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NerdWallet to Present at KeyBanc Capital Markets Emerging Technology Summit
Businesswire· 2024-02-20 14:00
SAN FRANCISCO--(BUSINESS WIRE)--NerdWallet, Inc. (Nasdaq: NRDS), which provides trustworthy financial guidance to consumers and small and mid-sized businesses (SMBs), today announced that it will be participating in the KeyBanc Capital Markets Emerging Technology Summit in San Francisco. NerdWallet Co-Founder & CEO Tim Chen will participate in a fireside chat on Tuesday, March 5, 2024 at 9:30 a.m. Pacific Time, along with Chief Financial Officer Lauren StClair. Interested parties may access a live audio we ...
NerdWallet(NRDS) - 2023 Q4 - Annual Report
2024-02-19 16:00
UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-K (Mark One) ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2023 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission file number 001-40994 NerdWallet, Inc. (Exact name of registrant as specified in its charter) Delaware 45-4180440 (State or other jurisdiction of inc ...
Why NerdWallet Stock Dropped 8.5% Today
The Motley Fool· 2024-02-15 16:35
Shares of financial data and advice website NerdWallet (NRDS -5.37%) tumbled 8.5% through 10:20 a.m. ET on Thursday after the company reported a surprise loss in its fourth-quarter 2023 financial update last night.Heading into the report, analysts had forecast NerdWallet would earn $0.10 per share on sales of $138.4 million. Instead, NerdWallet reported sales of only $133.7 million and a loss for the quarter of $0.03 per share. NerdWallet Q4 earningsNerdWallet reported a 6% year-over-year decline in revenue ...
NerdWallet Announces Conference Call to Review 2023 Fourth Quarter and Full-Year Financial Results
Businesswire· 2024-01-24 23:30
SAN FRANCISCO--(BUSINESS WIRE)--NerdWallet, Inc. (NASDAQ: NRDS), a platform that provides financial guidance to consumers and small and mid-sized businesses (SMBs), today announced that it will release its fourth quarter and full-year 2023 financial results on Wednesday, February 14, 2024, and hold a related conference call to discuss the results at 1:30 p.m. Pacific Time the same day. Investors and other interested parties may listen to the call by clicking on the registration link for the webcast or audi ...
SoFi Takes Home Three Awards in NerdWallet's 2024 Best-Of Awards
Businesswire· 2024-01-08 16:00
SAN FRANCISCO--(BUSINESS WIRE)--Today, SoFi (NASDAQ: SOFI), the digital personal finance company, received three 2024 Best-Of Awards from NerdWallet, Inc., a platform that provides financial guidance to consumers and small and mid-sized businesses (SMBs). SoFi was recognized by NerdWallet and selected as the Best Checking Account Overall and Best Checking Account for Overdraft Fee Avoidance for SoFi Checking & Savings, as well as Best Personal Loan Overall for SoFi Loans. A team of trusted Nerds—composed ...
NerdWallet Announces Winners of its 2024 Best-Of Awards
Businesswire· 2024-01-08 12:30
SAN FRANCISCO--(BUSINESS WIRE)--NerdWallet, Inc. (Nasdaq: NRDS), a platform that provides financial guidance to consumers and small and mid-sized businesses (SMBs), today announced the winners of its 2024 Best-Of Awards. Each year, NerdWallet conducts a rigorous and in-depth evaluation process to recognize the best financial products on the market to help consumers make the smartest financial decisions. This year’s awards feature top picks across Credit Cards, Personal Loans, Banking, Investing, Mortgages, ...
NerdWallet(NRDS) - 2023 Q3 - Earnings Call Transcript
2023-10-27 00:43
NerdWallet, Inc. (NASDAQ:NRDS) Q3 2023 Results Conference Call October 26, 2023 4:30 PM ET Company Participants Caitlin MacNamee - Head of Investor Relations Tim Chen - Co-Founder & Chief Executive Officer Lauren StClair - Chief Financial Officer Conference Call Participants Jed Kelly - Oppenheimer Youssef Squali - Truist Justin Patterson - KeyBanc Ross Sandler - Barclays Ralph Schackart - William Blair Pete Christiansen - Citi Operator Good day and thank you for standing by. Welcome to the NerdWallet Third ...
NerdWallet(NRDS) - 2023 Q3 - Quarterly Report
2023-10-25 16:00
[Part I: Financial Information](index=6&type=section&id=PART%20I%20Financial%20Information) [Financial Statements](index=6&type=section&id=Item%201.%20Financial%20Statements) The company reported a net loss of $0.5 million for Q3 2023, a decrease from a net income of $0.7 million in Q3 2022, with total assets slightly decreasing and total liabilities significantly decreasing due to contingent consideration payment, while cash and cash equivalents increased | Financial Metric | Sep 30, 2023 | Dec 31, 2022 | | :--- | :--- | :--- | | **Balance Sheet (in millions)** | | | | Cash and cash equivalents | $86.6 | $83.9 | | Total Assets | $420.8 | $425.7 | | Total Liabilities | $56.6 | $84.0 | | Total Stockholders' Equity | $364.2 | $341.7 | | Financial Metric | Q3 2023 | Q3 2022 | Nine Months 2023 | Nine Months 2022 | | :--- | :--- | :--- | :--- | :--- | | **Income Statement (in millions)** | | | | | | Revenue | $152.8 | $142.6 | $465.7 | $396.9 | | Income (Loss) From Operations | $4.0 | $(8.8) | $(1.0) | $(26.9) | | Net Income (Loss) | $(0.5) | $0.7 | $(9.5) | $(19.1) | | Diluted EPS | $(0.01) | $0.01 | $(0.12) | $(0.28) | - Net cash provided by operating activities for the nine months ended September 30, 2023, was **$42.5 million**, a significant increase from **$4.9 million** in the prior year period, driven by a lower net loss and favorable changes in non-cash charges and working capital[22](index=22&type=chunk)[110](index=110&type=chunk) - Net cash used in financing activities was **$19.8 million** for the first nine months of 2023, compared to net cash provided of **$60.3 million** in the same period of 2022, primarily due to **$70.0 million** in proceeds from a line of credit in 2022 for the OTB acquisition and **$12.1 million** used for share repurchases in 2023[22](index=22&type=chunk)[112](index=112&type=chunk) [Management's Discussion and Analysis (MD&A)](index=22&type=section&id=Item%202.%20Management's%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Revenue grew 7% in Q3 2023 and 17% in the first nine months of 2023, primarily driven by strong performance in 'Other verticals,' especially banking, while credit card revenue saw a slight decline in Q3 due to cautious partner spending, and the company improved its operating income and significantly increased its Adjusted EBITDA to $26.7 million in Q3 2023 from $14.5 million in Q3 2022, maintaining a strong liquidity position - Average Monthly Unique Users (MUUs) grew to **24 million** for Q3 2023, a **22% increase** year-over-year, driven by strong engagement in travel, banking, and insurance, as well as the inclusion of the OTB acquisition[66](index=66&type=chunk) | Metric | Q3 2023 | Q3 2022 | Change | | :--- | :--- | :--- | :--- | | Revenue (in millions) | $152.8 | $142.6 | +7% | | Net Income (Loss) (in millions) | $(0.5) | $0.7 | - | | Adjusted EBITDA (in millions) | $26.7 | $14.5 | +84% | | Adjusted EBITDA Margin | 18% | 10% | +8 p.p. | - The company established a new **$125 million** senior secured revolving credit facility in September 2023, maturing in 2028, which replaces its previous facility, with no outstanding debt as of September 30, 2023[38](index=38&type=chunk)[105](index=105&type=chunk) [Results of Operations](index=24&type=section&id=Results%20of%20Operations) For Q3 2023, revenue increased 7% to $152.8 million, driven by a 16% rise in both Loans and Other Verticals, which offset a 6% decline in Credit Cards, leading to an income from operations of $4.0 million, a significant turnaround from an $8.8 million loss in Q3 2022, while for the nine-month period, revenue grew 17% to $465.7 million, and the operating loss narrowed to $1.0 million from $26.9 million year-over-year | Revenue by Category (in millions) | Q3 2023 | Q3 2022 | % Change | YTD 2023 | YTD 2022 | % Change | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Credit cards | $54.0 | $57.4 | (6%) | $166.5 | $157.2 | 6% | | Loans | $32.9 | $28.4 | 16% | $78.0 | $86.7 | (10%) | | Other verticals | $65.9 | $56.8 | 16% | $221.2 | $153.0 | 45% | | **Total revenue** | **$152.8** | **$142.6** | **7%** | **$465.7** | **$396.9** | **17%** | - The **6% decrease** in Q3 credit card revenue was attributed to reduced marketing spend by financial services partners amid cautious underwriting and balance sheet conservatism[79](index=79&type=chunk) - The **16% increase** in Q3 loans revenue was primarily due to a **51% increase** in personal loans, reflecting optimization from the OTB acquisition, which offset a **33% decrease** in mortgages revenue[80](index=80&type=chunk) - Sales and marketing expenses decreased **2%** in Q3 2023 due to an **$8.6 million reduction** in brand marketing, partially offset by a **$5.6 million increase** in performance marketing[87](index=87&type=chunk) [Non-GAAP Financial Measure: Adjusted EBITDA](index=28&type=section&id=Non-GAAP%20Financial%20Measure) Adjusted EBITDA significantly increased to $26.7 million in Q3 2023 from $14.5 million in Q3 2022, and for the nine-month period, nearly doubled to $68.3 million from $36.1 million year-over-year, reflecting improved profitability and operational leverage with an expanded margin from 10% to 18% for the quarter and from 9% to 15% for the nine-month period | Reconciliation (in millions) | Q3 2023 | Q3 2022 | YTD 2023 | YTD 2022 | | :--- | :--- | :--- | :--- | :--- | | Net income (loss) | $(0.5) | $0.7 | $(9.5) | $(19.1) | | Depreciation and amortization | $12.1 | $10.8 | $36.0 | $25.6 | | Stock-based compensation | $9.4 | $9.1 | $29.3 | $25.3 | | Income tax provision (benefit) | $5.2 | $(9.9) | $10.5 | $(8.5) | | Other adjustments | $(0.1) | $3.4 | $1.9 | $12.8 | | **Adjusted EBITDA** | **$26.7** | **$14.5** | **$68.3** | **$36.1** | - The increase in Adjusted EBITDA for the nine months ended September 30, 2023, was driven by a lower net loss and higher add-backs for depreciation & amortization (**$10.4 million increase**) and income taxes (**$19.0 million increase**), partially offset by a decrease in the add-back for the change in fair value of contingent consideration[96](index=96&type=chunk) [Liquidity and Capital Resources](index=28&type=section&id=Liquidity%20and%20Capital%20Resources) The company's principal sources of liquidity are cash from operations and its credit facility, with cash and cash equivalents at $86.6 million as of September 30, 2023, and it believes its current cash, future cash flow from operations, and access to its new $125 million credit facility are sufficient to meet its liquidity needs for at least the next twelve months, having repurchased $12.1 million of its Class A common stock during the first nine months of 2023 | Cash Flow Summary (in millions) | Nine Months 2023 | Nine Months 2022 | | :--- | :--- | :--- | | Net cash provided by operating activities | $42.5 | $4.9 | | Net cash used in investing activities | $(20.1) | $(94.3) | | Net cash provided by (used in) financing activities | $(19.8) | $60.3 | - On May 2, 2023, the Board authorized a **$20 million** share repurchase plan, under which the company repurchased **1.3 million shares** for **$12.1 million** during the nine months ended September 30, 2023[46](index=46&type=chunk)[103](index=103&type=chunk) - The company paid **$32.6 million** during the first nine months of 2023 for the 2022 performance period related to the Fundera acquisition, consisting of **$30.9 million** of contingent consideration and the remainder as deferred compensation[101](index=101&type=chunk) [Quantitative and Qualitative Disclosures About Market Risk](index=31&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) The company is exposed to market risks, primarily from fluctuations in interest rates and foreign currency exchange rates, with no material changes reported since the year-end 2022 report - The company's primary market risk exposures are related to interest rate and foreign currency exchange rate fluctuations[115](index=115&type=chunk) - No material changes to market risk disclosures were reported for the nine months ended September 30, 2023[116](index=116&type=chunk) [Controls and Procedures](index=31&type=section&id=Item%204.%20Controls%20and%20Procedures) Management, including the CEO and CFO, evaluated the company's disclosure controls and procedures and concluded they were effective as of September 30, 2023, with no material changes to the internal control over financial reporting identified during the quarter - The CEO and CFO concluded that the company's disclosure controls and procedures were effective as of September 30, 2023[117](index=117&type=chunk) - There were no changes during the quarter ended September 30, 2023, that have materially affected, or are reasonably likely to materially affect, the company's internal control over financial reporting[118](index=118&type=chunk) [Part II: Other Information](index=32&type=section&id=PART%20II%20Other%20Information) [Legal Proceedings](index=32&type=section&id=Item%201.%20Legal%20Proceedings) The company is involved in various legal proceedings from time to time in the normal course of business, but management does not currently believe that the outcome of any pending litigation will have a material adverse effect on the company's financial condition or results of operations - The company is not currently a party to any litigation that it believes would have a material adverse effect on its business, operating results, or financial condition[120](index=120&type=chunk) [Risk Factors](index=32&type=section&id=Item%201A.%20Risk%20Factors) There have been no material changes to the risk factors previously disclosed in the company's Annual Report on Form 10-K for the year ended December 31, 2022, and investors are advised to consider those risk factors - The report refers to the risk factors set forth in the Annual Report on Form 10-K for the year ended December 31, 2022, and subsequent filings, indicating no new material risks have emerged[121](index=121&type=chunk) [Issuer Purchases of Equity Securities](index=32&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) During the third quarter of 2023, the company repurchased a total of 1.209 million shares of its Class A common stock for approximately $10.8 million under its publicly announced repurchase plan, and following the quarter, on October 26, 2023, the Board authorized a new repurchase plan for up to $30 million of Class A common stock | Period (2023) | Total Shares Purchased (thousands) | Average Price Paid per Share | | :--- | :--- | :--- | | July | 60 | $8.88 | | August | 299 | $8.94 | | September | 850 | $8.96 | | **Total Q3** | **1,209** | **-** | - On May 2, 2023, the company announced a **$20 million** share repurchase plan, with approximately **$7.9 million** remaining available for repurchase as of the end of September 2023[125](index=125&type=chunk) - Subsequent to the quarter end, on October 26, 2023, the Board of Directors approved a new share repurchase authorization for up to **$30 million** of the company's Class A common stock[59](index=59&type=chunk)[125](index=125&type=chunk) [Other Information](index=33&type=section&id=Item%205.%20Other%20Information) On September 14, 2023, Kevin Yuann, the Chief Business Officer, terminated a pre-existing Rule 10b5-1 trading plan and adopted a new one, effective from December 15, 2023, to December 31, 2024, providing for the sale of up to approximately 390,755 shares of Class A common stock - Chief Business Officer Kevin Yuann terminated a trading plan adopted in December 2022 and adopted a new Rule 10b5-1 trading plan on September 14, 2023[127](index=127&type=chunk)[128](index=128&type=chunk) - The new trading plan covers the potential sale of up to approximately **390,755 shares** of Class A common stock from December 2023 through December 2024[128](index=128&type=chunk)
NerdWallet(NRDS) - 2023 Q2 - Earnings Call Transcript
2023-08-03 02:53
NerdWallet, Inc. (NASDAQ:NRDS) Q2 2023 Earnings Conference Call August 2, 2023 4:30 PM ET Company Participants Caitlin MacNamee - Head of Investor Relations Tim Chen - Co-Founder & Chief Executive Officer Lauren StClair - Chief Financial Officer Conference Call Participants Justin Patterson - KeyBanc Robert Zeller - Truist Michael Infante - Morgan Stanley Jed Kelly - Oppenheimer Ralph Schackart - William Blair Pete Christiansen - Citi Operator Good day, and thank you for standing by. Welcome to the NerdWall ...
NerdWallet(NRDS) - 2023 Q2 - Quarterly Report
2023-08-01 16:00
Financial Performance - For the three months ended June 30, 2023, the company reported revenue of $143.3 million, a 14% increase from $125.2 million in the same period of 2022[67]. - The net loss for the three months ended June 30, 2023, was $10.7 million, a 16% increase from a net loss of $9.3 million in the same period of 2022[69]. - Adjusted EBITDA increased by $8.0 million for the three months ended June 30, 2023, and by $20.0 million for the six months ended June 30, 2023, compared to the same periods in 2022[87]. - The effective tax provision was $7.1 million for the three months ended June 30, 2023, compared to $0.2 million for the same period in 2022[83]. - The company reported net cash provided by operating activities of $6.4 million for the six months ended June 30, 2023, a significant increase of $20.8 million compared to a net cash used of $14.4 million in the same period of 2022[98][99]. User Metrics - The company had 22 million and 23 million average Monthly Unique Users (MUUs) for the three and six months ended June 30, 2023, representing a 9% and 8% increase compared to the same periods in 2022[58]. - The company expects Monthly Unique Users to grow over time, although fluctuations may occur based on economic conditions and consumer behavior trends[58]. Revenue Breakdown - Revenue from "Other verticals" increased by $22.4 million, or 48%, for the three months ended June 30, 2023, driven by significant growth in banking and insurance revenues[73]. - Credit card revenue decreased by $3.4 million, or 6%, for the three months ended June 30, 2023, primarily due to reduced marketing spending by financial services partners[71]. - Loans revenue decreased by $0.9 million, or 4%, for the three months ended June 30, 2023, with a notable decline in mortgages revenue by 33%[72]. Expenses - Total costs and expenses for the three months ended June 30, 2023, were $147.5 million, up from $134.2 million in the same period of 2022[67]. - Cost of revenue increased by $4.9 million, or 61%, for the three months ended June 30, 2023, and by $11.0 million, or 69%, for the six months ended June 30, 2023, compared to the same periods in 2022[75]. - Research and development expenses decreased by $0.1 million for the three months ended June 30, 2023, but increased by $2.0 million, or 5%, for the six months ended June 30, 2023, compared to the same periods in 2022[76]. - Sales and marketing expenses increased by $10.0 million, or 11%, for the three months ended June 30, 2023, and by $35.6 million, or 19%, for the six months ended June 30, 2023, compared to the same periods in 2022[78]. - General and administrative expenses increased by $0.3 million, or 1%, for the three months ended June 30, 2023, and by $2.6 million, or 10%, for the six months ended June 30, 2023, compared to the same periods in 2022[79]. Cash and Liquidity - As of June 30, 2023, the company had cash and cash equivalents of $67.1 million, down from $83.9 million as of December 31, 2022[89]. - The company expects its current cash and cash equivalents, along with future cash flow from operations, to meet liquidity requirements for at least twelve months from the date of the filing[95]. - The company had no outstanding balance on its $100 million credit facility as of June 30, 2023, with $98.5 million available to borrow[96]. - The company expects to increase personnel and related expenses and make significant investments to grow its business, which may impact liquidity and cash flows[93]. Acquisitions and Investments - The company completed the acquisition of On the Barrelhead, Inc. on July 11, 2022, enhancing its data-driven product recommendations[56]. - The company paid $32.6 million for the 2022 performance period related to contingent consideration, consisting of $30.9 million for Fundera and the remainder for deferred compensation related to earnouts[92]. - The net cash used in investing activities was $15.3 million for the six months ended June 30, 2023, a slight decrease from $15.9 million in the same period of 2022[98][100]. - Future capital requirements may vary and the company may seek additional financing through equity or debt if necessary[97]. Market Risks and Compliance - The company is exposed to market risks primarily due to fluctuations in interest rates and foreign currency exchange rates[104]. - The company remains compliant with all covenants of its credit facility as of June 30, 2023[96]. - There were no material changes in critical accounting policies during the six months ended June 30, 2023[103].