Shares of Porch Group, Inc. (PRCH) surged 9.72% during intraday trading on Wednesday following the release of its impressive third-quarter 2025 financial results. The company, which positions itself as a new kind of homeowners insurance company, reported better-than-expected earnings and raised its guidance, sparking investor optimism.

Porch Group reported third-quarter revenue of $115.1 million, surpassing the IBES estimate of $111.2 million. The company's Adjusted EBITDA reached $20.6 million, significantly exceeding the IBES estimate of $16.7 million. This strong performance was primarily driven by the company's Insurance Services segment, which showed robust growth and profitability.

Adding to the positive sentiment, Porch Group raised its full-year 2025 guidance for Gross Profit and Adjusted EBITDA. The company now expects Gross Profit in the range of $335 million to $340 million, up from the previous guidance of $328 million to $342 million. Adjusted EBITDA guidance was raised to $70 million from the previous range of $65 million to $70 million. Furthermore, Porch Group reported a healthy cash position, with $132.1 million in cash and investments as of September 30, 2025, and generated $28.8 million in cash flow from operations for Porch Shareholder Interest during the quarter.

CEO Matt Ehrlichman expressed pride in the company's performance, stating, "We're proud to report another strong quarter--one in which we delivered Adjusted EBITDA of $20.6 million, generated $28.8 million of Porch Shareholder Interest Cash Flow from Operations, and importantly, further increased surplus combined with non-admitted assets to $412.0 million at the Reciprocal." The company's focus on prioritizing Reciprocal surplus generation is expected to create capacity for rapid scaling of premiums and profits in 2026 and beyond.