Earnings Call Insights: Lemonade, Inc. (LMND) Q4 2025 Management View Daniel Schreiber, CEO and Co-Founder, opened by stating, "By any measure, this was our strongest quarter ever, and it capped a year of excellent financial execution and operating performance." Schreiber highlighted that in force premium grew to $1.24 billion, up 31% year-over-year, and revenue rose 53%, reflecting accelerating g...
Earnings Call Insights: Lemonade, Inc. (LMND) Q4 2025 Management View Daniel Schreiber, CEO and Co-Founder, opened by stating, "By any measure, this was our strongest quarter ever, and it capped a year of excellent financial execution and operating performance." Schreiber highlighted that in force premium grew to $1.24 billion, up 31% year-over-year, and revenue rose 53%, reflecting accelerating growth for the ninth consecutive quarter. He emphasized, "Gross profit increased 73% year-over-year to a record $111 million," and noted a significant narrowing of the adjusted EBITDA loss to $5 million, with $37 million in positive adjusted free cash flow in the fourth quarter. Schreiber reiterated Lemonade's expectation to be "EBITDA profitable in Q4 of this year and EBITDA positive for the full year of 2027." He identified Pet, Car, and Europe as key growth drivers, combining "hyper growth with improving underwriting performance," and spotlighted strategic investments in AI to enhance go-to-market, pricing, and cross-selling. Shai Wininger, President and Co-Founder, introduced Lemonade Autonomous Car, launched for Teslas, and explained, "Lemonade Autonomous Car is priced based on 3 modes: when a car is parked, when it's driven by a human and when it's driven by AI." Wininger stated, "Autonomously driven miles using Tesla's FSD are priced at about 50% of the equivalent human-driven mile," positioning this as a "fundamental shift for the industry." Timothy Bixby, CFO, reported, "In force premium grew 31% year-on-year to $1.24 billion, driven by customer growth of 23% and premium per customer growth of about 7%." Bixby further noted, "Gross profit increased 73% to $111 million, while adjusted gross profit increased 69% to $112 million for a gross margin of 48%." He highlighted a net loss of $22 million in Q4, or a loss of $0.29 per share, and an adjusted EBITDA loss of $5 million. Outlook The company guided for "32% Q1 and full year top line growth year-on-year, roughly 60% ...