Goosehead Insurance, Inc. Releases Preliminary Third Quarter 2026 Results

Goosehead posts double-digit revenue growth but delays full earnings amid GAAP restatement.

What the company is saying

Goosehead Insurance, Inc. reports preliminary third quarter 2026 results, highlighting a 17% year-over-year increase in total revenues and a 13% rise in core revenue to $94.7 million. CEO Mark Miller attributes these gains to investments in agents, service, and proprietary technology, positioning the company for further growth. The company emphasizes robust operational momentum: written premiums rose 11% to $1.31 billion, policies in force increased 14% to about 2.1 million, and both corporate agent headcount and franchise producers grew. Goosehead reaffirms its full-year 2026 guidance, projecting organic revenue growth between 12% and 19% and written premium growth between 12% and 20%. The announcement also discloses a delay in the full earnings release and a restatement of prior financials due to SEC-identified GAAP departures in accounting for contract costs and franchisee fees. Management details the expected accounting corrections and their estimated impacts, while stating that amended filings will be made as soon as practicable.

What the data suggests

The disclosed figures show strong top-line growth: third quarter total revenues are estimated at $108.8–$110.8 million, up from $92.9–$94.9 million a year earlier. Core revenue reached $94.7 million, a 13% increase from $83.9 million, driven by higher renewal commissions ($19,887,000), renewal royalty fees ($53,420,000), new business commissions ($9,127,000), and new business royalty fees ($9,371,000). Written premiums climbed to $1.31 billion, up 11%, and policies in force grew to approximately 2.1 million. Corporate agent headcount rose 9% to 568, and franchise producers increased 7% to 2,272. As of September 30, 2026, Goosehead held $32.8 million in cash, had drawn $26.0 million on a $75.0 million credit line, and carried $322.3 million in notes payable, with $144.6 million available for share repurchases. The company provides detailed revenue breakdowns for both three- and nine-month periods, but all figures are preliminary and subject to change pending the restatement. The restatement is expected to increase both revenue and general and administrative expenses by $11–$16 million for 2025 and $5.5–$8.5 million for the first half of 2026, with a 0.5%–5.5% decrease in employee compensation and benefits and a corresponding increase in income from operations. The company is transparent about the accounting issues and the scope of the restatement, but final audited profitability metrics are not yet available.

Analysis

The announcement is measured in tone and primarily focused on reporting preliminary financial results and disclosing the need for a restatement of prior period financials. The majority of claims are realised and supported by specific, current-period numerical data (revenue, premiums, headcount, etc.), with only a minority of statements being forward-looking (guidance reaffirmation, expected restatement impacts). There is no promotional or exaggerated language; the company is transparent about the restatement process and its expected effects. While the update lacks final profitability metrics due to the pending restatement, it does provide detailed revenue and operational figures, supporting a weak_positive signal under the disclosure completeness rule. No large new capital outlay is announced, and the benefits of reported growth are already being realised, not deferred to a distant future.

Risk flags

• ●The company is restating multiple years of financial statements due to GAAP departures in accounting for contract costs and franchisee fees, raising concerns about historical financial reliability and potential for further adjustments.
• ●All reported figures are preliminary and unaudited, meaning actual results may differ materially once the restatement and audit are complete, which introduces uncertainty for investors relying on these numbers.
• ●The delay in the full earnings release and pending restatement may impact investor confidence and could expose the company to regulatory or legal scrutiny, especially given the SEC's involvement.
• ●Goosehead carries $322.3 million in notes payable and has drawn $26.0 million on its $75.0 million line of credit, indicating a material debt load that could affect financial flexibility if operating results or restatement outcomes are less favorable than expected.
• ●The restatement will increase both revenue and general and administrative expenses by equivalent amounts, which may complicate analysis of true underlying profitability and operational efficiency until full audited results are available.

Bottom line

Goosehead Insurance, Inc. is delivering strong revenue and operational growth, with third quarter revenues up 17% and core revenue up 13%, supported by increases in written premiums, policies in force, and agent headcount. However, the company is delaying its full earnings release and restating prior financials after the SEC identified GAAP departures, introducing uncertainty about the final quality of reported earnings and historical comparability. All current figures are preliminary and unaudited, and the restatement is expected to have a material impact on both revenue and expenses for 2025 and 2026. Investors should focus on the outcome and timing of the amended filings, as well as any further disclosures about profitability and cash flow once the restatement is complete. The most important takeaway is that while underlying business growth appears robust, the accounting restatement and lack of final audited results make it premature to fully assess the company's financial health until the amended reports are filed.

Announcement summary

(NASDAQ: GSHD) Goosehead Insurance, Inc. announced preliminary results for the third quarter ended September 30, 2026, and reaffirmed its full year 2026 guidance. The company reported that total revenues grew approximately 17% in the third quarter of 2026 over the prior year period, with core revenue up 13%. Third quarter core revenue was $94.7 million, an increase from $83.9 million in the prior-year period. Total written premiums placed for the third quarter increased 11% over the prior-year period to $1.31 billion. Policies in force grew 14% from the prior-year period to approximately 2.1 million. Corporate agent headcount was 568, up 9% compared to the prior-year period. Total franchise producers reached 2,272, a 7% increase from the prior-year period. For the third quarter of 2026, total revenues are estimated to be between $108.8 million and $110.8 million, compared to an estimated $92.9 million to $94.9 million in the corresponding period in 2025. As of September 30, 2026, the company had cash and cash equivalents of $32.8 million, a line of credit of $75.0 million with $26.0 million drawn, and total outstanding notes payable of $322.3 million. $144.6 million remained available under the share repurchase authorization as of September 30, 2026. Preliminary revenue for the three and nine months ended September 30, 2026 and 2025 was provided, with detailed breakdowns for core, cost recovery, and ancillary revenue. For the three months ended September 30, 2026, renewal commissions were $19,887, renewal royalty fees $53,420, new business commissions $9,127, new business royalty fees $9,371, and agency fees $2,864. For the nine months ended September 30, 2026, renewal commissions were $59,083, renewal royalty fees $149,522, new business commissions $26,192, new business royalty fees $26,653, and agency fees $8,332. The company reaffirmed its full year 2026 guidance, expecting total revenues to grow organically between 12% and 19% and total written premiums to grow between 12% and 20%. Goosehead announced it will delay its full earnings release and restate certain prior period financial statements to correct departures from GAAP related to the accounting for costs to obtain customer contracts and the presentation of certain franchisee fees. The restatement will affect audited consolidated financial statements for the years ended December 31, 2025, 2024, and 2023, as well as unaudited condensed consolidated financial statements for quarterly and year-to-date periods ended September 30, June 30, and March 31 of 2025, 2024, and 2023, and June 30 and March 31, 2026. The company expects employee compensation and benefits to decrease and income from operations to increase by approximately 0.5% to 5.5% of employee compensation and benefits for the full year ended December 31, 2025 and the interim periods ended June 30, 2026 and March 31, 2026. The correction of franchisee fee presentation is expected to increase both total revenue and general and administrative expenses by equivalent amounts in the ranges of approximately $11 million to $16 million for the year ended December 31, 2025 and approximately $5.5 million to $8.5 million for the six months ended June 30, 2026. The company intends to file amendments to its Annual Report on Form 10-K and Quarterly Reports on Form 10-Q to restate the affected periods as soon as practicable. Goosehead will host a conference call and webcast at 4:30 PM ET to discuss these preliminary results.

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