Yahoo Finance

• Q4 Revenue: $184 million, up 37% year-over-year.

• Full Year Revenue: $688 million, a 15% increase versus prior year.

• Insurance Revenue: $72 million in Q4, growing 821% year-over-year.

• Credit Card Revenue: $35 million in Q4, declining 19% year-over-year.

• Loans Revenue: $18 million in Q4, declining 26% year-over-year.

• SMB Products Revenue: $26 million in Q4, declining 7% year-over-year.

• Emerging Verticals Revenue: $34 million in Q4, growing 7% year-over-year.

• Non-GAAP Operating Income: $16.8 million in Q4.

• Adjusted EBITDA: $31 million in Q4.

• GAAP Operating Income: $8.7 million in Q4.

• Net Income: $38.6 million in Q4, including a $37.9 million income tax benefit.

• Monthly Unique Users (MUUs): 19 million in Q4, down 20% year-over-year.

Release Date: February 19, 2025

For the complete transcript of the earnings call, please refer to the full earnings call transcript.

Positive Points

• Nerdwallet Inc (NASDAQ:NRDS) reported a 37% year-over-year revenue growth in Q4 2024, reaching $184 million.

• The insurance vertical experienced significant growth, with an 821% year-over-year increase in Q4 revenue.

• The company achieved a 5% year-over-year growth in banking products despite declining savings account rates.

• Nerdwallet Inc (NASDAQ:NRDS) successfully launched its first comparison shopping marketplaces in Australia.

• The company saw over 200% year-over-year growth in organic video views on Instagram and TikTok, indicating strong engagement on social media platforms.

Negative Points

• The personal loans business declined by 51% year-over-year as the company focused on insurance.

• Monthly unique users (MUUs) decreased by 20% year-over-year in Q4, reflecting challenges in organic traffic growth.

• Credit card revenue declined 19% year-over-year in Q4, with continued downward pressure expected.

• SMB products saw a 7% year-over-year revenue decline in Q4 due to tight lending conditions.

• The company anticipates a $3 million loss to breakeven in Q1 2025, driven by increased brand expenses and a shift towards performance marketing.

Q & A Highlights

Q: How has the insurance segment grown so significantly, and how do you balance this with other sectors if they pick up? A: Tim Chen, CEO: We've improved site flows and personalized user experiences, which has enhanced our performance marketing. The auto insurance market is expanding due to rising costs, and the direct channel is gaining share from agents. We expect lower growth rates in insurance as we lap the hard market but are encouraged by positive feedback from partners. The strategies we've developed in insurance can be applied to other verticals like personal loans and mortgages.