SelectQuote Inc (SLQT) Q1 2025 Earnings Call Highlights: Strong Revenue Growth and Strategic ...

GuruFocus.com11-05

Revenue Growth: 26% year-over-year increase to $292 million. Adjusted EBITDA Improvement: Improved by nearly $10 million year-over-year. Revenue to CAC Ratio: 4.6x. SelectRx Membership: Over 86,000, ...

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overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nSelectQuote Inc (SLQT) Q1 2025 Earnings Call Highlights: Strong Revenue Growth and Strategic ...\n</h2>\n\n<h4 class=\"meta\">\n\n\n2024-11-05 15:04 GMT+8&nbsp;&nbsp;&nbsp;<a href=https://finance.yahoo.com/news/selectquote-inc-slqt-q1-2025-070408248.html><strong>GuruFocus.com</strong></a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\n<p>Revenue Growth: 26% year-over-year increase to $292 million.\nAdjusted EBITDA Improvement: Improved by nearly $10 million year-over-year.\nRevenue to CAC Ratio: 4.6x.\nSelectRx Membership: Over 86,000, ...</p>\n\n<a href=\"https://finance.yahoo.com/news/selectquote-inc-slqt-q1-2025-070408248.html\">Source Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","isBrief":false,"type":0,"news_type":1,"symbol":"SLQT","symbol_name":"SelectQuote, Inc.","start_time":0,"source_url":"https://finance.yahoo.com/news/selectquote-inc-slqt-q1-2025-070408248.html","article_id":"2481541175","we_media_id":null,"thumbnails":["https://s.yimg.com/uu/api/res/1.2/8heAlo.xGLQ0YmkuCbqxdQ--~B/aD01MDA7dz01MDA7YXBwaWQ9eXRhY2h5b24-/https://media.zenfs.com/en/us.finance.gurufocus/d8a73854190ef3266236c3c086eadca7"],"rights":null,"url":"https://stock-news.laohu8.com/highlight/detail?id=2481541175","pubTimestamp":1730790248,"sourceInfo":{"source_id":"yahoofinance","name":"雅虎金融"},"weMediaInfo":null,"summary":"Revenue Growth: 26% year-over-year increase to $292 million.Adjusted EBITDA Improvement: Improved by nearly $10 million year-over-year.Medicare Advantage LTV: $812 million, a 7% improvement year-over-year.Senior Distribution Adjusted EBITDA: Improved to $8 million.Life Insurance Adjusted EBITDA Growth: Almost 14% increase.Fiscal 2025 Revenue Guidance: Increased to $1.425 billion to $1.525 billion.Fiscal 2025 Adjusted EBITDA Guidance: Increased to $100 million to $130 million.Cost of Capital Reduction: Over 500 basis points lower than term debt rate.GuruFocus has detected 3 Warning Signs with SLQT.SelectQuote Inc  reported a strong start to fiscal 2025 with a 26% year-over-year revenue growth.SelectQuote Inc  achieved high agent retention, which reduced recruitment and training expenses, aiding profitability.","collect":0,"end_time":0,"defaultTopTitle":"yahoo.com","property":["earning"],"viewcount":null,"language":"en","relate_stocks":{"SLQT":"SelectQuote, Inc."},"translate_title":"SelectQuote Inc(SLQT)2025年第一季度收益看涨期权亮点：强劲的收入增长和战略……","themeId":null,"isJumpTheme":false,"ttsUrl":null,"symbols_score_info":{"SLQT":1},"content_text":"Revenue Growth: 26% year-over-year increase to $292 million.\nAdjusted EBITDA Improvement: Improved by nearly $10 million year-over-year.\nRevenue to CAC Ratio: 4.6x.\nSelectRx Membership: Over 86,000, up 64% year-over-year.\nMedicare Advantage LTV: $812 million, a 7% improvement year-over-year.\nSenior Distribution Revenue: $93 million.\nSenior Distribution Adjusted EBITDA: Improved to $8 million.\nHealthcare Services Revenue: $156 million.\nHealthcare Services Adjusted EBITDA: $5 million.\nLife Insurance Revenue: $39 million.\nLife Insurance Adjusted EBITDA Growth: Almost 14% increase.\nFiscal 2025 Revenue Guidance: Increased to $1.425 billion to $1.525 billion.\nFiscal 2025 Adjusted EBITDA Guidance: Increased to $100 million to $130 million.\nSecuritization Proceeds: $100 million raised.\nCost of Capital Reduction: Over 500 basis points lower than term debt rate.\n\n\nWarning! GuruFocus has detected 3 Warning Signs with SLQT.\n\nRelease Date: November 04, 2024\nFor the complete transcript of the earnings call, please refer to the full earnings call transcript.\n Positive Points \n\nSelectQuote Inc (NYSE:SLQT) reported a strong start to fiscal 2025 with a 26% year-over-year revenue growth.\nThe company improved its adjusted EBITDA by nearly $10 million, driven by efficiency in marketing spend and a strong revenue to CAC ratio of 4.6x.\nSelectQuote Inc (NYSE:SLQT) achieved high agent retention, which reduced recruitment and training expenses, aiding profitability.\nThe company successfully raised $100 million through an investment-grade securitization, extending debt maturities and reducing the cost of capital.\nSelectRx membership grew by 64% year-over-year, contributing to the sixth consecutive quarter of profitability in the Healthcare Services segment.\n\n Negative Points \n\nSelectQuote Inc (NYSE:SLQT) faced challenges due to shifts in Medicare Advantage plan benefits, requiring adaptation to changing policy features.\nThe company had a reduced agent count, which limited its ability to fully capitalize on potential growth opportunities during the AEP season.\nDespite strong performance, SelectQuote Inc (NYSE:SLQT) acknowledged the need for further balance sheet improvements to unlock growth potential.\nThe company experienced modest growth in SelectRx membership sequentially, indicating potential seasonal limitations.\nSelectQuote Inc (NYSE:SLQT) noted that its leverage profile currently limits its ability to achieve its true growth potential.\n\n Q & A Highlights \nQ: How is SelectQuote balancing the need for policy education with agent productivity during the dynamic AEP season? A: Timothy Danker, CEO, explained that SelectQuote is seeing high consumer engagement and strong call volumes, leading to good close rates and agent productivity. Robert Grant, President, added that they are not seeing agents spend more time per call, as close rates are higher. The company has improved technology to increase occupancy and efficiency, allowing agents to handle complex environments effectively.\nQ: How does the sale of SelectRx fit into the sales process, and does it require additional time from agents? A: Robert Grant, President, stated that SelectRx is set up as a completely separate operation, requiring no extra time from sales agents. The company has increased staffing on the Healthcare Select side, leading to good results without impacting agent efficiency.\nQ: How is SelectQuote leveraging technology to assist agents in the complex Medicare Advantage marketplace? A: Robert Grant, President, highlighted that SelectQuote has enhanced agent-led technology, bringing in more data to help agents efficiently assess customer needs and make recommendations. AI-based call monitoring is used for effective coaching, leading to higher agent efficiency and close rates.\nQ: How flexible is SelectQuote's marketing strategy during the AEP period, and how do they optimize ROI? A: Timothy Danker, CEO, explained that SelectQuote has set up a wide funnel for maximum flexibility, allowing them to focus on areas with positive results. They adjust marketing strategies in real-time based on pre-AEP insights and ongoing performance, leading to high close rates and efficient spending.\nQ: What are SelectQuote's plans for acquisitions in the Healthcare Services segment, given the focus on balance sheet improvement? A: Timothy Danker, CEO, stated that while the current focus is on improving the balance sheet, SelectQuote is open to future opportunities to expand its healthcare ecosystem. The company aims to build on its strong consumer connectivity and data to capture additional opportunities in the healthcare market.\nFor the complete transcript of the earnings call, please refer to the full earnings call transcript.This article first appeared on \nGuruFocus.","kind":null,"is_publish_news":true,"is_publish_highlight":false,"is_publish_live":false,"is_publish_wemedia":null,"editions":null,"column":"","sentiment":"0","news_tag":"","news_rank":0,"symbols":[],"gpt_button":1},"commentList":[],"isCommentEnd":true,"newsSizeData":{"likeSize":0,"commentSize":0,"repostSize":0,"favoriteSize":0,"likeStatus":false,"favoriteStatus":false},"APP":{"userAgent":"Mozilla/5.0 AppleWebKit/537.36 (KHTML, like Gecko; compatible; ClaudeBot/1.0; +claudebot@anthropic.com)","isDev":false,"isTTM":true,"deviceId":"web-server-community-laohu8-v3","version":"4.29.2","shortVersion":"4.29.2","platform":"web","vendor":"web","appName":"ttm","isIOS":false,"isAndroid":false,"isTiger":false,"isTHS":false,"isWeiXin":false,"isWeiXinMini":false,"isWeiBo":false,"isQQ":false,"isBaiduSwan":false,"isBaiduBox":false,"isDingTalk":false,"isToutiao":false,"isOnePlus":false,"isHuaWei":false,"isXiaomi":false,"isXiaomiWebView":false,"isOppo":false,"isVivo":false,"isSamsung":false,"isMobile":false},"href":"/m/news/2481541175"}