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Goosehead (GSHD) Q2 Earnings: Taking a Look at Key Metrics Versus Estimates

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For the quarter ended June 2023, Goosehead Insurance (GSHD - Free Report) reported revenue of $69.28 million, up 30.7% over the same period last year. EPS came in at $0.41, compared to $0.16 in the year-ago quarter.

The reported revenue compares to the Zacks Consensus Estimate of $66.08 million, representing a surprise of +4.84%. The company delivered an EPS surprise of +36.67%, with the consensus EPS estimate being $0.30.

While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to determine their next move, some key metrics always offer a more accurate picture of a company's financial health.

As these metrics influence top- and bottom-line performance, comparing them to the year-ago numbers and what analysts estimated helps investors project a stock's price performance more accurately.

Here is how Goosehead performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:

  • Total Ancillary Revenue: $4.55 million versus the three-analyst average estimate of $2.11 million.
  • Cost Recovery Revenue- Interest Income: $0.42 million versus $0.39 million estimated by three analysts on average.
  • Total Cost Recovery Revenue: $3.70 million versus the three-analyst average estimate of $3.20 million.
  • Ancillary Revenue- Contingent Commissions: $3.97 million compared to the $1.67 million average estimate based on three analysts.
  • Ancillary Revenue- Other Franchise Revenues: $0.58 million compared to the $0.44 million average estimate based on three analysts.
  • Cost Recovery Revenue- Initial Franchise Fees: $3.29 million compared to the $2.81 million average estimate based on three analysts.
  • Core Revenue- Renewal Royalty Fees: $27.55 million versus $26.84 million estimated by three analysts on average.
  • Core Revenue- New Business Commissions: $6.26 million versus the three-analyst average estimate of $5.71 million.
  • Core Revenue- New Business Royalty Fees: $6.27 million versus $6.09 million estimated by three analysts on average.
  • Core Revenue- Agency Fees: $2.40 million versus the three-analyst average estimate of $2.74 million.
  • Total Core Revenue: $61.02 million compared to the $61.16 million average estimate based on three analysts.
  • Core Revenue- Renewal Commissions: $18.54 million versus the three-analyst average estimate of $19.77 million.
View all Key Company Metrics for Goosehead here>>>

Shares of Goosehead have returned +7.6% over the past month versus the Zacks S&P 500 composite's +5.1% change. The stock currently has a Zacks Rank #3 (Hold), indicating that it could perform in line with the broader market in the near term.

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