CCC Intelligent Solutions Holdings Inc., a leading SaaS platform for the P&C insurance economy, on Nov. 4 announced its financial results for the three months ended Sept. 30 and raised revenue and adjusted EBITDA guidance for fiscal year 2022.
“CCC delivered strong third quarter results, highlighted by 13% revenue growth and 39% adjusted EBITDA margin. Our solid performance is a byproduct of CCC’s unique platform that combines an efficient technology framework, close customer relationships and a multi-sided network benefitting all parties,” said Githesh Ramamurthy, chairman and CEO of CCC.
“Our efficient financial model enables continuous investment in innovation and we have a long history of developing solutions to solve problems for our customers. As a result, we are well-positioned to provide our customers with digital solutions that help address the macro environment and support our clients in their digital transformation,” continued Ramamurthy.
Third Quarter 2022 Financial Highlights
Revenue
Total revenue was $198.7 million for the third quarter of 2022, an increase of 13% from $176.6 million for the third quarter of 2021.
Profitability
GAAP gross profit was $145.6 million, representing a gross profit margin of 73%, for the third quarter of 2022, compared with $118.8 million, representing a gross profit margin of 67%, for the third quarter of 2021. Adjusted gross profit was $154.1 million, representing an adjusted gross profit margin of 78%, for the third quarter of 2022, compared with $138.4 million, representing an adjusted gross profit margin of 78%, for the third quarter of 2021.
GAAP operating income was $17.1 million for the third quarter of 2022, compared with GAAP operating loss of $189.2 million for the third quarter of 2021. Adjusted operating income was $71.1 million for the third quarter of 2022, compared with adjusted operating income of $62.5 million for the third quarter of 2021.
GAAP net income was $9.8 million for the third quarter of 2022, compared with GAAP net loss of $189.8 million for the third quarter of 2021. Adjusted net income was $46.6 million for the third quarter of 2022, compared with $29.7 million for the third quarter of 2021.
Adjusted EBITDA was $78.1 million for the third quarter of 2022, compared with adjusted EBITDA of $70.1 million for the third quarter of 2021. Adjusted EBITDA grew 11% in the third quarter of 2022 as compared to the third quarter of 2021.
3rd Quarter and Recent Business Highlights
Increased to 14 the total number of insurance carriers using CCC® Estimate-STP
CCC® Estimate-STP is the first touchless line-level estimating experience in the industry that uses advanced AI and insurer-driven rules to automatically initiate and populate detailed and actionable estimates in seconds. These 14 carriers include seven of the top-10 auto insurers in the U.S. by direct written premium and represent over 50% of U.S. auto insurance claim volume.
Over the past few years, CCC has built a robust network of leading providers of diagnostic services, including asTech, AirPro, Opus and Honda. Recently, CCC launched a new optional add-on package to CCC® Diagnostics that simplifies the administration of diagnostics, creating more consistency in reporting, improving verification of scans, and increasing transparency between repairers and insurers.
CCC Diagnostics enables repairers to send the results and invoices of completed scans for a particular claim to the relevant insurer directly through CCC ONE®, the leading collision repair platform used by 27,500 repair facilities nationwide.
Renewed a top-20 national insurer
This insurer extended its contract with CCC through 2029 (a seven-year extension) and also expanded its relationship to include multiple new solutions. This commitment underscores CCC’s continued role as its customers’ long-term partner of choice for innovation and business transformation.
Welcomed Mike Silva as the company’s new chief commercial and customer success officer
Silva has run multi-billion-dollar U.S. and international operations at multiple companies, including Microsoft, IBM, UnitedHealth and, most recently, Salesforce. Silva has deep experience with enterprise-level sales in SaaS, Cloud and AI across insurance, financial services and other industries. Silva began his career as a claims manager at Chubb insurance.
Source: CCC Intelligent Solutions
Abby Andrews