QNST

QuinStreet’s second quarter results were met with a positive market response, reflecting strong execution across its core businesses. Management attributed the quarter’s outperformance to robust demand in both the Financial Services and Home Services segments, supported by ongoing expansion in client relationships and a successful integration of recent acquisitions. CEO Douglas Valenti pointed to “exceptionally strong carrier demand and economics in auto insurance” and highlighted the HomeBuddy acquisition as a key factor in Home Services’ accelerated growth. The company also cited advances in AI-driven operational efficiency and product innovation as contributors to margin expansion. Is now the time to buy QNST? Find out in our full research report (it’s free). Revenue: $373.9 million vs analyst estimates of $359.3 million (42.7% year-on-year growth, 4% beat) Adjusted EPS: $0.50 vs analyst estimates of $0.44 (13.2% beat) Adjusted EBITDA: $41.36 million vs analyst estimates of $40.13 million (11.1% margin, 3.1% beat) Revenue Guidance for Q3 CY2026 is $375 million at the midpoint, above analyst estimates of $358.8 million EBITDA guidance for Q3 CY2026 is $39 million at the midpoint, above analyst estimates of $32.56 million Operating Margin: 5.1%, up from 1.5% in the same quarter last year Market Capitalization: $1.19 billion While we enjoy listening to the management’s commentary, our favorite part of earnings calls is the analyst questions. Those are unscripted and can often highlight topics that management teams would rather avoid or topics where the answer is complicated. Here is what has caught our attention. Jason Kreyer (Craig-Hallum): Asked for more detail on Home Services’ growth drivers. CEO Douglas Valenti highlighted successful integration of HomeBuddy, expansion into new verticals, and growth across multiple media channels, stating, “It's really not a cylinder in that business we're not firing on.” Ethan Widell (B. Riley Securities): Questioned the relative growth and margin profiles of Home Services versus Financial Services. CFO Gregory Wong explained that while Home Services offers higher media margins, both segments contribute attractive margins and are expected to maintain or improve margin profiles as they scale. Lucas John Horton (Northland Securities): Sought clarity on the sustainability of auto insurance demand. CEO Valenti pointed to strong carrier health and ongoing consumer need to shop for savings, suggesting continued durability in demand with no major disruptive risks on the horizon. Elle Niebuhr (Lake Street Capital Markets): Inquired about the impact of AI initiatives on current performance and future benefits. Valenti explained that AI is already driving notable productivity gains in coding, consumer qualification, and analytics, and is expected to be a significant growth lever as new AI-powered media channels develop. Patrick Sholl (Barrington Research): Asked about the split of performance marketing share within carrier digital budgets. Valenti estimated that most carriers are still under-indexed in performance digital spend, with significant headroom remaining as digital and performance channels are further prioritized. In the quarters ahead, the StockStory team will be closely monitoring (1) the pace of digital budget migration to QuinStreet’s performance marketplaces, (2) the integration progress and incremental contributions from recent acquisitions like HomeBuddy, and (3) the impact of AI-driven tools on client outcomes and margin expansion. Additional attention will be paid to the launch and scaling of new proprietary products, as well as any shifts in carrier demand within core verticals. QuinStreet currently trades at $20.78, up from $15.22 just before the earnings. Is there an opportunity in the stock? Find out in our full research report (it’s free for active Edge members). ONE MORE THING: Top 5 Growth Stocks. The biggest stock winners almost always had one thing in common before they ran. Revenue growing like crazy. Meta. CrowdStrike. Broadcom. Our AI flagged all three. They returned 315%, 314%, and 455%, respectively. Find out which 5 stocks it’s flagging this month — FREE. Get Our Top 5 Growth Stocks for Free HERE. Stocks that have made our list include now familiar names such as Nvidia (+1,460% between June 2020 and June 2025) as well as under-the-radar businesses like the once-small-cap company Exlservice (+271% between June 2020 and June 2025). Find your next big winner with StockStory today.

Image source: The Motley Fool. Thursday, Aug. 6, 2026 at 5:00 p.m. ET Vice President of Investor Relations and Financials - Robert Amparo Chief Executive Officer - Douglas Valenti Chief Financial Officer - Gregory Wong Need a quote from a Motley Fool analyst? Email [email protected] Operator: Thank you. Good day, and welcome to QuinStreet's Fiscal Fourth Quarter and Full Year 2026 Financial Results Conference Call. Today's conference is being recorded. Following prepared remarks, there will be Q&A session. At this time, I would like to turn the conference over to Vice President of Investor Relations and Financials, Robert Amparo. Robert Amparo: Thank you, operator, and thank you everyone for joining us as we report QuinStreet's fiscal fourth quarter and full year 2026 financial results. Joining me on the call today are Chief Executive Officer, Doug Valenti, and Chief Financial Officer, Greg Wong. Before we begin, I would like to remind you that the following discussion will contain forward-looking statements. Forward-looking statements involve a number of risks and uncertainties that may cause actual results to differ materially from those projected by such statements and are not guarantees of future performance. Factors that may cause results to differ from our forward-looking statements are discussed in our recent SEC filings, including our most recent 8-K filing made today and our most recent 10-K filing. Forward-looking statements are based on assumptions as of today, and the company undertakes no obligation to update these statements. Today, we will be discussing both GAAP and non-GAAP measures. A reconciliation of GAAP to non-GAAP financial measures is included in today's earnings press release, which is available on our investor relations website at investor.quinstreet.com. With that, I will turn the call over to Doug Valenti. Please go ahead, sir. Douglas Valenti: Thank you, Rob. Welcome, everyone. Fiscal Q4 was another record quarter. We delivered strong performance and progress across the business to close out a record fiscal year for QuinStreet. We grew quarterly revenue 43% year-over-year, with strength in both Financial Services and Home Services. Adjusted EBITDA was up 87% year-over-year in the quarter. Adjusted EBITDA margin was 11.1% in the quarter, a 270-basis-point expansion over the year-ago period. Full fiscal year 2026 revenue grew 18% year-over-year to $1.3 billion. Full fiscal year adjusted EBITDA grew 38% year-over-year to $112.5 million, an 8.7% margin, and a 130-basis-point expansion year-over-year. Over the past two years, we have more than doubled revenue, while expanding margins, growing adjusted EBITDA by over 450%. We have also delivered strong cash flows and maintained a conservative and flexible balance sheet. Going forward, we expect to be able to continue to grow revenue at strong double-digit rates. We are early in the penetration and footprint of our addressable markets, which we estimate to be well over $100 billion per year in total opportunity, to be themselves growing at double-digit rates. Carrier demand and economics in auto insurance are exceptionally strong and our footprint of clients and products is expanding rapidly. In Home Services, our trade growth and new trade expansion programs are going well. Client demand is exceptionally strong, and the addition of HomeBuddy, whose integration has gone very well, has given us much-valued new-scale capacity to meet demand. The Home Services client vertical is now running well over $500 million per year in revenue. We are also making good progress on growth initiatives in our other, earlier stage client verticals and products, all of which are targeting big, attractive market opportunities. Those businesses already generated over $200 million in revenue last fiscal year. Our revenue growth generally will continue to be driven by the relentless shift of marketing budgets to digital, and in digital to our performance marketplaces, whose microeconomics drive unparalleled media efficiency at scale for our clients. Our customer retention rates continue to be extraordinarily high, and the vast majority of our double-digit organic revenue growth comes from existing clients shifting and allocating more budgets to our marketplace solutions. We see the shift to digital and performance marketing as still early and accelerating. And we are driving market growth by expanding and innovating new products and media capacity, and by uniquely and consistently delivering results at scale for clients. Strategically, we expect to continue to be a disciplined and effective acquirer and consolidator, just as we have always been, and as has been most recently demonstrated by our exceptional results with AmOne, Modernize, Aquavita Media, and HomeBuddy. Our key operating competitive advantage continue to be our industry-leading technologies, including our core AI optimization algorithms. We are implementing dozens of new AI applications to accelerate performance and productivity across the business. And we are already seeing significant positive results from those AI applications, and we are broadening and accelerating those projects. As we grow revenue, we expect to continue to expand margins, driven by: 1, growth of owned and operated media; 2, a mix shift to higher margin products and verticals; and 3, top-line leverage from increased revenue scale combined with continuous improvement productivity and cost efficiency. Turning to our outlook. We expect revenue in fiscal Q1, which began on July 1st, to be between $370 million and $380 million, implying 31% growth year-over-year at the midpoint of the range. We expect adjusted EBITDA to be between $38 million and $40 million, implying 90% growth, a 10.4% margin, and a 320-basis-point margin expansion year-over-year at the midpoint of the range. Our initial outlook for full fiscal year 2027 is that we expect revenue of $1.45 billion to $1.55 billion, implying 16% growth year-over-year at the midpoint of the range. We expect adjusted EBITDA to be between $150 million and $160 million, implying 38% growth, a 10.3% margin, and another 160-basis-point margin expansion year-over-year at the midpoint of the range. This is on top of last year's 130-basis-point adjusted EBITDA margin expansion. Obviously, the new fiscal year is young. As the year progresses, we believe that there may be opportunities to grow revenue and expand margins even further, just as we found last fiscal year. If so, we will of course refine our outlook accordingly. With that, I'll turn the call over to Greg. Gregory Wong: Thank you, Doug. Hello, and thanks to everyone for joining us today. Q4 was a strong finish to a record year for QuinStreet, as we delivered yet another quarter of strong double-digit revenue growth and expanded adjusted EBITDA margins. For the June quarter, total revenue grew 43% year-over-year and was $373.9 million. Adjusted net income was $29 million, or $0.50 per share. Adjusted EBITDA grew 87% year-over-year to $41.4 million and came in at an 11.1% margin, a 270-basis-point expansion over the year-ago quarter. Looking at revenue by client vertical, our Financial Services client vertical represented 62% of Q4 revenue and grew 24% year-over-year to $232.3 million, a record revenue quarter for that business. Auto insurance remained strong in the quarter and grew 37% year-over-year. Our Home Services client vertical represented 38% of Q4 revenue and grew 88% year-over-year to $141.6 million, also another record revenue quarter for that business. Full fiscal year 2026 revenue grew 18% year-over-year. EBITDA grew 38% year-over-year to $112.5 million. Turning to the balance sheet, we entered the quarter with $128 million in cash and equivalents and net debt of $22 million. We also repurchased $14.6 million worth of shares in the quarter and $31.4 million worth of shares for the year. We continue to have a measured approach to capital allocation, focused on maximizing long-term shareholder value, and we will continue to prioritize: 1, investing in new products and initiatives for future growth and margin expansion; 2, accretive acquisitions; and 3, share repurchases at attractive levels. Turning to our outlook, as Doug mentioned, we expect revenue in fiscal Q1 to be between $370 million and $380 million, and adjusted EBITDA to be between $38 million and $40 million. And we expect revenue in full fiscal year 2027 to be between $1.45 billion and $1.55 billion, and adjusted EBITDA to be between $150 million and $160 million. This is our initial view on fiscal 2027, and we will of course provide updates to our expectations as the year progresses. In closing, fiscal 2026 was another record year for QuinStreet. Our outlook has never been more promising. Over the past two years, we've more than doubled our revenue and more than quadrupled the adjusted EBITDA. We believe that our market opportunities are still in their early innings and have never been bigger, and we will continue to invest against those opportunities in fiscal 2027 and beyond. With that, I'll turn it over to the operator for Q&A. Operator: Thank you. [Operator Instructions] The first question comes from Jason Kreyer with Craig-Hallum. Please go ahead. Jason Kreyer: Exceptional quarter guys. Good work. Wanted to start out on Home Services. You had a very healthy step-up in revenue there. Wondering if you can just talk about the performance in terms of, you know, progress in existing verticals, new verticals, new media channels, just any additional color there is appreciated. Douglas Valenti: Sure, Jason, kind of all of the above. The HomeBuddy integration and synergy capture programs have gone very well. We have strong demand from existing clients and existing verticals. We made good progress in opening up and beginning to build new verticals. We have had strong growth in new media channels and broadening out our media footprint. I'd say that it's really not a cylinder in that business we're not firing on. And it's, as you know, it's an exceptionally big market opportunity and it requires real sophisticated execution, and I think things are going about as well as we could possibly expect there, and we are super excited about the future in that business. Jason Kreyer: Perfect. Good to hear. Doug, as you wrapped up, you kind of teased out opportunities to grow revenue faster and expand margins further. Just wanted to see if you can, you know, if there's anything you can provide to the site industry, what different levers you can pull for upside or perhaps, you know, kind of some new development areas that you're looking into. Thanks. Douglas Valenti: Sure, Jason. Well, it's the beginning of a fiscal year, so, you know, we have a lot of initiatives that we're early in or in, that add up to a lot of opportunities. Given that it's the beginning of the fiscal year, we usually don't count on all of those working out. But I would say that our internal plans and things that we expect ourselves to accomplish this year would add up to considerably more than we're at this point willing to commit, you know, to the shareholder base, and it's our job to deliver on those. And they're everywhere. They're across the business in terms of opportunities to better scale certain product programs, media programs, client budgets, vertical and trade expansions like we talked about for Home Services. So pretty much across the board, earlier in the year, we're going to be heavier in terms of our risk adjustment to those things because it's just by definition more uncertainty because we're not as far along yet. But I can't think of one of the businesses where we don't believe in our internal planning process. We have more opportunity than we're yet willing to fully commit to given it's just, again, earlier in the year. Jason Kreyer: Is QRP a part of that? Or can you just give any updates on how QRP has progressed? Douglas Valenti: Yes, QRP has done exceptionally well. QRP and 360 Quote are two big product initiatives. Both grew extraordinarily fast last fiscal year, much faster than overall company revenue, which is already pretty fast. Together this year, would expect those two businesses to do over $20 million in revenue. And they're pretty close to the same size, which is interesting. But, yes, those businesses have both scaled nicely, continue to have a lot more opportunity in front of them than behind them. But of course, we're getting good leverage -- good margin leverage from them because they are getting to decent scale and we're past the heavy investment period, more into the market penetration expansion period for those products. But we love both those products in terms of value proposition, market opportunity, competitive advantage, client demand, expected long-term importance to the channel and importance to the business model. We continue to be extraordinarily bullish on those products, and they're making good progress. Operator: The next question comes from Naved Khan with B. Riley Securities. Please go ahead. Ethan Widell: Hi, this is Ethan Widell calling in for Naved. To start -- with this $100 billion a year opportunity, growing at double digits, how would you think of the relative cadence of growth for Home Services versus Financial Services? Gregory Wong: It's kind of hard to say. As you see, they're both growing very rapidly and they both have enormous markets and we have great footprints and a lot of vectors for scale in them. I can't really, I'm not going to bias one way or the other. I think they both can grow at very strong double digits for as far as we can see into the future. So I think they're both great businesses for us, again, great market opportunities, and we're just investing in both of them to continue to grow them as rapidly as we can reasonably and profitably do so. Ethan Widell: Okay, and then maybe can you characterize just, you know, with the HomeBuddy integration working, kind of what the margin profile looks like going forward between those two? Gregory Wong: Between Home Services and Financial Services? Ethan Widell: Right. Gregory Wong: Yes, Home Services is a higher kind of media margin business than Financial Services. So our biggest cost is of course media, and it's the biggest component of costs at the gross margin line, if you will. The Home Services business, though, has more costs below the media line per dollar of revenue than the Financial Services business. So net-net, they're both very attractive contribution margins, which would be the next line, of course, to us. I would say that Home Services overall is probably a little bit better than Financial Services, but not, you know, hugely better. But it's better at the contribution line than Financial Services at this point, but both of them will exceed our targets for making sure that we can maintain and hopefully build on, you know, our current double-digit margin profile. Ethan Widell: All right, makes sense. I appreciate the color. Thank you. Douglas Valenti: You bet. Operator: The next question comes from Luke Horton with Northland Securities. Lucas John Horton: Wanted to kind of shift over to the Financial Services side, kind of specifically in Auto. You said grew 37% year-over-year. I guess, can you kind of decipher between how much of that growth is coming from just carrier budgets and increased spending versus any market share gains? And kind of how do you think about the durability of that demand as we head into 2027 or fiscal '27? Douglas Valenti: Sure. I think the growth in auto insurance right now is primarily being driven by growth in demand from the carriers and continued pretty high shopping levels by consumers because of their need to seek out and find ways to save money as they fight inflation and other parts of their budget. If you look at the others that have reported that are in that industry, we kind of all grew at very similar rates. So I don't think we or they took as much share as we did grow out our existing footprints. And some of those footprints don't have a lot of overlap, so that's going to be the case. There's not a lot of direct competition between several of us. We have one competitor where there's more direct competition, but not nearly as much as there used to be as both of our media footprints have shifted. And, of course, the basis of competition is primarily in media supply because the client demand increases is really in excess of what most of us can deliver anyway. So that's where that is. In terms of the durability of demand, you know, the carriers are in an exceptionally good financial position. Their loss ratios are at a great margin. They are really hungry for demand because of that. Their loss ratios are inclusive of many of them already having lowered rates in a lot of places from where they had peaked kind of coming out of the post-COVID period. And so if you look on balance at the health of the carriers, their margins, their demand, where they are on rates relative to where they were, and fears that they would have to lower rates, which they've already done. I think one of the big carriers has said they've lowered rates in like 68% of their markets or something like that over the past couple of years. I think they're an extraordinary -- that would all add up to great durability and a lot of long-term strength. They had the big disruption coming out of COVID because of kind of hidden inflation and increased frequency. And years before that, they had a big disruption because of the, you know, higher incident rates associated with distracted driving and self-driving and sensing technologies which increase costs to repair. We don't know of anything else big like that in front of us. And it looks like more of a return to what was much more normal prior to those two events. And that was, you know, a pretty soft market right now, which is a good thing in insurance, and the hard markets being much less disruptive than they were during those two generally, generationally big adjustments, again, coming out of COVID. So durability looks good. The long-term looks good. The carriers are all getting more sophisticated now in digital, which is great news for us. There's still a lot more budget not in digital that should be in digital. There's a lot of budget in digital that should be in performance. And again, we're seeing the general trend lines continue to be from offline to digital, once in digital, going to performance, because that's where you can get the scale and the efficiency for those dollars spent. Lucas John Horton: Got it. That's very helpful. And then how much work is left on the HomeBuddy integration? Are there any sort of synergies you've unlocked or any learnings from the integration process here? And I guess, do you feel like you're in a good spot there where the appetite for additional M&A is strong and what sort of criteria would you be looking for? Douglas Valenti: Yes, the HomeBuddy acquisition -- in terms of more synergies, we'll always find more, and we're excited to be continuing to identify places we can capture more. We're not fully through the program to capture the ones that we had identified when we made the acquisition in the first place. So we will find more, but we have also had great progress capturing synergies on the client side, synergies on the media side, synergies on the product side, cost synergies in terms of overlapping resources. And we've captured a lot of it, and there's still considerably more to be captured in all of those areas. In terms of more M&A, we have capacity and appetite for more. We have a pretty active pipeline right now of attractive opportunities. I would say that probably before the end of the calendar year, we're likely to close at least one more, maybe two. I don't think any of those will be anywhere near the size of HomeBuddy, but I think we have some very attractive opportunities that we expect would be highly accretive and give us more capacity for more growth and or more margin expansion. So it's been a part of us for forever and it'll continue to be a big part of us, that being an active, effective acquirer. Lucas John Horton: Got it. Congrats again on a really nice quarter. Operator: The next question comes from Elle Niebuhr with Lake Street Capital Markets. Please go ahead. Elle Niebuhr: Just one for me. So you've highlighted numerous AI initiatives across the platform. So which AI applications are already having the greatest measurable impact on your revenue growth or margins today? And where do you expect the next leg of economic benefit to come from over the next 12 months? Douglas Valenti: Sure, Elle. I would say that the places where we're probably right now having the biggest direct impact are in coding, as many, many people are. And we have a lot of coding, whether it be on the core infrastructure on our platform or creative generation for our ad campaigns where we've had enormous positive productivity impacts or in the design of our other parts of our consumer interface. So those are having a big direct impact and we're capturing synergies there. We're capturing synergies and productivity increases in contact centers where AI is allowing us to pre-qualify consumers without having to have a representative involved, and to better qualify those consumers and to have a more efficient consumer experience. So we have less costs and greater qualification of those consumers and greater productivity and conversion of those consumers. I would say that internally, as far as analytics, folks are able to use AI to do more direct analytics without having to involve analysts, which saves us time, you know, labor costs also allows us to focus those analysts on harder problems, bigger problems or bigger opportunities. And we have, you know, and again, there are dozens of places. And so those would be examples in specific places where we're having big impacts. I think in the long run, we'll have all of those continuing to help us to be more productive, and then we will likely have more traffic from the AI platforms. We are integrated with OpenAI in most of our verticals now, and our two biggest verticals, auto insurance and Home Services, of course, there's a lot of activity there. The platforms themselves, the ad platforms aren't where they need to be yet for us to get big scale out of them, but they will be. And they have a very strong user basis, very big scale user basis. And we can see a path for those platforms, the LLMs, to being very big new channels of high-quality, high-intent, well-qualified media for our marketplaces, and we are super excited about that. So that's one that's more relatively small now, but we're in there working on it as early and as big as anybody is, and we expect those to be exceptionally big in the future if you wanted to pick out the one that's probably biggest in the future. But we have proprietary, a big guy proposition business model with a lot of proprietary relationships, data, integrations, workflows, and there's kind of not a place in our business model that you can't apply smart AI to do it better or more efficiently. And that's where the vast majority of the long-term value creation is going to be from AI. And I think we're a prime example and a perfect business model for doing that, and we're hard at it. Elle Niebuhr: Awesome. Congrats on the quarter. Operator: The next question comes from Patrick Sholl with Barrington Research. Please go ahead. Patrick Sholl: Congrats on the really strong quarter and the really impressive guidance. Just following up on what you said about the health of the carrier budgets and the moving from digital to performance, could you talk about where performance share within their digital budgets stands currently and where you -- how you see that evolving over time? Certainly growing, but like just a little bit more color around that. Douglas Valenti: Yes, for the vast majority of carriers, they still don't spend the majority of their budget in digital, despite the fact that the majority of consumers begin and end their shopping in digital. So start there. So -- and then within digital, we still have carriers who spend, many carriers who spend more not in performance in digital than they do in performance in digital. And what we have seen over time, particularly with the most successful carriers, is that's kind of the opposite of where they go eventually. Eventually they spend most of their budgets in digital and most of that digital budget in performance, or at least they max out what they can spend in performance within the allocation to other parts of digital. And so the answer is the -- in terms of specific numbers in share, it's too complicated because of the various carriers and the various channels and all that for us to have our arms fully around that. But as we talk to each carrier, I can tell you there's not one carrier that doesn't -- that we don't know -- that we serve and we serve all the big carriers that isn't trying to put more into digital and more into performance. And there's not one of those carriers who today isn't under-indexed to both digital and within digital to performance. And if you asked me to give you my best ballpark estimate of how far we are in that overall transition, I would say 20% of the way there, maybe. And that's probably being aggressive as I look ahead and look at the channel evolving and those budgets following that evolution. Patrick Sholl: Okay. And then just on the guidance, could you maybe talk a little bit about the expectations between the two main categories, Financial Services and Home Services, and the different, like, maybe like pro forma for the acquisition of HomeBuddy and how you're expecting the growth of those two segments to contribute to the full year guidance? Douglas Valenti: I think we expect them -- and Greg, correct me if I'm wrong, we expect Home Services to grow faster in the first half, mainly because of the HomeBuddy effect. And I think in the second half, we expect both businesses to grow pretty strong double digits and not too dissimilar from one another. And Greg, make sure that I got that totally right. Gregory Wong: Yes, that's right. That's right. Patrick Sholl: Okay. Operator: At this time, there are no more questions. Thank you, everyone, for taking the time to join QuinStreet's earnings call. Replay information is available on the earnings press release issued this afternoon. This concludes today's call. Thank you. Before you buy stock in QuinStreet, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and QuinStreet wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years. 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As with all our articles, The Motley Fool does not assume any responsibility for your use of this content, and we strongly encourage you to do your own research, including listening to the call yourself and reading the company's SEC filings. Please see our Terms and Conditions for additional details, including our Obligatory Capitalized Disclaimers of Liability. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. QuinStreet (QNST) Q4 2026 Earnings Call Transcript was originally published by The Motley Fool

Find your next quality investment with Simply Wall St's easy and powerful screener, trusted by over 7 million individual investors worldwide. QuinStreet (QNST) has drawn fresh attention after reporting quarterly and full year results alongside new guidance that outlines revenue targets for fiscal 2027, giving investors more detail on its near term outlook. For the fourth quarter ended June 30, 2026, QuinStreet reported sales of US$373.88 million and net income of US$19.11 million. Basic and diluted earnings per share from continuing operations were US$0.33, compared with US$0.06 a year earlier. Across the full 2026 fiscal year, the company reported sales of US$1.29b and net income of US$81.24 million. Basic earnings per share from continuing operations were US$1.42, with diluted earnings per share at US$1.40, versus US$0.08 in the prior year. Alongside the historical results, QuinStreet issued guidance for the first quarter and full fiscal year 2027. Management expects first quarter revenue between US$370 million and US$380 million. For the full year, revenue is expected in a range of US$1.45b to US$1.55b. These figures give investors concrete revenue targets to track over the coming quarters. They also provide a reference point for considering how the current share price, which recently closed at US$20.87, relates to the company’s stated growth ambitions and profitability profile. See our latest analysis for QuinStreet. QuinStreet’s recent results and acquisition plans have coincided with sharp share price momentum, including a 58.00% 90 day share price return and a 114.51% three year total shareholder return. This points to improving sentiment around both growth potential and risk. If QuinStreet’s move has you thinking about where else the market might be re-rating growth stories, it could be a good moment to scan 20 top founder-led companies The question now is whether QuinStreet’s strong earnings and guidance fully explain that move in the share price, or whether enthusiasm has run ahead of what the current valuation supports. QuinStreet’s most followed narrative pegs fair value at $15, which sits well below the recent share price of $20.87 and frames current optimism as demanding. Read the complete narrative. The fair value hinges on a specific blend of revenue growth, slimmer profit margins and a higher future earnings multiple. The narrative leans on detailed forecasts for earnings and share count. It also applies a 9.0% discount rate that materially shapes the $15 figure. Result: Fair Value of $15 (OVERVALUED) Have a read of the narrative in full and understand what's behind the forecasts. However, if data privacy rules tighten further, or large advertisers successfully scale their own AI driven marketing tools, QuinStreet’s role as an intermediary could come under pressure. Find out about the key risks to this QuinStreet narrative. The crowd narrative around QuinStreet leans on a $15 fair value from analyst forecasts. Yet Simply Wall St’s DCF model points to a future cash flow value of $47.23 per share, which is well above the recent $20.87 price. Which set of assumptions do you trust more? Look into how the SWS DCF model arrives at its fair value. Simply Wall St performs a discounted cash flow (DCF) on every stock in the world every day (check out QuinStreet for example). We show the entire calculation in full. You can track the result in your watchlist or portfolio and be alerted when this changes, or use our stock screener to discover 49 high quality undervalued stocks. If you save a screener we even alert you when new companies match - so you never miss a potential opportunity. With QuinStreet attracting both excitement and caution, it makes sense to move quickly and check the underlying data yourself rather than relying on headlines. A good place to start is by weighing the company’s key upside drivers against the main caution flags, then reviewing the 3 key rewards and 2 important warning signs QuinStreet might have your attention today, but the next opportunity could be sitting in a corner of the market you have not checked yet. Target potential value opportunities before the crowd by scanning companies flagged as 49 high quality undervalued stocks. Prioritize resilience and peace of mind by reviewing stocks highlighted in the 78 resilient stocks with low risk scores. Get ahead of the market by hunting for lesser known quality companies using the screener containing 19 high quality undiscovered gems. This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Companies discussed in this article include QNST. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email [email protected]

Our analysts just identified a stock with the potential to be the next Nvidia. Tell us how you invest and we'll show you why it's our #1 pick. Tap here. Performance was driven by exceptionally strong carrier demand and economics in auto insurance, alongside rapid footprint expansion in client products. Home Services growth was accelerated by the successful integration of HomeBuddy, which provided critical new-scale capacity to meet high client demand. Revenue growth is fundamentally supported by the relentless shift of marketing budgets from offline to digital, and specifically toward performance marketplaces that offer superior media efficiency. Management attributes high customer retention to the effectiveness of their marketplace solutions, with the vast majority of organic growth coming from existing clients increasing their budget allocations. Competitive advantage is being reinforced through the implementation of dozens of AI applications aimed at accelerating performance, productivity, and media optimization. Margin expansion is being driven by a strategic mix shift toward higher-margin products, growth in owned and operated media, and top-line leverage from increased scale. Initial fiscal year 2027 guidance assumes 16% revenue growth and 38% adjusted EBITDA growth, reflecting a cautious starting point with potential for upward refinement. Management anticipates continued double-digit growth across addressable markets estimated at over $100 billion per year, which are themselves expanding at double-digit rates. The company expects to remain an active consolidator, with a pipeline of attractive, highly accretive M&A opportunities likely to close before the end of the calendar year. Future growth initiatives include scaling the QRP and 360 Quote products, which are transitioning from heavy investment phases to market penetration and margin leverage phases. Strategic focus remains on maximizing long-term shareholder value through a balanced capital allocation strategy involving product investment, acquisitions, and share repurchases. The Home Services vertical has reached a significant scale milestone, now running at over $500 million in annual revenue. Early-stage client verticals and products already contribute over $200 million in revenue, representing a diversified foundation for future growth. Management noted that while the auto insurance market is currently 'soft' (favorable), they remain vigilant regarding potential disruptions similar to post-COVID inflation or frequency spikes. AI-driven productivity gains are already measurable in coding, creative generation, and contact center pre-qualification processes. One stock. Nvidia-level potential. 30M+ investors trust Moby to find it first. Get the pick. Tap here. Growth is broad-based across existing verticals, new media channels, and the capture of synergies from the HomeBuddy acquisition. Management indicated they are 'firing on all cylinders' in Home Services, with significant room for further trade expansion. Demand is driven by carriers seeking growth due to healthy loss ratios and consumers shopping more frequently to combat inflation. Management believes the industry is only about 20% of the way through the total transition of budgets to digital performance marketing. Beyond internal productivity, management expects Large Language Models (LLMs) to become significant new channels for high-intent, well-qualified media. QuinStreet is already integrated with OpenAI across most verticals to position itself for this shift in consumer search behavior. Home Services typically carries higher media margins but also higher operational costs below the media line compared to Financial Services. Both segments currently exceed internal targets for maintaining a double-digit margin profile.

Interested in QuinStreet, Inc.? Here are five stocks we like better. Record fiscal 2026 performance: Fourth-quarter revenue rose 43% year over year to $373.9 million, while adjusted EBITDA increased 87% to $41.4 million. Full-year revenue reached $1.3 billion and adjusted EBITDA grew 38% to $112.5 million. Growth was led by home and financial services: Home services revenue surged 88% to $141.6 million, while financial services increased 24% to $232.3 million, supported by strong auto-insurance demand and ongoing shifts toward digital performance marketing. Management expects continued expansion in fiscal 2027: QuinStreet forecast revenue of $1.45 billion-$1.55 billion and adjusted EBITDA of $150 million-$160 million, implying a 10.3% midpoint margin. The company also highlighted growing product initiatives, AI adoption, share repurchases, and potential additional acquisitions. Quinstreet Stock is a Turnaround Play QuinStreet (NASDAQ:QNST) reported record fiscal fourth-quarter and full-year 2026 results, driven by double-digit growth in its financial services and home services client verticals, while also expanding adjusted EBITDA margins. For the quarter ended June 30, revenue increased 43% year over year to $373.9 million. Adjusted EBITDA rose 87% to $41.4 million, producing an 11.1% margin, up 270 basis points from the prior-year quarter. Adjusted net income was $29 million, or $0.50 per share. → Meta’s Earnings Drop Shows Wall Street Wants More Than Ad Growth For the full fiscal year, QuinStreet generated $1.3 billion in revenue, an 18% increase from fiscal 2025. Adjusted EBITDA increased 38% to $112.5 million, with an adjusted EBITDA margin of 8.7%, representing a 130-basis-point expansion. “Fiscal Q4 was another record quarter,” Chief Executive Officer Doug Valenti said. “We delivered strong performance and progress across the business to close out a record fiscal year for QuinStreet.” → 4 Oil and Gas ETF Plays as Prices Stay Sky-High Financial services represented 62% of fourth-quarter revenue, rising 24% year over year to a record $232.3 million. Auto insurance revenue increased 37% from a year earlier, according to Chief Financial Officer Greg Wong. Valenti said auto-insurance growth was primarily supported by stronger demand from insurance carriers and elevated consumer shopping activity as consumers seek savings amid inflation pressures. He said carriers are in a strong financial position, with favorable loss ratios and demand for customer acquisition. → Sandisk Just Delivered a Blowout Quarter—Here's Why the Stock Is Falling He also pointed to continued long-term shifts in carrier spending toward digital channels and performance marketing. While QuinStreet did not provide a precise estimate of performance marketing’s share of carrier digital budgets, Valenti said the company believes many carriers remain underexposed to both digital marketing and performance-based channels. “There’s not one carrier that we serve, and we serve all the big carriers, that isn’t trying to put more into digital and more into performance,” Valenti said. He estimated the broader transition may be only about 20% complete, while noting that estimate was a rough approximation. Home services accounted for 38% of quarterly revenue and grew 88% year over year to a record $141.6 million. The company said its home services vertical is now operating at an annual revenue run rate of more than $500 million. Valenti attributed the home services growth to several factors, including demand from existing clients, progress in opening new verticals, broader media distribution, and the integration of HomeBuddy. He said HomeBuddy’s integration and synergy programs have progressed well, with benefits identified across clients, media, products, and overlapping resources. Home services carries a higher media margin than financial services, Valenti said, though it also has more costs below the media line per dollar of revenue. Overall, he said home services has a somewhat better contribution margin than financial services, though both businesses are expected to support the company’s double-digit margin objectives. QuinStreet projected fiscal first-quarter revenue of $370 million to $380 million, which would represent 31% year-over-year growth at the midpoint. The company expects adjusted EBITDA of $38 million to $40 million for the period, implying 90% growth and a 10.4% margin at the midpoint. For fiscal 2027, QuinStreet forecast: Revenue of $1.45 billion to $1.55 billion, representing 16% growth at the midpoint. Adjusted EBITDA of $150 million to $160 million, representing 38% growth at the midpoint. An adjusted EBITDA margin of 10.3% at the midpoint, a further 160-basis-point expansion from fiscal 2026. Valenti said the company’s internal plans identify more opportunity than is reflected in its initial fiscal-year outlook, but management is applying greater risk adjustments early in the year because initiatives are less developed. He said potential growth drivers span product programs, media capacity, client budgets, vertical expansions, and home services trade expansion. The company expects home services to grow faster during the first half of fiscal 2027, largely due to the HomeBuddy acquisition effect. In the second half, management expects both home services and financial services to grow at strong double-digit rates at more comparable levels. Valenti highlighted QRP and 360 Finance as two rapidly growing product initiatives. He said both products grew faster than QuinStreet’s overall revenue in fiscal 2026 and are expected to generate more than $20 million in combined revenue during fiscal 2027. He added that the products are nearing similar scale and have moved beyond their heaviest investment periods toward market-penetration expansion. The company is also deploying artificial intelligence applications across its operations. Valenti said AI is already improving productivity in software coding, advertising creative generation, consumer-interface design, contact-center qualification processes, and internal analytics. In contact centers, he said AI tools are helping prequalify consumers, reduce the need for representative involvement, improve consumer qualification, and support conversion. QuinStreet is also integrated with OpenAI in most of its verticals, including auto insurance and home services. Valenti said large language model platforms are currently a relatively small media channel for the company but could become a significant source of high-intent consumer traffic over time. On capital allocation, Wong said QuinStreet ended the quarter with $128 million in cash and equivalents and net debt of $22 million. The company repurchased $14.6 million of shares during the fourth quarter and $31.4 million during the full fiscal year. QuinStreet said its capital priorities remain investments in new products and initiatives, accretive acquisitions, and share repurchases at attractive levels. Valenti said the company has an active acquisition pipeline and expects it could close at least one additional transaction, and possibly two, before the end of the calendar year. He said any such deals are not expected to approach the scale of the HomeBuddy acquisition. QuinStreet, Inc operates a technology-based performance marketing platform that connects companies with prospective customers across multiple verticals. The company specializes in data-driven lead generation for financial services, education, insurance, healthcare, and home services firms. By leveraging proprietary targeting algorithms and real-time analytics, QuinStreet manages customized digital marketing campaigns to optimize customer acquisition and retention for its clients. Through a portfolio of consumer-facing websites and comparison platforms, QuinStreet delivers targeted visitors who are actively researching products and services. This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected]. The article "QuinStreet Q4 Earnings Call Highlights" was originally published by MarketBeat. View MarketBeat's top stocks for August 2026.

This article first appeared on GuruFocus. Revenue: Fiscal Q4 revenue grew 43% year-over-year to $373.9 million. Adjusted EBITDA: Fiscal Q4 adjusted EBITDA grew 87% year-over-year to $41.4 million, with a margin of 11.1%. Adjusted Net Income: Fiscal Q4 adjusted net income was $29 million, or $0.50 per share. Financial Services Revenue: Fiscal Q4 financial services client vertical revenue grew 24% year-over-year to $232.3 million, representing 62% of total revenue. Home Services Revenue: Fiscal Q4 home services client vertical revenue grew 88% year-over-year to $141.6 million, representing 38% of total revenue. Full-Year Revenue: Full fiscal year 2026 revenue grew 18% year-over-year to $1.3 billion. Full-Year Adjusted EBITDA: Full fiscal year 2026 adjusted EBITDA grew 38% year-over-year to $112.5 million, an 8.7% margin. Cash and Net Debt: Ended the quarter with $128 million in cash and equivalents and net debt of $22 million. Share Repurchases: Repurchased $14.6 million worth of shares in the quarter and $31.4 million for the year. Fiscal Q1 2027 Outlook: Expects revenue between $370 million and $380 million and adjusted EBITDA between $38 million and $40 million. Full Fiscal Year 2027 Outlook: Expects revenue between $1.45 billion and $1.55 billion and adjusted EBITDA between $150 million and $160 million. Warning! GuruFocus has detected 4 Warning Sign with QNST. Is QNST fairly valued? Test your thesis with our free DCF calculator. Release Date: August 06, 2026 For the complete transcript of the earnings call, please refer to the full earnings call transcript. QuinStreet Inc (NASDAQ:QNST) delivered record fiscal Q4 2026 results with revenue growing 43% year-over-year and adjusted EBITDA up 87%, closing out a record fiscal year with 18% revenue growth to $1.3 billion. The company's home services vertical is a major growth driver, with revenue up 88% year-over-year to $141.6 million, now running at over $0.5 billion annually, boosted by the successful integration of Homebody. QuinStreet Inc (NASDAQ:QNST) is seeing exceptionally strong carrier demand and economics in auto insurance, with that segment growing 37% year-over-year, driven by healthy carrier margins and a shift to digital performance marketing. The company is successfully leveraging AI across its operations, including coding, creative generation, and contact center pre-qualification, leading to significant productivity gains and cost efficiencies. QuinStreet Inc (NASDAQ:QNST) provided a strong initial outlook for fiscal 2027, guiding for revenue of $1.45 billion to $1.55 billion (16% growth) and adjusted EBITDA of $150 million to $160 million (38% growth), with potential for further upside. The company maintains a strong balance sheet with $128 million in cash and a conservative net debt position, while also actively repurchasing shares and maintaining a pipeline for accretive M&A opportunities. QuinStreet Inc (NASDAQ:QNST)'s growth is heavily dependent on the continued shift of carrier budgets to digital and performance marketing, which the company estimates is only about 20% complete, indicating a long but uncertain adoption curve. The company's financial services vertical, while growing, is growing at a slower pace (24%) compared to home services (88%), creating a potential imbalance in the revenue mix. QuinStreet Inc (NASDAQ:QNST) faces intense competition for media supply, particularly in auto insurance, where client demand often exceeds what the company can deliver, limiting potential growth. The company's guidance for fiscal 2027 implies a slight deceleration in revenue growth (16% at midpoint) compared to the 18% achieved in fiscal 2026, suggesting potential headwinds or a more conservative outlook. While the Homebody integration is going well, the company acknowledges there is still considerable work left to capture all identified synergies, and future M&A targets are expected to be smaller and less impactful than Homebody. QuinStreet Inc (NASDAQ:QNST) is still in the early stages of developing AI-driven traffic from LLM platforms like OpenAI, which are not yet scaled enough to contribute meaningfully to revenue, representing a future risk if these channels fail to materialize as expected. Q: Can you provide more color on the performance of the home services segment, including progress in existing verticals, new verticals, and new media channels? A: Doug Valenti (CEO) stated that growth in home services was driven by "all of the above." The Homebody integration and synergy capture programs have gone very well, there is strong demand from existing clients and verticals, good progress in opening new verticals, and strong growth in new media channels. He emphasized that "it's really not a cylinder in that business we're not firing on" and expressed excitement about the future. Q: How much of the 37% year-over-year growth in auto insurance is from carrier budget increases versus market share gains, and how durable is that demand? A: Doug Valenti (CEO) explained that growth is primarily driven by increased carrier demand and high consumer shopping levels as people seek savings amid inflation. He noted that competitors reported similar growth rates, suggesting it's not primarily share gains. Regarding durability, he highlighted that carriers are in an exceptionally good financial position with great margins, and they have already lowered rates in many markets, which supports long-term strength. He sees a return to a "much more normal" soft market, which is positive for the industry. Q: What is the current share of performance marketing within carriers' digital budgets, and how do you see that evolving? A: Doug Valenti (CEO) stated that most carriers still don't spend the majority of their budget in digital, despite most consumers shopping digitally. Within digital, many carriers spend more on non-performance than performance. He estimated the company is only "20% of the way there" in the overall transition of budgets to digital and performance marketing, indicating significant long-term growth potential as carriers continue to shift budgets. Q: Can you provide an update on the QRP and 360 Finance product initiatives? A: Doug Valenti (CEO) reported that both QRP and 360 Finance grew "extraordinarily fast" last fiscal year, much faster than overall company revenue. Together, they are expected to generate over $20 million in revenue this year. He noted they are past the heavy investment period and moving into market penetration expansion, with strong value propositions and competitive advantages. Q: How much work is left on the Homebody integration, and what is the appetite for additional M&A? A: Doug Valenti (CEO) said there is still considerably more synergy to capture on the client, media, product, and cost sides. Regarding M&A, he stated the company has capacity and appetite for more, with an active pipeline of attractive opportunities. He expects to close at least one or two more acquisitions before the end of the calendar year, though none will be near the size of Homebody. Q: Which AI applications are having the greatest measurable impact on revenue growth or margins today, and where will the next leg of economic benefit come from? A: Doug Valenti (CEO) identified coding, creative generation for ad campaigns, and contact center pre-qualification as areas with the biggest direct impact today. He also mentioned AI-assisted analytics reducing labor costs. Looking forward, he sees AI platforms (LLMs) as potentially "exceptionally big" new channels of high-quality media, though they are relatively small now. He emphasized that AI can be applied across the entire business model for long-term value creation. Q: What are the expectations for growth between financial services and home services for the full year guidance? A: Doug Valenti (CEO) and Greg Wong (CFO) stated that home services is expected to grow faster in the first half, mainly due to the Homebody effect. In the second half, both businesses are expected to grow at "pretty strong double-digits" and not too dissimilar from one another. Q: What is the margin profile comparison between home services and financial services? A: Doug Valenti (CEO) explained that home services has a higher media margin than financial services but has more costs below the media line per dollar of revenue. Net-net, home services is "probably a little bit better" at the contribution margin line, but both exceed the company's targets for maintaining and building on its double-digit margin profile. Q: Can you elaborate on the opportunities to grow revenue faster and expand margins further beyond the initial guidance? A: Doug Valenti (CEO) stated that internal plans and expectations for the year add up to "considerably more" than the company is willing to commit to at the beginning of the fiscal year. Opportunities exist across the business, including scaling product programs, media programs, client budgets, and vertical/trade expansions. He noted that as the year progresses, the company may refine its outlook upward, as it did last fiscal year. Q: How do you view the relative cadence of growth for home services versus financial services given the $100 billion market opportunity? A: Doug Valenti (CEO) said both businesses are growing very rapidly and have enormous market opportunities with great footprints and multiple vectors for scale. He stated he is not biased one way or the other and believes both can grow at "very strong double-digits" for as far as the company can see into the future. For the complete transcript of the earnings call, please refer to the full earnings call transcript.

QuinStreet (QNST) came out with quarterly earnings of $0.5 per share, beating the Zacks Consensus Estimate of $0.44 per share. This compares to earnings of $0.25 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of +13.64%. A quarter ago, it was expected that this online marketing services company would post earnings of $0.32 per share when it actually produced earnings of $0.31, delivering a surprise of -3.13%. Over the last four quarters, the company has surpassed consensus EPS estimates two times. QuinStreet, which belongs to the Zacks Internet - Delivery Services industry, posted revenues of $373.88 million for the quarter ended June 2026, surpassing the Zacks Consensus Estimate by 3.86%. This compares to year-ago revenues of $262.05 million. The company has topped consensus revenue estimates four times over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. QuinStreet shares have added about 7.7% since the beginning of the year versus the S&P 500's gain of 12.8%. While QuinStreet has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for QuinStreet was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $0.35 on $359.26 million in revenues for the coming quarter and $1.49 on $1.46 billion in revenues for the current fiscal year. Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Internet - Delivery Services is currently in the top 44% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1. Another stock from the broader Zacks Computer and Technology sector, Asana, Inc. (ASAN), has yet to report results for the quarter ended July 2026. The results are expected to be released on September 3. This company is expected to post quarterly earnings of $0.09 per share in its upcoming report, which represents a year-over-year change of +50%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days. Asana, Inc.'s revenues are expected to be $214.09 million, up 8.7% from the year-ago quarter. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report QuinStreet, Inc. (QNST) : Free Stock Analysis Report Asana, Inc. (ASAN) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Record quarterly Revenue of $373.9 million, up 43% year-over-year Record quarterly Net Income of $19.1 million, up 496% year-over-year Record quarterly Adj. EBITDA of $41.4 million, up 87% year-over-year Record Full Fiscal Year Revenue of $1.3 billion, up 18% year-over-year Record Full Fiscal Year Net Income of $81.2 million, up 1,626% year-over-year Record Full Fiscal Year Adj. EBITDA of $112.5 million, up 38% year-over-year FOSTER CITY, Calif., August 06, 2026--(BUSINESS WIRE)--QuinStreet, Inc. (Nasdaq: QNST), a leader in performance marketplaces and technologies for the financial services and home services industries, today announced financial results for the fiscal fourth quarter and fiscal year ended June 30, 2026. For the fiscal fourth quarter, the Company reported revenue of $373.9 million, up 43% year-over-year. GAAP net income for the fiscal fourth quarter was $19.1 million, or $0.33 per diluted share. Adjusted net income for the fiscal fourth quarter was $29.0 million, or $0.50 per diluted share. Adjusted EBITDA for the fiscal fourth quarter was $41.4 million, up 87% year-over-year. For full fiscal year 2026, the Company reported revenue of $1.3 billion, up 18% year-over-year. GAAP net income for fiscal year 2026 was $81.2 million, or $1.40 per diluted share. Adjusted net income for fiscal year 2026 was $73.8 million, or $1.27 per diluted share. Adjusted EBITDA for fiscal year 2026 was $112.5 million, up 38% year-over-year. For full fiscal year 2026, the Company generated $130.9 million in operating cash flow and closed the quarter with $128.3 million in cash and cash equivalents. "Fiscal Q4 was another record quarter of strong performance and progress, capping a record year for QuinStreet," commented Doug Valenti, CEO of QuinStreet. "We grew quarterly revenue 43% year-over-year with strength in both Financial Services and Home Services. Adjusted EBITDA was up 87% year-over-year and came in at an 11.1% margin, a 270 basis-point improvement over the year-ago quarter." "For full fiscal year 2026, revenue grew 18% year-over-year to $1.3 billion, and adjusted EBITDA grew 38% year-over-year to $112.5 million, an 8.7% margin and a 130-basis point year-over-year margin expansion. Over the past 2 years, we have more than doubled our revenue and grown adjusted EBITDA by more than 450%." "We expect to continue to grow revenue at strong double-digit rates and to expand margins in fiscal year 2027 and beyond. Our market opportunities are large, and we believe that we are still in their early innings. Our revenue growth continues to be driven by the relentless shift of marketing budgets to digital and performance marketing, and by our proven ability to consistently deliver results at scale for clients. Our key competitive advantage continues to be our industry-leading technologies, including our core AI optimization algorithms. We are also accelerating improvements in performance and productivity from new AI applications across the business." "Turning to our outlook, we expect revenue in fiscal Q1 to be between $370 and $380 million, implying 31% growth year-over-year at the midpoint of the range. We expect adjusted EBITDA to be between $38 and $40 million, implying 90% growth, a 10.4% margin and a 320 basis-point margin expansion year-over-year at the midpoint of the range." "As an initial full fiscal year 2027 outlook, we expect revenue of $1.45 billion to $1.55 billion, implying 16% growth year-over-year at the midpoint of the range. We expect adjusted EBITDA of $150 to $160 million, implying growth of 38%, a 10.3% margin and another 160 basis-point margin expansion year-over-year at the midpoint of the range on top of last year’s 130 basis-point expansion. We believe that there may be opportunities to grow revenue and expand margins even further, and we will refine our outlook as the year progresses," concluded Valenti. Conference Call Today at 2:00 p.m. PT The Company will host a conference call and corresponding live webcast at 2:00 p.m. PT. To access the conference call dial +1 800-717-1738 (domestic) or +1 646-307-1865 (international). A replay of the conference call will be available beginning approximately two hours after the completion of the call by dialing +1 844-512-2921 (domestic) or +1 412-317-6671 (international) and using passcode #1132818. The webcast of the conference call will be available live and via replay on the investor relations section of the Company's website at http://investor.quinstreet.com. About QuinStreet QuinStreet, Inc. (Nasdaq: QNST) is a leader in performance marketplaces and technologies for the financial services and home services industries. QuinStreet is a pioneer in delivering online marketplace solutions to match searchers with brands in digital media, and is committed to providing consumers with the information and tools they need to research, find and select the products and brands that meet their needs. Non-GAAP Financial Measures and Definitions of Client Verticals This release and the accompanying tables include a discussion of adjusted EBITDA, adjusted net income, adjusted diluted net income per share and free cash flow and normalized free cash flow, all of which are non-GAAP financial measures that are provided as a complement to results provided in accordance with accounting principles generally accepted in the United States of America ("GAAP"). The term "adjusted EBITDA" refers to a financial measure that we define as net income (loss) excluding depreciation and amortization expense, stock-based compensation expense, interest and other expense, net, provision for (benefit from) income taxes, restructuring costs, acquisition costs, litigation settlement expense, impairment charges, and contingent consideration adjustment. The term "adjusted net income" refers to a financial measure that we define as net income (loss) adjusted for amortization expense, stock-based compensation expense, acquisition costs, contingent consideration adjustment, litigation settlement expense, restructuring costs, impairment charges, tax valuation allowance, and the related income tax effects of these adjustments. The term "adjusted diluted net income (loss) per share" refers to a financial measure that we define as adjusted net income divided by weighted average diluted shares outstanding. The term "free cash flow" refers to a financial measure that we define as net cash provided by operating activities, less capital expenditures and internal software development costs. The term "normalized free cash flow" refers to free cash flow less changes in operating assets and liabilities. These non-GAAP measures should be considered in addition to results prepared in accordance with GAAP, but should not be considered a substitute for, or superior to, GAAP results. In addition, our definition of adjusted EBITDA, adjusted net income, adjusted diluted net income per share and free cash flow and normalized free cash flow may not be comparable to the definitions as reported by other companies. We believe adjusted EBITDA, adjusted net income and adjusted diluted net income per share are relevant and useful information because they provide us and investors with additional measurements to analyze the Company's operating performance. Adjusted EBITDA is useful to us and investors because (i) we seek to manage our business to a level of adjusted EBITDA as a percentage of net revenue, (ii) it is used internally by us for planning purposes, including preparation of internal budgets; to allocate resources; to evaluate the effectiveness of operational strategies and capital expenditures as well as the capacity to service debt, (iii) it is a key basis upon which we assess our operating performance, (iv) it is one of the primary metrics investors use in evaluating Internet marketing companies, (v) it is a factor in determining compensation, (vi) it is an element of certain financial covenants under our historical borrowing arrangements, and (vii) it is a factor that assists investors in the analysis of ongoing operating trends. In addition, we believe adjusted EBITDA and similar measures are widely used by investors, securities analysts, ratings agencies and other interested parties in our industry as a measure of financial performance, debt-service capabilities and as a metric for analyzing company valuations. We use adjusted EBITDA as a key performance measure because we believe it facilitates operating performance comparisons from period to period by excluding potential differences caused by variations in capital structures (affecting interest expense), tax positions (such as the impact of changes in effective tax rates or fluctuations in permanent differences or discrete quarterly items), non-recurring charges, certain other items that we do not believe are indicative of core operating activities (such as litigation settlement expense, acquisition costs, contingent consideration adjustment, restructuring costs, impairment charges and other income and expense) and the non-cash impact of depreciation expense, amortization expense and stock-based compensation expense. With respect to our adjusted EBITDA guidance, the Company is not able to provide a quantitative reconciliation to the most directly comparable GAAP financial measure without unreasonable efforts due to the high variability, complexity and low visibility with respect to certain items such as taxes, and income and expense from changes in fair value of contingent consideration from acquisitions. We expect the variability of these items to have a potentially unpredictable and potentially significant impact on future GAAP financial results, and, as such, we also believe that any reconciliations provided would imply a degree of precision that would be confusing or misleading to investors. Adjusted net income and adjusted diluted net income per share are useful to us and investors because they present an additional measurement of our financial performance, taking into account depreciation, which we believe is an ongoing cost of doing business, but excluding the impact of certain non-cash expenses (stock-based compensation, amortization of intangible assets, and contingent consideration adjustment), non-recurring charges and certain other items that we do not believe are indicative of core operating activities. We believe that analysts and investors use adjusted net income and adjusted diluted net income per share as supplemental measures to evaluate the overall operating performance of companies in our industry. Free cash flow is useful to investors and us because it represents the cash that our business generates from operations, before taking into account cash movements that are non-operational, and is a metric commonly used in our industry to understand the underlying cash generating capacity of a company’s financial model. Normalized free cash flow is useful as it removes the fluctuations in operating assets and liabilities that occur in any given quarter due to the timing of payments and cash receipts and therefore helps investors understand the underlying cash flow of the business as a quarterly metric and the cash flow generation potential of the business model. We believe that analysts and investors use free cash flow multiples as a metric for analyzing company valuations in our industry. We intend to provide these non-GAAP financial measures as part of our future earnings discussions and, therefore, the inclusion of these non-GAAP financial measures will provide consistency in our financial reporting. A reconciliation of these non-GAAP measures to GAAP is provided in the accompanying tables. Legal Notice Regarding Forward Looking Statements This press release and its attachments contain forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934 that involve risks and uncertainties. Words such as "estimate", "will", "believe", "expect", "intend", "outlook", "potential", "promises" and similar expressions are intended to identify forward-looking statements. These forward-looking statements include the statements in quotations from management in this press release, as well as any statements regarding the Company's anticipated financial results, growth and strategic and operational plans and results of analyses on impairment charges. The Company's actual results may differ materially from those anticipated in these forward-looking statements. Factors that may contribute to such differences include, but are not limited to: the Company’s ability to maintain and increase client marketing spend; the Company's ability, whether within or outside the Company’s control, to maintain and increase the number of visitors to its websites and to convert those visitors and those to its third-party publishers' websites into client prospects in a cost-effective manner; the Company's exposure to data privacy and security risks; the impact of changes in industry standards and government regulation including, but not limited to investigation enforcement activities or regulatory activity by the Federal Trade Commission, the Federal Communications Commission, the Consumer Finance Protection Bureau and other state and federal regulatory agencies; the impact of changes in our business, our industry, and the current economic and regulatory climate on the Company’s quarterly and annual results of operations; the Company's ability to compete effectively against others in the online marketing and media industry both for client budget and access to third-party media; the Company’s ability to protect our intellectual property rights; and the impact from risks relating to counterparties on the Company's business. More information about potential factors that could affect the Company's business and financial results are contained in the Company's annual report on Form 10-K and quarterly reports on Form 10-Q as filed with the Securities and Exchange Commission ("SEC"). Additional information will also be set forth in the Company's annual report on Form 10-K for the fiscal year ended June 30, 2026, which will be filed with the SEC. The Company does not intend and undertakes no duty to release publicly any updates or revisions to any forward-looking statements contained herein. View source version on businesswire.com: https://www.businesswire.com/news/home/20260806683938/en/ Contacts Investor Contact: Robert Amparo(347) [email protected]

Make better investment decisions with Simply Wall St's easy, visual tools that give you a competitive edge. QuinStreet's share price has climbed strongly over the last three years, and current valuation checks now suggest the stock looks closer to fairly priced than clearly cheap. This leaves investors weighing how much upside might still be on the table at around US$17.72 per share. QuinStreet has delivered an 83.8% return over the past three years, which raises the question of how much of its potential is already reflected in the stock. Future revenue growth and cash flow conversion can support the current valuation, while any setback in profitability or higher capital needs may quickly pressure what investors are willing to pay for the shares. With QuinStreet scoring 3 out of 6 on our valuation checks, the overall picture appears mixed rather than a clear bargain or a clear overvaluation. The issue now is whether QuinStreet's recent gains leave enough valuation cushion for new and existing shareholders at current levels. Find out why QuinStreet's 14.5% return over the last year is lagging behind its peers. The P/E ratio is a useful way to look at QuinStreet because it links what you pay today to the earnings the business is already producing. Right now, QuinStreet trades at about 15.6x earnings, which is very close to the Interactive Media and Services industry average of roughly 15.5x and above the peer group average of about 10.1x. The fair P/E ratio suggested by the model, which blends factors such as QuinStreet’s industry, size and risk profile, sits at about 15.8x. That is only a small step above the current 15.6x. This suggests the market is pricing QuinStreet broadly in line with what this framework would expect rather than offering a clear discount or demanding a steep premium. On the P/E multiple, QuinStreet stock appears roughly fairly valued, with its earnings being priced close to both the industry and modelled fair levels. See what the numbers say about this price — find out in our valuation breakdown. To connect QuinStreet's current P/E and valuation puzzle with what could move the stock meaningfully from here, Simply Wall St Narratives lay out clear, competing views of how QuinStreet's future growth, profitability and earnings could evolve, and what each of those paths might imply for the share price over time. Each narrative ties its number to a concrete view on where revenue growth, margins and risk might go next, giving you a reference point you can revisit as new information comes through on QuinStreet's business. The community is split on QuinStreet, with one camp seeing meaningful upside from its performance marketing model and another focusing on concentration and regulatory risks. Bull case: 7% undervalued Read the full Bull Case to see why QuinStreet could be undervalued Bear case: 18% overvalued Read the full Bear Case to see why QuinStreet could be overvalued Do you think there's more to the story for QuinStreet? Head over to our Community to see what others are saying! QuinStreet now trades on a P/E that sits close to both its industry average and the modelled fair ratio, so the stock no longer screens as clearly cheap or clearly expensive. With the broader valuation checks landing in mixed territory, the current price looks more like a hold point where expectations and fundamentals are roughly aligned than a clear mispricing. The real swing factor from here is whether QuinStreet can sustain the earnings profile that justifies this mid-range multiple without requiring heavier investment or accepting weaker profitability, which is exactly where the bull and bear cases part ways. This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Companies discussed in this article include QNST. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email [email protected]