Core Viewpoint - Abacus Life, Inc. (ABL) shares have increased by 7.5% recently, with a mean price target of $13.70 suggesting a potential upside of 57.5% from the current price of $8.70 [1] Price Targets and Analyst Estimates - The mean estimate consists of five short-term price targets with a standard deviation of $1.10, indicating variability among analysts [2] - The lowest price target of $12 suggests a 37.9% increase, while the highest target of $15 indicates a potential surge of 72.4% [2] - A low standard deviation signifies a strong agreement among analysts regarding the stock's price direction [9] Earnings Estimates and Analyst Sentiment - Analysts are optimistic about ABL's earnings prospects, as indicated by upward revisions in EPS estimates, which correlate with potential stock price increases [11] - The Zacks Consensus Estimate for the current year has risen by 1% over the past month, reflecting two upward revisions and one downward revision [12] - ABL holds a Zacks Rank 2 (Buy), placing it in the top 20% of over 4,000 ranked stocks based on earnings estimate factors, suggesting strong potential for upside [13]

Company Performance - Abacus Life, Inc. (ABL) has gained approximately 11.1% year-to-date, outperforming the average gain of 4.6% in the Finance group [4] - The Zacks Consensus Estimate for ABL's full-year earnings has increased by 2% over the past 90 days, indicating improving analyst sentiment [4] - Abacus Life, Inc. currently holds a Zacks Rank of 2 (Buy), suggesting a favorable outlook for the stock [3] Industry Context - Abacus Life, Inc. is part of the Insurance - Life Insurance industry, which consists of 16 individual stocks and is currently ranked 75 in the Zacks Industry Rank [6] - The Insurance - Life Insurance industry has seen an average gain of 1.6% year-to-date, indicating that ABL is performing better than its peers in this specific sector [6] - In contrast, the REIT and Equity Trust industry, to which Annaly Capital Management (NLY) belongs, is ranked 155 and has declined by 2.7% this year [6]

Group 1: Earnings Performance - Abacus Life, Inc. reported quarterly earnings of $0.18 per share, exceeding the Zacks Consensus Estimate of $0.16 per share, and up from $0.11 per share a year ago, representing an earnings surprise of 12.50% [1] - The company has surpassed consensus EPS estimates for four consecutive quarters [2] - The revenue for the quarter ended March 2025 was $44.14 million, surpassing the Zacks Consensus Estimate by 11.72%, compared to $21.49 million in the same quarter last year [2] Group 2: Stock Performance and Outlook - Abacus Life, Inc. shares have increased by approximately 5.4% since the beginning of the year, while the S&P 500 has declined by 4.3% [3] - The company's earnings outlook is crucial for investors, as it includes current consensus earnings expectations for upcoming quarters and any recent changes to these expectations [4] - The current consensus EPS estimate for the upcoming quarter is $0.18 on revenues of $44.61 million, and for the current fiscal year, it is $0.77 on revenues of $191.27 million [7] Group 3: Industry Context - The Zacks Industry Rank indicates that the Insurance - Life Insurance sector is currently in the bottom 32% of over 250 Zacks industries, suggesting potential challenges for stock performance [8]

Financial Data and Key Metrics Changes - Total revenue for Q1 2025 more than doubled year over year to $44.1 million from $21.5 million [7][13] - Adjusted net income increased to $17.3 million, representing a 158% increase from $6.7 million in the prior year [15] - Adjusted EBITDA also more than doubled to $24.5 million, with an adjusted EBITDA margin of 55.6% compared to 53.9% in the prior year [15] - GAAP net income attributable to stockholders was $4.6 million, compared to a GAAP net loss of $1.3 million in the prior year [15][16] Business Line Data and Key Metrics Changes - Life Solutions revenue was a key driver, with capital deployed increasing 128% to $124.9 million in Q1 2025 compared to $54.6 million in the prior year [13][14] - Asset management revenue for Q1 2025 was $7.8 million, marking the first full quarter of fees from acquisitions made in late 2024 [14] - New AUM inflows for asset management offerings were $151 million, with $123 million coming from newly launched private funds [9][10] Market Data and Key Metrics Changes - As of March 31, 2025, the company held cash and cash equivalents of $43.8 million and balance sheet policy assets valued at $448.1 million [9][16] - The company reported annualized adjusted return on equity of 16% and adjusted return on invested capital of 16.7% [16] Company Strategy and Development Direction - The company aims to solidify its position as a leader in alternative asset management and wealth management, focusing on uncorrelated assets [12] - The rebranding to Abacus Global Management reflects its evolution and expanded global market presence [10] - The company is committed to executing its growth strategy and expanding its brand recognition through new advertising campaigns [10][12] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in navigating current market volatility and achieving full-year 2025 adjusted net income guidance of $70 million to $78 million, implying growth of 51% to 68% [7][16] - The macro environment remains uncertain, but the company believes it is well-positioned to capitalize on opportunities arising from market dislocations [9][12] Other Important Information - The company has purchased over $10 billion in face value of life insurance policies since February 2004 [10] - The technology solutions segment has seen significant growth, with nearly one million lives currently tracked and an additional 700,000 in trial [42] Q&A Session Summary Question: Has there been an uptick in inquiries from policyholders since Liberation Day? - Management noted a noticeable uptick in interest from policyholders seeking liquidity and from investors looking for uncorrelated assets [21][23] Question: How does the company view the new repurchase authorization? - Management discussed the strategic decision to repurchase stock based on valuation and potential returns compared to acquiring new policies [24][25] Question: Is the company fully deployed today? - Management confirmed that the capital deployment in Q1 was higher than historical levels and expressed confidence in continuing to recycle capital effectively [28][30] Question: What are the latest thoughts on the carrier buyback program? - Management indicated ongoing activity in the buyback program and noted increasing competition for assets from investors [32][33] Question: Can you provide an update on the technology solutions segment? - Management reported significant growth in the number of lives tracked and highlighted the potential for cross-selling asset management services [42][44] Question: What is the mix of policy acquisitions? - Management stated that approximately 40% of policy flow was direct to consumer, 40% from financial advisors, and 20% from brokers, maintaining a consistent split [66]

Financial Data and Key Metrics Changes - Total revenue for Q1 2025 more than doubled year over year to $44.1 million from $21.5 million [6][13] - Adjusted net income increased to $17.3 million, representing a 158% increase compared to $6.7 million in the prior year [15] - Adjusted EBITDA also more than doubled to $24.5 million, with an adjusted EBITDA margin of 55.6% compared to 53.9% in the prior year [15] - GAAP net income attributable to stockholders was $4.6 million, compared to a GAAP net loss of $1.3 million in the prior year [15] Business Line Data and Key Metrics Changes - Life Solutions revenue was a key driver, with capital deployed increasing 128% to $124.9 million in Q1 2025 compared to $54.6 million in the prior year [13] - Asset management revenue for Q1 2025 was $7.8 million, marking the first full quarter of asset management fees from acquisitions [14] Market Data and Key Metrics Changes - New AUM inflows of $151 million were recorded, with approximately $123 million coming from expanded private fund offerings launched in late February [9][10] - The real assets ETF saw an increase in net new inflows of $44 million in the first quarter [10][72] Company Strategy and Development Direction - The company aims to solidify its position as a leader in alternative asset management and wealth management, focusing on uncorrelated assets [12] - A rebranding to Abacus Global Management reflects the company's evolution and expanded global market presence [10] - The company is committed to executing its growth strategy and expanding its brand recognition through a new advertising campaign [10][12] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in navigating current market volatility and achieving full-year 2025 adjusted net income guidance of $70 million to $78 million, implying growth of 51% to 68% [6][16] - The macro environment remains uncertain, but the company believes it is well-positioned to capitalize on opportunities arising from market dislocations [9][12] Other Important Information - As of March 31, 2025, the company had cash and cash equivalents of $43.8 million and balance sheet policy assets of $448.1 million [9][16] - The company has purchased over $10 billion in face value of life insurance policies since February 2004 [10] Q&A Session Summary Question: Has there been an uptick in inquiries from policyholders since Liberation Day? - Management noted a noticeable increase in inquiries related to policyholder liquidity and investor demand for uncorrelated assets [20][21] Question: How does the company view the new repurchase authorization? - The company considers the repurchase option thoughtfully, evaluating stock valuation against return on equity from policies acquired [23][24] Question: Is the company fully deployed today? - Management confirmed that the capital deployment of nearly $125 million in Q1 was a record and indicated strong origination efforts [27][28] Question: What are the latest thoughts on the carrier buyback program? - Management reported ongoing activity in the carrier buyback program and noted increasing competition for assets [31][33] Question: Can you provide an update on technology solutions? - The technology solutions segment has nearly one million lives under management, with significant growth expected [41][42] Question: What is the mix of policy acquisitions? - Approximately 40% of policy flow was direct to consumer, 40% from financial advisors, and 20% from brokers [66] Question: What is the status of the AUM and advisor strategy? - The company reported significant inflows in both private funds and ETFs, with plans to grow the advisor strategy in the coming quarters [71][77]

Revenue Growth - Total revenues for the three months ended March 31, 2025, were $44,139,346, a significant increase of $22,652,162 or 105.5% compared to $21,487,184 for the same period in 2024[149]. - Asset management revenue surged to $7,773,077, reflecting an increase of $7,555,142 or 3,466.7% year-over-year, primarily due to the Carlisle and FCF acquisitions[151]. - Life solutions revenue rose to $36,298,657, an increase of $15,029,408 or 70.7% compared to $21,269,249 in the prior year, driven by unrealized gains from life insurance policies[152]. - Revenue from the Asset Management segment was $7,773,077 for the three months ended March 31, 2025, a significant increase of $7,555,142 or 3466.7% compared to 2024[168]. - Revenue from the Life Solutions segment increased by $15,029,408, or 70.7%, reaching $36,298,657 for the three months ended March 31, 2025 compared to $21,269,249 in 2024[170]. Profitability - Gross profit increased by $18,264,652 or 97.3%, reaching $37,030,939 for the three months ended March 31, 2025, attributed to higher active management revenue[155]. - Operating income for the period was $21,026,964, compared to $2,253,129 in the same quarter of 2024, marking a substantial improvement[150]. - The net income attributable to common stockholders for the three months ended March 31, 2025, was $4,639,583, a turnaround from a loss of $1,348,745 in the same period of 2024[150]. - Adjusted Net Income for the three months ended March 31, 2025 was $17,252,141, compared to $6,703,951 in 2024[178]. - For the three months ended March 31, 2025, the net income was $5,399,026 compared to a net loss of $1,275,471 in the same period of 2024, representing a significant turnaround[182]. Expenses - Sales and marketing expenses increased by $686,056 or 35.5% to $2,616,000, primarily due to higher advertising costs to support life policy revenue growth[157]. - General and administrative expenses rose by $910,287 or 8.0% to $12,263,786, influenced by payroll expenses related to business acquisitions and legal fees[158]. - Depreciation and amortization expenses increased by $3,076,492 or 182.9% to $4,758,546, linked to the amortization of intangible assets from acquisitions[159]. - Interest expense was $9,618,330 for the three months ended March 31, 2025, an increase of $5,947,885 or 162.0% compared to $3,670,445 in 2024[164]. - Income tax expense rose by $1,160,572, or 98.9%, for the three months ended March 31, 2025 compared to the same period in 2024[166]. Cash Flow and Liquidity - Cash and cash equivalents totaled $43,761,731 as of March 31, 2025, down from $131,944,282 at the end of 2024, indicating a need for careful liquidity management[196]. - For the three months ended March 31, 2025, the company reported a net cash used in operating activities of $(61,590,694), a decrease of $(64,104,982) compared to a net cash provided of $2,514,288 in the same period of 2024[202]. - The net cash used in investing activities increased to $(3,739,403) for the three months ended March 31, 2025, compared to $(253,793) in the prior year, primarily due to a $(3,000,000) purchase of other investments[203]. - Financing activities resulted in a net cash used of $(22,852,454) for the three months ended March 31, 2025, a decrease of $(60,389,803) compared to a net cash provided of $37,537,349 in the same period of 2024, mainly due to $(38,415,464) repayment of long-term debt[204]. Investments and Assets - The total realized gains, net of premiums paid, increased to $13,875,116, a 59.8% increase from $8,683,082 in the previous year[184]. - The aggregate face value of policies held at fair value reached $1,430,721,703, with a corresponding fair value of $446,207,963 as of March 31, 2025[184]. - Assets under management (AUM) stood at $2,542,185,454, a significant increase from the previous year[185]. - The number of policies serviced surged to 2,415, up 223.7% from 746 in the same period of 2024[185]. - The total invested dollars increased to $2,556,019,697, reflecting a 1057.2% growth compared to $220,875,215 in 2024[185]. Future Outlook - The company has a share repurchase plan approved for $15,000,000, with $2,974,863 remaining available for repurchases as of March 31, 2025[198]. - Future capital requirements will depend on revenue growth and expansion activities, with potential plans for additional equity or debt financing[197]. Accounting and Reporting - The company has not reported any material changes to its critical accounting policies or methodologies since the last Annual Report on Form 10-K[205]. - The company is classified as a smaller reporting company and is not required to provide certain market risk disclosures[208].

Financial Results Announcement - Abacus Global Management, Inc. announced its financial results for the quarter ended March 31, 2025[4]. - The financial results will be further detailed in the quarterly report on Form 10-Q filed with the SEC[8]. Company Classification and Listing - The company is classified as an emerging growth company under the Securities Act of 1933[3]. - The company is listed on NASDAQ under the trading symbol ABL[2]. Forward-Looking Statements - The report includes forward-looking statements regarding the company's public offering and other strategic initiatives[8]. - Management's expectations and beliefs are subject to risks and uncertainties that may affect actual results[8]. - The company explicitly disclaims any obligation to update forward-looking statements except as required by law[8]. Report Details - A press release detailing the financial results is available as Exhibit 99.1[7]. - The report was signed by CEO Jay Jackson on May 8, 2025[11]. - The company has not yet disclosed specific financial metrics or performance indicators in this report[4].

Investor Presentation May 8, 2025 Abacus Global Management Overview Established in 2004, Abacus is a global alternative asset manager, revolutionizing financial services through expert asset management and data-driven lifespan insights | 20 Years | ~$3 Billion | Technology | ~160 | 2 Offices and 4 | | --- | --- | --- | --- | --- | | | in AUM | First Approach | Employees | Representations | | of track record | across longevity | leveraging | between origination, | across 3 | | | based assets and a | propriet ...

Core Insights - Abacus Global Management, Inc. reported exceptional financial results for the first quarter of 2025, with total revenue more than doubling year-over-year to $44.1 million, driven by increased revenues from Life Solutions and asset management fees from recent acquisitions [1][6][2] Financial Performance - Total revenue for Q1 2025 was $44.1 million, compared to $21.5 million in Q1 2024, representing a growth of over 105% [6] - GAAP net income for Q1 2025 was $4.6 million, a significant turnaround from a net loss of $1.3 million in the prior-year period [6] - Adjusted net income grew 158% year-over-year to $17.3 million, up from $6.7 million in Q1 2024 [6] - Adjusted EBITDA more than doubled to $24.5 million, compared to $11.6 million in the prior-year period, with an adjusted EBITDA margin of 55.6% [6][27] Capital and Liquidity - As of March 31, 2025, the company had cash and cash equivalents of $43.8 million and total assets of $856.5 million [4][22] - The company reported outstanding long-term debt of $238.0 million [4] Growth and Market Position - The company attracted $122.8 million in capital inflows for its newly launched funds within the first month, indicating strong market demand [2] - The number of policies held increased to 753 from 322 year-over-year, reflecting growth in the company's Life Solutions segment [6] 2025 Outlook - The company maintains its full-year 2025 outlook for adjusted net income between $70 million and $78 million, implying growth of 51% to 68% compared to 2024 [7]

Group 1 - Abacus Life, Inc. (ABL) is experiencing significant activity in the options market, particularly with the May 16, 2025 $15 Call showing high implied volatility, indicating potential for a major price movement [1] - Implied volatility reflects market expectations for future stock movement, suggesting that investors anticipate a significant event that could lead to a rally or sell-off [2] - Abacus Life holds a Zacks Rank 3 (Hold) in the Insurance - Life Insurance industry, which is in the top 37% of the Zacks Industry Rank, with recent earnings estimates for the current quarter increasing from 14 cents to 16 cents per share [3] Group 2 - The high implied volatility for Abacus Life may indicate a developing trading opportunity, as options traders often seek to sell premium on such options to capture decay, hoping the stock does not move as much as expected by expiration [4]