Shares dropped 10.3% after earnings as investors reacted poorly to a cautious outlook and margin pressure driven by weaker-than-expected monetization in the auto insurance vertical and a more conservative lower bound on full-year non-GAAP operating income guidance.

• Revenue rose 6% year-over-year to $222 million, supported by strong growth in Consumer banking and personal loans, but offset by declines in credit cards and SMB segments.
• SMB revenue declined 15% year-over-year due to ongoing organic search headwinds.
• Non-GAAP operating income of $34 million (15% margin) set a Q1 record but involved higher performance marketing spend partially offset by lower brand marketing.
• Management lowered the lower end of full-year NGOI guidance to $85 million, citing weaker auto insurance partner monetization impacting Q1 and expected to weigh further in Q2.
• The company is intensifying investments in its branded insurance agency and technology integration, acknowledging near-term margin pressure but aiming to build long-term growth avenues.