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Trupanion (trup) Q2 Profit Surges 124%

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Trupanion (NASDAQ:TRUP), a provider of pet health insurance, reported results for the second quarter of fiscal 2025 on August 7, 2025. The company surprised analysts with diluted earnings per share (EPS) of $0.22 (GAAP), far above the consensus estimate of negative $0.03. Revenue (GAAP) also beat expectations at $353.6 million, compared to the $346.7 million estimate. Subscription revenue growth and expense controls boosted margins, though reported earnings were lifted by a one-time $7.8 million investment gain. Despite gains in its high-value subscription segment, total pet enrollments decreased by 2% year-over-year. Overall, the quarter featured strong financial improvement but ongoing challenges in customer acquisition and enrollment growth.

Source: Analyst estimates for the quarter provided by FactSet.

Trupanion provides pet health insurance, offering policies that help pet owners cover veterinary expenses. Its main product is a subscription-based insurance plan, mainly distributed through partnerships with veterinarians. The company's business model relies on monthly recurring revenue from insured pet owners, aiming for high predictability and customer retention.

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