LendingTree (TREE) Q4 2025 earnings summary

Executive summary

• Achieved record Q4 revenue of $319.7 million, up 22% year-over-year, driven by strong Insurance and Consumer segment growth.

• GAAP net income reached $144.7 million, or $10.27 per diluted share, benefiting from a $146.4 million tax benefit.

• Adjusted EBITDA increased 14% year-over-year to $36.7 million, with variable marketing margin (VMM) at $92.0 million.

• All three segments posted double-digit VMD growth, led by insurance, which delivered record performance and a 10% VMD increase.

• Consumer group segment profit rose 17% for the year, with small business revenue up 78%.

Financial highlights

• Revenue: $319.7 million, up 22% year-over-year and 4% sequentially.

• Adjusted EBITDA grew at twice the pace of VMD, up 28% year-over-year.

• Insurance segment generated $174 million in VMD, up 10% from the prior year.

• Segment margin for both Q4 and full year remained stable at 51%.

• AI-driven call center improvements contributed over $10 million in quarterly revenue growth over six quarters, with minimal OpEx increase.

Outlook and guidance

• Q1 2026 guidance: Revenue $317–$325 million, VMM $94–$99 million, Adjusted EBITDA $39–$41 million.

• Full-year 2026 guidance: Revenue $1,275–$1,330 million, VMM $374–$394 million, Adjusted EBITDA $150–$160 million.

• Insurance segment outlook remains strong, with broad-based carrier growth and increased geographic coverage.

• Brand investment of less than $10 million planned for H2 2026, with spend contingent on performance.

• Revenue visibility for 2026 is solid, with predictability improved versus prior years.