Pet insurance provider Trupanion (NASDAQ:TRUP) met Wall Street’s revenue expectations in Q4 CY2025, with sales up 11.7% year on year to $376.9 million. Its GAAP profit of $0.13 per share was 19.6% below analysts’ consensus estimates.
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Trupanion (TRUP) Q4 CY2025 Highlights:
- Revenue: $376.9 million vs analyst estimates of $375.9 million (11.7% year-on-year growth, in line)
- Pre-tax Profit: $6.29 million (1.7% margin)
- EPS (GAAP): $0.13 vs analyst expectations of $0.16 (19.6% miss)
- Market Capitalization: $1.40 billion
Company Overview
Born from a vision to help pet owners avoid economic euthanasia when faced with expensive veterinary bills, Trupanion (NASDAQ:TRUP) provides medical insurance for cats and dogs through data-driven, vertically-integrated products priced specifically for each pet's unique characteristics.
Revenue Growth
Insurance companies earn revenue from three primary sources: 1) The core insurance business itself, often called underwriting and represented in the income statement as premiums 2) Income from investing the “float” (premiums collected upfront not yet paid out as claims) in assets such as fixed-income assets and equities 3) Fees from various sources such as policy administration, annuities, or other value-added services. Luckily, Trupanion’s revenue grew at an incredible 23.4% compounded annual growth rate over the last five years. Its growth surpassed the average insurance company and shows its offerings resonate with customers, a great starting point for our analysis.
We at StockStory place the most emphasis on long-term growth, but within financials, a half-decade historical view may miss recent interest rate changes, market returns, and industry trends. Trupanion’s annualized revenue growth of 13.9% over the last two years is below its five-year trend, but we still think the results suggest healthy demand. 
This quarter, Trupanion’s year-on-year revenue growth was 11.7%, and its $376.9 million of revenue was in line with Wall Street’s estimates.
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Key Takeaways from Trupanion’s Q4 Results
We struggled to find many positives in these results. Overall, this quarter could have been better. The stock remained flat at $32.14 immediately following the results.
Is Trupanion an attractive investment opportunity right now? The latest quarter does matter, but not nearly as much as longer-term fundamentals and valuation, when deciding if the stock is a buy. We cover that in our actionable full research report which you can read here (it’s free).