Lemonade, Inc. · NYSE:LMND
Lemonade — Investor Presentation (June 2025)
20 slides from Lemonade's investor presentation, Jun 30, 2025
Slide 1: Investor Presentation
Investor Presentation Updated as of June 30, 2025
Slide 2: Forward-Looking Statements
Forward-Looking Statements This presentation contains statements, estimates or projections that constitute “forward-looking statements” as defined under U.S. federal securities laws. Statements contained in this presentation that do not relate to matters of historical fact should be considered forwa
Slide 3: The world spends more money on insurance than on advertising, aerospace, agriculture...
The world spends more money on insurance than on advertising, aerospace, agriculture, artificial intelligence, automotive, cloud- computing, cybersecurity, defense, education, electronics, entertainment, fashion & apparel, food & beverages, oil & gas, renewable energy, pharma, semiconductors, shippi
Slide 4: Insurance is a prize worth fighting for
The world spends more money on insurance than on advertising, aerospace, agriculture, artificial intelligence, automotive, cloud- computing, cybersecurity, defense, In short, insurance is a prize education, electronics, entertainment, worth fighting for fashion & apparel, food & beverages, oil & gas
Slide 5: Insurance companies are in the business of pricing risk and serving customers
Insurance companies are in the business of pricing risk and serving customers. Nothing does that more accurately and efficiently than AI.
Slide 6: Legacy insurance companies are byproducts of the Industrial Revolution
Legacy insurance companies are byproducts of the Industrial Revolution. They struggle to deliver the quality, speed, and ease of use that customers expect in 2025.
Slide 7: Lemonade is the only full-stack, multi-line insurance company built on AI
Lemonade is the only full-stack, multi-line insurance company built on AI, enabling us to price risk, collapse costs, and delight customers like never before.
Slide 8: AI enables price leadership, growth leadership and profit at scale
By driving accurate pricing and collapsing costs, AI enables price leadership, which in turn powers industry-leading growth and massive profit at scale PRICE RISK AI PRICE GROWTH PROFIT LEADER LEADER LEADER LEADER COLLAPSE COSTS
Slide 9: Excellent underwriting performance: rapid data feedback loops enhance our AI models
price risk Excellent underwriting performance: rapid data feedback loops enhance our AI models IFP vs Trailing Twelve Months Gross Loss Ratio $1,083 91% 88% 85% Gross Loss Ratio $687 83% improvement alongside significant IFP growth 79% yields ~100% Gross Profit 77% growth for two years 73% 73% runni
Slide 10: AI powers dramatic operating leverage
C o l l a p s e c o s t A I powers dramatic operating leverage nd extr ord n r e a a i a y fficien cy... IFP vs OpEx ex Growth Spend Opex ($M) IFP ($M) >50% claims automation yields 7% LAE Ratio*; many at-scale $300 $1,083 $1,100 incumbents in double digits Added ~800,000 customers in $200 $900 past
Slide 11: Collapse cost... to the delight of our customers
Collapse cost ... to the delight of our customers >50% of claims Purchase a policy paid instantly in <90 seconds RATED 4.9/5 IN Customer Satisfaction THE APP STORE Top insurance products as rated by JD Powers, US News, Forbes, and our own customers Source: JD Power | Forbes | US News
Slide 12: We win high-LTV customers >10 years before incumbents
G R O W T H We win high-LTV customers >10 years before incumbents… s ite po ge m rs a co e er ss pe us to m cro ce c a n e u ra ag s e in rag al e e c A v t-s a 45 of Life r 35 35 nde u 0% 7 Car Pet Renters Condo Homeowners Source: Nielsen Family Survey
Slide 13: As our cohorts mature, we expect to expand wallet share
GROWTH ... As our cohorts mature and spend more on insurance, we expect to dramatically expand wallet share >$15K $10K $5K $138 $400 LMND LMND US Top High Net 2018 2025 Average LMND Worth Source: Bankrate customer
Slide 14: Lemonade has become the preferred brand among the next generation of insurance buyers
GROWTH Lemonade has become the preferred brand among the next generation of insurance buyers Lemonade Market Share in U.S. 8% 1 6% preferred brand for 22-40 year olds 4% 2 2 2% most searched most searched in renters in pet 0% 2016 2018 2020 2022 2024 Lemonade renters Lemonade pet Source: Lemonade ma
Slide 15: 7 consecutive quarters of IFP growth acceleration
GROWTH Price leadership and the best experience have powered 7 consecutive quarters of IFP growth acceleration YoY IFP growth rate ~2.7M 26% 27% 29% Customers 24% 22% 22% >$1B 18% 20% IFP in 8.5 years, 150% CAGR Q3 23 Q4 23 Q1 24 Q2 24 Q3 24 Q4 24 Q1 25 Q2 25
Slide 16: Growth acceleration alongside operating leverage leads to profitability and beyond
Profit Growth acceleration alongside significant operating leverage leads to profitability and beyond Adj. FCF as leading indicator of profitability; Adj. EBITDA and Net Income to follow 7 consecutive ~100% multi quarters IFP growth year Gross acceleration Profit growth $0 Significant Stable Operati
Slide 17: What's next: we'll grow IFP from $1b to $10b
What’s next: we’ll grow IFP from $1b to $10b by doing exactly what we’ve been doing 7 consecutive Qs acceleration Underwriting excellence 30%+ IFP growth Sustainable industry-leading Gross Profit growth ess usin e b th ow Gr Adj. Free Cash Flow positive Scale the operation Adj. EBITDA positive Net I
Slide 18: Car and bundling to become powerful growth engines
We expect car and bundling to become powerful growth engines in our next phase
Slide 19: Insurance is a prize worth fighting for
Insurance is a prize worth fighting for. Insurers are in the business of pricing risk and serving customers. Nothing does that more accurately and effectively than AI. No one is wielding AI in insurance like Lemonade.
Slide 20: Thank you.
Thank you. Lemonade