NYSE$SLQT

Selectquote Inc · Q3 2024 earnings

Q3 2024 earnings · · Investor relations

Briefing

SelectQuote outperformed expectations for the 9th consecutive quarter and raised fiscal year 2024 guidance ranges.

SelectQuote reported consolidated revenue for the third quarter of fiscal year 2024 of $376.4 million and net income of $8.6 million. The company raised its fiscal year 2024 revenue guidance to a range of $1.25 billion to $1.3 billion and adjusted EBITDA to a range of $100 million to $110 million.

  • SelectQuote outperformed expectations for the 9th consecutive quarter.
  • Senior business completed a highly successful Medicare Advantage busy season, with over 185,000 Americans finding the right Medicare Advantage policy.
  • Healthcare Services business saw SelectRx grow by over 12,000 members, significantly exceeding the original outlook.
  • Holistic healthcare platform created new customers at a highly efficient revenue to customer acquisition cost of over 4x.

Headline financials

Total Revenue

$376M

Previous: $299M+25.7%
EPS

$0.05

Previous: $0.06-16.7%
Approved Medicare Advantage policies

185.7K

No prior period
Submitted Medicare Advantage policies

226.7K

No prior period
SelectRx members

75.1K

No prior period
Average Prescriptions Per Day

20.2K

No prior period
Medicare Advantage LTV

$995.00

No prior period
Capital Expenditures

-$3.11M

Previous: -$1.06M-194.9%
Free Cash Flow

$5.44M

Previous: $8.21M-33.8%
Net Income

$8.55M

Previous: $9.26M-7.7%
Operating Income

$33.1M

Previous: $33.7M-2.0%
Gross Profit

$270M

Previous: $671K+40172.4%
Cash & Equivalents

$37.8M

Previous: $92M-58.9%
Total Assets

$1.25B

Previous: $1.29B-3.3%
R&D Expense

$8.6M

No prior period
Stock-Based Comp

$3.52M

Previous: $2.96M+18.8%

Revenue & EPS history

SelectQuote · Revenue · Quarterly

$376M

Q3 2024+25.7%vs Q3 2023
Beat estimate in 12 of 14 quarters(86%)
ActualEstimate

Revenue by segment

SelectQuote · $128M total across 2 segments · Q1 2024

  • Senior
    $89.9M+16.0%
  • Life
    $37.8M+2.7%

Forward guidance

SelectQuote raised its fiscal year 2024 guidance ranges.

Tailwinds

  • Revenue expected in a range of $1.25 billion to $1.3 billion vs prior range of $1.23 billion to $1.3 billion
  • Net loss expected in a range of $34 million to $21 million vs prior range of $45 million to $22 million
  • Adjusted EBITDA* expected in a range of $100 million to $110 million vs prior range of $90 million to $105 million
  • NULL
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Headwinds

  • NULL
  • NULL
  • NULL
  • NULL
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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 2024

Historical avgQ3 2024

-2.4%

Avg return

Earnings day

+1.1%

Avg return

5 days after

+2.2%

Avg return

30 days after

57%

17 / 30 earnings

Positive

+75.5%

Q2 2023

Best reaction

-49.0%

Q4 2024

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q3 2026-8.9%+39.9%+24.3%
Q2 2026-29.0%-37.4%-47.9%
Q1 2026+0.0%-16.8%-29.3%
Q3 2025-12.1%-14.2%-15.4%
Q2 2025+30.8%+37.0%-17.4%
Q1 2025+6.9%+16.7%+46.1%
Q4 2024-49.0%-44.6%-37.6%
Q3 2024+4.8%+12.4%+13.2%
Q2 2024+6.3%+40.5%+64.0%
Q1 2024-4.3%-5.8%-3.6%
Q4 2023-16.2%-16.9%-8.8%
Q3 2023+11.1%-16.7%+16.7%
Q2 2023+75.5%+128.8%+181.1%
Q1 2023+9.5%+9.2%+17.7%
Q4 2022-30.4%-47.5%-54.9%
Q3 2022+7.5%+0.4%+20.4%
Q2 2022-48.0%-55.4%-60.1%
Q1 2022-22.3%-17.8%-36.3%
Q4 2021-44.6%-37.6%-7.2%
Q3 2020-21.5%-22.2%-23.4%
Q3 2021-21.9%-23.2%-26.6%
Q2 2020+7.7%+9.2%+7.4%
Q2 2021+7.7%+9.2%+7.4%
Q1 2020+2.7%+7.7%+20.3%
Q1 2021+7.6%+10.5%+23.0%
Q4 2018+10.9%+12.0%-2.1%
Q4 2019+10.9%+12.0%-2.1%
Q3 2019+10.9%+12.0%-2.1%
Q2 2019+10.9%+12.0%-2.1%
Q4 2020+14.2%+20.1%+0.3%
Q1 2019

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