EXHIBIT 99.1 NERDWALLET REPORTS FOURTH QUARTER AND FULL YEAR 2024 RESULTS Fourth Quarter Revenue of $183.8 million, Up 37% Year-Over-Year FINANCIAL HIGHLIGHTS SAN FRANCISCO, CA—February 19, 2025—NerdWallet, Inc. (Nasdaq: NRDS), which provides trustworthy financial guidance to consumers and small and mid-sized businesses (SMBs), today reported financial results for its fourth quarter ended December 31, 2024. "We closed 2024 strong, exceeding our expectations and growing revenue to $183.8 million, up 37% year ...

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].

Group 1 - The Q3 earnings season is showing significant upside surprises despite concerns about a consumer slowdown in the U.S. [1] Group 2 - Gary Alexander has extensive experience in covering technology companies and advising startups, contributing to insights on industry trends [2]

Financial Data and Key Metrics Changes - The company reported Q3 revenue of $191 million, representing a 25% year-over-year increase, exceeding revenue guidance [22][37] - Non-GAAP operating income was $23 million, up $13 million year-over-year, with a non-GAAP operating income margin of approximately 12% [9][32] - GAAP operating income was $6.6 million, with a net income of $0.1 million, which included $7.8 million in restructuring expenses [34] Business Line Data and Key Metrics Changes - Insurance revenue grew 916% year-over-year, significantly contributing to overall revenue growth [31] - SMB products generated $28 million in revenue, growing 12% year-over-year, driven by renewals despite challenges in SMB loan originations [28] - Credit card revenue declined 16% year-over-year to $45 million, attributed to underwriting constraints and organic traffic pressures [7][23] - Loans revenue decreased by 28% year-over-year to $24 million, with personal loans down 49% year-over-year [25] Market Data and Key Metrics Changes - Monthly Unique Users (MUUs) decreased by 7% year-over-year to 22 million, primarily due to challenges in organic traffic [35] - The company anticipates a full quarter of impact from search headwinds in Q4, leading to further MUU deceleration [8][52] - Emerging verticals revenue grew 129% year-over-year, driven by banking, insurance, and investing [30] Company Strategy and Development Direction - The company is focusing on vertical integration, highlighted by the acquisition of Next Door Lending to enhance mortgage services [10][16] - Strategic areas of investment include improving shopping experiences and building deeper consumer relationships [12][17] - The company aims to leverage its brand to enhance user experiences and drive growth in various financial services [19][59] Management's Comments on Operating Environment and Future Outlook - Management acknowledged ongoing headwinds in organic search and a challenging lending environment but expressed confidence in long-term growth prospects [5][37] - The company expects Q4 revenue in the range of $164 million to $172 million, indicating a 26% year-over-year growth at the midpoint [37][38] - Management remains optimistic about the insurance vertical's strength continuing into 2025, driven by share gains and market dynamics [56][57] Other Important Information - The company repurchased 5.8 million shares at an average price of $12.29 per share during Q3 [45] - Lauren StClair, the CFO, will be leaving the company in March 2025, with plans for an orderly transition [20] Q&A Session Summary Question: Follow-up on organic traffic and initiatives - Management discussed the challenges in organic search visibility and the impact of AI on traffic dynamics, emphasizing ongoing improvements in user experience [48][50][52] Question: Insurance growth sustainability - Management confirmed expectations for continued strength in insurance revenue into Q4 and the first half of 2025, driven by market conditions and share gains [56][57] Question: Performance marketing strategy - Management reiterated a disciplined approach to performance marketing, focusing on profitability and user registration [61][63] Question: Strength in non-auto insurance - Management indicated that while auto insurance remains the primary driver, there are ongoing investments in home and life insurance to diversify offerings [66][67] Question: Trends in banking and lending - Management noted tight underwriting conditions in credit cards and a decline in banking revenue, but expressed optimism about future recovery as market conditions improve [71][72]

NerdWallet, Inc. (NRDS) reported break-even quarterly earnings per share versus the Zacks Consensus Estimate of $0.03. This compares to loss of $0.01 per share a year ago. These figures are adjusted for nonrecurring items. This quarterly report represents an earnings surprise of -100%. A quarter ago, it was expected that this company would post a loss of $0.06 per share when it actually produced a loss of $0.12, delivering a surprise of -100%. Over the last four quarters, the company has surpassed consensus ...

Financial Performance - Revenue for the three months ended September 30, 2024, was $191.3 million, a 25% increase from $152.8 million in the same period of 2023[73]. - Income from operations increased by $2.6 million, or 64%, for the three months ended September 30, 2024, compared to the same period in 2023[76]. - Net income for the three months ended September 30, 2024, was $0.1 million, compared to a net loss of $0.5 million in the same period of 2023[73]. - Total revenue for the three months ended September 30, 2024, was $191.3 million, an increase of $38.5 million, or 25%, compared to $152.8 million for the same period in 2023; for the nine months, revenue was $503.8 million, up $38.1 million, or 8%[78]. - Non-GAAP operating income increased by $13.4 million, or 138%, for the three months ended September 30, 2024, compared to the same period in 2023[96]. - Adjusted EBITDA rose by $10.6 million, or 39%, for the three months ended September 30, 2024, compared to the same period in 2023[97]. User Metrics - Monthly Unique Users (MUUs) averaged 22 million for the three months ended September 30, 2024, down 7% from 25 million in the same period of 2023[63]. - The company expects fluctuations in MUUs based on economic conditions and consumer behavior trends[63]. Expenses and Costs - Total costs and expenses for the three months ended September 30, 2024, were $184.7 million, up from $148.8 million in the same period of 2023[73]. - Sales and marketing expenses increased by $27.5 million for the three months ended September 30, 2024, compared to the same period in 2023[76]. - Research and development expenses for the three months ended September 30, 2024, were $23.0 million, up from $20.7 million in the same period of 2023[73]. - Total costs and expenses rose by $35.9 million, or 24%, for the three months and by $36.4 million, or 8%, for the nine months ended September 30, 2024, compared to the same periods in 2023[83]. - Research and development expenses increased by $2.3 million, or 11%, for the three months and by $6.2 million, or 10%, for the nine months ended September 30, 2024, primarily due to a restructuring charge[85]. Restructuring and Workforce - The company incurred a pre-tax restructuring charge of $7.8 million, with expected annualized cost savings of approximately $30 million[60]. - The restructuring plan reduced the workforce by approximately 15% compared to the headcount as of December 31, 2023[60]. Revenue Breakdown - Credit card revenue decreased by $8.7 million, or 16%, for the three months ended September 30, 2024, and by $25.1 million, or 15%, for the nine months, primarily due to reduced marketing spending[79]. - Loans revenue fell by $9.1 million, or 28%, for the three months and by $11.1 million, or 14%, for the nine months ended September 30, 2024, largely due to a 49% decrease in personal loans revenue[80]. - SMB products revenue increased by $3.1 million, or 12%, for the three months and by $10.7 million, or 14%, for the nine months ended September 30, 2024, driven by growth in business credit cards and loan renewals[81]. - Emerging verticals revenue surged by $53.2 million, or 129%, for the three months and by $63.6 million, or 43%, for the nine months ended September 30, 2024, mainly due to a 916% increase in insurance products revenue[82]. Cash Flow and Financing - Net cash provided by operating activities increased by $19.4 million for the nine months ended September 30, 2024, compared to the same period in 2023[108]. - Cash and cash equivalents decreased to $71.7 million as of September 30, 2024, down from $100.4 million as of December 31, 2023[99]. - The company repurchased 5.8 million shares of Class A common stock for $72.2 million during the nine months ended September 30, 2024[103]. - Net cash used in financing activities increased by $46.5 million for the nine months ended September 30, 2024, primarily due to a $57.7 million increase in stock repurchases[110]. - The company had no outstanding balance on its Credit Agreement as of September 30, 2024, with an available borrowing amount of $123.7 million[104]. Tax and Accounting - The effective tax rate for the three months ended September 30, 2024, was 99.2%, compared to 110.9% for the same period in 2023, primarily due to a valuation allowance against net U.S. deferred tax assets[91]. - No material changes in critical accounting policies during the nine months ended September 30, 2024[112]. - No material changes from market risk disclosures in the Annual Report for the year ended December 31, 2023[114]. Market Risks - Market risk exposure primarily due to fluctuations in interest rates and foreign currency exchange rates[113].

Financial Performance - Revenue for Q3 2024 was $191.3 million, representing a 25% increase year-over-year[1] - Non-GAAP operating income reached $22.9 million, up 138% from the previous year[6] - Adjusted EBITDA for the quarter was $37.3 million, a 39% increase year-over-year[6] - The net income for the third quarter of 2024 was $0.1 million, compared to a net loss of $0.5 million in the same quarter last year[21] - Non-GAAP operating income for the fourth quarter of 2024 is projected to be between $8 million and $11 million[23] - The company reported a non-GAAP operating income margin of 12% for the third quarter of 2024, up from 6% in the same quarter last year[21] - The forecasted GAAP operating income margin for the full year 2024 is expected to be between 0% and 0.5%[25] - The company anticipates an adjusted EBITDA margin for 2024 to be in the range of 14.75%-15%[23] Revenue Breakdown - Credit card revenue decreased by 16% year-over-year to $45.3 million, primarily due to organic search traffic pressures[4] - Loans revenue fell 28% year-over-year to $23.8 million, impacted by a high interest rate environment[4] - SMB products revenue increased by 12% year-over-year to $27.8 million, driven by growth in business credit cards and loan renewals[4] - Emerging verticals revenue surged 129% year-over-year to $94.4 million, largely due to strong growth in insurance products[4] Cash Flow and Assets - Net cash provided by operating activities increased to $61.9 million from $42.5 million, a growth of 45.5%[17] - Total current assets decreased to $193.7 million from $198.4 million, a decline of 0.35%[15] - Cash and cash equivalents decreased to $71.7 million from $100.4 million, a decline of 28.6%[15] - Cash and cash equivalents at the end of the period decreased to $71.7 million from $86.6 million, a decline of 17.5%[17] - Capitalized software development costs for the nine months ended September 2024 were $15.9 million, down from $19.6 million in 2023[17] Stockholder Actions - A new share repurchase authorization of up to $25 million for Class A common stock was approved by the Board of Directors[9] - The company repurchased Class A common stock amounting to $69.8 million during the period[17] Acquisitions and Future Outlook - The company announced the acquisition of Next Door Lending, a mortgage brokerage, to enhance its financial ecosystem[2] - The company expects fourth quarter 2024 revenue to be in the range of $164-$172 million, which is a 26% year-over-year increase at the midpoint[23] - 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[24] Other Financial Metrics - Average Monthly Unique Users (MUUs) decreased by 7% year-over-year to 22 million[4] - Total liabilities increased to $80.0 million from $51.7 million, a rise of 54.5%[15] - Stockholders' equity decreased to $322.4 million from $366.9 million, a decline of 12.1%[15] - Depreciation and amortization expenses for the third quarter of 2024 were $12.9 million, a 7% increase from $12.1 million in the previous year[21]

Company Overview - NerdWallet is a founder-led consumer internet business that provides free financial advice and education to its readers [1] - The company generates revenue through affiliate relationships with financial products companies, including credit cards, banks, brokerage firms, and insurance carriers [1] Business Model - The business model relies on affiliate marketing, where NerdWallet earns commissions by promoting financial products [1]

With the S&P 500 continuing to cling near all-time highs, it's a great time for investors to diversify their portfolios into more beaten-down, value-oriented names: those whose stocks depend more on executing turnaround targets rather than momentum in the broader markets. With combined experience of covering technology companies on Wall Street and working in Silicon Valley, and serving as an outside adviser to several seed-round startups, Gary Alexander has exposure to many of the themes shaping the industr ...

d 1 all hapabapa Today's article revisits our stance on NerdWallet, Inc. (NASDAQ:NRDS), a FinTech company that provides financial product comparison tools and their intermediation. We previously covered the stock in June, assigning a bullish rating. However, material events have occurred since then, prompting us to revisit NerdWallet's stock. NerdWallet released its second-quarter earnings report on July 31, revealing a revenue beat of around $670,000 and an earnings-per-share miss of seven cents. The marke ...