Exzeo Group (XZO) Q4 2025 earnings summary

Executive summary

• Delivered strong Q4 and full-year financial results, with significant growth in revenue, pre-tax income, and managed premium.

• Managed Premium grew 139% year-over-year to $1.39 billion, reflecting strong platform adoption.

• Revenue increased 62% year-over-year to $217.0 million, driven by expanded underwriting and management services.

• Net income from continuing operations rose to $82.7 million for the year, up from $26.1 million in the prior year.

• Cash and cash equivalents at year-end totaled $305.4 million, up from $54.5 million.

Financial highlights

• Q4 pre-tax income: $29M; diluted EPS: $0.25.

• Full-year pre-tax income: $110M+; diluted EPS: $0.99.

• Q4 revenue: $53.3M; full-year revenue: $217M.

• Adjusted EBITDA margin exceeded 54% for both Q4 and full year.

• Free cash flow for 2025: $97.5M; free cash flow conversion rate: 117%.

Outlook and guidance

• Q1 2026 pre-tax income expected between $23M and $26M.

• Full-year 2026 pre-tax income expected between $115M and $125M.

• Managed Premium expected to exceed $1.4B by end of Q1 and reach $1.55B by year-end 2026.

• Free cash flow conversion expected to remain above 100% in 2026, driven by upfront cash receipts and growth.

• Management highlighted scalability and strong profitability, emphasizing continued growth in recurring revenue streams and customer expansion.