Lemonade’s Q1 2023 results

Lemonade shared its Q1 2023 results. Here are some highlights:

• The company ended the quarter with 1,856,012 customers, a 23% increase compared to Q1 2022. From Q4 2022, Lemonade added ~48k customers.
• In-force premium reached $653 million, a 56% increase compared to the same period last year.
• Premium per customer stood at $352, a 26% increase YoY.
• Gross loss ratio was 87% compared to 90% in Q1 2022. Net loss ratio stood at 93%.
• Net loss in Q1 was $65.8 million, compared to $74.8 million in the first quarter of 2022.
• Sales and marketing expense stood at $28.2 million, compared to $38.3 million in Q1 2022.

The company’s cash, cash equivalents, and investments totaled approximately $993 million at March 31, 2023, reflecting primarily the $46 million of net cash used in operations since December 31, 2022. Approximately $148 million is held as regulatory surplus.

As of 10:45 AM ET, Lemonade’s stock was up 30%.