MediaAlpha stock soars 20% on record Q1 results, strong guidance

Published 01/05/2025, 15:28
MediaAlpha stock soars 20% on record Q1 results, strong guidance

LOS ANGELES - MediaAlpha, Inc. (NYSE:MAX) saw its stock surge 20% after reporting first quarter 2025 financial results that exceeded expectations, driven by robust growth in its property and casualty insurance vertical.

The insurance advertising technology company posted revenue of $264.3 million for the quarter, up 109% year-over-year (YoY). Transaction (JO:NTUJ) value, a key metric for the company, jumped 116% YoY to $473.1 million, with the property and casualty segment surging 200% to $407 million.

MediaAlpha reported a net loss of $2.3 million for the quarter, compared to a $1.5 million loss in the same period last year. Adjusted EBITDA more than doubled to $29.4 million from $14.4 million YoY.

"We had a record first quarter, beating expectations across the board, thanks largely to the continued strength in our P&C insurance vertical," said MediaAlpha co-founder and CEO Steve Yi.

For the second quarter, MediaAlpha expects transaction value between $470 million and $495 million, representing 50% YoY growth at the midpoint. Revenue is projected to be $235 million to $255 million, up 37% YoY at the midpoint.

The company anticipates adjusted EBITDA of $25 million to $27 million for Q2, a 39% increase YoY at the midpoint.

MediaAlpha’s strong results and outlook reflect continued momentum in its core property and casualty insurance business, offsetting weakness in its health insurance vertical.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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