Goosehead Insurance, Inc. Announces First Quarter 2025 Results
Goosehead Insurance (NASDAQ: GSHD) reported strong Q1 2025 results with total revenue increasing 17% to $75.6 million and core revenue growing 17% to $69.1 million. The company achieved net income of $2.6 million, up from $1.8 million year-over-year, with EPS rising to $0.09 from $0.07.
Key highlights include a 22% increase in total written premiums to $1.0 billion, 13% growth in policies in force to approximately 1,729,000, and a 46% increase in corporate agent headcount to 426. The company's Adjusted EBITDA grew 32% to $15.5 million, with margin expanding 300 basis points to 21%.
The Board authorized a new $100 million share repurchase program through May 1, 2026. For 2025, Goosehead projects total written premiums between $4.65-4.88 billion (22-28% growth) and total revenues of $350-385 million (11-22% growth).
Goosehead Insurance (NASDAQ: GSHD) ha riportato solidi risultati nel primo trimestre 2025 con un aumento del fatturato totale del 17%, raggiungendo 75,6 milioni di dollari, e un incremento del 17% del fatturato core a 69,1 milioni di dollari. La società ha registrato un utile netto di 2,6 milioni di dollari, in crescita rispetto a 1,8 milioni dell'anno precedente, con un utile per azione (EPS) salito a 0,09 dollari da 0,07 dollari.
I punti chiave includono un aumento del 22% dei premi lordi scritti, arrivati a 1,0 miliardi di dollari, una crescita del 13% delle polizze in essere a circa 1.729.000, e un incremento del 46% del numero di agenti aziendali che sono arrivati a 426. L'EBITDA rettificato della società è cresciuto del 32%, raggiungendo 15,5 milioni di dollari, con un margine in aumento di 300 punti base al 21%.
Il Consiglio di Amministrazione ha autorizzato un nuovo programma di riacquisto azionario da 100 milioni di dollari valido fino al 1° maggio 2026. Per il 2025, Goosehead prevede premi lordi scritti totali tra 4,65 e 4,88 miliardi di dollari (crescita dal 22% al 28%) e ricavi totali tra 350 e 385 milioni di dollari (crescita dall'11% al 22%).
Goosehead Insurance (NASDAQ: GSHD) reportó sólidos resultados en el primer trimestre de 2025 con un aumento del 17% en los ingresos totales hasta 75.6 millones de dólares y un crecimiento del 17% en los ingresos principales a 69.1 millones de dólares. La compañía logró un ingreso neto de 2.6 millones de dólares, frente a 1.8 millones del año anterior, con ganancias por acción (EPS) que aumentaron a 0.09 desde 0.07.
Los aspectos destacados incluyen un aumento del 22% en las primas totales suscritas hasta 1.0 mil millones de dólares, un crecimiento del 13% en las pólizas vigentes a aproximadamente 1,729,000, y un aumento del 46% en el número de agentes corporativos hasta 426. El EBITDA ajustado de la compañía creció un 32% hasta 15.5 millones de dólares, con un margen que se expandió 300 puntos básicos hasta el 21%.
La Junta autorizó un nuevo programa de recompra de acciones de 100 millones de dólares hasta el 1 de mayo de 2026. Para 2025, Goosehead proyecta primas totales suscritas entre 4.65 y 4.88 mil millones de dólares (crecimiento del 22% al 28%) y ingresos totales de 350 a 385 millones de dólares (crecimiento del 11% al 22%).
Goosehead Insurance (NASDAQ: GSHD)는 2025년 1분기에 총수익이 17% 증가하여 7,560만 달러를 기록했고, 핵심 수익도 17% 성장하여 6,910만 달러에 달했다고 보고했습니다. 회사는 순이익 260만 달러를 달성했으며, 이는 전년 동기 대비 180만 달러에서 증가한 수치로, 주당순이익(EPS)은 0.07달러에서 0.09달러로 상승했습니다.
주요 내용으로는 총 보험료 인수액이 22% 증가하여 10억 달러에 달했고, 유효 보험 계약 수가 13% 증가하여 약 172만 9천 건에 이르렀으며, 기업 대리인 인력이 46% 증가하여 426명이 되었습니다. 회사의 조정 EBITDA는 32% 성장하여 1,550만 달러를 기록했고, 마진은 300 베이시스 포인트 확대되어 21%에 달했습니다.
이사회는 2026년 5월 1일까지 유효한 1억 달러 규모의 자사주 매입 프로그램을 승인했습니다. 2025년에는 Goosehead가 총 보험료 인수액을 46억 5천만 달러에서 48억 8천만 달러 사이(22~28% 성장), 총수익은 3억 5천만 달러에서 3억 8천 5백만 달러 사이(11~22% 성장)로 예상하고 있습니다.
Goosehead Insurance (NASDAQ : GSHD) a annoncé de solides résultats pour le premier trimestre 2025 avec une hausse de 17 % du chiffre d'affaires total à 75,6 millions de dollars et une croissance de 17 % du chiffre d'affaires principal à 69,1 millions de dollars. La société a réalisé un bénéfice net de 2,6 millions de dollars, en hausse par rapport à 1,8 million l'année précédente, avec un BPA passant de 0,07 à 0,09 dollar.
Les points clés incluent une augmentation de 22 % des primes totales souscrites à 1,0 milliard de dollars, une croissance de 13 % des polices en vigueur à environ 1 729 000, et une hausse de 46 % des effectifs d’agents d’entreprise à 426. L’EBITDA ajusté de la société a progressé de 32 % pour atteindre 15,5 millions de dollars, avec une marge en expansion de 300 points de base à 21 %.
Le conseil d’administration a autorisé un nouveau programme de rachat d’actions de 100 millions de dollars jusqu’au 1er mai 2026. Pour 2025, Goosehead prévoit des primes totales souscrites comprises entre 4,65 et 4,88 milliards de dollars (croissance de 22 à 28 %) et un chiffre d’affaires total entre 350 et 385 millions de dollars (croissance de 11 à 22 %).
Goosehead Insurance (NASDAQ: GSHD) meldete starke Ergebnisse für das erste Quartal 2025 mit einem Gesamtumsatzanstieg von 17% auf 75,6 Millionen US-Dollar und einem Kernumsatzwachstum von 17% auf 69,1 Millionen US-Dollar. Das Unternehmen erzielte einen Nettoertrag von 2,6 Millionen US-Dollar, gegenüber 1,8 Millionen US-Dollar im Vorjahreszeitraum, mit einem Anstieg des Gewinns je Aktie (EPS) von 0,07 auf 0,09 US-Dollar.
Zu den wichtigsten Highlights zählen ein 22%iger Anstieg der gesamten gezeichneten Prämien auf 1,0 Milliarden US-Dollar, ein 13%iges Wachstum der aktiven Policen auf etwa 1.729.000 und eine 46%ige Steigerung der Anzahl der Firmenagenten auf 426. Das bereinigte EBITDA des Unternehmens wuchs um 32% auf 15,5 Millionen US-Dollar, mit einer Margenausweitung von 300 Basispunkten auf 21%.
Der Vorstand genehmigte ein neues Aktienrückkaufprogramm in Höhe von 100 Millionen US-Dollar, gültig bis zum 1. Mai 2026. Für 2025 prognostiziert Goosehead gesamte gezeichnete Prämien zwischen 4,65 und 4,88 Milliarden US-Dollar (Wachstum von 22-28%) und Gesamterlöse von 350 bis 385 Millionen US-Dollar (Wachstum von 11-22%).
- Net income increased 46% to $2.6 million
- Total written premiums grew 22% to $1.0 billion
- Adjusted EBITDA increased 32% to $15.5 million
- Corporate agent headcount up 46% to 426
- Strong client retention at 84%
- Adjusted EBITDA margin expanded 300 basis points to 21%
- Adjusted EPS decreased 5% year-over-year
- Operating expenses increased 9.5% to $69.0 million
- Net income margin remains low at 4%
Insights
GSHD shows robust Q1 growth with 17% revenue increase, 46% higher net income, and 300bps EBITDA margin expansion to 21%.
Goosehead Insurance delivered impressive Q1 2025 financial results across key metrics. Total revenue grew 17% to
Net income improved substantially, rising
Operational efficiency is improving, with core operating expenses growing at
The balance sheet remains solid with
One cautionary note: Adjusted EPS decreased 5% despite revenue growth. Additionally, the company's 2025 guidance projects premium growth of
GSHD's aggressive expansion strategy shows results with 22% premium growth, significant investments in staff and technology, and substantial market opportunity ahead.
Goosehead's Q1 2025 results demonstrate effective execution of their growth strategy in the competitive personal lines insurance market. The
The company is aggressively investing in its production capacity, with corporate agent headcount surging 46% to 426 agents. This substantial investment in the corporate channel contrasts with the more modest
Goosehead's growth is built on a foundation of expanding client relationships, with policies in force growing
The company is making strategic investments in four key areas: expanding production capacity, enhancing service capabilities, upgrading technology infrastructure, and developing AI-driven tools to improve the personal lines experience. These investments position Goosehead to scale efficiently while maintaining service quality.
What's particularly notable is Goosehead's massive market opportunity. Their current
– Total Revenue Increased
– Total Written Premium increased
– Net Income of
– Adjusted EBITDA* of
– Company Announces new
WESTLAKE, Texas, April 23, 2025 (GLOBE NEWSWIRE) -- Goosehead Insurance, Inc. (“Goosehead” or the “Company”) (NASDAQ: GSHD), a rapidly growing independent personal lines insurance agency, today announced results for the first quarter ended March 31, 2025.
First Quarter 2025 Highlights
- Total Revenues grew
17% over the prior-year period to$75.6 million in the first quarter of 2025 - First quarter Core Revenues* of
$69.1 million increased17% over the prior-year period - First quarter net income of
$2.6 million improved from net income of$1.8 million a year ago - EPS of
$0.09 per share increased from$0.07 in the prior-year period, and Adjusted EPS* of$0.26 per share decreased5% over the prior-year period - Net Income Margin for the first quarter was
4% - Adjusted EBITDA* of
$15.5 million increased from$11.7 million in the prior-year period - Adjusted EBITDA Margin* increased versus the prior-year period to
21% - Total Written Premiums placed for the first quarter increased
22% over the prior-year period to$1.0 billion . - Policies in Force increased
13% from the prior-year period to approximately 1,729,000 - Corporate agent headcount of 426 was up
46% compared to the prior-year period - Total franchise producers of 2,097 increased
7% from the prior-year period
“At Goosehead, our strong growth comes from delivering exceptional value to clients, agents and partners,” said Mark Miller, President and CEO. “For the first quarter we drove premium growth of
*Core Revenue, Adjusted EPS, Adjusted EBITDA, and Adjusted EBITDA Margin are non-GAAP measures. Reconciliations of Core Revenue to total revenues, Adjusted EPS to basic earnings per share and Adjusted EBITDA to net income, the most directly comparable financial measures presented in accordance with GAAP, are set forth in the reconciliation table accompanying this release.
First Quarter 2025 Results
For the first quarter of 2025, revenues were
Total operating expenses for the first quarter of 2025 were
Net income in the first quarter of 2025 was
*Total operating expenses, excluding equity-based compensation, depreciation and amortization, and impairment expenses; Employee compensation and benefits, excluding equity-based compensation; and General and administrative expenses, excluding impairment are non-GAAP measures. For the definition and reconciliation of each non-GAAP measure, see “Reconciliation of Non-GAAP Measures to GAAP” below.
Liquidity and Capital Resources
As of March 31, 2025, the Company had cash and cash equivalents of
The Company’s board of directors authorized a new share repurchase program after the prior repurchase authorization expired on March 31, 2025. The new authorization is for repurchases of up to
2025 Outlook
The Company is reiterating its guidance for full year 2025 as follows:
- Total written premiums placed for 2025 are expected to be between
$4.65 billion and$4.88 billion , representing growth of22% on the low end of the range to28% on the high end of the range. - Total revenues for 2025 are expected to be between
$350 million and$385 million , representing growth of11% on the low end of the range to22% on the high end of the range.
Conference Call Information
Goosehead will host a conference call and webcast today at 4:30 PM ET to discuss these results.
To access the call by phone, participants should go to this link (registration link), and you will be provided with the dial in details.
In addition, a live webcast of the conference call will also be available on Goosehead’s investor relations website at http://ir.goosehead.com.
A webcast replay of the call will be available at http://ir.goosehead.com for one year following the call.
About Goosehead
Goosehead (NASDAQ: GSHD) is a rapidly growing and innovative independent personal lines insurance agency that distributes its products and services through corporate and franchise locations throughout the United States. Goosehead was founded on the premise that the consumer should be at the center of our universe and that everything we do should be directed at providing extraordinary value by offering broad product choice and a world-class service experience. Goosehead represents over 200 insurance companies that underwrite personal and commercial lines. For more information, please visit goosehead.com or goosehead.com/become-a-franchisee.
Forward-Looking Statements
This press release may contain various “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995, which represent Goosehead’s expectations or beliefs concerning future events. Forward-looking statements are statements other than historical facts and may include statements that address future operating, financial or business performance or Goosehead’s strategies or expectations. In some cases, you can identify these statements by forward-looking words such as “may”, “might”, “will”, “should”, “expects”, “plans”, “anticipates”, “believes”, “estimates”, “predicts”, “projects”, “potential”, “outlook” or “continue”, or the negative of these terms or other comparable terminology. Forward-looking statements are based on management’s current expectations and beliefs and involve significant risks and uncertainties that could cause actual results, developments and business decisions to differ materially from those contemplated by these statements.
Factors that could cause actual results or performance to differ from the expectations expressed or implied in such forward-looking statements include, but are not limited to, conditions impacting insurance carriers or other parties with which Goosehead does business, the loss of one or more key executives or an inability to attract and retain qualified personnel and the failure to attract and retain highly qualified franchisees. These risks and uncertainties also include, but are not limited to, those described under the captions “1A. Risk Factors” in Goosehead’s Annual Report on Form 10-K for the year ended December 31, 2024 and in Goosehead’s other filings with the SEC, which are available free of charge on the Securities Exchange Commission's website at: www.sec.gov. Should one or more of these risks or uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those indicated. All forward-looking statements and all subsequent written and oral forward-looking statements attributable to Goosehead or to persons acting on behalf of Goosehead are expressly qualified in their entirety by reference to these risks and uncertainties. You should not place undue reliance on forward-looking statements. Forward-looking statements speak only as of the date they are made, and Goosehead does not undertake any obligation to update them in light of new information, future developments or otherwise, except as may be required under applicable law.
Contacts
Investor Contact:
Dan Farrell
Goosehead Insurance - VP Capital Markets
Phone: (214) 838-5290
Email: dan.farrell@goosehead.com; IR@goosehead.com
PR Contact:
Mission North for Goosehead Insurance
Email: goosehead@missionnorth.com; PR@goosehead.com
Goosehead Insurance, Inc.
Condensed Consolidated Statements of Operations
(Unaudited)
(In thousands, except per share amounts)
| Three Months Ended March 31, | ||||||||
| 2025 | 2024 | |||||||
| Revenues: | ||||||||
| Commissions and agency fees | $ | 29,423 | $ | 26,221 | ||||
| Franchise revenues | 45,971 | 37,989 | ||||||
| Interest income | 189 | 250 | ||||||
| Total revenues | 75,583 | 64,460 | ||||||
| Operating Expenses: | ||||||||
| Employee compensation and benefits | 48,334 | 42,130 | ||||||
| General and administrative expenses | 17,559 | 17,180 | ||||||
| Bad debts | 406 | 1,127 | ||||||
| Depreciation and amortization | 2,670 | 2,568 | ||||||
| Total operating expenses | 68,969 | 63,005 | ||||||
| Income from operations | 6,614 | 1,455 | ||||||
| Other Income: | ||||||||
| Interest expense | (5,823 | ) | (1,487 | ) | ||||
| Other income (expense) | 168 | (6,727 | ) | |||||
| Income (loss) before taxes | 959 | (6,759 | ) | |||||
| Tax benefit | (1,687 | ) | (8,568 | ) | ||||
| Net income | 2,646 | 1,809 | ||||||
| Less: net income (loss) attributable to noncontrolling interests | 304 | (5 | ) | |||||
| Net income attributable to Goosehead Insurance, Inc. | $ | 2,342 | $ | 1,814 | ||||
| Earnings per share: | ||||||||
| Basic | $ | 0.09 | $ | 0.07 | ||||
| Diluted | $ | 0.09 | $ | 0.05 | ||||
| Weighted average shares of Class A common stock outstanding | ||||||||
| Basic | 24,791 | 25,087 | ||||||
| Diluted | 25,943 | 38,839 | ||||||
Goosehead Insurance, Inc.
Condensed Consolidated Statements of Operations
(Unaudited)
(In thousands, except per share amounts)
| Three Months Ended March 31, | ||||||||
| 2025 | 2024 | |||||||
| Revenues: | ||||||||
| Core Revenue: | ||||||||
| Renewal Commissions(1) | $ | 16,952 | $ | 15,961 | ||||
| Renewal Royalty Fees(2) | 37,244 | 29,053 | ||||||
| New Business Commissions(1) | 5,755 | 5,681 | ||||||
| New Business Royalty Fees(2) | 6,929 | 6,234 | ||||||
| Agency Fees(1) | 2,240 | 1,911 | ||||||
| Total Core Revenue | 69,120 | 58,839 | ||||||
| Cost Recovery Revenue: | ||||||||
| Initial Franchise Fees(2) | 1,342 | 2,245 | ||||||
| Interest Income | 189 | 250 | ||||||
| Total Cost Recovery Revenue | 1,531 | 2,495 | ||||||
| Ancillary Revenue: | ||||||||
| Contingent Commissions(1) | 4,476 | 2,668 | ||||||
| Other Franchise Revenues(2) | 456 | 458 | ||||||
| Total Ancillary Revenue | 4,932 | 3,126 | ||||||
| Total Revenues | 75,583 | 64,460 | ||||||
| Operating Expenses: | ||||||||
| Employee compensation and benefits, excluding equity-based compensation | 42,098 | 34,773 | ||||||
| General and administrative expenses, excluding impairment | 17,559 | 16,833 | ||||||
| Bad debts | 406 | 1,127 | ||||||
| Total | 60,063 | 52,733 | ||||||
| Adjusted EBITDA | 15,520 | 11,727 | ||||||
| Adjusted EBITDA Margin | 21 | % | 18 | % | ||||
| Interest expense | (5,823 | ) | (1,487 | ) | ||||
| Depreciation and amortization | (2,670 | ) | (2,568 | ) | ||||
| Tax benefit | 1,687 | 8,568 | ||||||
| Equity-based compensation | (6,236 | ) | (7,357 | ) | ||||
| Impairment expense | — | (347 | ) | |||||
| Other income (expense) | 168 | (6,727 | ) | |||||
| Net Income | $ | 2,646 | $ | 1,809 | ||||
| Net Income Margin | 4 | % | 3 | % | ||||
| (1) Renewal Commissions, New Business Commissions, Agency Fees, and Contingent Commissions are included in "Commissions and agency fees" as shown on the Condensed Consolidated Statements of Operations within Goosehead’s Form 10-Q for the three months ended March 31, 2025 and 2024. | ||||||||
| (2) Renewal Royalty Fees, New Business Royalty Fees, Initial Franchise Fees, and Other Franchise Revenues are included in "Franchise revenues" as shown on the Condensed Consolidated Statements of Operations within Goosehead’s Form 10-Q for the three months ended March 31, 2025 and 2024. | ||||||||
Goosehead Insurance, Inc.
Condensed Consolidated Balance Sheets
(Unaudited)
(In thousands, except per share amounts)
| March 31, | December 31, | |||||||
| 2025 | 2024 | |||||||
| Assets | ||||||||
| Current Assets: | ||||||||
| Cash and cash equivalents | $ | 70,208 | $ | 54,280 | ||||
| Restricted cash | 2,363 | 3,693 | ||||||
| Commissions and agency fees receivable, net | 8,156 | 31,375 | ||||||
| Receivable from franchisees, net | 12,178 | 11,077 | ||||||
| Prepaid expenses | 22,498 | 8,139 | ||||||
| Total current assets | 115,403 | 108,564 | ||||||
| Receivable from franchisees, net of current portion | 3,583 | 3,469 | ||||||
| Property and equipment, net of accumulated depreciation | 23,455 | 24,101 | ||||||
| Right-of-use asset | 36,111 | 37,420 | ||||||
| Intangible assets, net of accumulated amortization | 27,094 | 25,075 | ||||||
| Deferred income taxes, net | 200,574 | 193,478 | ||||||
| Other assets | 6,336 | 5,546 | ||||||
| Total assets | $ | 412,556 | $ | 397,653 | ||||
| Liabilities and Stockholders’ Equity | ||||||||
| Current Liabilities: | ||||||||
| Accounts payable and accrued expenses | $ | 20,377 | $ | 22,891 | ||||
| Premiums payable | 2,363 | 3,693 | ||||||
| Lease liability | 5,901 | 6,535 | ||||||
| Contract liabilities | 2,743 | 3,275 | ||||||
| Note payable | 3,000 | 10,063 | ||||||
| Liabilities under tax receivable agreement | 6,993 | — | ||||||
| Total current liabilities | 41,377 | 46,457 | ||||||
| Lease liability, net of current portion | 53,116 | 54,536 | ||||||
| Note payable, net of current portion | 290,333 | 82,251 | ||||||
| Contract liabilities, net of current portion | 15,677 | 15,191 | ||||||
| Liabilities under tax receivable agreement, net of current portion | 157,568 | 160,142 | ||||||
| Total liabilities | 558,071 | 358,577 | ||||||
| Class A common stock, | 251 | 247 | ||||||
| Class B common stock, | 125 | 126 | ||||||
| Additional paid in capital | 69,925 | 58,917 | ||||||
| Accumulated deficit | (158,845 | ) | (15,401 | ) | ||||
| Total stockholders' equity | (88,544 | ) | 43,889 | |||||
| Non-controlling interests | (56,971 | ) | (4,813 | ) | ||||
| Total equity | (145,515 | ) | 39,076 | |||||
| Total liabilities and equity | $ | 412,556 | $ | 397,653 | ||||
.
Goosehead Insurance, Inc.
Reconciliation of Non-GAAP Measures to GAAP
This release includes certain financial performance measures that are not required by, nor presented in accordance with, generally accepted accounting principles in the United States (“GAAP”). The Company refers to these measures as “non-GAAP financial measures.” The Company uses these non-GAAP financial measures when planning, monitoring and evaluating its performance and considers these non-GAAP financial measures to be useful metrics for management and investors to facilitate operating performance comparisons from period to period by excluding potential differences caused by variations in capital structures, tax position, depreciation, amortization and certain other items that the Company believes are not representative of its core business. The Company uses these non-GAAP financial measures for business planning purposes and in measuring its performance relative to that of its competitors.
These non-GAAP financial measures are defined by the Company as follows:
- "Core Revenue" is a supplemental measure of our performance and includes Renewal Commissions, Renewal Royalty Fees, New Business Commissions, New Business Royalty Fees, and Agency Fees. We believe that Core Revenue is an appropriate measure of operating performance because it summarizes all of our revenues from sales of individual insurance policies.
- "Cost Recovery Revenue" is a supplemental measure of our performance and includes Initial Franchise Fees and Interest Income. We believe that Cost Recovery Revenue is an appropriate measure of operating performance because it summarizes revenues that are viewed by management as cost recovery mechanisms.
- "Ancillary Revenue" is a supplemental measure of our performance and includes Contingent Commissions and Other Income. We believe that Ancillary Revenue is an appropriate measure of operating performance because it summarizes revenues that are ancillary to our core business.
- "Adjusted EBITDA" is a supplemental measure of the Company's performance. We believe that Adjusted EBITDA is an appropriate measure of operating performance because it eliminates the impact of items that do not relate to business performance. Adjusted EBITDA is defined as net income (the most directly comparable GAAP measure) before interest, income taxes, depreciation and amortization, adjusted to exclude equity-based compensation, impairment expense, and other non-operating items, including, among other things, certain non-cash charges and certain non-recurring or non-operating gains or losses.
- "Adjusted EBITDA Margin" is Adjusted EBITDA as defined above, divided by total revenue. Adjusted EBITDA Margin is helpful in measuring profitability of operations on a consolidated level.
- "Adjusted EPS" is a supplemental measure of our performance, defined as earnings per share (the most directly comparable GAAP measure) before non-recurring or non-operating income and expenses. Adjusted EPS is a useful measure to management and our investors because it eliminates the impact of items that do not relate to business performance and helps measure our profitability on a consolidated level.
- “Total operating expenses, excluding equity-based compensation, depreciation and amortization, and impairment expenses” is defined as total operating expenses (the most directly comparable GAAP measure) before equity-based compensation, depreciation and amortization, and impairment expenses. This measure is useful to management and our investors as it eliminates the impact of certain non-cash charges.
- “Employee compensation and benefits, excluding equity-based compensation” is defined as Employee compensation and benefits (the most directly comparable GAAP measure) before equity-based compensation. This measure is useful to management and our investors as it eliminates the impact of certain non-cash compensation charges.
- “General and administrative expenses, excluding impairment” is defined as general and administrative expenses (the most directly comparable GAAP measure) before impairment expense. This measure is useful to management and our investors as it eliminates the impact of certain non-cash charges.
While the Company believes that these non-GAAP financial measures are useful in evaluating its business, this information should be considered as supplemental in nature and is not meant as a substitute for revenues, net income, or earnings per share, in each case as recognized in accordance with GAAP. In addition, other companies, including companies in the Company’s industry, may calculate such measures differently, which reduces their usefulness as comparative measures.
The following tables show a reconciliation from total revenues to Core Revenue, Cost Recovery Revenue, and Ancillary Revenue (non-GAAP basis) for the three months ended March 31, 2025 and 2024 (in thousands):
| Three Months Ended March 31, | ||||||||
| 2025 | 2024 | |||||||
| Total Revenues | $ | 75,583 | $ | 64,460 | ||||
| Core Revenue: | ||||||||
| Renewal Commissions(1) | $ | 16,952 | $ | 15,961 | ||||
| Renewal Royalty Fees(2) | 37,244 | 29,053 | ||||||
| New Business Commissions(1) | 5,755 | 5,681 | ||||||
| New Business Royalty Fees(2) | 6,929 | 6,234 | ||||||
| Agency Fees(1) | 2,240 | 1,911 | ||||||
| Total Core Revenue | 69,120 | 58,839 | ||||||
| Cost Recovery Revenue: | ||||||||
| Initial Franchise Fees(2) | 1,342 | 2,245 | ||||||
| Interest Income | 189 | 250 | ||||||
| Total Cost Recovery Revenue | 1,531 | 2,495 | ||||||
| Ancillary Revenue: | ||||||||
| Contingent Commissions(1) | 4,476 | 2,668 | ||||||
| Other Franchise Revenues(2) | 456 | 458 | ||||||
| Total Ancillary Revenue | 4,932 | 3,126 | ||||||
| Total Revenues | $ | 75,583 | $ | 64,460 | ||||
| (1) Renewal Commissions, New Business Commissions, Agency Fees, and Contingent Commissions are included in "Commissions and agency fees" as shown on the Condensed Consolidated Statements of Operations. | ||||||||
| (2) Renewal Royalty Fees, New Business Royalty Fees, Initial Franchise Fees, and Other Franchise Revenues are included in "Franchise revenues" as shown on the Condensed Consolidated Statements of Operations. | ||||||||
The following tables show a reconciliation from net income to Adjusted EBITDA and Adjusted EBITDA Margin (non-GAAP basis) for the three months ended March 31, 2025 and 2024 (in thousands):
| Three Months Ended March 31, | ||||||||
| 2025 | 2024 | |||||||
| Net Income | $ | 2,646 | $ | 1,809 | ||||
| Interest expense | 5,823 | 1,487 | ||||||
| Depreciation and amortization | 2,670 | 2,568 | ||||||
| Tax benefit | (1,687 | ) | (8,568 | ) | ||||
| Equity-based compensation | 6,236 | 7,357 | ||||||
| Impairment expense | — | 347 | ||||||
| Other (income) expense | (168 | ) | 6,727 | |||||
| Adjusted EBITDA | $ | 15,520 | $ | 11,727 | ||||
| Net Income Margin(1) | 4 | % | 3 | % | ||||
| Adjusted EBITDA Margin(2) | 21 | % | 18 | % | ||||
| (1) Net Income Margin is calculated as Net Income divided by Total Revenue ( | ||||||||
| (2) Adjusted EBITDA Margin is calculated as Adjusted EBITDA divided by Total Revenue ( | ||||||||
The following tables show a reconciliation from basic earnings per share to Adjusted EPS (non-GAAP basis) for the three months ended March 31, 2025 and 2024. Note that totals may not sum due to rounding:
| Three Months Ended March 31, | ||||||||
| 2025 | 2024 | |||||||
| Earnings per share - basic (GAAP) | $ | 0.09 | $ | 0.07 | ||||
| Add: equity-based compensation(1) | 0.17 | 0.19 | ||||||
| Add: impairment expense(2) | — | 0.01 | ||||||
| Adjusted EPS (non-GAAP) | $ | 0.26 | $ | 0.28 | ||||
| (1) Calculated as equity-based compensation divided by sum of weighted average Class A and Class B shares [ | ||||||||
| (2) Calculated as impairment expense divided by sum of weighted average Class A and Class B shares [ | ||||||||
Goosehead Insurance, Inc.
Key Performance Indicators
| March 31, 2025 | December 31, 2024 | March 31, 2024 | ||||||||||
| Corporate sales agents < 1 year tenured | 254 | 253 | 138 | |||||||||
| Corporate sales agents > 1 year tenured | 172 | 164 | 154 | |||||||||
| Operating franchises < 1 year tenured | 100 | 90 | 133 | |||||||||
| Operating franchises > 1 year tenured | 998 | 1,013 | 1,022 | |||||||||
| Total Franchise Producers | 2,097 | 2,092 | 1,963 | |||||||||
| QTD Corporate Agent Productivity < 1 Year (1) | $ | 14,960 | $ | 12,787 | $ | 16,520 | ||||||
| QTD Corporate Agent Productivity > 1 Year (1) | $ | 27,793 | $ | 26,788 | $ | 27,261 | ||||||
| QTD Franchise Productivity < 1 Year (2) | $ | 13,904 | $ | 17,861 | $ | 16,736 | ||||||
| QTD Franchise Productivity > 1 Year (2) | $ | 30,551 | $ | 29,089 | $ | 25,109 | ||||||
| Policies in Force | 1,729,000 | 1,674,000 | 1,528,000 | |||||||||
| Client Retention | 84 | % | 84 | % | 85 | % | ||||||
| Premium Retention | 98 | % | 98 | % | 100 | % | ||||||
| QTD Written Premium (in thousands) | $ | 1,000,231 | $ | 965,596 | $ | 818,785 | ||||||
| Net Promoter Score ("NPS") | 87 | 89 | 91 | |||||||||
| (1) - Corporate Productivity is New Business Production per Agent (Corporate): The New Business Revenue collected related to corporate sales, divided by the average number of full-time corporate sales agents for the same period. This calculation excludes interns, part-time sales agents and partial full-time equivalent sales managers. | ||||||||||||
| (2) - Franchise Productivity is New Business Production per Franchise: The gross commissions paid by Carriers and Agency Fees received related to policies in their first term sold by franchise sales agents, divided by the average number of franchises for the same period, prior to paying Royalty Fees to the Company. | ||||||||||||
FAQ
What was Goosehead Insurance's (GSHD) revenue growth in Q1 2025?
How much did GSHD's written premiums increase in Q1 2025?
What is the size of GSHD's new share repurchase authorization?
What is Goosehead Insurance's (GSHD) revenue guidance for 2025?
How many policies in force does GSHD have as of Q1 2025?
