NYSE$MAX

MediaAlpha Inc · Q2 2024 earnings

Q2 2024 earnings · · Investor relations

Briefing

Reported record quarterly performance with strongest transaction value and adjusted EBITDA.

MediaAlpha announced outstanding second quarter 2024 financial results, demonstrating the strength of its business model and solid execution. The company reported a 110% year-over-year increase in revenue, reaching $178.3 million. Transaction Value increased by 156% year-over-year to $321.8 million, with significant growth in the Property & Casualty insurance vertical.

  • Revenue increased by 110% year-over-year to $178.3 million.
  • Transaction Value increased by 156% year-over-year to $321.8 million.
  • Net income was $4.4 million, compared to a net loss of $(20.0) million in Q2 2023.
  • Adjusted EBITDA was $18.7 million, compared to $3.6 million in Q2 2023.

Headline financials

Total Revenue

$178M

Previous: $84.8M+110.3%
EPS

$0.07

Previous: -$0.32+121.9%
Transaction Value

$322M

Previous: $126M+155.6%
P&C Transaction Value

$255M

No prior period
Health Transaction Value

$55.3M

No prior period
Life Transaction Value

$7.89M

No prior period
Other Transaction Value

$4.07M

No prior period
Gross Margin

17.8%

Previous: 16.2%+9.9%
Contribution Margin

18.9%

Previous: 19.5%-3.1%
Adjusted EBITDA

$18.7M

Previous: $3.59M+421.7%
Capital Expenditures

-$130K

No prior period
Free Cash Flow

$3.62M

Previous: -$14.3M+125.3%
Net Income

$3.62M

Previous: -$14.3M+125.3%
Operating Income

$6.49M

Previous: -$16.1M+140.4%
Gross Profit

$31.7M

Previous: $13.8M+130.2%
Cash & Equivalents

$28.7M

Previous: $20M+43.1%
Total Assets

$198M

Previous: $140M+41.4%
R&D Expense

$5.05M

No prior period
Stock-Based Comp

$9.22M

Previous: $15.1M-39.1%

Revenue & EPS history

MediaAlpha · Revenue · Quarterly

$178M

Q2 2024+110.3%vs Q2 2023
Beat estimate in 12 of 15 quarters(80%)
ActualEstimate

Forward guidance

For the third quarter of 2024, MediaAlpha expects Transaction Value between $415 million - $435 million, Revenue between $240 million - $255 million, and Adjusted EBITDA between $22.0 million and $24.0 million.

Tailwinds

  • Transaction Value expected between $415 million - $435 million, representing a 290% year-over-year increase at the midpoint.
  • Revenue expected between $240 million - $255 million, representing a 232% year-over-year increase at the midpoint.
  • Adjusted EBITDA expected between $22.0 million and $24.0 million, representing a 541% year-over-year increase at the midpoint.
  • P&C insurance vertical Transaction Value to be 40% to 45% higher than Q2 2024 levels.
  • Health vertical Transaction Value to grow year-over-year at a rate similar to Q2 2024.

Headwinds

  • Contribution less Adjusted EBITDA is projected to be flat to slightly up compared with Q2 2024 levels.
  • Inability to predict reconciling items that may affect net income (loss) without unreasonable effort, including equity-based compensation, transaction expenses and income tax expense.
  • Reconciling items are uncertain and depend on various factors.
  • These items could significantly impact the corresponding GAAP measures for the applicable period.
  • Guidance reflects a continuation of recent trends in customer acquisition spending in the P&C vertical.

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

Historical avgQ2 2024

+3.4%

Avg return

Earnings day

+1.5%

Avg return

5 days after

+0.5%

Avg return

30 days after

50%

11 / 22 earnings

Positive

+31.8%

Q3 2022

Best reaction

-18.5%

Q4 2024

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-0.1%-11.3%-11.8%
Q4 2025+12.3%+27.9%+23.4%
Q3 2025+10.8%+20.1%+14.7%
Q1 2025+14.2%+18.2%+21.4%
Q4 2024-18.5%-18.6%-11.0%
Q3 2024-12.6%-17.9%-35.5%
Q2 2024+15.0%+12.1%+23.4%
Q1 2024+9.0%+9.3%-12.2%
Q4 2023+22.3%+24.2%+26.0%
Q3 2023-4.6%-15.8%+0.1%
Q2 2023-3.0%-6.2%-13.2%
Q1 2023-2.4%-6.4%+50.7%
Q4 2022+12.3%+4.8%+1.0%
Q3 2022+31.8%+26.4%+2.3%
Q2 2022-15.0%-32.8%-28.9%
Q1 2022-9.6%-22.0%-31.2%
Q4 2021+28.9%+31.6%+39.1%
Q3 2021-1.5%+12.7%-2.1%
Q2 2021-6.6%-19.1%-25.2%
Q1 2021-13.1%-4.2%+3.6%
Q4 2020+3.3%+8.2%-30.3%
Q3 2020+1.8%-7.4%+7.2%
Q2 2020
Q1 2020
Q4 2019
Q3 2019
Q2 2019
Q1 2019
Q2 2018
Q1 2018

Discussion

Share your read of this quarter. Sign-in carries your eToro identity.

Join the conversation

Sign in with eToro to post your read of this quarter and vote on others'.

Sign in with eToro