MediaAlpha's Property & Casualty Mix Reaches 97% of Sales

The Tip Desk · November 10, 2026 · 3 min read

Third-quarter revenue hit a record $375.9 million, up 22.7% year over year, as Property & Casualty reached $365.9 million.

MediaAlpha, Inc. (MAX), the programmatic insurance customer-acquisition platform, reported record third-quarter revenue of $375.9 million, up 22.7% from a year earlier, after $316.9 million in the second quarter and $310.0 million in the first.

Property & casualty was the entire story of the quarter. That vertical generated $365.9 million, or 97.3% of revenue, compared with $309 million in the second quarter and $293 million in the first. Health fell to $2.9 million, or 0.8% of the total. Life and other contributed $7.1 million.

Under-65 Health revenue was $0.8 million, down 92% from a year earlier. Revenue excluding that line was $375.2 million, up 26% year over year.

Chief Executive Steve Yi said carriers were competing aggressively for new policies and committing budgets in home and auto insurance, and that the shift toward digital customer acquisition, combined with scale, would allow the company to drive double-digit growth in 2027 and beyond.

Gross profit was $55.3 million, up 27.5% year over year, with gross margin of 14.7%, compared with 14.2% in the third quarter of 2025. Contribution was $57.4 million, up 25.8% year over year, and Contribution Margin was 15.3%, versus 14.9% a year earlier. Contribution excluding under-65 Health was $57.1 million, up 29% year over year.

Adjusted EBITDA reached a record $39.5 million, up 35.8% year over year, after $29.3 million in the second quarter and $31.4 million in the first. Adjusted EBITDA margin recovered to 11% from 9% in both of the prior two quarters. Adjusted EBITDA as a percentage of Contribution rose to 69% from 62% in the second quarter.

Net income was $29.4 million, up 66.4% year over year. Net income attributable to MediaAlpha was $25.8 million, or $0.46 a share on a diluted basis. The quarter included a $10.7 million gain on the repurchase of interests in the tax receivables agreement.

The company repurchased about 0.8 million shares for $9 million in the quarter, bringing cumulative repurchases under its $100 million program to $64 million, or 6.2 million shares. Chief Financial Officer Tigran Sinanyan said the company also repurchased a portion of its TRA liability, which had a book value of $23 million, for $12 million. As of October 26, it had completed $82 million of the authorization and $115 million since last September.

Fourth-quarter 2026 guidance is revenue of $355 million to $375 million, a 25% year-over-year increase at the midpoint, Contribution of $54.0 million to $57.0 million, and Adjusted EBITDA of $36.0 million to $39.0 million. Excluding under-65 Health, Contribution is expected up 21% and Adjusted EBITDA up 26% at the midpoints. Health is expected to account for approximately 4% of fourth-quarter revenue, versus about 1% in the third quarter, reflecting seasonal enrollment periods. Full-year free cash flow remains expected at $90 million to $100 million.

The company said fourth-quarter guidance reflects continued strength in Property & Casualty, driven by carrier growth investment and continued share gains.