Lemonade Gains 10%+ After Hours on Narrower-Than-Expected Q3 Loss

LMND gained 13.8% to $21.34 shortly before 5:45 p.m. ET after the company said it lost $0.95 per share during the three months ended Sept. 30 – better than the $0.97 in red ink that analysts had reportedly forecast.

The company also reported $136.6 million of revenues, exceeding the $129.2 million that analysts had reportedly expected.

Additionally, Lemonade guided Q4 revenues to a $144 million-$146 million range. Management also raised its revenue outlook for the fiscal year as a whole to $522 million-$524 million from an earlier $511 million-$515 million, according to published reports.

"In the fourth quarter and beyond, our strategy remains consistent," management said in a letter to shareholders. "We will continue to acquire profitable new business, with acceleration unlocked via our synthetic-agents program, and increasingly leaning in on car [insurance]. Simultaneously, powered by technology's unique ability to drive operating efficiency, we will continue to deliver stability in operating expenses."