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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
_______________________________________

FORM 8-K
_______________________________________

CURRENT REPORT
Pursuant to Section 13 or 15(d)
of the Securities Exchange Act of 1934

Date of Report (Date of earliest event reported): May 12, 2025
_____________________________________

SELECTQUOTE, INC.
(Exact name of registrant as specified in its charter)
_____________________________________
Delaware
 001-39295
94-3339273
(State or other jurisdiction of incorporation)
(Commission File Number)
(I.R.S. Employer Identification No.)
6800 West 115th Street, Suite 2511
Overland Park, Kansas 66211
(Address of principal executive offices) (Zip code)
(913) 599-9225
(Registrant’s telephone number, including area code)
No change since last report
(Former Name or Address, If Changed Since Last Report)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Securities registered pursuant to Section 12(b) of the Act:
Title of each class Trading Symbol Name of each exchange on which registered
Common Stock, $0.01 par value SLQT New York Stock Exchange

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).

Emerging growth company ☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐



Item 2.02    Results of Operations and Financial Condition.

On May 12, 2025, the Company reported its financial results for the third quarter ended March 31, 2025. Copies of the related press release and investor presentation are attached hereto as Exhibits 99.1 and 99.2, respectively, and are incorporated herein by reference.

These exhibits are being furnished pursuant to Item 2.02, and the information contained therein shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or otherwise subject to the liabilities of that section, nor shall either of them be deemed incorporated by reference in any filing under the Securities Act of 1933, as amended, or the Exchange Act, except as shall be expressly set forth by specific reference in such filing.

Item 9.01    Financial Statements and Exhibits.

(d) Exhibits
Exhibit No.
Description of Exhibit
Press Release
Investor Presentation
104 Cover Page Interactive Data File (embedded within the Inline XBRL document)




SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, as amended, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

SELECTQUOTE, INC.

Date: May 12, 2025
By: /s/ Ryan M. Clement
Name: Ryan M. Clement
Title: Chief Financial Officer




EX-99.1 2 selectquoteincmarch312025pr.htm EX-99.1 Document
Exhibit 99.1
SelectQuote, Inc. Reports Third Quarter of Fiscal Year 2025 Results

Third Quarter of Fiscal Year 2025 – Consolidated Earnings Highlights

•Revenue of $408.2 million
•Net income of $26.0 million
•Adjusted EBITDA* of $37.7 million

Fiscal Year 2025 Guidance Ranges:

•Revenue expected in a range of $1.500 billion to $1.575 billion
•Net income (loss) expected in a range of $(1) million to $28 million
•Adjusted EBITDA* expected in a range of $115 million to $140 million

Third Quarter Fiscal Year 2025 – Segment Highlights

Senior
•Revenue of $169.4 million
•Adjusted EBITDA* of $45.7 million
•Approved Medicare Advantage policies of 168,001

Healthcare Services
•Revenue of $189.6 million
•Adjusted EBITDA* of $6.4 million
•105,523 SelectRx members

Life
•Revenue of $45.8 million
•Adjusted EBITDA* of $6.4 million

OVERLAND PARK, Kan., May 12, 2025--(BUSINESS WIRE)--SelectQuote, Inc. (NYSE: SLQT) reported consolidated revenue for the third quarter of fiscal year 2025 of $408.2 million compared to consolidated revenue for the third quarter of fiscal year 2024 of $376.4 million. Consolidated net income for the third quarter of fiscal year 2025 was $26.0 million compared to consolidated net income for the third quarter of fiscal year 2024 of $8.6 million. Finally, consolidated Adjusted EBITDA* for the third quarter of fiscal year 2025 was $37.7 million compared to consolidated Adjusted EBITDA* for the third quarter of fiscal year 2024 of $46.6 million.

SelectQuote Chief Executive Officer, Tim Danker, remarked, “We are very proud of the service and value we delivered to America’s seniors over this past year’s highly unique Medicare Advantage season. SelectQuote’s agent-led model paired with our technology-enabled information advantage made our platform more valuable than ever to participants in the healthcare ecosystem. Policy features changed materially and plan termination activity from carriers was significantly higher than historical averages. Through that volatility and confusion, SelectQuote’s agents again delivered remarkable and efficient service, highlighted by a 15% increase in year-over-year policy close rates. SelectQuote is organized to help each and every customer as an individual and despite significant change, our agents were able to help a higher percentage of them this year than last. Strong execution in our Senior business paired with continued performance in Healthcare Services and our Life division all contributed to successful consolidated results for our fiscal 3rd quarter.”











* See “Non-GAAP Financial Measures” below.

1


Segment Results

We currently have three reportable segments: 1) Senior, 2) Healthcare Services and 3) Life. The performance measures of the segments include total revenue and Adjusted EBITDA.* Costs of commissions and other services revenue, cost of goods sold-pharmacy revenue, marketing and advertising, selling, general, and administrative, and technical development operating expenses that are directly attributable to a segment are reported within the applicable segment. Indirect costs of revenue, marketing and advertising, selling, general, and administrative, and technical development operating expenses are allocated to each segment based on varying metrics such as headcount. Adjusted EBITDA is our segment profit measure to evaluate the operating performance of our business. We define Adjusted EBITDA as income (loss) before income tax expense (benefit) plus: (i) interest expense, net; (ii) depreciation and amortization; (iii) share-based compensation; (iv) goodwill, long-lived asset, and intangible assets impairments; (v) transaction costs; (vi) loss on disposal of property, equipment and software, net; (vii) other non-recurring expenses and income; (viii) changes in fair value of warrant liabilities. Adjusted EBITDA Margin is calculated as Adjusted EBITDA divided by revenue.

Senior

Financial Results

The following table provides the financial results for the Senior segment for the periods presented:

Three Months Ended March 31, Nine Months Ended March 31,
(in thousands) 2025 2024 % Change 2025 2024 % Change
Revenue $ 169,442  $ 204,259  (17) % $ 517,930  $ 541,705  (4) %
Adjusted EBITDA* 45,701  61,494  (26) % 153,949  138,871  11  %
Adjusted EBITDA Margin* 27  % 30  % 30  % 26  %

Operating Metrics

Submitted Policies

Submitted policies are counted when an individual completes an application with our licensed agent and provides authorization to the agent to submit the application to the insurance carrier partner. The applicant may have additional actions to take before the application will be reviewed by the insurance carrier.

The following table shows the number of submitted policies for the periods presented:

Three Months Ended March 31, Nine Months Ended March 31,
2025 2024 % Change 2025 2024 % Change
Medicare Advantage 201,817 226,692 (11) % 588,872 602,936 (2) %
All other (1)
22,858 18,677 22  % 65,975 57,646 14  %
Total 224,675 245,369 (8) % 654,847 660,582 (1) %
(1) Represents the submitted policies for medicare supplement, dental, vision and hearing, prescription drug plan and other.

Approved Policies

Approved policies represents the number of submitted policies that were approved by our insurance carrier partners for the identified product during the indicated period. Not all approved policies will go in force.




* See “Non-GAAP Financial Measures” below.
2


The following table shows the number of approved policies for the periods presented:

Three Months Ended March 31, Nine Months Ended March 31,
2025 2024 % Change 2025 2024 % Change
Medicare Advantage 168,001 185,716 (10) % 507,530 517,973 (2) %
All other (1)
17,623 16,390 % 50,316 48,570 %
Total 185,624 202,106 (8) % 557,846 566,543 (2) %
(1) Represents the approved policies for medicare supplement, dental, vision and hearing, prescription drug plan and other.

Lifetime Value of Commissions per Approved Policy

Lifetime value of commissions per approved policy represents commissions estimated to be collected over the estimated life of an approved policy based on multiple factors, including but not limited to, contracted commission rates, carrier mix and expected policy persistency with applied constraints. The lifetime value of commissions per approved policy is equal to the sum of the commission revenue due upon the initial sale of a policy, and when applicable, an estimate of future renewal commissions.

The following table shows the lifetime value of commissions per approved policy for the periods presented:

Three Months Ended March 31, Nine Months Ended March 31,
(dollars per policy): 2025 2024 % Change 2025 2024 % Change
Medicare Advantage $ 915  $ 995  (8) % $ 892  $ 923  (3) %
All other (1)
151 139 % 139 134 %
(1) Represents the weighted average LTV per approved policy.

Healthcare Services

Financial Results

The following table provides the financial results for the Healthcare Services segment for the periods presented:

Three Months Ended March 31, Nine Months Ended March 31,
(in thousands) 2025 2024 % Change 2025 2024 % Change
Revenue $ 189,569  $ 124,207  53  % $ 528,677  $ 333,284  59  %
Adjusted EBITDA* 6,445  1,609  301  % 13,534  6,911  96  %
Adjusted EBITDA Margin* % % % %
Operating Metrics

Members

The total number of SelectRx members represents the amount of active customers to which an order has been shipped and the prescriptions per day represents the total average prescriptions shipped per business day. These two metrics are the primary drivers of revenue for Healthcare Services.








* See “Non-GAAP Financial Measures” below.
3


The following table shows the total number of SelectRx members as of the periods presented:

March 31, 2025 March 31, 2024
Total SelectRx Members 105,523 75,074

The total number of SelectRx members increased by 41% as of March 31, 2025, compared to March 31, 2024, due to our strategy to grow SelectRx membership.


The following table shows the average prescriptions shipped per day for the periods presented:

Three Months Ended March 31, Nine Months Ended March 31,
2025 2024 2025 2024
Prescriptions Per Day
29,015 20,216 26,942 17,582

Combined Senior and Healthcare Services - Consumer Per Unit Economics

The opportunity to leverage our existing database and distribution model to improve access to healthcare services for our consumers has created a need for us to review our key metrics related to our per unit economics. As we think about the revenue and expenses for Healthcare Services, we note that they are primarily driven by the marketing acquisition costs associated with the sale of an MA or MS policy, some of which costs are allocated directly to Healthcare Services, and therefore determined that our per unit economics measure should include components from both Senior and Healthcare Services. See details of revenue and expense items included in the calculation below.

Combined Senior and Healthcare Services consumer per unit economics represents total MA and MS commissions; other product commissions; other revenues, including revenues from Healthcare Services; and operating expenses associated with Senior and Healthcare Services, each shown per number of approved MA and MS policies over a given time period. Management assesses the business on a per-unit basis to help ensure that the revenue opportunity associated with a successful policy sale is attractive relative to the marketing acquisition cost. Because not all acquired leads result in a successful policy sale, all per-policy metrics are based on approved policies, which is the measure that triggers revenue recognition.

The MA and MS commission per MA/MS policy represents the LTV for policies sold in the period. Other commission per MA/MS policy represents the LTV for other products sold in the period, including DVH prescription drug plan, and other products, which management views as additional commission revenue on our agents’ core function of MA/MS policy sales. Pharmacy revenue per MA/MS policy represents revenue from SelectRx, and other revenue per MA/MS policy represents revenue from Population Health, production bonuses, marketing development funds, lead generation revenue, and adjustments from the Company’s reassessment of its cohorts’ transaction prices. Total operating expenses per MA/MS policy represents all of the operating expenses within Senior and Healthcare Services. The revenue to customer acquisition cost (“CAC”) multiple represents total revenue as a multiple of total marketing acquisition cost, which represents the direct costs of acquiring leads. These costs are included in marketing and advertising expense within the total operating expenses per MA/MS policy.

The following table shows combined Senior and Healthcare Services consumer per unit economics for the periods presented. Based on the seasonality of Senior and the fluctuations between quarters, we believe that the most relevant view of per unit economics is on a rolling 12-month basis. All per MA/MS policy metrics below are based on the sum of approved MA/MS policies, as both products have similar commission profiles.



4


Twelve Months Ended March 31,
(dollars per approved policy): 2025 2024
MA and MS approved policies 616,379  630,013 
MA and MS commission per MA / MS policy $ 885  $ 907 
Other commission per MA/MS policy 13  10 
Pharmacy revenue per MA/MS policy 1,063  641 
Other revenue per MA/MS policy 103  126 
Total revenue per MA / MS policy 2,064  1,684 
Total operating expenses per MA / MS policy (1,794) (1,425)
Adjusted EBITDA per MA/MS policy * $ 270  $ 259 
Adjusted EBITDA Margin per MA/MS policy * 13  % 15  %
Revenue / CAC multiple  5.8X  4.2X

Total revenue per MA/MS policy increased 23% for the twelve months ended March 31, 2025, compared to the twelve months ended March 31, 2024, primarily due to the increase in pharmacy revenue. Total operating expenses per MA/MS policy increased 26% for the twelve months ended March 31, 2025, compared to the twelve months ended March 31, 2024, driven by an increase in cost of goods sold-pharmacy revenue for Healthcare Services due to the growth of the business.

Life

Financial Results

The following table provides the financial results for the Life segment for the periods presented:

Three Months Ended March 31, Nine Months Ended March 31,
(in thousands) 2025 2024 % Change 2025 2024 % Change
Revenue $ 45,842  $ 40,686  13  % $ 124,993  $ 115,855  %
Adjusted EBITDA* 6,364  3,138  103  % 19,747  12,945  53  %
Adjusted EBITDA Margin* 14  % % 16  % 11  %

Operating Metrics

Life premium represents the total premium value for all policies that were approved by the relevant insurance carrier partner and for which the policy document was sent to the policyholder and payment information was received by the relevant insurance carrier partner during the indicated period. Because our commissions are earned based on a percentage of total premium, total premium volume for a given period is the key driver of revenue for our Life segment.

The following table shows term and final expense premiums for the periods presented:

Three Months Ended March 31, Nine Months Ended March 31,
(in thousands) 2025 2024 % Change 2025 2024 % Change
Term Premiums $ 18,930  $ 16,788  13  % $ 51,459  $ 52,376  (2) %
Final Expense Premiums 27,681  23,724  17  % 74,292  62,811  18  %
Total $ 46,611  $ 40,512  15  % $ 125,751  $ 115,187  %




* See “Non-GAAP Financial Measures” below.
5


Earnings Conference Call

SelectQuote, Inc. will host a conference call with the investment community on May 12, 2025, beginning at 8:30 a.m. ET. To register for this conference call, please use this link: https://registrations.events/direct/Q4I731198247. After registering, a confirmation will be sent via email, including dial-in details and unique conference call codes for entry. Registration is open through the live call, but to ensure you are connected for the full call we suggest registering at least 10 minutes before the start of the call. The event will also be webcasted live via our investor relations website https://ir.selectquote.com/investor-home/default.aspx.

Non-GAAP Financial Measures

This release includes certain non-GAAP financial measures intended to supplement, not substitute for, comparable GAAP measures. To supplement our financial statements presented in accordance with GAAP and to provide investors with additional information regarding our GAAP financial results, we have presented in this release Adjusted EBITDA and Adjusted EBITDA Margin, which are non-GAAP financial measures. These non-GAAP financial measures are not based on any standardized methodology prescribed by GAAP and are not necessarily comparable to similarly titled measures presented by other companies. We define Adjusted EBITDA as net income (loss) before income tax expense (benefit), plus interest expense, depreciation and amortization, changes in fair value of warrant liabilities, and certain add-backs for non-cash or non-recurring expenses, including restructuring and share-based compensation expenses. The most directly comparable GAAP measure is income (loss) before tax expense (benefit). We define Adjusted EBITDA Margin as Adjusted EBITDA divided by revenue. The most directly comparable GAAP measure is net income margin. We monitor and have presented in this release Adjusted EBITDA and Adjusted EBITDA Margin because they are key measures used by our management and Board of Directors to understand and evaluate our operating performance, to establish budgets, and to develop operational goals for managing our business. In particular, we believe that excluding the impact of these expenses in calculating Adjusted EBITDA can provide a useful measure for period-to-period comparisons of our core operating performance. We believe that these non-GAAP financial measures help identify underlying trends in our business that could otherwise be masked by the effect of the expenses that we exclude in the calculations of these non-GAAP financial measures. Accordingly, we believe that these financial measures provide useful information to investors and others in understanding and evaluating our operating results, enhancing the overall understanding of our past performance and future prospects. Reconciliations of net income (loss) before income tax expense (benefit) to Adjusted EBITDA are presented below beginning on page 12.

Forward Looking Statements

This release contains forward-looking statements. These forward-looking statements reflect our current views with respect to, among other things, future events and our financial performance. These statements are often, but not always, made through the use of words or phrases such as “may,” “should,” “could,” “predict,” “potential,” “believe,” “will likely result,” “expect,” “continue,” “will,” “anticipate,” “seek,” “estimate,” “intend,” “plan,” “projection,” “would” and “outlook,” or the negative version of those words or other comparable words or phrases of a future or forward-looking nature. These forward-looking statements are not historical facts, and are based on current expectations, estimates and projections about our industry, management’s beliefs and certain assumptions made by management, many of which, by their nature, are inherently uncertain and beyond our control. Accordingly, we caution you that any such forward-looking statements are not guarantees of future performance and are subject to risks, assumptions and uncertainties that are difficult to predict. Although we believe that the expectations reflected in these forward-looking statements are reasonable as of the date made, actual results may prove to be materially different from the results expressed or implied by the forward-looking statements.
 
There are or will be important factors that could cause our actual results to differ materially from those indicated in these forward-looking statements, including, but not limited to, the following: our reliance on a limited number of insurance carrier partners and any potential termination of those relationships or failure to develop new relationships; existing and future laws and regulations affecting the health insurance market; changes in health insurance products offered by our insurance carrier partners and the health insurance market generally; insurance carriers offering products and services directly to consumers; changes to commissions paid by insurance carriers and underwriting practices; competition with brokers, exclusively online brokers and carriers who opt to sell policies directly to consumers; competition from government-run health insurance exchanges; developments in the U.S. health insurance system; our dependence on revenue from carriers in our senior segment and downturns in the senior health as well as life, automotive and home insurance industries; our ability to develop new offerings and penetrate new vertical markets; risks from third-party products; failure to enroll individuals during the Medicare
6


annual enrollment period; our ability to attract, integrate and retain qualified personnel; our dependence on lead providers and ability to compete for leads; failure to obtain and/or convert sales leads to actual sales of insurance policies; access to data from consumers and insurance carriers; accuracy of information provided from and to consumers during the insurance shopping process; cost-effective advertisement through internet search engines; ability to contact consumers and market products by telephone; global economic conditions, including inflation; disruption to operations as a result of future acquisitions; significant estimates and assumptions in the preparation of our financial statements; impairment of goodwill; potential litigation and other legal proceedings or inquiries; our existing and future indebtedness; our ability to maintain compliance with our debt covenants; access to additional capital; failure to protect our intellectual property and our brand; fluctuations in our financial results caused by seasonality; accuracy and timeliness of commissions reports from insurance carriers; timing of insurance carriers’ approval and payment practices; factors that impact our estimate of the constrained lifetime value of commissions per policyholder; changes in accounting rules, tax legislation and other legislation; disruptions or failures of our technological infrastructure and platform; failure to maintain relationships with third-party service providers; cybersecurity breaches or other attacks involving our systems or those of our insurance carrier partners or third-party service providers; our ability to protect consumer information and other data; failure to market and sell Medicare plans effectively or in compliance with laws; and and other factors related to our pharmacy business, including manufacturing or supply chain disruptions, access to and demand for prescription drugs, and regulatory changes or other industry developments that may affect our pharmacy operations. For a further discussion of these and other risk factors that could impact our future results and performance, see the section entitled “Risk Factors” in the most recent Annual Report on Form 10-K (the “Annual Report”) and subsequent periodic reports filed by us with the Securities and Exchange Commission. Accordingly, you should not place undue reliance on any such forward-looking statements. Any forward-looking statement speaks only as of the date on which it is made, and, except as otherwise required by law, we do not undertake any obligation to publicly update or review any forward-looking statement, whether as a result of new information, future developments or otherwise.

About SelectQuote:

Founded in 1985, SelectQuote (NYSE: SLQT) pioneered the model of providing unbiased comparisons from multiple, highly-rated insurance companies, allowing consumers to choose the policy and terms that best meet their unique needs. Two foundational pillars underpin SelectQuote’s success: a strong force of highly-trained and skilled agents who provide a consultative needs analysis for every consumer, and proprietary technology that sources and routes high-quality leads. Today, the Company operates an ecosystem offering high touchpoints for consumers across insurance, pharmacy, and virtual care.

With an ecosystem offering engagement points for consumers across insurance, Medicare, pharmacy, and value-based care, the company now has three core business lines: SelectQuote Senior, SelectQuote Healthcare Services, and SelectQuote Life. SelectQuote Senior serves the needs of a demographic that sees around 10,000 people turn 65 each day with a range of Medicare Advantage and Medicare Supplement plans. SelectQuote Healthcare Services is comprised of the SelectRx Pharmacy, a Patient-Centered Pharmacy Home™ (PCPH) accredited pharmacy, SelectPatient Management, a provider of chronic care management services, and Healthcare Select which proactively connects consumers with a wide breadth of healthcare services supporting their needs.

Investor Relations:
Sloan Bohlen
877-678-4083
investorrelations@selectquote.com

Media:
Matt Gunter
913-286-4931
matt.gunter@selectquote.com

Source: SelectQuote, Inc.
7



SELECTQUOTE, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED BALANCE SHEETS
(Unaudited)
(In thousands)
March 31, 2025 June 30, 2024
ASSETS
CURRENT ASSETS:
Cash, cash equivalents, and restricted cash $ 84,795  $ 42,690 
Accounts receivable, net of allowances of $12.0 million and $8.2 million, respectively 184,879  150,035 
Commissions receivable-current 75,326  119,871 
Other current assets 15,216  20,327 
Total current assets 360,216  332,923 
COMMISSIONS RECEIVABLE—Net 839,757  761,446 
PROPERTY AND EQUIPMENT—Net 15,411  18,973 
SOFTWARE—Net 14,425  13,978 
OPERATING LEASE RIGHT-OF-USE ASSETS 24,799  23,437 
INTANGIBLE ASSETS—Net 7,098  10,194 
GOODWILL 29,438  29,438 
OTHER ASSETS 4,689  3,519 
TOTAL ASSETS $ 1,295,833  $ 1,193,908 
LIABILITIES, PREFERRED STOCK, AND SHAREHOLDERS’ EQUITY
CURRENT LIABILITIES:
Accounts payable $ 77,713  $ 36,587 
Accrued expenses 17,481  16,904 
Accrued compensation and benefits 59,257  57,594 
Operating lease liabilities—current 4,847  4,709 
Current portion of long-term debt 28,991  45,854 
Contract liabilities 945  8,066 
Other current liabilities 4,469  4,873 
Total current liabilities 193,703  174,587 
LONG-TERM DEBT, NET—less current portion 362,493  637,480 
DEFERRED INCOME TAXES 39,980  37,478 
OPERATING LEASE LIABILITIES 26,183  25,685 
OTHER LIABILITIES 115,649  1,877 
Total liabilities 738,008  877,107 
8


COMMITMENTS AND CONTINGENCIES
PREFERRED STOCK:
Senior Non-Convertible Preferred Stock, $0.01 par value, 350,000 shares and no shares issued and outstanding as of March 31, 2025 and June 30, 2024, respectively, current liquidation preference of $354.4 million and $0.0 million as of March 31, 2025 and June 30, 2024, respectively 207,613  — 
SHAREHOLDERS’ EQUITY:
Common stock, $0.01 par value 1,727  1,694 
Additional paid-in capital 583,542  580,764 
Accumulated deficit (235,057) (269,769)
Accumulated other comprehensive income —  4,112 
Total shareholders’ equity 350,212  316,801 
TOTAL LIABILITIES, PREFERRED STOCK, AND SHAREHOLDERS’ EQUITY $ 1,295,833  $ 1,193,908 
9


SELECTQUOTE, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS)
(Unaudited)
(In thousands)
Three Months Ended March 31, Nine Months Ended March 31,
2025 2024 2025 2024
REVENUE:
Commissions and other services
$ 222,889  $ 256,118  $ 663,338  $ 690,702 
Pharmacy 185,271  120,282  518,154  323,865 
Total revenue 408,160  376,400  1,181,492  1,014,567 
OPERATING COSTS AND EXPENSES:
Cost of commissions and other services revenue
79,412  84,315  246,283  254,250 
Cost of goods sold—pharmacy revenue 162,304  106,172  448,029  284,360 
Marketing and advertising 92,733  109,276  254,222  288,676 
Selling, general, and administrative 41,685  34,971  122,850  97,049 
Technical development 9,967  8,604  29,086  24,291 
Total operating costs and expenses 386,101  343,338  1,100,470  948,626 
INCOME FROM OPERATIONS 22,059  33,062  81,022  65,941 
INTEREST EXPENSE, NET (20,407) (24,330) (67,160) (70,141)
CHANGE IN FAIR VALUE OF WARRANTS
32,986  —  25,344  — 
OTHER EXPENSE, NET (37) (12) (70) (51)
INCOME (LOSS) BEFORE INCOME TAX EXPENSE (BENEFIT) 34,601  8,720  39,136  (4,251)
INCOME TAX EXPENSE (BENEFIT)
8,579  169  4,424  (1,143)
NET INCOME (LOSS) $ 26,022  $ 8,551  $ 34,712  $ (3,108)
Senior Non-Convertible Preferred Stock accumulated dividends and accretion
$ (5,787) $ —  $ (5,787) $ — 
NET INCOME (LOSS) ATTRIBUTABLE TO COMMON SHAREHOLDERS $ 20,235  $ 8,551  $ 28,925  $ (3,108)
NET INCOME (LOSS) ATTRIBUTABLE TO COMMON SHAREHOLDERS PER SHARE:
Basic $ 0.11  $ 0.05  $ 0.17  $ (0.02)
Diluted $ 0.03  $ 0.05  $ 0.13  $ (0.02)
WEIGHTED-AVERAGE COMMON STOCK OUTSTANDING USED IN PER SHARE AMOUNTS:
Basic 178,156  169,070  173,462  168,291 
Diluted 186,639  170,956  178,895  168,291 
OTHER COMPREHENSIVE LOSS NET OF TAX:
Change in cash flow hedge
—  (1,771) (4,112) (7,203)
OTHER COMPREHENSIVE LOSS
—  (1,771) (4,112) (7,203)
COMPREHENSIVE INCOME (LOSS) $ 26,022  $ 6,780  $ 30,600  $ (10,311)
10


SELECTQUOTE, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(Unaudited)
(In thousands)

Nine months ended March 31,
2025 2024
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income (loss)
$ 34,712  $ (3,108)
Adjustments to reconcile net income (loss) to net cash, cash equivalents, and restricted cash used in operating activities:
Depreciation and amortization 15,584  18,591 
Loss on disposal of property, equipment, and software 160  13 
Share-based compensation expense 13,505  10,512 
Deferred income taxes 4,424  (2,151)
Amortization of debt issuance costs and debt discount 3,880  4,863 
Write-off of debt issuance costs 93  293 
Accrued interest payable in kind 13,301  14,323 
Change in fair value of warrants
(25,344) — 
Non-cash lease expense 2,849  1,945 
Bad debt expense
4,203  4,602 
Changes in operating assets and liabilities:
Accounts receivable, net (39,047) (103,121)
Commissions receivable (33,765) 7,375 
Other assets (343) (2,620)
Accounts payable and accrued expenses 41,163  36,073 
Operating lease liabilities (3,574) (3,802)
Other liabilities (5,985) 11,453 
Net cash provided by (used in) operating activities
25,816  (4,759)
CASH FLOWS FROM INVESTING ACTIVITIES:
Purchases of property and equipment (1,690) (3,114)
Proceeds from sales of property and equipment —  253 
Purchases of software and capitalized software development costs (6,513) (6,065)
Net cash used in investing activities (8,203) (8,926)
CASH FLOWS FROM FINANCING ACTIVITIES:
Proceeds from revolving line of credit 166,900  — 
Payments on revolving line of credit (166,900) — 
Payments on Term Loans (384,644) (30,412)
Proceeds on ABS Notes 99,095  — 
Payments on ABS Notes (11,723) — 
Payments on other debt (202) (112)
Proceeds from common stock options exercised and employee stock purchase plan 112 
Proceeds from issuance of Senior Non-Convertible Preferred Stock
337,855  — 
Senior Non-Convertible Preferred Stock issuance costs
(7,076) — 
Payments of tax withholdings related to net share settlement of equity awards (5,019) (374)
Payments of debt issuance costs (2,479) (773)
Net cash provided by (used in) financing activities
25,919  (31,663)
NET INCREASE (DECREASE) IN CASH, CASH EQUIVALENTS AND RESTRICTED CASH
43,532  (45,348)
CASH, CASH EQUIVALENTS AND RESTRICTED CASH —Beginning of period
42,690  83,156 
CASH, CASH EQUIVALENTS AND RESTRICTED CASH —End of period
$ 86,222  $ 37,808 

11


SELECTQUOTE, INC. AND SUBSIDIARIES
Adjusted EBITDA to Income (Loss) before income tax expense (benefit) Reconciliation
(Unaudited)

Three Months Ended March 31, 2025
(in thousands) Senior Healthcare Services Life
Total
Adjusted Segment EBITDA
$ 45,701  $ 6,445  $ 6,364  $ 58,510 
All other Adjusted EBITDA
3,549 
Corporate & elimination of intersegment profits (24,336)
Adjusted EBITDA
$ 37,723 
Share-based compensation expense (4,960)
Transaction costs (5,813)
Depreciation and amortization (4,925)
Loss on disposal of property, equipment, and software, net (3)
Change in fair value of warrants 32,986 
Interest expense, net (20,407)
Income before income tax expense (benefit) $ 34,601 

Three Months Ended March 31, 2024
(in thousands) Senior Healthcare Services Life
Total
Adjusted Segment EBITDA $ 61,494  $ 1,609  $ 3,138  $ 66,241 
All other Adjusted EBITDA 3,609 
Corporate & elimination of intersegment profits (23,252)
Adjusted EBITDA
$ 46,598 
Share-based compensation expense (3,515)
Transaction costs (3,325)
Depreciation and amortization (6,704)
Loss on disposal of property, equipment, and software, net (4)
Interest expense, net (24,330)
Income before income tax expense (benefit) $ 8,720 


















12


SELECTQUOTE, INC. AND SUBSIDIARIES
Adjusted EBITDA to Income (Loss) before income tax expense (benefit) Reconciliation
(Unaudited)

Nine Months Ended March 31, 2025
(in thousands) Senior Healthcare Services Life
Total
Adjusted Segment EBITDA
$ 153,949  $ 13,534  $ 19,747  $ 187,230 
All other Adjusted EBITDA 9,645 
Corporate & elimination of intersegment profits (73,316)
Adjusted EBITDA
$ 123,559 
Share-based compensation expense (13,505)
Transaction costs (13,358)
Depreciation and amortization (15,584)
Loss on disposal of property, equipment, and software, net (160)
Change in fair value of warrants 25,344 
Interest expense, net (67,160)
Income before income tax expense (benefit) $ 39,136 


Nine Months Ended March 31, 2024
(in thousands) Senior Healthcare Services Life
Total
Adjusted Segment EBITDA $ 138,871  $ 6,911  $ 12,945  $ 158,727 
All other Adjusted EBITDA 11,654 
Corporate & elimination of intersegment profits (67,746)
Adjusted EBITDA
$ 102,635 
Share-based compensation expense (10,512)
Transaction costs (7,629)
Depreciation and amortization (18,591)
Loss on disposal of property, equipment, and software, net (13)
Interest expense, net (70,141)
Loss before income tax expense (benefit)
$ (4,251)
13


SELECTQUOTE, INC. AND SUBSIDIARIES
Net Income (Loss) to Adjusted EBITDA Reconciliation
(Unaudited)



Guidance Net income (loss) to Adjusted EBITDA reconciliation, year ending June 30, 2025:

(in thousands) Range
Net income (loss)
$ (1,000) $ 28,000 
Income tax expense (benefit)
—  10,000 
Interest expense, net 82,000  75,000 
Depreciation and amortization 22,000  20,000 
Share-based compensation expense 19,000  16,000 
Change in FV of warrant liability
(25,000) (25,000)
Transaction costs 18,000  16,000 
Adjusted EBITDA $ 115,000  $ 140,000 



14
EX-99.2 3 selectquoteincmarch31202.htm EX-99.2 selectquoteincmarch31202
| We shop. You save. 3rd Quarter Fiscal 2025 Earnings Presentation May 12, 2025 Exhibit 99.2


 
| We shop. You save. Forward-Looking Statements This presentation contains forward-looking statements. These forward-looking statements reflect our current views with respect to, among other things, future events and our financial performance. These statements are often, but not always, made through the use of words or phrases such as “may,” “should,” “could,” “predict,” “potential,” “believe,” “will likely result,” “expect,” “continue,” “will,” “anticipate,” “seek,” “estimate,” “intend,” “plan,” “projection,” “would” and “outlook,” or the negative version of those words or other comparable words or phrases of a future or forward-looking nature. These forward-looking statements are not historical facts and are based on current expectations, estimates and projections about our industry, management’s beliefs and certain assumptions made by management, many of which, by their nature, are inherently uncertain and beyond our control. Accordingly, we caution you that any such forward-looking statements are not guarantees of future performance and are subject to risks, assumptions and uncertainties that are difficult to predict. Although we believe that the expectations reflected in these forward-looking statements are reasonable as of the date made, actual results may prove to be materially different from the results expressed or implied by the forward-looking statements. There are or will be important factors that could cause our actual results to differ materially from those indicated in these forward-looking statements, including, but not limited to, the following: our reliance on a limited number of insurance carrier partners and any potential termination of those relationships or failure to develop new relationships; existing and future laws and regulations affecting the health insurance market; changes in health insurance products offered by our insurance carrier partners and the health insurance market generally; insurance carriers offering products and services directly to consumers; changes to commissions paid by insurance carriers and underwriting practices; competition with brokers, exclusively online brokers and carriers who opt to sell policies directly to consumers; competition from government-run health insurance exchanges; developments in the U.S. health insurance system; our dependence on revenue from carriers in our senior segment and downturns in the senior health as well as life, automotive and home insurance industries; our ability to develop new offerings and penetrate new vertical markets; risks from third-party products; failure to enroll individuals during the Medicare annual enrollment period; our ability to attract, integrate and retain qualified personnel; our dependence on lead providers and ability to compete for leads; failure to obtain and/or convert sales leads to actual sales of insurance policies; access to data from consumers and insurance carriers; accuracy of information provided from and to consumers during the insurance shopping process; cost- effective advertisement through internet search engines; ability to contact consumers and market products by telephone; global economic conditions, including inflation; disruption to operations as a result of future acquisitions; significant estimates and assumptions in the preparation of our financial statements; impairment of goodwill; potential litigation and other legal proceedings or inquiries; our existing and future indebtedness; our ability to maintain compliance with our debt covenants; access to additional capital; failure to protect our intellectual property and our brand; fluctuations in our financial results caused by seasonality; accuracy and timeliness of commissions reports from insurance carriers; timing of insurance carriers’ approval and payment practices; factors that impact our estimate of the constrained lifetime value of commissions per policyholder; changes in accounting rules, tax legislation and other legislation; disruptions or failures of our technological infrastructure and platform; failure to maintain relationships with third-party service providers; cybersecurity breaches or other attacks involving our systems or those of our insurance carrier partners or third- party service providers; our ability to protect consumer information and other data; failure to market and sell Medicare plans effectively or in compliance with laws; and and other factors related to our pharmacy business, including manufacturing or supply chain disruptions, access to and demand for prescription drugs, and regulatory changes or other industry developments that may affect our pharmacy operations. For a further discussion of these and other risk factors that could impact our future results and performance, see the section entitled “Risk Factors” in the most recent Annual Report on Form 10-K (the “Annual Report”) and subsequent periodic reports filed by us with the Securities and Exchange Commission. Accordingly, you should not place undue reliance on any such forward-looking statements. Any forward-looking statement speaks only as of the date on which it is made, and, except as otherwise required by law, we do not undertake any obligation to publicly update or review any forward-looking statement, whether as a result of new information, future developments or otherwise. Certain information contained in this presentation and statements made orally during this presentation relate to or are based on publications and other data obtained from third-party sources. While we believe these third-party sources to be reliable as of the date of this presentation, we have not independently verified, and make no representation as to the adequacy, fairness, accuracy or completeness of, any information obtained from such third-party sources. No Offer or Solicitation; Further Information This presentation is for informational purposes only and is not an offer to sell with respect to any securities. This presentation should be read together with “Management’s Discussion and Analysis of Financial Condition and Results of Operations” and the consolidated financial statements and the related notes thereto included in the Annual Report and subsequent quarterly reports. Non-GAAP Financial Measures This presentation includes certain non-GAAP financial measures intended to supplement, not substitute for, comparable GAAP measures. To supplement our financial statements presented in accordance with GAAP and to provide investors with additional information regarding our GAAP financial results, we have presented in this presentation Adjusted EBITDA, which is a non-GAAP financial measure. This non-GAAP financial measure is not based on any standardized methodology prescribed by GAAP and is not necessarily comparable to any similarly titled measure presented by other companies. We define Adjusted EBITDA as net income (loss) before income tax expense (benefit), plus interest expense, depreciation and amortization, changes in fair value of warrant liabilities, and certain add-backs for non-cash or non-recurring expenses, including restructuring and share-based compensation expenses. The most directly comparable GAAP measure is net income (loss) before income tax expense (benefit). We define Adjusted EBITDA Margin as Adjusted EBITDA divided by revenue. The most directly comparable GAAP measure is net income margin. We monitor and have presented in this presentation Adjusted EBITDA and Adjusted EBITDA margin because they are key measures used by our management and Board of Directors to understand and evaluate our operating performance, establish budgets, and develop operational goals for managing our business. In particular, we believe that excluding the impact of these expenses in calculating Adjusted EBITDA can provide a useful measure for period-to- period comparisons of our core operating performance. For further discussion regarding these non-GAAP measures, please see today’s press release. See below beginning on slide 13 for reconciliations of these non-GAAP financial measures to their most directly comparable GAAP measures. Disclaimer 2


 
| We shop. You save. • Senior ◦ Approved policies over forecast with 26% fewer agents producing just 10% fewer MA policies ◦ Strong close rates once again drove strong performance and Adjusted EBITDA* margins of 27% • Healthcare Services ◦ SelectRx now at nearly 106K members, representing 41% year-over-year growth ◦ Positive Adjusted EBITDA* for an eighth consecutive quarter ◦ New state-of-the-art Olathe, Kansas, facility shipped first prescriptions on April 7th 3Q Earnings Highlights *See "Non-GAAP Financial Measures" section on slide 2 $ in millions 3Q25 3Q24 Revenue $408.2 $376.4 Adjusted EBITDA* $37.7 $46.6 Financial Results • Consolidated Company Highlights ◦ Delivered 8% revenue growth of $408 million ◦ Combined Senior and Healthcare Services Rev-to-CAC** of 5.8X 3 **The revenue to customer acquisition cost (“CAC”) multiple represents total revenue as a multiple of total marketing acquisition costs for the Senior and Healthcare Services divisions, which represents the direct costs of acquiring leads.


 
| We shop. You save. 186k 163k 168k 3Q24 Original 3Q25 Guide** 3Q25 Actuals Strong Q3 for Senior MA Policies 000s OEP by the Numbers *See "Non-GAAP Financial Measures" section on slide 2 **Implied MA policy production midpoint from original FY25 guide provided September 13th, 2024 4 Adjusted EBITDA* Margins 15% Increase in year-over-year Close Rates 9% Increase in year-over-year Agent Productivity 9% Decrease in year-over-year Marketing Expense per Policy*** 4% Decrease in year-over-year Operating Expense per Policy*** 27% 3Q25 ***Represents total Senior division marketing and operating expenses per approved Medicare Advantage and Medicare Supplement policy


 
| We shop. You save. Healthcare Services Progress • SelectRx critical mass allows us to optimize future margins and drive shareholder value ◦ Nearly $675 million in trailing 12-month revenue ◦ Nearly 106,000 members as of 3Q25 • Long-term efficiency gains from new SelectRx facility in Olathe, Kansas ◦ Shipped first boxes on April 7th ◦ State-of-the-art equipment expected to deliver increased efficiency ◦ Expecting to ramp into the facility throughout calendar year 2025 ◦ Anticipating long-term profitability accretion with near-term drag in fiscal 4Q25 5


 
| We shop. You save. Revenue $MM Adjusted EBITDA* $MM $47 $38 3Q24 3Q25 Consolidated Financial Summary $376 $408 3Q24 3Q25 *See "Non-GAAP Financial Measures" section on slide 2 6 9%12%Margin %


 
| We shop. You save. Revenue $MM Adjusted EBITDA* $MM Senior Financial Summary $204 $169 3Q24 3Q25 $61 $46 3Q24 3Q25 *See "Non-GAAP Financial Measures" section on slide 2 7 27%30%Margin %


 
| We shop. You save. Total Approved Policies 000s MA LTV SelectQuote Senior KPIs $995 $915 3Q24 3Q25 202 186 186 168 16 18 MA Other 3Q24 3Q25 8


 
| We shop. You save. SELECTRX Members 75 82 87 97 106 3Q24 4Q24 1Q25 2Q25 3Q25 — 20 40 60 80 100 120 Revenue & Adjusted EBITDA* $MM 9 $2 $1 $5 $2 $6 $124 $145 $156 $183 $190 3Q24 4Q24 1Q25 2Q25 3Q25 Healthcare Services KPIs REVENUE ADJUSTED EBITDA* *See "Non-GAAP Financial Measures" above on slide 2.


 
| We shop. You save. $41 $46 3Q24 3Q25 $3 $6 3Q24 3Q25 Life Financial Summary 10 *See "Non-GAAP Financial Measures" section on slide 2 Revenue $MM Adjusted EBITDA* $MM 14%8%Margin %


 
| We shop. You save. FY25 Financial Guidance REVENUE 11 +16% YoY At the Midpoint$1.500B ADJUSTED EBITDA* NET INCOME (LOSS) to $1.575B $115M to $140M $(1)M to $28M +9% YoY At the Midpoint +140% YoY At the Midpoint *See "Non-GAAP Financial Measures" above on slide 2.


 
| We shop. You save. Supplemental Information 12


 
| We shop. You save. Adjusted EBITDA to Income before income tax expense (benefit) Reconciliation 3Q FY 2025 (in thousands) Senior Healthcare Services Life Total Adjusted Segment EBITDA $ 45,701 $ 6,445 $ 6,364 $ 58,510 All other Adjusted EBITDA 3,549 Corporate & elimination of intersegment profits (24,336) Adjusted EBITDA 37,723 Share-based compensation expense (4,960) Transaction costs (5,813) Depreciation and amortization (4,925) Loss on disposal of property, equipment, and software, net (3) Change in fair value of warrant liabilities 32,986 Interest expense, net (20,407) Income before income tax expense (benefit) $ 34,601 13 3Q FY 2024 (in thousands) Senior Healthcare Services Life Total Adjusted Segment EBITDA $ 61,494 $ 1,609 $ 3,138 $ 66,241 All other Adjusted EBITDA 3,609 Corporate & elimination of intersegment profits (23,252) Adjusted EBITDA 46,598 Share-based compensation expense (3,515) Transaction costs (3,325) Depreciation and amortization (6,704) Loss on disposal of property, equipment, and software, net (4) Interest expense, net (24,330) Income before income tax expense (benefit) $ 8,720


 
| We shop. You save. (in thousands) Range Net income (loss) $ (1,000) $ 28,000 Income tax expense (benefit) $ — $ 10,000 Interest expense, net $ 82,000 $ 75,000 Depreciation and amortization $ 22,000 $ 20,000 Share-based compensation expense $ 19,000 $ 16,000 Change in FV of warrant liability $ (25,000) $ (25,000) Transaction costs $ 18,000 $ 16,000 Adjusted EBITDA $ 115,000 $ 140,000 Net Income (Loss) to Adjusted EBITDA Reconciliation FY25 Guidance 14


 
| We shop. You save. SelectQuote Inc. 6800 West 115th Street Suite 2511 Overland Park, Kansas 66211 Phone: (877) 678-4086 Investor Relations investorrelations@selectquote.com 15