Earnings call transcript Q2 2023

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Operator

Thank you for joining QuinStreet's Second Quarter Fiscal 2023 Earnings Call. Today's call will be recorded. Today we're joined by QuinStreet CEO, Doug Valenti; and QuinStreet CFO, Greg Wong.

Following the prepared remarks there will be a Q&A session. [Operator Instructions]

pass to I'll Yonker that, with it Laine over [ph]. And

Unidentified Company Representative

as everyone, results. QuinStreet's for you, we joining financial Thank XXXX us report fiscal second quarter

me Valenti; CEO, today the CFO, Greg Wong. Joining Doug on call and are

begin, discussion contain following I that will I remind forward-looking to Before you like the statements. would

cause that Factors not from filings, to statements by those our results uncertainties risks such involve that guarantees results statements actual statements in today recent XX-Q. of number our cause Forward-looking are and of including X-K projected performance. future to may a and forward-looking upcoming discussed from and may differ most differ made our materially filing are SEC recent

update as are on assumptions these today statements to based of the company and Forward-looking statements. undertakes obligation no

and Investor discussing measures. release, investor.quinstreet.com. to website GAAP in we GAAP of is our be press today's financial earnings reconciliation on Relations Today, non-GAAP available will A measures which at is included non-GAAP both

over sir. that, to With the Please, go I Valenti. Doug will turn call ahead,

Doug Valenti

you, And Thank Insurance has from Well, spending The headline. it's marketing client of the begun. sharp here. first reramp looks into anticipated the Auto like up right Welcome, it Laine. everyone.

over Insurance versus expected is Auto jump this to quarter, Our the quarter, March the by revenue quarter. December XX%

of are seeing we So Insurance. so search even with early and we the significant the Auto the we results, anticipated. in are recovery January on impact its inflection positive Excitingly reramp and our though, immediate full positive

it. client inflection we for and much Auto expect some We to biggest for been been significant come. more vertical, preparing have in this We've Insurance, our predicting positive time

march of years and relentless consumer budgets media, and marketing represented share there, strong of the to prior Insurance quarters of inflation continues by a of to will the from into its client the then, spending up that believe lead that ramp beginning the digital seen We over are shopping, the couple past as challenges right. levels at growth coming further Auto back we to

Auto adjusting higher Insurance ratio of increasing mainly carrier due resetting progress to return offset January as and targets marketing of combined costs X. to the and products rates The their to is of spending their carrier

traffic, are course revenue also as insurance, strong fraud and rapidly, the being expected, growth Services as QuinStreet margins client combined other of and Services. rate revenue by insurance momentum online Consumer Home increases. increasing with two shopping, in up our spurred verticals, and nine-figure annual credit-driven Financial is those already largely

in and a As in revenue adjusted the expect significant quarter a total result, we March EBITDA. jump record company current

We EBITDA expect record quarter. jump revenue again in adjusted and a the in June further

the were our conditions macroeconomic quarter, and at was shifting environment QX, Insurance December the back fiscal results which Looking given quarter. in good, in the especially Auto

our Our model, navigate resilience. business to again, successfully again, most profitably once complicated ability the environment. its And we, once demonstrated demonstrated even and

our generated and seasonal Auto market despite in revenue shifting QX quarter what in grew and year-over-year of is the both facing and We macroeconomic softest Insurance EBITDA positive environment. the the bottom

and efficiency expect December demonstrate, the And quarter continued and and making on positive have long-term results also promised. discipline from initiatives exciting come as capabilities cost you are investments margin those results spending as QuinStreet. to we investment growth included our with

rebounding to market commitment insurance Revenue is the paying and our challenges transitory long-term margins in and Our initiatives through disciplined the continue are off. investment quickly.

We have prospects coming expect been continue our them never to long-term in that ramp and quarters to better.

carrier reramp. of trends be dominant the in to to spending brief to our to assess some we in in which quarters that of or Insurance likely FY driver comments the client spending the our we importantly, about believe outlook. quarter March we QX as the Auto continue I want is expect macroeconomic reramp and performance and to environment, come reflected make Most continues

be to positive economic of auto addition, increases shopping expect Related given uncertainty. consumer insurance typically periods that insurance during results, for net in We another increases. rate our especially for and would

homeowners to near-prime verticals, to non-insurance is there for leveraged our client the and As of consumers. prime majority business and our

and As of levels consumers heard the you in those shape. to continue have from be good the credit balance credit card and spending banks companies, sheets,

outlook. Turning to our

total We fiscal to in million $XXX $XXX company between and record. a revenue expect QX be million,

expect million insurance fiscal but QX EBITDA revenue. line to early the impact We of immediate, on still adjusted $X be in reflecting reramping top million, $X between and significant, leverage

And full we June, adjusted to $XX be we and million fiscal expect to year $XXX and year million ending revenue XXXX $XXX EBITDA be expect million. For in between fiscal between full $XX million.

and Our cash we financial flows. believe debt. cash by almost entering million be with margins position remains will period $XX of with sheet expanding strong a represented we And ramping balance are bank strong and no revenues a excellent that

that, I'll to over the Greg. With call turn

Greg Wong

you, as footprint. well despite Thank our Insurance challenges thanks us Auto macroeconomic and environment. to Hello, the million in everyone year-over-year to today. model of delivered client The as vertical We joining a quarter demonstrated resilience and X% strength revenue growth December Doug. of $XXX for shifting business and solid

non-insurance grew Our verticals of total represented QX client and year-over-year. revenue XX% XX%

at by client vertical. Looking revenue

of was for quarter. the vertical continued in our strength insurance QX million result was approximately credit-driven and a expected challenges in the Our the $XX.X -- which revenue in flat client offset of represented XX% and Services largely banking Financial client insurance verticals, year-over-year. This

anticipated, higher to in significant in continued combined the beginning targets. manage reset, calendar year carrier December ratios carriers intensifies ratio revenue begin carriers consumer now their inflection have from XXXX January. increases rate positive limit as said, This That spend seen combined in insurance, quarter we response benefit shopping to Within and marketing rates. to to the in

the ramp to of coming we the as of the revenue insurance in quarters, expect into recovery early over up that market. full we're believe we stages continue right the the importantly, Most

and delivered XX% Our credit in credit personal year-over-year. cards banking combined of loans well QX as verticals client business results as growing a our excellent

Revenue in XX% or revenue. $XX Services Home grew of vertical total our to million XX% year-over-year client

drive long-term our growth Home to may As here in strategy addressable we've discussed Services the largest market is our simple. past, be and

and service of none bathroom remodeling system believe One, which replacements, offerings, and are installation from full potential. we their close existing to grow like anywhere sales solar window

triple And QX multi-pronged two, see we to expand number into at is the for Other growth these Adjusted EBITDA growth where double-digit strategy was to million. revenue. This foreseeable remaining the $X least the of million $X.X opportunity fiscal revenue offerings, serve. of sub-verticals new drive future. expected service we currently was organic the for QX

business balance In half Turning to of model into about and million no financial of are sheet, we year. head quarter and and excited closing, the the bank we with equivalents $XX.X the back closed our fiscal as debt. our cash we

to verticals we cash expansion combined growth inflection insurance strong seeing the The the of is continued company revenue rapid drive both total adjusted in flow in expected, significant EBITDA with strength of and positive quarter. non-insurance are client March and

cash strengthen flow again, expect revenue in quarter. also EBITDA June growth, the We and to adjusted

that, call With the the turn to operator over for I'll Q&A.

Operator

session. first Thank your our Please question Kreyer Jason comes Instructions] you. And question. state Our be we'll from with at question-and-answer [Operator conducting this time, Craig-Hallum.

Jason Kreyer

profitability I record just that you, appreciate Thank wondering, over revenue you're gentlemen, next the bridge the couple forecasting if gap you us because quarters. help certainly the can of

go of we were you last like a time if the seeing at of back the levels of revenues kind half in EBITDA XXXX we the But years kind were margins of range. these at double-digit back couple

now? this maybe, do that So expect different time. it about you I'm couple to a just wondering, occur out of Or what's from quarters

Doug Valenti

we say longer insurance. a and Jason. spending it a great pretty short thank question company the be to I'd for soon. initiatives is, and we on you it. it's expect -- would are And growth answer answer Yeah come The across including

are do incremental with see because we're very next attractive doing that capacity quarters. early great great results And it. with it. in getting the to have is still near we opportunities surplus from expect nowhere get are where the big we But to revamp that, to variable over It a insurance growth we we the few and because there. And margins, and we

line top we're $XX it pre-downturn about leverage top the of $XX not the a because million quarter would Even peak insurance March quarter. short or in full getting still in you line So the the million about will insurance. leverage from be kind quarter we're expect a of

or consumers margin down we means media that have media first getting don't efficiency full because margin. leverage level means not which are which would yield for and the back fewer aren't carriers which we And means we're we our the getting, be margin also have matches all variable

all about a now to December going we're adjusted said, X% being that go So, to margin the quarter in the from March in breakeven EBITDA about quarter.

June media certainly So margin keep know leverage see we've expansion rapidly. going quarter we you told can very And therefore, see of and top And coming you EBITDA I line back efficiency. all see -- in it's continued continue expect beyond. to should adjusted to we're that, that gaining and are the you, indications the just already to

on. that's that's the -- going what's So

that spending we're think on I -- but -- growth. The money spending

December way. levels grew and is XX% line great a think insurers to from reramp X%. are year-over-year. obviously kind and I noninsurance work effectively big I back, the in seeing of very we come and EBITDA to done our as disciplined the record both And fast top hey breakeven quarter was adjusted we back being said bounce at as Effectively, in scale

with take margins are for I continuing all cycle -- any degradation positioned in back. you'll of our attractive, it it many variable as to above advantage So of very businesses see think scale you The and we're variable noninsurance in driving of see historic consistent certainly our won't comes position insurance well including And the to really next margin. cases levels. we're

yet, just It's not month. So back the back fully coming because that is fully not yet, started although carriers line back that's nor is insurance Top have again we some all this happening. efficiency, just again. are media

Obviously, number then on have in more we way. of January back we them and had even their a coming

at for on spent to We -- momentarily in insurance outlook verticals. -- optimally. sense positive. that, very argue last suspending just in we've noninsurance about $X the initiatives. we've spent that on we December, aggressively EBITDA. couple and And we've the future we would also didn't talking everything I spend as on to looked is of would we the modesty -- we argue million quarters we continuing I that spend think for made very, made been the these still pretty So, very done growth that --

scale we're long-term to big margins delivering opportunities. big and spending So, We'd we're growing think big opportunities have at at to to because to and driving we more makes and big capacity keep keep that great we sense, keep doing see the scale. opportunities

to right would it's for to It's does looks It are -- back So, to going continue going current But them. happening indications insurance where super to for come to are, because happy And of and and it what sustainable. are very the going back. we where we look said our coming from is environment we great love was own are. faster? reflective and scale carriers really results with delivering happen. come to I'd What's the keep sustainable be rates continue say we are our

Jason Kreyer

Okay. Thank that. all you for

Insurance. advance. apologies a I've got Sorry, in on like question Auto three-part

tougher ease So, for I then comp and February. know in you the was comps a January

I early up so like far there's first a give on So there's if all just any any wondering you've numbers the question. provide -- can behind then if what cadence seen second And just, And if that? bit on third of question clarity you more you how just of traffic can little ramping in the then details 'XX. is

more these that increases, rate delivering money you're if curious making carriers. that you're you see opportunities the on the I'm all to means As just

Doug Valenti

stages the are indicated you. of rate are XX% pretty And product that bigger of what back think today quarter. other just we in we're December along March kind and have adjustments from is we Auto the are carrier in. a [indiscernible] The way. And the the of quarter carriers Got early few into to carriers yesterday a they client coming maybe channel at quick coming Insurance And in XXXX all immediate. different I another jumped terms in carriers, or why significant that's their the and to furthest talking snapback back from big Yes. pretty of

in yet, planning Some but are it. very strongly, not are some back

just I'm be XXXX. to heard big haven't hey not not in just something we're anybody That's say hearing. We going

cadence. the of kind that's So

million with quarter. per even Insurance pre-downturn shy Auto -- we're we're all revenue peak in that again But of $XX the

-- So more better and media to line top overall consumers, margins. we leverage they that come better sense efficiency, places more media gives as means have have how which you we a feel carriers is match back, margins, a better to not for more come. much also, as And unimportantly,

So you margins overall effect happens. a double have that on as

we're hard XX% as -- we accelerating this is from indication chains ramp The at ramping. with. the expect, rate. continued car pricing as ramping. or That's is That's It's we everybody. from used coming. getting it's but And at what's and happening terms and of from getting So point ramp getting we said inflation, we're steep say the quarter-to-quarter indication, the a a ramp not, it's factor. steep That's with to look indication in the is the begin industry another we're to the ramp supply

lining up be – year – with the Good is for course. everything big year for So to and of particularly beginning of the a this very increases rate cycle good insurers.

of see last level ramped kind January, plateaued the very was the much details of than it we've year. calendar up, of significantly don't into have on terms part it we quickly ramped traffic, but seen the terms how I up in from it In is plus. January came at December. it's – percentages it. plateaued. it and Double-digit And and higher details It up last the of it in in a And

with increases half, behavior. that, shopping it started reporting consumers they the I are a weeks in of out is report week ago highest folks industry the two said since shopping J.D. for think tracking. insurance came a Power Also, percentage and

nothing right? were again, about just And So increases XX% everybody about rate XX%, got small the so not that, increased that sometimes on the over or XX%. everybody. them is year or We past know rates those surprising,

So good to can if see economy consumer, save somewhere even and is a else. you're probably you if the if you're money go going

shop up those to marketplaces. QuinStreet you your to percentage big If of going you go are insurance – a – of on wind

revenue and and participation So a us. that good not and of positive ramp and continued for again driver consumers solid not insurance be should by unexpected –

spend increases don't spend more than higher. pricing value can our that higher rate on can increases But clients reflect the be give in the directly would rate without which they or surplus the level and have can spend with pricing. that which The means themselves they certainly they marketing they the lifetime can they

with super of and very have good a direct that across they're on and pricing rates that board. attracting for strong between generally connection, are working and that increased now and consumers the underwriting. normal what of those What they would think connection economic you like their reflective gotten a levels is demand not is increases rate rate strong to the is able would It's expect a the the doing. segments and we've segments there's on the there's seen – are So healthy positive what but in good the hope carriers a the to carriers they spend on model cycle strong

So best that's do probably can the I on that.

Jason Kreyer

appreciate That's perfect. it. Thank you, Doug, I

Doug Valenti

you, Jason. Thank

Operator

state question with comes Please next question. Our from Campbell Stephens. John your

John Campbell

Happy guys. Hey, afternoon Year. Good and New

Doug Valenti

John. Hey,

John Campbell

mean, a sure, Hey. Doug year-over-year. the midpoint of XX touched on And the Obviously, guidance, kind bps back but of on looks outlook. to this, EBITDA get want compression it I like just it. on the revenue make I good I really grip to good you

what top from staffed to incremental not insurance ahead. you seeing than two are you're year? So the it? line a way it quarter guys lift here you're continues of think maybe you should – handle a Is a up as and basically maybe about in to the the the see we guess, higher But what issue. expected next expecting sounds that or I into of margins bit see move kind it's better-than-average we fiscal to as like It's good to to basically shift level mix today

Doug Valenti

is. absolutely It is. It

where That's out very as the have not the what's pretty get the of the and of carriers. out they and now We really it more efficiency line more on. in good mathematically media incremental but gist of vertical of be right fine simple exactly will more and kind yet incremental more going not with we That's accretive, board across participation that except margins are vertical top complicated. where of insurance, margins and that

because said And we've wanted was insurance we growth it, We is it they to ready the last we other downturn, stop the And the in side. before. we we were said year year, – going be during listen, not this big knew said and all to for initiatives the transitory, I side. think this and other investing long-term

from kind it we of pretty the optimally we think in -- I said, was of done. Again, have perspective, I our opportunities us, the front of size like given and as we the attractiveness And did insurance every quarter we lot soft December, in -- late very with storm. was got seasonally went winter season a down. going again from which down a it even from angle on They the of because feel

impacts you still know how $X started consumers then on last low-income along And the we to had call, and to -- had see said some And of million adjusted make drove we money. we you EBITDA. this edges,

but that in we made big despite of very despite, money. QuinStreet way disciplined spending still all a on aggressively, opportunities, And so kind

So you money, more more we in to to just we and as going in insurance. make make get back and know to continue quarters, more we're coming expect money

John Campbell

for I'm progressed maybe commentary around, even quarter, looks Okay. But then a consumer that of in you lot of deeper down balance guys what if little are lot a up quarter the the seeing businesses And a you start maybe sources spectrum. out like I around for necessarily some loans, looking consumer sheets. fear color credit. appetite of in bit kind credit-driven until sense. how Makes just little those of consumer bad, there what and That's a go, of that deteriorating of kind some January, not of the bit guess, channel, also the maybe the on or versus verticals, the can of personal there's

Doug Valenti

Sure.

we're -- business consumer a very us demand, which for seeing is cards, we is in for cards biggest business what consumer strong we And which and Let's near-prime one in start base credit the dominant part serve that with us. prime particularly particularly our our credit good is consumers, We're cards, cards business. is -- travel-related with for which That's and mix. of big have the most travel-related of a to. leverage

far we Strong almost than credit time seen offers. no very demand, the timing. as go, As seen enthusiasm, their have X% edges incremental on their less marketing Any the the and issuers successful have adjustments represent that limited of appetite. impact, probably been standards and very on aperture we've

ahead, the of issuers card banks we the credit all credit big big So, issuers. card kind serve and full it's steam and with

shape. keeping a The a sheets pre-pandemic eye rates. even not so close but They're are balances keeping eye in we're on card And balance it. consumers delinquency it, or on their back yet great to close are

is are we're we and do the deterioration said, same in personal there. the in consumer, it's business, some shape it's in very so by things outlook other -- fully And good of our incorporated and Where as credit, into you and offset we been loans. seeing -- is

bit cards, than from as those under understandably of little is more near-prime pressure, more prime consumer than tightening and credit income lower inflation consumers. A the

-- partly counseling And so, there. business, And to Not the offset, huge, said clients. largely, some. know you we for seen some it's almost also better as our credit we might marginally I in match adverb, and repair, let's personal but that credit by have be but the partly say loans effect fact now debt settlement

levels, of high-quality a those they consumers. happen. more we little we And trying and assistance and up get at big see there business for our of credit personal in card consumers settlement, clients, consolidation and a credit. about have other serve so is consumers lower also the loans, credit beginning that are that personal see repair, balances, which end to big big are And credit their credit things with accounts more needing debt on into two types bit as business is can loans that feed we get to of clients assistance income and our and stronger debt like, we demand card trouble, oftentimes, credit particularly One

side really the net-net, the So business of good in is shape. credit

John Campbell

very helpful. Okay, Thank you, Doug.

Doug Valenti

John Thanks,

Operator

comes from Max question. question Markets. Street Capital with next Lake Our Michaelis state Please your

Max Michaelis

question. touch next my taking want to the for for guide Thanks guys. Hi, on quarter. just I

out quarter Home Services. of nice a had you So

gauge XX%. XX%, fast I to Thanks. out that how and on similar rates? at growing get not maybe grows segment? think trying mid-teens Fin see Do grew Insurance let's growth Services low much of but the we could a think next they quarter Auto QX Just you think

Doug Valenti

I'm for we March in -- what Thanks, Matt. quarter? I Greg the Greg, mean, is think not sure, the guide growth I implied year-over-year

Greg Wong

Yes, at XX% the quarter the it's midpoint growth. year-over-year in March

And so..

Max Michaelis

to But, year-over-year. segment Home whether I Services Financial I'm gauge Services gauge not I I'm to because how see much ask. growth similar to trying Yes. grow should what I'm would trying or out the we trying type guess, guess, that's of

Greg Wong

We don't guide specifically by verticals.

numbers double-digit from said what not on raw -- organic out like that that Home can growth saw just due numbers the continue XX prepared I XX. expect in Depending I are to said remarks there rates. those you Services my anywhere to to put we So quarter it vary that

So -- and double-digit throw continue but I perform expect that to business to well growth. off

Doug Valenti

range the it in same has XX-ish be assumption. the is to been range a percent going It's as bad not in

a is might be those has plus the off range will business and quarter You be being minus we'll solid had and last pretty while XX% future. consider all. year-over-year bad couple of we particularly that expect points, of into or it have been We and course not but a a for a that growth that's strong But it's to well. as in quarter-to-quarter quarter

Max Michaelis

last in this Thanks. active you for Were then Okay. quarter? the And me. buyback the one guys

Greg Wong

not were quarter. this past We

Max Michaelis

guys. Thanks, Okay.

Greg Wong

Max. Thanks,

Operator

Jim from comes state Research. with question. Barrington your Please question next Our Goss

Jim Goss

Thank couple you. Hi. All questions. right of a

auto mix one thought. what varied. cars been one has and of years has at low both and of if the sort first sales but been wondering have of used wondering the you that I the recently the the I'm over And does any mix – have levels of, policies. actually your for new pricing it impact The imagine trends on for element couple insurance, demand the past would

Doug Valenti

the is existing policy not as budget for for is Demand way. meaningful. bought but of And we carriers ownership. a insurance in meaningful ownership, sold heard doesn't Most Not ownership. most it existing in allocations. for know we've and any from you that it not seen aren't really new the there -- market We change haven't that

in markets. And the those incremental softening really is

while and they a when new meaningful that heard the want overall so A new. annually; our say new relatively just I and part partners. from it's with on incremental and it's have what's of not -- mix we it's And relatively not we B, happening seen used it's And not it's be meaningful or So carrier big a not you that whether have impact. brand

Jim Goss

Doug I Okay. wondered one, of share if but has to also you period the has ones. finished the some bigger key before a Progressive I soft been the part given share some budgets carriers. getting of key gain maybe Has a certain recently been know other always of in opportunity an you've had that a [indiscernible] and you.

Doug Valenti

It's why market put the back in -- we've and share be as gained part position ourselves wanted a spending of most the been as to have to aggressively. from able We possible. to benefit so came to

Jim Goss

Okay.

Doug Valenti

have have gained the side. media budget clients we we on So the side do -- -- in share we from believe the and both

Jim Goss

was that that Okay. further the earlier the about cost area subverticals comment the of was to in embedding to about the pace wondering terms positioning you required potentially And and products tripling how served And markets? last such would growth in relative services. I wondering one. enter new made markets consumer consumer be one existing would yourself in I'm

Doug Valenti

would trades like Home would about that trade Greg It's trade. and remodel Yes. kitchen in the Services a be talking the be was

fast We more. on that think there can based triple We range. in able financial execution to lot big now a we're there within we a by limited We but it Services, in. number our do reasonable than how is because can in there it's really margin are those capacity. the that we're in now dozen we we We trades pace more can lot invest about opportunity verticals Home a think a capacity we such is a contribution -- be

it's Services haven't contributing of one we that in is fact, And found our So been drag. highest a businesses. Home

margin contribution, mean, say first efficiency. of The media got I margin, right? of several is layers you When layer I

margin. have layer Second costs margin as dollars. then cost after media grow contribution one percentage and those highest And Home you Services as fast that out. businesses and people our of of in and can the take terms we it's you and people We're contributing business kind pushing of in of execute after still markets is to

So in Home it’s not doing what limited in we're Services. financially

Jim Goss

All much. Thanks Appreciate very it. right.

Doug Valenti

Thank you, Jim.

Operator

next Singular question comes with Research. state question. Instructions] Sakai Chris Please [Operator Our from your

Chris Sakai

Greg. Hi, Doug and

Doug Valenti

Hey, Chris.

Chris Sakai

a like great quarter. Sounds

Just about I ask talked QX. QX and about wanted to insurance, you've know

on year? get it QX next how of would Just into continue wanted color to and your feeling

Doug Valenti

the efforts rate increases got past as with good to their states from lot get they lot years ramp. the a issues It's products continue back combined under We are marketing in it get And want getting to their in ratios. really portfolios Yes. these as down they rate question. very had come where with back We a carriers we're and of with expansion a ramp to they the they legs would in economically them as expect to a they've a to had those close with think multi-quarter over the aligned couple increases. of their -- and

indication is continued a ramp. every So,

a be think said we that entering about few I I super might ago a quarters cycle.

very to the increases healthy. and likely going multi-year And the They've reflecting smart. cycle in to market those activities carriers very keep been I think good are have we in have them rate just presence. insurance, making been their because market economics are in long a the

So the well long that as quite reflective fact on for side. cost repair right that's a have by now of both more catastrophe new into are insurance. on driven side that the the the simply environment, they as the we good again trend And up expect rates

Chris Sakai

to more insurance Can in that? continues you me can expense. ramp. you then, Is occur the understand and as product help Thanks, long increase Okay. development help as about this me understand basically going to

Doug Valenti

it. won't we increasing think keep I

to at will. revenue past And this then is, of but at it growing what's kind won't to like it we're of like for couple be or years, we're been think while. I the grew grow level going a it's happen going

that's so you expansion, margin how get right? And the

jump why revenue that get continue to more is cost driving You from, already it you're development the June in in margin the the more expected March breakeven adjusted did on quarter. and more quarter incremental to than in to which like fixed a base, why seeing relatively in and the to margin variable like semi-fixed, EBITDA expand you're product top again, going other see X% quarter March of that and we

you going see June. that point or another to As you'll expand numbers, assumptions there our run your in two they're

Chris Sakai

Okay.

Okay. the Thanks answers. for

Doug Valenti

Chris. welcome, You’re

Operator

time there you you. today. Thank everyone time the QuinStreet's And no this for call. join questions Thank are further at earnings taking to

is please earnings This XXX-XXX-XXXX also international on XXXXXXXX. For domestic available replay call, release afternoon. dial use you. that issued replay is press this the XXXXXXXX. Once concludes call. this passcode a again of XXX-XXX-XXXX and passcode or the today's Thank This information

QuinStreet (QNST) 8 Feb 232023 Q2 Earnings call transcript