Open Lending Corporation reported its fourth quarter and full year 2024 financial results, revealing a negative change in estimate of $81.3 million for profit share revenue in Q4. This reduction was primarily attributed to heightened delinquencies and defaults associated with loans originated between 2021 and 2024.
For the full year 2024, the company experienced a $96.1 million reduction in estimated profit share revenues related to historic vintages. Open Lending disclosed a net loss of $144 million for the full year, which was negatively impacted by an $86.1 million valuation allowance on its deferred tax assets. The company provided an outlook for the first quarter of 2025, projecting total certified loans to be between 27,000 and 28,000.
In a separate announcement on the same day, Open Lending's Board of Directors appointed Jessica Buss, previously Chairman of the Board, as Chief Executive Officer, effective immediately. Michelle Glasl was also appointed as Chief Operating Officer. Charles Jehl will continue to serve as Interim Chief Financial Officer and a member of the Board, while a search for a permanent CFO is underway.
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