Auto loan insurance intermediary Open Lending saw net income fall 17 percent during the third quarter, and it lowered the ceilings on its guidance for the full year during an earnings report Thursday.

But CFO Charles Jehl said the company had plenty of room to grow and a strong balance sheet. On Oct. 20, Open Lending announced its client list would include America First Credit Union, which Open Lending CEO Keith Jezek described last week as the seventh-largest credit union in the country.

“Our results were in line with our expectations despite continued challenging economic and industry dynamics affecting our business,” Jezek said in a statement Thursday. “We will continue to target Company growth in excess of industry growth rates, but not at the expense of our commitment to managing risk as it relates to the credit quality of our portfolio.”

Open Lending, a publicly traded company based in Austin, Texas, facilitates a kind of guaranteed asset protection insurance for lenders. It arranges and underwrites policies that reimburse lenders for the amount they were unable to recoup after a customer defaulted on a loan. It has targeted what the company estimates to be a more than $200 billion market of near-prime consumer lenders and a $40 billion refinance market.

Open Lending’s revised full-year guidance anticipates the company will arrange insurance for 160,000 to 170,000 “certified” loans and generate $180 million to $190 million in revenue and $112 million to $122 million in adjusted earnings before interest, taxes, depreciation and amortization. The guidance also predicts $130 million to $145 million in adjusted operating cash flow.

With the exception of cash flow, the peaks of these ranges fall short of what Open Lending anticipated in its second-quarter earnings report in August. But the ranges all start at higher points than they had before.

Jehl said Open Lending reduced its guidance on loan volume because of the “aggressiveness” of the Federal Reserve on fighting inflation; vehicle affordability for consumers; and its lender customers becoming more conservative with liquidity and deposits, primarily within the credit union segment, he said.

Results from Open Lending’s third-quarter earnings report include:

Revenue: $50.7 million, down 14 percent

Net income: $24.5 million, down 17 percent

Adjusted EBITDA: $29.4 million, down 30 percent

Certified loans: 42,186, down 14 percent