SelectQuote Q3 FY2025 – Revenue Up 8.4%, Net Income Soars 202.3%, EBITDA Down 19.1%

By Greg Peters • Monday, May 12 15:20 • Permanent Link

SelectQuote, Inc. has released its third-quarter fiscal year 2025 results, showing a significant increase in consolidated revenue compared to the same period in fiscal year 2024. The company reported consolidated revenue of $408.2 million, up from $376.4 million in the third quarter of fiscal year 2024, representing an 8.4% increase.

In terms of net income, SelectQuote reported a substantial rise, with net income for the third quarter of fiscal year 2025 reaching $26.0 million, compared to $8.6 million in the third quarter of fiscal year 2024, marking a significant increase of 202.3%.

However, the company's consolidated adjusted EBITDA* for the third quarter of fiscal year 2025 was $37.7 million, down from $46.6 million in the third quarter of fiscal year 2024, indicating a decrease of 19.1%.

The Senior segment of SelectQuote saw a decline in revenue, with $169.4 million in the third quarter of fiscal year 2025, compared to $204.3 million in the same period of fiscal year 2024, representing a 17% decrease. Additionally, the segment's adjusted EBITDA* was $45.7 million, down from $61.5 million in the third quarter of fiscal year 2024, marking a 26% decrease.

On the other hand, the Healthcare Services segment experienced a significant increase in revenue, reporting $189.6 million in the third quarter of fiscal year 2025, compared to $124.2 million in the third quarter of fiscal year 2024, indicating a remarkable 53% increase. The segment's adjusted EBITDA* also saw a substantial rise, reaching $6.4 million, up from $1.6 million in the same period of fiscal year 2024, marking an impressive 301% increase.

Furthermore, SelectQuote's Life segment demonstrated positive performance, with revenue of $45.8 million in the third quarter of fiscal year 2025, compared to $40.7 million in the third quarter of fiscal year 2024, representing a 13% increase. The segment's adjusted EBITDA* also showed significant growth, reaching $6.4 million in the third quarter of fiscal year 2025, up from $3.1 million in the same period of fiscal year 2024, marking a notable 103% increase.

These results illustrate a mixed performance for SelectQuote, Inc. in the third quarter of fiscal year 2025, with increases in consolidated revenue and net income but a decline in consolidated adjusted EBITDA* compared to the same period in fiscal year 2024.

*Adjusted EBITDA refers to earnings before interest, taxes, depreciation, and amortization, and other non-recurring expenses. Today the company's shares have moved -2.2% to a price of $2.67. Check out the company's full 8-K submission here.

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