LendingTree Reveals Preliminary Q2 Results with Optimistic Outlook

LendingTree's Preliminary Results for Second Quarter
LendingTree, Inc. (NASDAQ: TREE), a leading online financial services marketplace, has announced its preliminary financial results for the second quarter. These remarkable outcomes showcase the stability and growth within the financial environment, bolstering the company’s projections for the third quarter.
Strong Performance and Future Expectations
According to Doug Lebda, Chairman and CEO of LendingTree, the company's diverse segments have reported double-digit revenue growth compared to the same period last year. With a focus on operational efficiency and improving financial metrics, LendingTree's forecasts for the upcoming months reflect an optimistic trajectory.
Lebda stated, "Our ongoing business efficiencies are leading to impressive operating leverage, and we are thrilled to see our capital standing strengthen significantly over the past year, with net leverage decreasing to 3x by the end of Q2." This progress has instilled confidence for the second half of the year, positioning LendingTree for further financial enhancement.
Updated Financial Outlook for Q2 2025
Here are the key preliminary financial metrics LendingTree has outlined for the second quarter of 2025:
- Expected second quarter revenue is estimated to reach $250 million, surpassing the previous guidance range of $241 million to $248 million.
- The anticipated variable marketing margin is projected at $83.6 million, aligning with expectations set earlier between $80 million and $84 million.
- LendingTree expects an adjusted EBITDA of $31.8 million, exceeding the earlier range of $29 million to $31 million.
As the company turns its eyes toward Q3, it is equally optimistic:
- Revenue projections range from $273 million to $281 million.
- Variable Marketing Margin is expected to lie within $86 million to $89 million.
- Adjusted EBITDA should be between $34 million and $36 million.
Comprehensive Annual Outlook for 2025
LendingTree has revised its full-year forecasts for 2025, demonstrating significant confidence in its future performance. The anticipated revenue now stands between $1 billion and $1.05 billion, an increase from the previous range of $955 million to $995 million.
The expected variable marketing margin is adjusted to be in the range of $329 million to $336 million, while the adjusted EBITDA is projected to reach between $119 million and $126 million, improving from earlier estimates of $116 million to $124 million.
Understanding the Financial Metrics
To comprehend how LendingTree calculates these figures, it's important to look into certain financial definitions. The company employs several non-GAAP financial measures, including variable marketing expense and adjusted EBITDA, as key metrics for evaluating business performance and marketing efficacy.
Variable marketing expense includes all sales and marketing costs attributed to direct advertising and promotions, while adjusted EBITDA highlights earnings before interest, taxes, depreciation, and amortization adjusted for various non-cash expense items.
About LendingTree, Inc.
LendingTree, Inc. is engaged in providing comprehensive online financial services, aimed at empowering customers in their financial journeys. The company's suite of products connects individuals with the best offers in loans, credit cards, insurance, and more, facilitating better financial health through their network of over 430 financial partners.
Headquartered in Charlotte, NC, LendingTree continues to grow its portfolio, helping millions improve their credit and overall financial standing. As LendingTree evolves, it is committed to delivering personalized financial recommendations and innovative products tailored to individual customer needs.
Frequently Asked Questions
What is LendingTree's latest revenue forecast?
LendingTree anticipates a revenue between $1 billion and $1.05 billion for the entire year of 2025, which is an upward revision from its prior estimate.
What are the key factors driving LendingTree's growth?
The company's growth can be attributed to strong revenue performance across its segments, improved operational efficiencies, and a supportive economic environment.
How has LendingTree improved its financial metrics?
Improvements in financial metrics have come from a disciplined focus on operational efficiency and a reduction in net leverage, which has dropped to 3x at the end of Q2 2025.
What is the adjusted EBITDA for the second quarter?
The adjusted EBITDA for LendingTree in the second quarter of 2025 is expected to be approximately $31.8 million, exceeding previous guidance.
Where is LendingTree headquartered?
LendingTree, Inc. is headquartered in Charlotte, NC, and operates as a leading platform in the online financial space.
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