Clear Secure, Inc. (NYSE: YOU) is a U.S.-based identity verification company founded in 2010 and headquartered in New York City. It operates the CLEAR platform, which leverages biometric technology to streamline identity verification processes, primarily in airport security. In 2024, Clear Secure reported annual revenues of $874 million, reflecting a 16% year-over-year growth. Its main competitors include Idemia, Thales Group, and NEC Corporation.
In Q1 2025, Clear Secure reported revenues of $211.4 million, surpassing the consensus estimate of $208.02 million and marking an 18.1% increase year-over-year. Earnings per share (EPS) came in at $0.26, slightly below the estimated $0.27, but up from $0.20 in the same quarter last year. The company achieved a net income of $38.6 million and generated a free cash flow of $91.3 million, indicating robust cash generation capabilities. Operating income reached $37.4 million, with an operating margin of 17.7%, up 450 basis points year-over-year.
While Clear Secure does not provide detailed segment reporting, the company highlighted significant growth in its CLEAR+ membership program, with active members increasing to 7.4 million, a 9.1% rise from the previous year. Total cumulative enrollments reached 31.2 million, a 42.3% year-over-year increase. The company’s TSA PreCheck® enrollment services expanded to 165 locations, including airports, city centers, and transit hubs, enhancing its public-private partnership with the Transportation Security Administration and increasing convenience for travelers nationwide.
Clear Secure has not provided specific revenue or EPS guidance for the next quarter or the full year. However, the company continues to focus on expanding its network and enhancing member experience through new product launches and technology upgrades. Recent initiatives include the deployment of EnVe Pods, which utilize facial recognition for faster verifications, and the introduction of ePassport, allowing members to enroll at home by scanning their passport chip within the CLEAR App. These innovations aim to improve operational efficiency and drive future growth.
Year-to-date, Clear Secure’s stock has experienced some volatility, with a current price of $26.28 as of May 7, 2025.Following the Q1 earnings release, the stock saw a modest increase of 0.42%, indicating a positive market reaction to the company’s performance.
Post the big drop after last earnings, the stock has been range bound between $24 and $28. It looks to be staying in that stage 1 consolidation zone for a few more months.
