NerdWallet(NRDS) - 2025 Q3 - Quarterly Results

Financial Performance - Revenue for Q3 2025 was $215.1 million, representing a 12% increase year-over-year[5] - GAAP net income for Q3 2025 was $26.3 million, or $0.34 per diluted share, compared to $0.1 million in Q3 2024[5] - Non-GAAP operating income increased by 81% year-over-year to $41.3 million in Q3 2025[5] - Loans revenue surged by 66% year-over-year to $39.6 million, driven by growth in personal and mortgage loans[6] - Emerging verticals revenue grew by 83% year-over-year to $46.9 million, primarily due to banking product growth[6] - Insurance revenue increased by 3% year-over-year to $70.9 million[6] - Credit cards revenue decreased by 25% year-over-year to $34.1 million, impacted by headwinds in organic search traffic[6] - Net income for the nine months ended September 30, 2025, was $34.7 million, compared to a net loss of $8.2 million in the same period of 2024[17] - Non-GAAP operating income for the nine months ended September 30, 2025, was $71.3 million, representing a 132% increase compared to $30.8 million in 2024[26] - Adjusted EBITDA for the nine months ended September 30, 2025, was $108.3 million, a 41% increase from $77.1 million in 2024[26] - The company reported a significant increase in income from operations, reaching $45.8 million for the nine months ended September 30, 2025, compared to $0.7 million in 2024[26] Cash and Assets - Cash and cash equivalents rose by 68% year-over-year to $120.6 million[7] - Total assets increased to $492.8 million as of September 30, 2025, up from $437.6 million at the end of 2024[16] - Cash and cash equivalents at the end of the period increased to $120.6 million from $71.7 million in the previous year[17] Forecasts and Projections - The forecasted 2025 annual GAAP operating income is projected to be in the range of $59-$63 million, with non-GAAP operating income expected to be between $91-$95 million[29] - The forecasted adjusted EBITDA for 2025 is expected to be in the range of $141-$145 million[29] - Revenue is expected to be in the range of $207-$215 million, representing a 15% year-over-year increase at the midpoint[32] - GAAP operating income is projected to be between $13 million and $17 million for Q4 2025[31] - Non-GAAP operating income is anticipated to be in the range of $20 million to $24 million for Q4 2025[31] - Adjusted EBITDA is expected to be between $33 million and $37 million[32] - Full year 2025 GAAP operating income is forecasted to be between $59 million and $63 million[31] - Full year 2025 non-GAAP operating income is projected to be in the range of $91 million to $95 million[31] Marketing and Spending - The company underspent on brand marketing by $8 million in Q3 2025, with plans to return to typical spending levels in Q4[6] - Stock-based compensation decreased to $21.6 million for the nine months ended September 30, 2025, down 22% from $27.7 million in 2024[26] Risks and Strategic Focus - The company faces significant risks and uncertainties that may affect actual results compared to forward-looking statements[34] - The company aims to grow traffic, engagement, and monetization on its platform while expanding within existing and new verticals[37] - The company is focused on developing scalable technology and enhancing user engagement through personalized guidance[37]