LMND · Lemonade Inc Q2 FY2026 earnings call record财报电话会记录

“Our letter to shareholders also includes information about our key performance indicators, including number of customers, in-force premium per customer, annual dollar retention, gross earned premium, gross loss ratio, gross loss ratio ex-CAT, trailing 12-month loss ratio, and net loss ratio, and a definition of each metric, why each is useful to investors, and how we use each to monitor and manage our business.”

“Revenue grew even faster, increasing 79% to $294 million, and gross profit increased 76% year-over-year to a record $113 million.”

“With our direct-to-consumer distribution and predictive LTV models allocating that spend, we ratchet spending up and down and shift it from one product or geography to another in real time in pursuit of those sterling 3x returns.”

“Beginning in 2027 and beyond, we expect IFP growth to outpace spend growth, a key driver of operating leverage and profitability.”

“In-force premium grew more than 32% year-on-year to $1.43 billion, driven by customer growth of 23% and premium per customer growth of 8%.”

“We added about 166,000 new customers in Q2, more than 12% greater than the roughly 148,000 in the prior year quarter.”

“Gross profit increased 76% to $113 million, while adjusted gross profit increased 74% to $114 million, for a gross margin and an adjusted gross margin of 38% and 39%, respectively.”

“Our adjusted gross profit as compared to gross earned premium was 34% in Q2, up eight points from 26% in the prior year.”

“Our detailed guidance for Q3 and the updated full-year of 2026 is included in our shareholder letter and represents 33% Q3 and full-year IFP growth, roughly 69% Q3 revenue growth and 65% full-year revenue growth, and unchanged a positive full quarter of adjusted EBITDA in the Q4.”

“Just second, as we're all trying to think about how the model spools forward and thinking about potential operating leverage in 2027, 2028, without giving specific guidance, I guess, do we think that gross margins and contribution margins can kind of continue to maintain the current path as you expand product and geo coverage?”

“There will be times when we can increase our profitability through shrinking gross margins and times when we cannot.”

“I hope I was understood nonetheless, but just talking about our LAE, we are at 5%, the industry is at around nine, and I was saying that they spend about twice as much of their customers' premiums than we do of our customers' premiums on the bureaucracy of handling claims, and that we tend to believe is probably indicative of a broader trend beyond claims as well.”