[Part I: Financial Information](index=6&type=section&id=PART%20I%20Financial%20Information) The company's unaudited Q1 2025 financial statements and management's corresponding analysis are presented [Financial Statements](index=6&type=section&id=Item%201.%20Financial%20Statements) Unaudited Q1 2025 financial statements show increased assets and liabilities but decreased year-over-year net income [Condensed Consolidated Balance Sheets](index=6&type=section&id=Condensed%20Consolidated%20Balance%20Sheets) Total assets grew to $475.0 million and total liabilities rose to $103.4 million as of March 31, 2025 Condensed Consolidated Balance Sheet Highlights (in millions) | Account | March 31, 2025 | December 31, 2024 | | :--- | :--- | :--- | | **Assets** | | | | Cash and cash equivalents | $92.2 | $66.3 | | Accounts receivable—net | $120.3 | $102.2 | | Total current assets | $241.9 | $196.7 | | Total Assets | $475.0 | $437.6 | | **Liabilities & Equity** | | | | Total current liabilities | $90.4 | $60.1 | | Total liabilities | $103.4 | $73.4 | | Total stockholders' equity | $371.6 | $364.2 | | Total Liabilities and Stockholders' Equity | $475.0 | $437.6 | [Condensed Consolidated Statements of Operations](index=7&type=section&id=Condensed%20Consolidated%20Statements%20of%20Operations) Q1 2025 revenue grew to $209.2 million, but higher expenses reduced net income to $0.2 million Q1 2025 vs. Q1 2024 Statement of Operations (in millions, except per share data) | Metric | Q1 2025 | Q1 2024 | | :--- | :--- | :--- | | Revenue | $209.2 | $161.9 | | Total costs and expenses | $208.5 | $158.2 | | Income From Operations | $0.7 | $3.7 | | Net Income | $0.2 | $1.1 | | Diluted EPS | $0.00 | $0.01 | [Condensed Consolidated Statements of Cash Flows](index=10&type=section&id=Condensed%20Consolidated%20Statements%20of%20Cash%20Flows) Net cash from operations increased to $26.7 million, resulting in a period-end cash balance of $92.2 million Q1 2025 vs. Q1 2024 Cash Flow Summary (in millions) | Cash Flow Activity | Q1 2025 | Q1 2024 | | :--- | :--- | :--- | | Net cash provided by operating activities | $26.7 | $22.7 | | Net cash used in investing activities | $(4.6) | $(13.5) | | Net cash provided by financing activities | $3.8 | $1.3 | | **Net increase in cash and cash equivalents** | **$25.9** | **$10.5** | | **Cash and Cash Equivalents, End of period** | **$92.2** | **$110.9** | [Notes to Condensed Consolidated Financial Statements](index=12&type=section&id=Notes%20to%20Condensed%20Consolidated%20Financial%20Statements) Disclosures highlight significant Insurance revenue growth, stock compensation details, and income tax positions Revenue by Product Category (in millions) | Product Category | Q1 2025 | Q1 2024 | | :--- | :--- | :--- | | Insurance | $74.0 | $21.4 | | Credit cards | $38.0 | $50.0 | | SMB products | $28.9 | $30.4 | | Loans | $24.0 | $21.4 | | Emerging verticals | $44.3 | $38.7 | | **Total revenue** | **$209.2** | **$161.9** | - The company maintains a share repurchase program with a remaining authorization of **$25.0 million** as of March 31, 2025, with no shares repurchased in Q1 2025 or Q1 2024[35](index=35&type=chunk)[36](index=36&type=chunk) - Total stock-based compensation expense was **$6.7 million** in Q1 2025, down from $8.7 million in Q1 2024[43](index=43&type=chunk) - The company continues to maintain a **valuation allowance** on its California deferred tax assets as of March 31, 2025[45](index=45&type=chunk) [Management's Discussion and Analysis of Financial Condition and Results of Operations (MD&A)](index=19&type=section&id=Item%202.%20Management's%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Revenue grew 29% YoY to $209.2 million, but higher marketing costs reduced operating income and Adjusted EBITDA [Results of Operations](index=21&type=section&id=Results%20of%20Operations) Q1 2025 revenue growth was driven by Insurance, but offset by lower Credit cards revenue and higher operating costs Revenue by Product Category - YoY Change (in millions) | Category | Q1 2025 | Q1 2024 | Change $ | Change % | | :--- | :--- | :--- | :--- | :--- | | Insurance | $74.0 | $21.4 | $52.6 | 246% | | Credit cards | $38.0 | $50.0 | $(12.0) | (24%) | | SMB products | $28.9 | $30.4 | $(1.5) | (5%) | | Loans | $24.0 | $21.4 | $2.6 | 12% | | Emerging verticals | $44.3 | $38.7 | $5.6 | 15% | | **Total revenue** | **$209.2** | **$161.9** | **$47.3** | **29%** | - Sales and marketing expenses increased by **$51.8 million (48%) YoY**, driven by a $43.0 million increase in performance marketing and a $10.4 million increase in brand marketing[77](index=77&type=chunk) - Research and development expenses decreased by **$3.9 million (19%) YoY** due to lower personnel-related costs[75](index=75&type=chunk) [Non-GAAP Financial Measures](index=26&type=section&id=Non-GAAP%20Financial%20Measures) Non-GAAP operating income and Adjusted EBITDA decreased to $9.3 million and $21.1 million, respectively, in Q1 2025 Reconciliation of GAAP to Non-GAAP Measures (in millions) | Metric | Q1 2025 | Q1 2024 | | :--- | :--- | :--- | | Income from operations (GAAP) | $0.7 | $3.7 | | **Non-GAAP operating income** | **$9.3** | **$10.6** | | Net income (GAAP) | $0.2 | $1.1 | | **Adjusted EBITDA** | **$21.1** | **$25.5** | | Adjusted EBITDA margin | 10% | 16% | [Liquidity and Capital Resources](index=28&type=section&id=Liquidity%20and%20Capital%20Resources) The company maintains strong liquidity with $92.2 million in cash and access to a $125.0 million credit facility - Cash and cash equivalents were **$92.2 million** as of March 31, 2025[90](index=90&type=chunk) - The company has a **$125.0 million** senior secured revolving credit facility, with no outstanding balance as of March 31, 2025[95](index=95&type=chunk) - A subsidiary maintains a **$15.0 million** warehouse line of credit for mortgage funding, with **$6.8 million outstanding** as of March 31, 2025[96](index=96&type=chunk) [Quantitative and Qualitative Disclosures About Market Risk](index=30&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) Market risk exposures related to interest and currency rates remain materially unchanged from year-end 2024 - There were **no material changes** from the market risk disclosures in the Annual Report on Form 10-K for the year ended December 31, 2024[106](index=106&type=chunk) [Controls and Procedures](index=30&type=section&id=Item%204.%20Controls%20and%20Procedures) Management concluded that disclosure controls and procedures were effective with no material changes in Q1 2025 - The CEO and CFO concluded that the company's disclosure controls and procedures were **effective** as of March 31, 2025[107](index=107&type=chunk) - There were **no material changes** in the company's internal control over financial reporting during the quarter[108](index=108&type=chunk) [Part II: Other Information](index=31&type=section&id=PART%20II%20Other%20Information) Key disclosures on legal matters, risk factors, securities sales, and other corporate information are provided [Legal Proceedings](index=31&type=section&id=Item%201.%20Legal%20Proceedings) The company is not currently party to any litigation expected to have a material adverse effect - The company is not presently a party to any litigation expected to have a **material adverse effect** on its business[109](index=109&type=chunk) [Risk Factors](index=31&type=section&id=Item%201A.%20Risk%20Factors) Investors are referred to the risk factors detailed in the company's 2024 Annual Report on Form 10-K - Investors are directed to consider the risk factors set forth in the **Annual Report on Form 10-K** for the year ended December 31, 2024[110](index=110&type=chunk) [Unregistered Sales of Equity Securities and Use of Proceeds](index=31&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) No unregistered sales or company purchases of equity securities occurred during the first quarter of 2025 - There were **no unregistered sales** of equity securities or purchases of equity securities by the issuer in Q1 2025[111](index=111&type=chunk)[112](index=112&type=chunk) [Other Information](index=31&type=section&id=Item%205.%20Other%20Information) No directors or officers adopted, modified, or terminated a Rule 10b5-1 trading arrangement in Q1 2025 - No directors or officers adopted, modified, or terminated a **Rule 10b5-1 trading plan** during the three months ended March 31, 2025[115](index=115&type=chunk) [Exhibits](index=32&type=section&id=Item%206.%20Exhibits) This section lists all exhibits filed with the Form 10-Q, including CEO/CFO certifications and XBRL data - Exhibits filed include the Form of 2025 Executive Bonus Program, **CEO/CFO certifications** (Sections 302 and 906), and Inline XBRL documents[119](index=119&type=chunk)

Financial Data and Key Metrics Changes - In Q1 2025, NerdWallet reported revenue of $209 million, representing a 29% year-over-year increase, and achieved $9 million in non-GAAP operating income [5][13] - The company generated GAAP operating income of $700,000 and ended the quarter with $92 million in cash on hand [16][19] Business Line Data and Key Metrics Changes - Credit cards revenue declined 24% year-over-year to $38 million, while loans revenue grew 12% year-over-year to $24 million, driven by personal loans and mortgages [13][14] - Insurance revenue surged 246% year-over-year to $74 million, reflecting strong market performance [14] - SMB products revenue decreased 5% year-over-year to $29 million due to tight underwriting and trade policy uncertainty [14] Market Data and Key Metrics Changes - The insurance market is expected to normalize growth rates in the second half of the year after a significant increase in Q1 [14][40] - The overall financial services digital ad spend market is projected to grow at a 16% CAGR, while NerdWallet's market is expected to grow at a 25% CAGR over five years [8] Company Strategy and Development Direction - The company is focusing on vertical integration to enhance consumer experiences and improve monetization, particularly through the integration of Nextdoor Lending [10][26] - NerdWallet aims to improve operational efficiency while investing in growth opportunities, particularly in travel rewards and personalized user experiences [9][50] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in navigating potential economic uncertainties, including tariffs and inflation, while maintaining a focus on long-term growth [6][17] - The company anticipates a return to growth in early 2026, contingent on the stability of the search landscape and improvements in user engagement [7][56] Other Important Information - The company has retired its official Monthly Unique Users (MUU) disclosure, focusing instead on the quality of user relationships [7] - NerdWallet plans to provide quarterly revenue and non-GAAP profit guidance, with an updated full-year 2025 non-GAAP operating income target of $55 million to $66 million [19] Q&A Session Summary Question: Insights on AI enhanced search modules and traffic stability - Management noted that AI overviews and search ranking improvements have contributed to recent traffic stability, following a challenging period [21][23] Question: Progress on integrating Nextdoor Lending and future vertical integration opportunities - The integration is progressing well, enhancing consumer relationships and unit economics, with future opportunities in complex decision-making areas like insurance and financial advising [25][30] Question: Brand campaign effectiveness and ROI - Management indicated that brand advertising remains a key asset, with ongoing improvements in brand health metrics despite previous declines [32][34] Question: Future growth in the insurance vertical - Insurance revenue growth is expected to normalize, with auto insurance currently dominating the segment, and opportunities in home insurance being explored [39][40] Question: Performance marketing leverage as the insurance category matures - While performance marketing may improve as the category matures, management does not expect a material impact from this change [44][45] Question: Outlook for personal loans and travel rewards - Personal loans are showing signs of growth due to improved funnel personalization, while travel rewards are being developed through content and audience building efforts [48][50]

Revenue Performance - Revenue for Q1 2025 was $209.2 million, representing a 29% increase year-over-year[1] - Insurance revenue reached $74.0 million, up 246% year-over-year, driven by strong growth in auto insurance products[6] - Credit card revenue decreased by 24% year-over-year to $38.0 million, primarily due to ongoing challenges in organic search traffic[6] - SMB products revenue was $28.9 million, down 5% year-over-year, mainly due to a decline in business loan originations[6] - Loans revenue increased by 12% year-over-year to $24.0 million, supported by growth in mortgage loans from the acquisition of Next Door Lending[6] Income and Profitability - Non-GAAP operating income was $9.3 million, a decrease of 12% compared to the previous year[7] - Adjusted EBITDA for the quarter was $21.1 million, down 17% year-over-year[7] - GAAP net income was $0.2 million, an 86% decrease from the previous year[5] - The adjusted EBITDA margin for Q1 2025 was 10%, down from 16% in Q1 2024[26] Cash Flow and Financial Position - Cash and cash equivalents at the end of the quarter were $92.2 million, down 17% from the previous quarter[7] - Adjusted free cash flow for the twelve months ended March 31, 2025, was $57.6 million, compared to $48.5 million for the twelve months ended December 31, 2024[28] - The company reported net cash provided by operating activities of $75.8 million for the twelve months ended March 31, 2025, an increase from $71.8 million for the twelve months ended December 31, 2024[28] Future Outlook - The company expects revenue for Q2 2025 to be in the range of $192-$200 million, representing a 30% year-over-year increase at the midpoint[32] - The forecasted GAAP operating income for the full year 2025 is projected to be between $25-$38 million, with non-GAAP operating income expected to range from $55-$66 million[29] - The company plans to increase its investment in strategic opportunities and stock repurchases, supported by its adjusted free cash flow[23] Strategic Focus and Challenges - The company remains focused on long-term growth through operational efficiency and investments in vertical integration and user engagement[3] - The company anticipates challenges in maintaining user engagement and expanding its market presence due to competitive pressures and macroeconomic factors[37] - The company is unable to provide a quantitative reconciliation of forecasted GAAP net income to forecasted adjusted EBITDA due to uncertainties in certain reconciling items[30]

Core Viewpoint - NerdWallet (NASDAQ: NRDS) was previously rated as a "Buy" due to its founder-led structure and growth in monthly unique users (MUUs) [1] Company Summary - The company is experiencing growth in its monthly unique users, indicating a positive trend in user engagement and potential revenue generation [1]

Group 1 - The stock markets are experiencing a skittish mood, prompting a strategy to rotate portfolios into undervalued small-cap rebound stocks [1] - Gary Alexander has extensive experience in covering technology companies and advising seed-round startups, contributing to insights on industry trends [1] Group 2 - The article emphasizes the importance of focusing on small-cap stocks as a potential investment strategy during market downturns [1]

Financial Data and Key Metrics Changes - In Q4 2024, NerdWallet reported revenue of $184 million, a 37% year-over-year increase, and delivered $17 million in non-GAAP operating income [7][24] - Full year revenue reached $688 million, reflecting a 15% increase compared to the previous year [24] - Non-GAAP operating income margin remained similar to Q4 of the prior year despite increased brand investment [36] Business Line Data and Key Metrics Changes - Insurance revenue grew to $72 million in Q4, an increase of 821% year-over-year, driven by strong consumer and partner demand [33] - Banking products saw a 5% year-over-year growth, while credit card revenue declined by 19% year-over-year to $35 million [25][26] - Personal loans revenue decreased by 51% year-over-year, while mortgage revenue grew primarily due to the acquisition of Next Door Lending [9][27] Market Data and Key Metrics Changes - The SMB products segment generated $26 million in Q4, down 7% year-over-year, reflecting pressure from elevated rates and tight underwriting [30] - Emerging verticals, which include banking and investing, delivered $34 million in revenue for Q4, growing 7% year-over-year [34] - The overall lending environment remains cyclically depressed, impacting growth expectations across various segments [24][30] Company Strategy and Development Direction - The company is shifting focus from Monthly Unique Users (MUUs) to driving engaged relationships with consumers and SMBs, emphasizing quality over quantity [11][12] - Vertical Integration and Registrations & Data-Driven Reengagement are identified as key growth pillars for the company [70][72] - The company plans to continue investing in brand awareness, including a national campaign launched during the Super Bowl [15][47] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about returning to year-over-year growth in personal loans and expects revenue growth to be maintained throughout 2025 despite tough comparisons [44][46] - The company anticipates a challenging lending environment but remains committed to disciplined spending and strategic investments [48][49] - Management highlighted the importance of adapting to changes in the competitive landscape, particularly with the rise of AI and digital marketing [81][82] Other Important Information - Lauren StClair, the CFO, will be stepping down in March and will be succeeded by John Lee [21][22] - The company has grown its cumulative registered user base to 25 million in 2024 [20] Q&A Session Summary Question: Growth in Insurance Segment - Management noted that the growth in the insurance segment is driven by improved traffic flows and a growing market, with confidence in sustainable demand [56][58] Question: Q1 Margin Guidance - The Q1 guidance indicates a potential loss to breakeven, primarily due to increased brand spending and a larger mix of performance marketing [62][63] Question: Shift in Traffic Strategy - The decision to focus on quality relationships over MUUs was driven by a correlation between MUUs and revenue, leading to a strategic shift in internal goals [68][72] Question: Competitive Market Share - Management emphasized that partners evaluate based on customer lifetime value, and deeper engagement is becoming more valued than just top-of-funnel share [92][93] Question: Personal Loans Performance - Management acknowledged a focus on personal loans has been reestablished, with expectations for improvement in Q1 following a significant decline in Q4 [100] Question: Vertical Integration Opportunities - Management indicated that vertical integration opportunities exist in areas where financial guidance is beneficial, suggesting a broad approach to integration [104] Question: Brand Spend Efficiency - Management is focused on improving brand spend efficiency, particularly in sports marketing, while striving for better returns on investment [106]

Core Viewpoint - NerdWallet, Inc. reported quarterly earnings of $0.01 per share, matching the Zacks Consensus Estimate, and showing improvement from a loss of $0.03 per share a year ago [1] - The company posted revenues of $183.8 million for the quarter ended December 2024, exceeding the Zacks Consensus Estimate by 8.70% and up from $133.7 million year-over-year [2] Financial Performance - The company has surpassed consensus revenue estimates four times over the last four quarters [2] - NerdWallet's shares have increased approximately 5.1% since the beginning of the year, outperforming the S&P 500's gain of 4.2% [3] Future Outlook - The sustainability of the stock's price movement will depend on management's commentary during the earnings call [3] - Current consensus EPS estimate for the upcoming quarter is $0.07 on revenues of $189.52 million, and for the current fiscal year, it is $0.36 on revenues of $756.88 million [7] Industry Context - The Financial - Miscellaneous Services industry, to which NerdWallet belongs, is currently ranked in the top 21% of over 250 Zacks industries, indicating a favorable outlook [8] - Empirical research suggests a strong correlation between near-term stock movements and trends in earnings estimate revisions, which can impact NerdWallet's stock performance [5][6]

Investment and Product Development - The company is actively investing in new product offerings and technologies, with plans to increase these investments in the future, despite inherent risks and no guarantee of realizing anticipated benefits [91]. - The launch of the NerdUp credit card in 2023 aims to help consumers build credit, although it is not expected to generate significant direct profitability from interchange fees [109]. - The anticipated launch of NerdWallet+ in 2024 is designed to reward consumers for making healthy financial decisions, but it is also not expected to generate significant profits [109]. - The company is investing significant resources in developing new tools and services, including mortgage and other financial products, but faces risks related to demand prediction and potential defects in technology [117]. Competition and Market Risks - The company faces significant competition from online marketplaces and traditional financial institutions, which may have more capital and resources [111]. - The company is exposed to macroeconomic uncertainties, such as inflation, which may adversely affect its business and results of operations [91]. - Changes in the loan markets, including increased interest rates and economic slowdowns, may negatively impact the company's business and financial condition [132]. - The company anticipates that future interest rate increases will reduce demand for loan products and the supply of credit available, affecting its loans and SMB product verticals [132]. Operational Dependencies and Challenges - The company relies heavily on relationships with financial services partners, and any adverse changes in their financial strength or marketing strategies could negatively impact the business [93]. - The company's financial performance is dependent on successfully referring users to financial services partners, who are not restricted from offering products outside the platform [91]. - The company’s operations are primarily dependent on the U.S. market, making it vulnerable to economic downturns affecting the U.S. economy [123]. - The company tracks operational metrics that may be subject to inaccuracies, which could harm its reputation and financial condition [128]. Regulatory and Compliance Risks - The company is subject to various financial regulations across multiple countries, which may lead to increased operational costs and potential liabilities [133]. - Compliance with evolving data privacy laws, such as the CCPA and UK GDPR, may impose significant costs and operational challenges on the company [140][142]. - The recent acquisition of NDL in October 2024 introduces additional risks related to compliance with federal and state regulations governing mortgage brokerage operations [112]. - The integration of NDL's operations into the broader platform presents execution challenges, particularly in maintaining compliance with evolving regulations [112]. Financial Performance and Condition - Revenue for the year ended December 31, 2024, was $687.6 million, representing a 14.7% increase from $599.4 million in 2023 [345]. - Net income for 2024 was $30.4 million, a significant recovery from a net loss of $11.8 million in 2023 [347]. - Total liabilities increased from $51.7 million in 2023 to $73.4 million in 2024, a rise of about 42% [342]. - The accumulated deficit widened from $116.5 million in 2023 to $166.5 million in 2024, an increase of about 43% [342]. Employee and Management Risks - The company faces intense competition for qualified personnel, which may hinder its ability to attract and retain skilled employees necessary for growth [149]. - The loss of key executives or inability to attract new management could disrupt the company's operations and growth objectives [147][148]. - The transition to a remote-first company may lead to reduced employee morale and increased cybersecurity risks, potentially adversely affecting business operations [151]. Stockholder and Market Considerations - The dual class structure of the company's common stock concentrates voting control with its Co-Founder and CEO, limiting other stockholders' influence on corporate matters [180]. - The company does not expect to pay any cash dividends for the foreseeable future, as it intends to retain future earnings to fund business development and growth [191]. - The company's stock price may decline if existing stockholders sell substantial amounts of Class A common stock in the public market [201]. - Provisions in the company’s corporate charter may make acquisitions more difficult, potentially limiting stockholder benefits [205]. Cash Flow and Liquidity - Cash and cash equivalents decreased from $100.4 million in 2023 to $66.3 million in 2024, a decline of approximately 34% [342]. - Cash provided by operating activities was $71.8 million in 2024, slightly down from $72.1 million in 2023 [352]. - The company reported a net cash decrease of $34.1 million in 2024, contrasting with a net increase of $16.5 million in 2023 [352]. - The company expects future borrowings on its line of credit to be subject to changes in interest rates, which could impact financial condition and results of operations [331]. Marketing and Revenue Generation - The company generates revenue primarily through fees from financial services partners, with revenue recognized upon matching consumers with partners [380]. - The company's total sales and marketing expenses for the year ended December 31, 2024, amounted to $470.6 million, an increase of 17.2% from $401.5 million in 2023 [386]. - Performance marketing expenses rose to $297.4 million in 2024, up 43.9% from $206.5 million in 2023 [386]. - Advertising expenses totaled $370.3 million in 2024, compared to $294.7 million in 2023, reflecting a year-over-year increase of 25.6% [386].

Revenue Performance - Fourth quarter revenue reached $183.8 million, representing a 37% year-over-year increase[2] - Full year revenue totaled $687.6 million, up 15% from the previous year[17] - Insurance revenue surged to $72.0 million, an 821% increase year-over-year, driven by growth in auto insurance products[6] - Credit card revenue decreased by 19% year-over-year to $35.0 million, impacted by ongoing headwinds in organic search traffic[6] - Revenue for Q1 2025 is expected to be in the range of $187-$193 million, reflecting a 17% year-over-year increase at the midpoint[36] User Metrics - Average Monthly Unique Users (MUUs) fell to 19 million, a 20% decline year-over-year, with expectations of stabilization by early 2026[6] - The company anticipates a slight worsening of year-over-year decline in user traffic in Q1 2025 due to ongoing challenges[6] Financial Performance - GAAP net income for Q4 was $38.6 million, translating to $0.51 per diluted share, compared to a net loss of $2.3 million in the same quarter last year[4] - Non-GAAP operating income for Q4 was $16.8 million, a 35% increase year-over-year[7] - Adjusted EBITDA for Q4 was $30.8 million, reflecting a 5% increase from the previous year[7] - Net income for 2024 was $30.4 million, a significant recovery from a net loss of $11.8 million in 2023[19] - Income from operations for Q4 2024 was $8.7 million, an increase of 89% compared to $4.6 million in Q4 2023[29] - Non-GAAP operating income for the year ended December 31, 2024, was $47.6 million, representing an 80% increase from $26.4 million in 2023[29] - Free cash flow for the year ended December 31, 2024, was $50.5 million, a 19% increase from $42.6 million in 2023[31] Cash and Assets - Cash and cash equivalents decreased to $66.3 million in 2024 from $100.4 million in 2023, a decline of 34%[19] - Total assets increased to $437.6 million in 2024 from $418.6 million in 2023, reflecting a growth of 4.3%[18] - Stockholders' equity decreased to $364.2 million in 2024 from $366.9 million in 2023, a reduction of 0.7%[18] - The company reported a net cash provided by operating activities of $71.8 million in 2024, slightly down from $72.1 million in 2023[19] Future Projections - The company expects 2025 annual GAAP operating income to be in the range of $21-$31 million and non-GAAP operating income to be in the range of $50-$60 million[32] - Adjusted EBITDA for the year 2025 is projected to be between $106-$116 million[32] - The company anticipates delivering at least $60 million of GAAP operating income and $80 million of non-GAAP operating income in 2026[33] Management and Strategy - The company appointed John H. Lee as Chief Financial Officer, effective March 17, to oversee finance functions and strategic initiatives[2] - The company plans to continue evaluating its business strategies and performance using non-GAAP measures alongside GAAP results[27] - Non-GAAP operating income (loss) is used to assess performance, excluding certain non-cash charges and acquisition-related costs[20][21] - Adjusted EBITDA is defined as net income (loss) adjusted for various non-cash items, providing insight into operational performance[22] - Free cash flow for the company is calculated as net cash provided by operating activities minus capitalized software development costs and property purchases[26] Margins - The adjusted EBITDA margin for Q4 2024 was 17%, compared to 22% in Q4 2023[29]

Core Viewpoint - NerdWallet (NASDAQ: NRDS) underperformed the broader market in 2024, leading to a reassessment of previous bullish sentiments, yet the outlook for 2025 remains positive due to revenue growth [1]. Group 1: Company Performance - The company experienced revenue growth, which supports a bullish outlook for 2025 despite the underperformance in 2024 [1].