Goosehead Insurance (GSHD) Q4 2025 earnings summary

Executive summary

• Total revenue grew 16% year-over-year to $365.3 million in 2025, with adjusted EBITDA up 14% to $113.6 million and a 31% margin.

• Net income for 2025 was $44.5 million, down from $49.1 million in 2024.

• Client retention improved, ending the year with upward momentum, and policies in force grew 14% to approximately 1.9 million.

• Productivity gains were seen across corporate, franchise, and enterprise sales channels, with franchise gross payments per agency up 29%.

• Technology investments led to the launch of Digital Agent 2.0 and a mobile app, enhancing client experience and operational efficiency.

Financial highlights

• Q4 2025 revenue was $105.3 million, up 12% year-over-year; full-year revenue reached $365.3 million, up 16%.

• Core revenues for Q4 grew 15% to $78.2 million; full-year core revenues up 16% to $317.9 million.

• Adjusted EBITDA for Q4 was $39.2 million (up 5%); full-year adjusted EBITDA was $113.6 million (up 14%), with a 31% margin.

• Net income margin for Q4 was 20%, compared to 25% in the prior year.

• Total written premiums for Q4 were $1.1 billion (up 13%); full-year premiums were $4.4 billion (up 17%).

Outlook and guidance

• 2026 revenue expected to grow organically 10%-19%; written premiums expected to grow 12%-20%.

• Low double-digit core revenue growth expected in 1H 2026, with acceleration in 2H as partnerships and technology investments scale.

• Margins expected to be modestly down in 2026 due to increased investment in AI and digital platforms, with long-term margin expansion anticipated.

• Contingent commissions for 2026 expected between 60-85 basis points of total written premium.