EverQuote (EVER) Q3 2025 earnings summary

Executive summary

• Achieved record Q3 2025 revenue of $173.9 million, up 20% year-over-year, and record net income of $18.9 million, up from $11.6 million in the prior year period.

• Adjusted EBITDA increased 33% year-over-year to $25.1 million, with margin expanding to 14.4%.

• Significant progress in AI-powered product innovation and operational efficiency, with SmartCampaigns 3.0 delivering a 7% improvement in ad spend efficiency for early adopters.

• Transitioned from a lead-generation vendor to a multi-product, AI-powered growth solutions partner for P&C insurance providers, with over 35% of local agent customers using more than one product.

• Set a target to reach $1 billion in annual revenue within two to three years, focusing on organic growth, operational efficiency, and 20% adjusted EBITDA margins.

Financial highlights

• Q3 2025 revenue grew 20% year-over-year to $173.9 million, with auto insurance vertical revenue up 21% to $157.6 million and home/renters insurance up 15% to $16.3 million.

• Net income reached $18.9 million, up from $11.6 million in the prior year period; diluted EPS was $0.50, up from $0.31.

• Adjusted EBITDA margin expanded to 14.4% in Q3 2025; variable marketing margin was 28.8%.

• Variable marketing dollars reached $50.1 million, up 14% year-over-year; operating cash flow for Q3 was $19.8 million.

• Ended Q3 with $145.8–$146 million in cash and no debt; $21 million in share repurchases executed as part of a $50 million buyback program.

Outlook and guidance

• Q4 2025 revenue expected between $174 million and $180 million, representing 20% year-over-year growth at midpoint.

• Q4 variable marketing dollars guidance is $46–$48 million (7% year-over-year growth at midpoint); adjusted EBITDA expected at $21–$23 million (16% year-over-year growth at midpoint).

• Full-year 2025 guidance implies approximately 35% revenue growth and over 55% adjusted EBITDA growth.

• Long-term targets include 20% average annual revenue growth and 20% adjusted EBITDA margin.

• Investments in new traffic channels expected to temporarily pressure margins but support long-term growth.