LendingTree (TREE) investor relations material

Executive summary

• Achieved record quarterly revenue of $327.3 million, up 37% year-over-year, driven by strong Insurance and Consumer segment performance.

• Adjusted EBITDA rose 71% year-over-year to $42.0 million, marking a six-year high, with margin improvements from marketing optimization.

• Net income reached $17.3 million, reversing a prior year loss, and net leverage improved to 2.1x from 3.4x year-over-year.

• Strategic focus remains on accelerating core business, enhancing consumer experience with AI, expanding offerings, and rebuilding brand.

• High-margin, asset-light, and durable business model with scalable expenses and rapid deleveraging from 2023 to 2026.

Financial highlights

• Revenue grew 37% year-over-year to $327.3 million, driven by insurance and consumer segments.

• Adjusted EBITDA reached $42.0 million, up 71% year-over-year, and variable marketing margin improved to $99.5 million.

• Insurance segment revenue rose 51% to $221.9 million, with segment profit up 50% to $57.9 million.

• Consumer segment revenue increased 18% to $66.3 million, with small business lending up 49% and segment profit up 21%.

• Home segment revenue grew 6% to $39.1 million, but segment profit declined 24% due to higher marketing costs.

Outlook and guidance

• Full-year 2026 revenue guidance raised to $1,300–$1,350 million; Adjusted EBITDA outlook increased to $152–$162 million.

• Q2 2026 revenue expected at $305–$325 million, with Adjusted EBITDA of $38–$40 million.

• Continued strength anticipated in Insurance, with conservative expectations for Home and Consumer segments due to high mortgage rates and low sentiment.

• At the midpoint of 2026 outlook, adjusted EBITDA is running at a 26% three-year CAGR.

• Cash and cash equivalents and operating cash flows are expected to be sufficient for operating needs for the next twelve months and beyond.