Trupanion Reports Record Q3 2026 Adjusted Operating Income and Strong Subscription Growth
Trupanion (TRUP) delivered a strong third quarter for fiscal year 2026, highlighted by record adjusted operating income of $47 million and all-time high free cash flow of $28.5 million. Total revenue rose 11% year-over-year to $405.6 million, primarily fueled by a 14% increase in subscription revenue. The company's focus on technology has yielded significant efficiency gains, with claims automation rates now exceeding 65%, up from less than 15% in 2020. Despite a slight 2% year-over-year decrease in total enrolled pets due to the strategic transition of noncore business segments, Trupanion saw a 28% surge in net new subscription pet enrollments. Management remains focused on long-term scaling and digital product launches, though they cautioned that continuous double-digit inflation regarding veterinary medical costs is expected to persist into 2027.
Tickers: $TRUP
Topics: free cash flow net income revenue growth share repurchases subscription business