Goosehead Insurance (GSHD) Q4 2024 earnings summary

Executive summary

• Achieved 20% total revenue growth to $314.5 million, 17% core revenue growth, 29% premium growth to $3.8 billion, and adjusted EBITDA near $99.9 million, up 43% year-over-year with a record 32% margin in 2024.

• Net income for 2024 rose 107% to $49.1 million, with Q4 net income of $23.8 million and EPS of $0.60.

• Franchise distribution remains the largest segment, accounting for 83% of the producer force, with franchise productivity up 49% and producer count up 7%.

• Technology innovation, including proprietary Quote to Issue, AI tools, and the Goosehead Mobile App, drove operational efficiency and client experience enhancements.

• Expanded agent force with over 800 new sales agents, opened new offices, and positioned for continued growth in 2025 with a focus on franchise expansion, technology, and strategic partnerships.

Financial highlights

• Quarterly premiums grew 28% year-over-year to $966 million; full-year premiums reached $3.81 billion, up 29%.

• Total revenues for Q4 were $93.9 million, up 49% year-over-year; core revenues grew 19% to $68 million.

• Adjusted EBITDA for Q4 grew 164% to $37.4 million; full-year adjusted EBITDA margin improved to 32%.

• Net income margin for Q4 was 25%; full-year net income margin was 16%, up 700 basis points.

• Free cash flow for 2024 was $59.4 million, up 53% year-over-year; cash at year-end was $58.0 million.

Outlook and guidance

• 2025 revenue guidance: $350–$385 million, representing 11–22% organic growth.

• 2025 premium guidance: $4.65–$4.88 billion, representing 22–28% organic growth.

• Expect gradual decline in pricing tailwinds and conservative client retention assumptions.

• Core revenue growth expected to accelerate in 2025; margin expansion anticipated, especially on a core basis excluding contingent commissions.