Porch Group (32RD) Q3 2026 Earnings Report
DE:32RD Q3 2026 EPS Results
- Actual EPS
- EUR 0.09
- Consensus EPS
- EUR 0.01
- Beat/Miss
- Beat by +EUR 0.08
- One Year Ago EPS
- -EUR 0.09
DE:32RD Q3 2026 Revenue Results
- Actual Revenue
- EUR 128.81M
- Expected Revenue
- EUR 120.57M
- Beat/Miss
- Beat by +EUR 8.25M
- YoY Revenue Growth
- +21.83%
Earnings Announcement Details
- Quarter
- Q3 2026
- Date
- 10/28/2026
- Time
- After Close
- Conference Call
- Wednesday, October 28, 2026
DE:32RD Upcoming Earnings
Porch Group's next earnings date is estimated for March 2, 2027, based on past reporting schedules.
Q3 2026 Earnings Call Audio
DE:32RD Q3 2026 Earnings Call
0:00 / 0:00
Q3 2026 Earnings Slide Deck
Q3 2026 Earnings Call Summary
Earnings Call Sentiment|Positive
The call was strongly positive, supported by accelerating policy growth, more than doubled adjusted EBITDA excluding the reciprocal, a sixth consecutive Rule of 80 quarter, strong underwriting results, raised 2026 guidance, improved liquidity and leverage, and the pending Allied Trust acquisition. The company also reported challenges from a softening insurance market, lower premium per new policy, declines in software and consumer-services volumes, and seasonal Q4 pressure, but these issues were outweighed by the reported operating momentum and financial improvements.
Company Guidance
For 2026, Porch raised guidance for Porch-owned segments revenue, excluding the reciprocal, to a range of $518 million to $523 million, gross profit excluding the reciprocal to a range of $438 million to $443 million, and adjusted EBITDA excluding the reciprocal to a range of $135 million to $140 million; the midpoint represents $521 million, 24% year over year growth, $438 million? Wait midpoint of $438-$443 is $440.5, transcript says 28% growth at the midpoint and 85% gross margin at the midpoint, and $138 million, 79% year over year growth, while the company continues to expect positive net income attributable to Porch. The company is not providing 2027 guidance until next quarter, but its internal combined company 2027 target, assuming a full year of Allied contributions, includes more than $900 million of RWP, more than 360 thousand reciprocal policies written, and more than $180 million of adjusted EBITDA excluding reciprocal; Allied is expected to contribute approximately $25 million of adjusted EBITDA in the first full year following closing, with benefits developing progressively over 12 to 24 months and cash earnings expected to repay Porch's investment within 3 years. Longer term, Porch reiterated organic growth of 20 plus percent premium growth and medium term targets of $3 billion of premium and $660 million of adjusted EBITDA.
- Strong Reciprocal Policy and Premium GrowthReciprocal policies written grew 42% year over year to approximately 68,000 in Q3, accelerating from 38% growth in Q2. Reciprocal written premium was $161 million, up 17% year over year, and management expects policy growth to remain strong in Q4, with premium and policy growth accelerating in October.
- Adjusted EBITDA More Than DoubledAdjusted EBITDA excluding the reciprocal was $44 million, up 116% year over year and more than double the prior-year period. At the company-wide level, adjusted EBITDA excluding the reciprocal represented 28% of reciprocal written premium.
- Insurance Services Delivered a Sixth Consecutive Rule of 80 QuarterInsurance services revenue increased 39% year over year to $103 million, while adjusted EBITDA increased 98% to $50 million. The segment produced a 49% adjusted EBITDA margin, resulting in a sixth consecutive Rule of 80 quarter.
- Insurance Services Gross Profit and Margin StrengthInsurance services gross profit increased 46% year over year to $91 million, with gross margin remaining strong and predictable at 89% in Q3.
- Improved GAAP ProfitabilityConsolidated GAAP revenue was $144 million, up 13% year over year, while revenue for Porch-owned segments excluding the reciprocal was $141 million, up 22%. Net income attributable to Porch was $12 million, an improvement of $23 million from the prior-year period.
- Expanded Reciprocal Capital and Premium CapacityReciprocal statutory surplus reached $174 million, up $22 million year over year and higher sequentially for the sixth consecutive quarter. Since launch, statutory surplus has increased by almost $75 million. Management said the surplus supports what is approaching $1 billion of premium, while nonadmitted assets increase potential premium capacity to over $2 billion.
- Distribution Funnel Continued to ExpandProducing agency branch locations increased 114% year over year, while quote volume grew 79% and increased sequentially for the eighth consecutive quarter. Management cited continued runway to add agencies, deepen existing relationships, and expand into additional geographies.
- Improved Conversion and New-Customer Premium GrowthThe conversion rate was approximately flat versus Q2 and increased 53% year over year. Reciprocal written premium from new customers increased 178% year over year, or almost tripled.
- Strong Underwriting ResultsThe reciprocal's overall gross loss ratio was 24% in Q3, while the attritional loss ratio excluding catastrophic weather events was 18%. The attritional loss ratio remained in the teens for the eighth consecutive quarter.
- Allied Trust Acquisition Adds Scale and CapabilitiesPorch announced the pending acquisition of Allied Trust, a regional insurance company with operations in Texas and Louisiana and additional presence in the Carolinas. Management expects the transaction to add scale, products, geographies, talent, agency relationships, customer brand, and more than a decade of claims data.
- Allied Transaction EconomicsThe Allied transaction has approximately $200 million of aggregate consideration, or $140 million net of Allied statutory surplus. Porch expects to spend $95 million to acquire Allied's managing general agency and captive reinsurance entities, consisting of $75 million in cash and $20 million in stock. The transaction is expected to contribute approximately $25 million of adjusted EBITDA to Porch in the first full year following closing, representing an acquisition multiple of less than 4x EBITDA.
- Allied Expected to Be Statutory-Surplus Neutral for the ReciprocalThe reciprocal is expected to spend $105 million to acquire the insurance carrier, which is expected to have approximately $60 million of statutory surplus at closing. Net of that acquired surplus, the reciprocal's effective purchase consideration is expected to be approximately $45 million, funded with a small amount of nonadmitted Porch shares. Management expects the deal to be approximately statutory-surplus neutral for the reciprocal.
- Allied Improvement and Payback ExpectationsManagement expects to apply Porch's proprietary property data to identify exposures that do not meet targeted returns, improve pricing across the retained book, and focus future growth on attractive risks. The benefits are expected to develop progressively over 12 to 24 months following closing, with cash earnings from Allied expected to repay Porch's investment within three years.
- Initial 2027 Combined-Company TargetsAssuming a full year of Allied contributions, the initial 2027 combined-company target includes more than $900 million of reciprocal written premium, more than 360,000 reciprocal policies written, and more than $180 million of adjusted EBITDA excluding the reciprocal.
- Raised Full-Year 2026 GuidancePorch raised guidance for Porch-owned segment revenue excluding the reciprocal to $518 million to $523 million, with a $521 million midpoint representing 24% year-over-year growth. Gross profit excluding the reciprocal was raised to $438 million to $443 million, representing 28% growth at the midpoint and an 85% gross margin. Adjusted EBITDA excluding the reciprocal was raised to $135 million to $140 million, with a $138 million midpoint representing 79% year-over-year growth, up from 59% growth at the prior midpoint.
- Improved Liquidity and LeveragePorch ended Q3 with $165 million in cash and investments, up $38 million from Q2. Net leverage declined to 2.4x trailing-twelve-month adjusted EBITDA, within the company's 2x to 3x target range. Reciprocal cash and investments were $333 million at the end of Q3.
- Strategic Infrastructure and AI InvestmentPorch is modernizing policy administration, data science, and claims systems, with investments intended to improve speed and results. Management said AI is enabling the company to take on more ambitious projects faster.
- Expanded Data and Agent CapabilitiesAgent NPS reached 48, and Porch has productized more than 100 home factors for use in its insurance operations. Management said its moving and warranty capabilities provide data, customer access, and capabilities that strengthen insurance services and the reciprocal.
- Higher Software Revenue per CustomerAlthough the average number of software and data companies served declined, annualized average revenue per company increased 17% year over year to $4.84 thousand, reflecting the company's focus on higher-value customers.
- Higher Consumer Services Revenue per Monetized ServiceAverage revenue per monetized consumer service increased 6% year over year, reflecting continued upsell and cross-sell execution.
- Reinsurance Cost AdvantageManagement said Porch experienced a meaningful decline in reinsurance costs because it was able to include its data, with savings greater than the overall market decline.
- Organic Growth Targets MaintainedManagement reiterated its longer-term objective of more than 20% organic premium growth and said the Allied acquisition is additive to the organic growth plan rather than changing the company's organic operating approach.
- Progress Toward Medium-Term Financial TargetsManagement said the company is making substantial progress toward its Investor Day targets of $3 billion of premium and $660 million of adjusted EBITDA. Adjusted EBITDA increased from $7 million in 2024 to $77 million in 2025, and the 2026 midpoint has been raised from $102 million at the start of the year to $138 million.
- Planned ATM Program for Reciprocal CapitalThe company expects to establish an at-the-market program that would allow the reciprocal to sell a portion of its existing nonadmitted Porch shares over time, converting that value into statutory surplus to support additional premium growth capacity.
DE:32RD Earnings History
| Report Date | Fiscal Quarter | Forecast / EPS | Last Year's EPS | EPS YoY Change | Press Release |
|---|---|---|---|---|---|
| Mar 02, 2027 | 2026 (Q4) | 0.04- | -0.03 | ― | ― |
| Oct 28, 2026 | 2026 (Q3) | 0.010.09 | -0.09 | 200.00% (+0.18) | |
| Jul 29, 2026 | 2026 (Q2) | -0.030.04 | 0.03 | 66.67% (+0.02) | |
| Apr 28, 2026 | 2026 (Q1) | -0.07-0.04 | 0.07 | -150.00% (-0.11) | |
| Feb 11, 2026 | 2025 (Q4) | -0.06-0.03 | 0.27 | -109.84% (-0.30) | |
| Nov 05, 2025 | 2025 (Q3) | -0.02-0.09 | 0.11 | -183.33% (-0.20) | |
| Aug 05, 2025 | 2025 (Q2) | -0.080.03 | -0.58 | 104.62% (+0.61) | |
| May 06, 2025 | 2025 (Q1) | -0.100.07 | -0.13 | 157.14% (+0.20) | |
| Feb 25, 2025 | 2024 (Q4) | 0.060.27 | -0.03 | 1116.67% (+0.30) | |
| Nov 07, 2024 | 2024 (Q3) | -0.280.11 | -0.05 | 300.00% (+0.16) |
The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.
Beat Missed
