LendingTree Surpasses Q3 Earnings Estimates, Raises 2024 View

Core Viewpoint - LendingTree, Inc. reported strong third-quarter 2024 results, with adjusted net income per share of 80 cents, exceeding the Zacks Consensus Estimate of 67 cents and up from 61 cents in the prior-year quarter [1][2] Financial Performance - Total revenues increased by 68% year over year to $260.8 million, driven primarily by significant growth in the Insurance segment's revenues, surpassing the Zacks Consensus Estimate by 6.9$26.9 million, while the variable marketing margin increased by 14% year over year to $77.2 million [3] - The total cost of revenues was$9.4 million, reflecting a 23.8% increase from the prior-year quarter [3] Balance Sheet - As of September 30, 2024, cash and cash equivalents stood at $96.8 million, a decrease from$66.8 billion as of June 30, 2024, while long-term debt decreased to $346.2 million from$467.7 million [4] Future Outlook - For the fourth quarter of 2024, total revenues are estimated to be between $231 million and$241 million, with adjusted EBITDA and variable marketing margin anticipated between $20-$23 million and $69-$74 million, respectively [5] - For the full year 2024, total revenues are projected to be between $870 million and$880 million, with adjusted EBITDA expected to be between $92 million and$95 million, and variable marketing margin projected at $287 million to$292 million [6] Strategic Insights - The company's inorganic growth strategies have strengthened its online lending platform, with third-quarter results benefiting from robust growth in the Insurance segment [7] - Efforts to diversify non-mortgage product offerings are expected to support future top-line growth [7]