Goosehead Insurance, Inc. (GSHD) Earnings History

Goosehead Insurance, Inc. - Q4 2025 EarningsMissed

Filed at: Feb 17, 2026, 4:07 PM EST|Read from source

EXECUTIVE SUMMARY

Goosehead Insurance reported increased revenues and Adjusted EBITDA for Q4 2025, driven by core revenue growth and higher premium rates. However, net income and EPS declined year-over-year, and Adjusted EBITDA margin compressed, reflecting increased operating expenses and strategic investments.

POSITIVE HIGHLIGHTS

  • •

    Total Revenues grew 12% year-over-year to $105.3 million in Q4 2025.

    positive
  • •

    Core Revenues increased 15% year-over-year to $78.2 million in Q4 2025, driven by strong client retention and rising premium rates.

    positive
  • •

    Total written premiums placed increased 13% year-over-year to $1.1 billion in Q4 2025.

    positive
  • •

    Policies in force grew 14% from the prior-year period to approximately 1,900,000.

    positive
  • •

    Adjusted EBITDA of $39.2 million increased 5% from $37.4 million in the prior-year period.

    positive
  • •

    Share repurchase authorization expanded by $180.0 million through May 1, 2027.

    positive

CONCERNS & RISKS

  • •

    Net income in Q4 2025 was $20.8 million, a decrease from $23.8 million in the prior-year period.

    negative
  • •

    EPS of $0.50 per share decreased 17% and Adjusted EPS of $0.64 per share decreased 18% over the prior-year period.

    negative
  • •

    Adjusted EBITDA Margin decreased 3 percentage points over the prior-year period to 37%.

    attention
  • •

    Total operating expenses increased 17% year-over-year to $66.0 million (excluding certain items), primarily due to investments in corporate producers and service/technology functions.

    attention
  • •

    General and administrative expenses increased to $22.1 million from $17.8 million in the prior-year period, primarily due to investments in technology and systems.

    attention
  • •

    Net Income Margin for Q4 2025 was 20%, down from 25% in the prior-year period.

    negative

FINANCIAL METRICS

Revenue
Quarterly
$105.26B
+12.1%
Prior year: $93.92B
Annual (YTD)
$365.30B
N/A
Prior year: $314.50B
Net Income
Quarterly
$20.83B
-12.6%
Prior year: $23.82B
Annual (YTD)
$44.45B
N/A
Prior year: $49.11B
EPS (Diluted)
Quarterly
$0.48
-15.8%
Prior year: $0.57
Annual (YTD)
$1.04
N/A
Prior year: $1.16
Operating Income
Quarterly
$30.90B
+10.9%
Prior year: $27.85B
Annual (YTD)
$74.45B
N/A
Prior year: $61.14B
EPS (Basic)
Quarterly
$0.50
-16.7%
Prior year: $0.60
Annual (YTD)
$1.11
N/A
Prior year: $1.23

MARGIN ANALYSIS

Operating Margin
Current Quarter
29.4%
Prior Year
29.6%
YoY Change
-29 bps
Net Margin
Current Quarter
19.8%
Prior Year
25.4%
YoY Change
-557 bps

Margin expansion indicates improving profitability and operational efficiency. Measured in basis points (bps): 100 bps = 1.0%.

MANAGEMENT GUIDANCE

FY2026

Total revenues
$1.1M—$1.2M
Mid-point: $1.1M
"Expected to grow organically between 10% and 19%."
Total written premiums
1.12—1.2
Mid-point: 1.16
"Expected grow between 12% and 20%."

Forward-looking guidance is subject to change and does not constitute a guarantee. Actual results may differ materially from these estimates.

MANAGEMENT COMMENTARY

Goosehead has now delivered the United States' first end-to-end comparative insurance digital buying experience with the Digital Agent 2.0 platform.

— Goosehead Insurance, Inc., Q4 2025 2025 Earnings Call

Massive strides were made on digital binding in 2025, positioning the company for rapid expansion.

— Goosehead Insurance, Inc., Q4 2025 2025 Earnings Call

AI is being deployed to drive value in the service department, enhancing client experience and improving cost efficiency.

— Goosehead Insurance, Inc., Q4 2025 2025 Earnings Call

Commentary excerpts from earnings call transcripts provide management's perspective on performance, strategy, and outlook. Always review full transcripts for complete context.

OPERATIONAL METRICS

Client Retention
85
+1.2% YoY
Prior year: 84
Corporate sales agents < 1 year tenured
261
+3.2% YoY
Prior year: 253
Corporate sales agents > 1 year tenured
228
+39.0% YoY
Prior year: 164
Policies in force
1.9M
+13.5% YoY
Prior year: 1.7M
Premium Retention
90
-8.2% YoY
Prior year: 98
Total Franchise Producers
2.1K
+1.0% YoY
Prior year: 2.1K

Operational metrics provide insight into business drivers and customer engagement beyond traditional financial measures.