LPRO - Open Lending stock drops 16% after hours on earnings miss disappointing outlook

February, 23 2023 05:57 PM Open Lending Corporation

Open Lending ( NASDAQ: LPRO ) stock tumbled 15.8% after the bell on Thursday as the company provided disappointing Q1 guidance and posted Q4 earnings miss .
The firm expects Q1 revenue of $30M-$34M, below $37.96M consensus . Adj. EBITDA is projected to be $13M-$17M, down ~50%-62% Y/Y.
Open Lending ( LPRO ) expects total certified loans of 28K-32K vs. 43.94K in Q1 2022.
The company reported Q4 EPS of -$0.03 vs. $0.23 in Q4 2021. Revenue increased 48.1% Y/Y to $26.8M, but was impacted by a $12.8M reduction in estimated future revenues related to business in historic vintages.
"We faced unprecedented industry challenges including new and used vehicle sales being the worst in nearly a decade, historic declines in wholesale used car values, and vehicle affordability at record highs," said CEO Keith Jezek.
Jezek warned that these challenges will likely persist throughout 2023.
Open Lending ( LPRO ) facilitated ~34.6K certified loans during Q4, compared with 42.6K certified loans in Q4 2021.
Shares of the company, which ended 2.6% higher on Thursday, gained ~28% YTD.
Earlier, Open Lending ( LPRO ) launched a $75M stock buyback program .

For further details see: