NerdWallet(NRDS) - 2025 Q1 - Quarterly Results

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]