ISPO Earnings Prediction
The chart below shows how ISPO performed 10 days before and after its earnings report, based on data from the past quarters. Typically, ISPO sees a +13.07% change in stock price 10 days leading up to the earnings, and a -6.44% change 10 days following the report. On the earnings day itself, the stock moves by +1.50%. This data can give you a slight idea of what to expect for the next quarter's release.
ISPO Key Earning Data
2024/Q4
Year Over Year
Quarter Over Quarter
Total Revenue
69.11M
-16.32%
2.57%
Gross Margin
26.74%
-7.57%
18.79%
Operating Margin
-19.82%
-14.61%
-8.83%
Net Margin
9.58%
131.12%
-141.94%
EPS
0.62
100.64%
-126.61%
No Data Available
ISPO Earnings Analysis
Inspirato Incorporated Class A Common Stock Corporation (ISPO.O) Earnings Conference Call
Positive
Cost Savings Achievement: 1. Significant Cost Savings: Inspirato has identified and executed on over $40 million in annualized cost savings, surpassing the initial target of $25 million, primarily through reductions in leases, payroll, and operational expenses.
Gross Margin Improvement: 2. Improved Gross Margin: The gross margin for Q3 2024 was $49 million, significantly higher than the $21 million reported in Q3 2023, aided by a $30 million gain from lease terminations.
Expense Reduction Efficiency: 3. Cash Operating Expense Reduction: Cash operating expenses decreased by 31% year-over-year, from $39 million in Q3 2023 to $27 million in Q3 2024, reflecting improved operational efficiency.
EBITDA Improvement Trend: 4. Positive EBITDA Trend: Inspirato has improved its adjusted EBITDA loss to approximately $3 million in Q3 2024, compared to a loss of $9 million in the same quarter last year, marking the fourth consecutive quarter of year-over-year EBITDA improvement.
Member Satisfaction Excellence: 5. Strong Member Experience Metrics: The company maintained an industry-leading Net Promoter Score (NPS) of approximately 70, indicating high satisfaction among members utilizing their luxury homes and experiences.
Negative
Revenue Decline Analysis: 1. Declining Year-over-Year Revenue: Total revenue for Q3 2024 was $69 million, reflecting a 16% decrease compared to the same quarter last year, primarily due to reduced subscription revenue.
Adjusted EBITDA Loss Improvement: 2. Increased Adjusted EBITDA Loss: The company reported an adjusted EBITDA loss of approximately $3 million for Q3 2024, although this was an improvement from a loss of $9 million in Q3 2023, indicating ongoing financial challenges.
Cash Position Decline: 3. Decreased Cash Position: The company ended Q3 2024 with approximately $24 million in cash, down $5 million from the previous quarter, highlighting a concerning cash burn trend.
Travel Revenue Decline: 4. Lower Travel Revenue: Year-over-year travel revenue decreased by 13%, driven by an 11% decrease in the number of total nights delivered, indicating a decline in customer engagement.
Declining Operating Cash Flow: 5. Negative Operating Cash Flow: Excluding financing activities, the company's true operating cash flow through three quarters in 2024 was $20 million lower than in 2023, reflecting ongoing operational inefficiencies.
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ISPO Earning Call Sentiment
Inspirato Incorporated (ISPO) Q3 2024 Earnings Call Transcript
1.0x
00:00
00:00
ISPO.O
-1.21%Positive
The earnings call shows mixed signals: strong cost-cutting measures and improved cash burn are positive, but a 16% revenue decline and liquidity risks are concerning. The removal of 2024 guidance and shift to a new membership model introduce uncertainty. The partnership with Capital One and investment from One Planet Group are positive, but lack of revenue growth in 2025 tempers optimism. The Q&A reveals some analyst concerns about execution and specifics of future plans. Overall, these factors suggest a neutral stock price movement over the next two weeks.
