2%
Annual Dollar Retention

85.0%

Previous: 86.0%-1.2%
Adjusted Gross Profit

$112M

Previous: $66.2M+69.2%
Adjusted EBITDA

-$4.6M

Previous: -$23.8M+80.7%
Gross Profit Margin

48.0%

Previous: 43.0%+11.6%
Adjusted Gross Profit Margin

49.0%

Previous: 44.0%+11.4%
Adj GP to GEP Ratio

39.0%

Previous: 29.0%+34.5%
Gross Loss Ratio

52.0%

Previous: 63.0%-17.5%
Net Loss Ratio

53.0%

Previous: 62.0%-14.5%
Net Income

-$21.7M

Previous: -$30M+27.7%
Operating Income

-$20.6M

Previous: -$37.8M+45.5%
Gross Profit

$111M

Previous: $63.9M+73.1%

Revenue & EPS history

Lemonade · Revenue · Quarterly

$228M

Q4 2025+53.3%vs Q4 2024
Beat estimate in 14 of 15 quarters(93%)
ActualEstimate

Forward guidance

The release discusses Lemonade's outlook for upcoming periods, including capital allocation, operating priorities, and market risks, without relying solely on numeric EPS bridges.

Tailwinds

  • Lemonade cites operational execution and demand trends supporting the outlook.
  • Balance sheet and liquidity actions aim to fund growth and returns.

Headwinds

  • GAAP profitability remained under pressure in Q4 2025.
  • Macro, pricing, and input-cost volatility could pressure margins.
  • Segment mix and one-time items may affect quarter-to-quarter comparability.

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 2025

Historical avgQ4 2025

+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

Earnings price reactions
QuarterReport dateReaction (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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