Shares of Goosehead Insurance (NASDAQ: GSHD) soared 5.32% in after-hours trading on Wednesday following the release of its third-quarter 2025 financial results. The insurance company's strong performance, particularly in terms of profitability, appears to have impressed investors.
Goosehead reported adjusted EBITDA of $29.7 million for the quarter, slightly surpassing the analyst consensus estimate of $29.5 million. This robust EBITDA performance, coupled with an impressive adjusted EBITDA margin of 33%, showcases the company's ability to maintain profitability in a challenging market environment. The company's net income for the quarter stood at $12.7 million.
While Goosehead's revenue of $90.4 million fell slightly short of the $92.138 million analyst estimate, it still represented a significant 15.89% increase compared to the same period last year. The company's core revenue, a key metric for its operations, came in at $83.9 million. Looking ahead, Goosehead provided a full-year revenue outlook range of $350-385 million, signaling confidence in its continued growth trajectory. The combination of strong profitability metrics and a positive outlook appears to have fueled investor optimism, driving the stock's after-hours rally.