Revenue Growth - Total revenue increased by 32% from Q1 2021 to $41.3 million in Q1 2022[20] - Core Revenue increased by 37% from Q1 2021 to $36.5 million in Q1 2022[20] - Total Written Premiums placed increased by 41% from the prior-year period to $450.9 million[20] - Total Written Premium grew by 41% to $450.9 million for the three months ended March 31, 2022, compared to $318.9 million for the same period in 2021[12] - Core Revenue increased by $9.8 million, or 37%, to $36.5 million for the three months ended March 31, 2022, driven by increases in operating franchises and client retention[124] - Total core revenue reached $36,505 million, up 36.7% from $26,700 million year-over-year[135] Policy and Franchise Growth - Policies in Force increased by 39% from March 31, 2021, to 1,097,000 at March 31, 2022[20] - Total franchises increased by 41% compared to the prior year period to 2,298[20] - Policies in Force increased by 39% to 1,097,000 as of March 31, 2022, compared to 788,000 as of March 31, 2021[14] - Initial Franchise Fees increased by $0.9 million, or 60%, to $2.3 million for the three months ended March 31, 2022, due to a 41% increase in total franchises to 2,298[3] - New Business Royalty Fees rose by $1.1 million, or 36%, to $4.3 million for the three months ended March 31, 2022, attributed to a 28% increase in the total number of operating franchises to 1,268[2] Commission and Revenue Streams - Renewal Commissions increased by 32% to $10.2 million in Q1 2022 from $7.8 million in Q1 2021[96] - New Business Commissions increased by 16% to $5.4 million in Q1 2022 from $4.6 million in Q1 2021[97] - Renewal Royalty Fees increased by $5.3 million, or 60%, to $14.0 million for the three months ended March 31, 2022, driven by an increase in client retention to 89%[1] Financial Performance - Adjusted EBITDA decreased by 41% to $1.3 million, or 3% of total revenues in Q1 2022[20] - Adjusted EBITDA decreased by $0.9 million, or 41%, to $1.3 million for the three months ended March 31, 2022, primarily due to increased General and Administrative expenses[130] - Adjusted EBITDA Margin was 3% for the three months ended March 31, 2022, down from 7% for the same period in 2021, influenced by rising expenses and decreased revenue from Contingent Commissions[132] - The company reported a net loss of $5,383 million for Q1 2022, compared to a net loss of $1,089 million in Q1 2021[137] - Net cash used for operating activities was $5,154 million in Q1 2022, a decrease of $13,042 million compared to a net cash provided of $7,888 million in Q1 2021[141] - Cash and cash equivalents at the end of Q1 2022 were $22,679 million, down from $31,955 million at the end of Q1 2021[141] Client Retention and Service - Client Retention remained constant at 89% as of March 31, 2022, reflecting the service team's focus on delivering high service levels[118] Tax and Accounting - The company will record an increase in deferred tax assets based on enacted federal and state tax rates at the date of redemption or exchange[155] - The company estimates that it will not realize the full benefit of the deferred tax asset, leading to a potential reduction with a valuation allowance[155] - The company will record 85% of the estimated realizable tax benefit as an increase to the liability due under the tax receivable agreement[155] - There have been no significant changes to the company's critical accounting policies as disclosed in the Annual Report on Form 10-K[156] - There have been no material changes to the company's exposure to market risks as described in the Annual Report on Form 10-K[158] Liquidity and Obligations - The company’s liquidity sources include cash on hand of $21.2 million as of March 31, 2022, and cash flows from operations[139] - Total contractual obligations as of March 31, 2022, amounted to $284,994 million, with operating leases accounting for $66,090 million[152] - The company expects to fund its working capital requirements and commitments through cash on hand, net working capital, and cash flows from operations[145] - The company’s adjusted EPS for Q1 2022 was $0.04, compared to $0.03 in Q1 2021[138]

Call Start: 16:30 January 1, 0000 5:21 PM ET Goosehead Insurance, Inc. (NASDAQ:GSHD) Q1 2022 Earnings Conference Call April 26, 2022, 4:30 PM ET Company Participants Mark Jones – Chairman and Chief Executive Officer Brian Pattillo – Vice President Mark Colby – Chief Financial Officer Daniel Farrell – Vice President, Capital Markets Conference Call Participants Paul Newsome – Piper Sandler & Co. Mark Dwelle – RBC Capital Markets Meyer Shields – Keefe, Bruyette & Woods, Inc. Ryan Tunis – Autonomous Research J ...

Goosehead Insurance, Inc (NASDAQ:GSHD) Q4 2021 Results Earnings Conference Call February 24, 2022 4:30 PM ET Company Participants Daniel Farrell - Vice President of Capital Markets Mark Jones - Chairman and Chief Executive Officer Michael Colby - President and Chief Operating Officer Mark Colby - Chief Financial Officer Conference Call Participants Matthew Carletti - JMP Securities LLC Ryan Tunis - Autonomous Research Mark Dwelle - RBC Capital Markets Meyer Shields - Keefe, Bruyette & Woods Pablo Singzon - ...

Goosehead Insurance, Inc (NASDAQ:GSHD) Q3 2021 Results Conference Call October 27, 2021 4:30 PM ET Company Participants Daniel Farrell - Vice President of Capital Markets Mark Jones - Chairman and Chief Executive Officer Michael Colby - President and Chief Operating Officer Mark Colby - Chief Financial Officer Conference Call Participants Matthew Carletti - JMP Securities Ryan Tunis - Autonomous Research Mark Hughes - Truist Securities Mark Dwelle - RBC Capital Markets Pablo Singzon - JPMorgan Joshua Shank ...

Goosehead Insurance, Inc (NASDAQ:GSHD) Q1 2021 Earnings Conference Call April 29, 2021 4:30 PM ET Company Participants Daniel Farrell - VP of Capital Markets Mark Jones - Chairman and CEO Michael Colby - President and COO Mark Colby - CFO Conference Call Participants Meyer Shields - KBW Mark Dwelle - RBC Capital Markets Katie Sakys - Autonomous Research Operator Thank you for standing by. This is the conference operator. Welcome to the Goosehead Insurance First Quarter 2021 Earnings Call. As a reminder, all ...

Financial Performance - For the year ended December 31, 2020, total written premium grew by 45% to $1.07 billion from $739 million in 2019[28]. - The company achieved a net income of $18.8 million for the year ended December 31, 2020, an increase of $8.4 million over 2019[28]. - The company reported a 51% growth in revenue for the year ended December 31, 2020[28]. - Total written premium compound annual growth rate (CAGR) over 10 years was 37%, and 5-year premium CAGR was 45% as of December 31, 2020[37]. Client Retention and Satisfaction - Client retention rate was 88% during 2020, which is believed to be among the highest in the industry[22]. - The company's service centers achieved a Net Promoter Score (NPS) of 92 in 2020, up from 89 in 2019, significantly higher than the industry average[36]. - The company reported an 88% Client Retention rate and a 89% premium retention rate in 2020, supported by its service centers[66]. Business Channels and Growth - Corporate Channel accounted for 52% of total revenue in 2020, with a 47% increase in sales agent headcount and a 31% growth in premiums placed compared to the previous year[46][48]. - Franchise Channel generated 48% of total revenue in 2020, with premiums growing by 52% and a total of 1,468 franchises, including 891 operating and 577 in implementation, representing a 55% increase in total franchises[49][54]. - The company has expanded to 1,468 franchise locations, including 577 franchises under contract but not yet opened as of December 31, 2020[26]. Agent Performance and Productivity - Agents with more than three years of tenure in the Corporate Channel averaged 3.8 times more new business production per agent compared to industry best practices[30]. - Corporate Channel agents produced 3.8 times more new business per agent compared to industry best practices after three years, highlighting their productivity advantage[47][57]. - Franchise Channel agents with over three years of tenure averaged 2.3 times the new business production per agent compared to industry best practices, indicating strong performance[51][57]. Technology and Operational Efficiency - The company's proprietary technology allows agents to run quotes and place business in one simple phone call, enhancing client experience[21]. - The company's technology platform has resulted in service expenses being 3.2 times lower than the industry best practice, contributing to operational efficiencies[58]. - The company plans to continue investing in technology to enhance operational efficiencies and maintain a competitive edge[66]. Workforce and Culture - The company’s competitive advantage lies in its youthful workforce, with most Corporate Channel agents being recent college graduates, contrasting with an aging industry workforce[57]. - The average compensation for service team employees was over $47,000 in 2020, contributing to personnel consistency and high service quality[66]. - Goosehead Insurance, Inc. emphasizes a company culture grounded in integrity, teamwork, and exceptional service, which is crucial for its operational success[81][82]. Expansion Plans - The company plans to expand its Corporate Channel with new sales offices in Denver, San Antonio, Henderson, and another location in the Midwest in 2021[48]. - As of December 31, 2020, the company signed Franchise Agreements in 43 states, covering over 97% of the total U.S. population, with a potential franchise candidate pipeline of approximately 121,000[61]. IPO and Financial Structure - Goosehead Insurance, Inc. completed an initial public offering on May 1, 2018, issuing 9.8 million shares of Class A common stock at a price of $10.00 per share[85]. - Following the IPO, Goosehead Insurance, Inc. owned 37.3% of Goosehead Financial, LLC, while the Pre-IPO LLC Members owned the remaining 62.7%[86]. - As of December 31, 2020, Goosehead Insurance, Inc. owned 49.8% of Goosehead Financial, LLC, with non-controlling interest holders owning the remaining 50.2%[88]. Remote Work and Employee Management - The company transitioned its entire workforce to remote work in March 2020, with no negative impact on financial results or key performance indicators[83]. - By the end of Q3 2020, almost all employees were back in the office for at least 50% of the work week, implementing COVID-19 mitigation practices[84]. - The company’s recruiting team, consisting of 98 members, focuses on attracting motivated individuals for both Corporate and Franchise Channels[44]. Regulatory Compliance - The company is subject to federal and state privacy regulations, requiring the protection of customer information and notification policies[79].

Financial Data and Key Metrics Changes - Goosehead Insurance reported a 45% increase in total written premiums for 2020, reaching $1.074 billion, exceeding the high end of their initial guidance range of 32% to 40% growth [25][68] - Revenues increased by 51% to $117 million, with core revenue rising 41% year-over-year [25][68] - EBITDA for the year was $27.8 million, reflecting a 59% increase compared to 2019, resulting in a 24% EBITDA margin [65][68] Business Line Data and Key Metrics Changes - Franchise premium growth was 52% to $202 million, while corporate segment premium growth was 31% to $83 million [52] - Franchise channel total revenue for Q4 2020 was $16.9 million, up 54% from the previous year, with core revenues increasing 55% [56] - Corporate channel revenues for Q4 2020 were $17.7 million, a 43% increase from the year-ago period [59] Market Data and Key Metrics Changes - Goosehead expanded its presence to 43 states, covering over 97% of the U.S. population, up from 35 states at the end of 2019 [28] - The company had 1,468 total franchises at the end of 2020, a 55% increase from the prior year, with operating franchises increasing 45% to 891 [26][58] Company Strategy and Development Direction - Goosehead aims to continue investing in technology and human capital to drive growth, with a focus on expanding its competitive advantage in the U.S. personalized addressable market [34][35] - The company plans to launch a client-facing quoting platform and a mobile app in 2021 to enhance client engagement [47] - Goosehead's strategy includes leveraging its corporate channel to support franchise growth and productivity [30][34] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the long-term growth prospects, citing the benefits of past investments in technology and human capital [34][71] - The company anticipates total written premiums for 2021 to be between $1.48 billion and $1.55 billion, representing organic growth of 38% to 44% [68] - Management acknowledged potential challenges to ancillary revenue growth in 2021 due to the unpredictability of contingent commissions [68][69] Other Important Information - Goosehead achieved an industry-leading client retention rate of 88% [16][33] - The company reported a net promoter score of 92, indicating high customer satisfaction [31] Q&A Session Summary Question: Can you unpack the total written premium growth guidance for next year? - Management explained that the guidance is based on various factors including geography and franchise tenure, and they do not anticipate a decrease in productivity for 2021 [74] Question: What are the main inputs driving contingent commissions? - Management noted that volume growth rates and underwriting profitability are key components influencing contingent commissions [80][82] Question: How will the recent weather events in Texas impact the company? - Management indicated that they view the surge in demand for services as backlog rather than lost demand, and they are well-equipped to manage the situation [92][96] Question: Is there a significant margin differential between ancillary revenues and core revenues? - Management confirmed that while ancillary revenues are high margin, they are also very unreliable [101] Question: How does the expansion of carrier relationships impact commission revenues? - Management stated that they focus on working with meaningful carriers and that the commission rates are stable across their product spectrum [106]

Goosehead Insurance, Inc. (NASDAQ:GSHD) Q3 2020 Earnings Conference Call October 29, 2020 4:30 PM ET Company Participants Daniel Farrell - Vice President of Capital Markets Mark Jones - Chairman and Chief Executive Officer Michael Colby - President and Chief Operating Officer Mark Colby - Chief Financial Officer Conference Call Participants Mark Dwelle - RBC Capital Markets LLC Meyer Shields - Keefe, Bruyette & Woods, Inc. Adam Klauber - William Blair & Co. Operator Thank you for standing by. This is the co ...

Goosehead Insurance, Inc. (NASDAQ:GSHD) Q2 2020 Earnings Conference Call July 30, 2020 4:30 PM ET Company Participants Dan Farrell – Vice President-Capital Markets Mark Jones – Chairman and Chief Executive Officer Mark Colby – Chief Financial Officer Michael Colby – President and Chief Operating Officer Conference Call Participants Mark Dwelle – RBC Capital Markets Meyer Shields – KBW Operator Thank you for standing by. This is the conference operator. Welcome to the Goosehead Insurance’s Second Quarter 202 ...

Goosehead Insurance, Inc. (NASDAQ:GSHD) Q1 2020 Results Conference Call April 30, 2020 4:30 PM ET Company Participants Dan Farrell - Vice President of Capital Markets Mark Jones - Chairman and Chief Executive Officer Michael Colby - President and Chief Operating Officer Mark Colby - Chief Financial Officer Conference Call Participants Meyer Shields - KBW Mark Dwelle - RBC Capital Markets Operator Thank you for standing by. This is the conference operator. Welcome to the Goosehead Insurance First Quarter 202 ...