Goosehead Insurance reports Q1 adjusted EPS 28c, consensus 21c

Reports Q1 revenue $64.46M, consensus $65.3M. “Our first quarter 2024 results demonstrate our business is moving into a re-accelerating growth phase with total revenue, core revenue and franchise productivity all accelerating from fourth quarter 2023 growth rates,” stated Mark Jones, Chairman and CEO. “One of the more exciting trends we are seeing is continued improvement in our franchise new business productivity, as this network now accounts for 87% of our distribution force. While we are seeing some temporary headwinds related to product availability, I could not be more pleased with the underlying trends we are seeing on new business productivity, recruiting, and technology investment. Goosehead is in a tremendous position of financial strength with robust ongoing cash generation, so we have recently taken steps to increase our leverage by amending our credit agreement to upsize our term loan and revolver. In light of the dislocation of our equity valuation from the long-term fundamentals of our business, the board of directors has approved a $100 million share repurchase authorization to capitalize on what we see as a highly favorable buying opportunity.”