NYSE$SLQT

Selectquote Inc · Q4 2022 earnings

Q4 2022 earnings · · Investor relations

Briefing

SelectQuote reported a net loss, but excluding a cohort/tail adjustment, revenue increased and adjusted EBITDA losses were reduced.

SelectQuote, Inc. reported a consolidated revenue of $139.4 million for the fourth quarter of fiscal year 2022, compared to $185.3 million for the same period in 2021. The consolidated net loss was $104.7 million, a significant change from the net income of $0.8 million in the fourth quarter of fiscal year 2021. Adjusted EBITDA was $(60.8) million, compared to $18.1 million in the prior year. Excluding a $48.3 million cohort/tail adjustment, revenue would have been $187.7 million and Adjusted EBITDA $(12.5) million.

  • Revenue for Q4 2022 was $139.4 million.
  • Net loss for Q4 2022 was $104.7 million.
  • Adjusted EBITDA for Q4 2022 was $(60.8) million.
  • Excluding a cohort/tail adjustment, revenue would have been $187.7 million and Adjusted EBITDA $(12.5) million.

Headline financials

Total Revenue

$139M

Previous: $188M-26.0%
EPS (adj)

-$0.34

Previous: $0.02-1800.0%
Capital Expenditures

$283K

Previous: $8.39M-96.6%
Free Cash Flow

-$54.2M

Previous: -$62.9M+13.8%
Net Income

-$105M

Previous: $3.3M-3272.7%
Operating Income

-$119M

Previous: $14M-950.1%
Gross Profit

$32.3M

Previous: $124M-74.0%
Cash & Equivalents

$141M

Previous: $286M-50.8%
Total Assets

$1.29B

Previous: $1.42B-9.4%
Stock-Based Comp

$800K

Previous: $1.48M-45.8%

Revenue & EPS history

SelectQuote · Revenue · Quarterly

$139M

Q4 2022-26%vs Q4 2021
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

Full-Year Fiscal 2023 Revenue, Net loss, and Adjusted EBITDA expected to be in the following ranges:

Tailwinds

  • Revenue expected in a range of $850 million to $950 million

Headwinds

  • Net loss expected in a range of $113 million to $89 million
  • Adjusted EBITDA* expected in a range of $(20) million to $10 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 Q4 2022

Historical avgQ4 2022

-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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