Core Insights - Assurant, Inc. (AIZ) reported a strong second-quarter 2025 net operating income of $5.56 per share, exceeding the Zacks Consensus Estimate by 25.5% and reflecting a year-over-year increase of 36.3% [1][11] - Total revenues rose 6.5% year over year to $3.1 billion, slightly surpassing estimates by 0.7% [2][11] - Adjusted EBITDA, excluding reportable catastrophes, increased 12.7% year over year to $415.8 million, also beating estimates [4][11] Revenue Breakdown - Net earned premiums, fees, and other income increased 5.9% year over year to $2.6 billion, driven by growth across both Global Lifestyle and Global Housing segments [2][5] - Global Housing revenues increased 10.2% year over year to $732 million, primarily due to higher net earned premiums and net investment income [5] - Global Lifestyle revenues rose 7.5% year over year to $2.4 billion, driven by higher net earned premiums, fees, and other income [7] Investment Income and Expenses - Net investment income increased 3.2% year over year to $128.7 million, supported by higher yields and assets in fixed maturity securities [3] - Total benefits, losses, and expenses rose 6.5% year over year to $2.9 billion, mainly due to higher policyholders' benefits and administrative expenses [3] Segment Performance - Adjusted EBITDA for Global Housing, excluding catastrophes, increased 18% year over year to $244.2 million, driven by growth in Homeowners [6] - Adjusted EBITDA for Global Lifestyle, excluding catastrophes, was $201.4 million, a 6% year-over-year increase, attributed to growth in Connected Living [8] - Corporate & Other segment reported an adjusted EBITDA loss of $29.8 million, wider than the previous year's loss [9] Financial Position - As of June 30, 2025, liquidity stood at $518 million, significantly above the targeted minimum level of $225 million [12] - Total assets increased 1.4% to nearly $36 billion, while total shareholders' equity rose 7.7% year over year to $5.5 billion [12] Share Repurchase and Dividends - In Q2, Assurant repurchased shares worth $62 million, with an additional $25 million repurchased from July 1 to August 1, 2025 [13] - Total dividends for the quarter amounted to $43 million [13] Guidance for 2025 - Assurant expects adjusted EBITDA, excluding reportable catastrophes, to grow in the mid-to-high single digits [14] - Adjusted earnings per diluted share, excluding reportable catastrophes, is anticipated to grow by 10% [15] - The company plans to return $250 to $300 million in share repurchases, reflecting a strong capital position [16]

Financial Data and Key Metrics Changes - The company reported a strong second quarter with adjusted EBITDA increasing by 13% and adjusted earnings per share (EPS) growing by 17%, both excluding reportable catastrophes [18] - Year-to-date adjusted EBITDA increased by 14% and adjusted EPS rose by 16%, both excluding catastrophes [5][6] - The full year 2025 adjusted EPS growth expectation has been increased to approach 10%, driven by mid to high single-digit growth in adjusted EBITDA [6][26] Business Line Data and Key Metrics Changes - In Global Lifestyle, adjusted EBITDA growth accelerated, with a 6% increase compared to last year, or 7% on a constant currency basis [20] - Connected Living saw adjusted EBITDA increase by 9% or 11% on a constant currency basis, driven by strong subscriber growth [20] - Global Housing adjusted EBITDA was $244 million, an 18% increase excluding catastrophes, benefiting from favorable non-catastrophe loss experience and increased lender-placed policies [22][13] Market Data and Key Metrics Changes - Net written premiums in Global Automotive increased by 8% year-to-date, supported by rate increases and new business wins [11] - The homeowners business in Global Housing benefited from lower claims frequencies and increased lender-placed policies due to pressure in the voluntary insurance market [22][13] - The company added 2.4 million devices protected in Connected Living, bringing the total to 65 million subscribers [9] Company Strategy and Development Direction - The company is focused on leveraging technology and innovation to drive growth, including investments in AI to enhance customer experience and operational efficiency [24][25] - The diversified business model allows the company to perform consistently across various economic environments, differentiating it from the broader property and casualty industry [7] - The company aims to expand offerings and increase attachment rates with existing partners while entering attractive adjacent sectors through new product offerings [16] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving the ninth consecutive year of profitable growth in 2025, supported by strong performance in Global Housing and continued growth in Global Lifestyle [7][26] - The company is monitoring macroeconomic conditions, including tariffs, inflation, and interest rates, which may impact growth [28] - Management highlighted the importance of maintaining balance and flexibility in capital allocation to support new business growth while returning excess capital to shareholders [29] Other Important Information - The company has completed $150 million in share repurchases so far this year and expects total repurchases for the year to be between $250 million to $300 million [19][29] - The company reported a holding company liquidity position of $518 million at quarter-end, providing flexibility for future growth [19] Q&A Session Summary Question: What is the trend for the overall benefit ratio in Global Lifestyle? - Management noted that the benefit ratio is around 23 to 24% and is expected to trend down as rates continue to earn through in Global Auto, with improvements in vehicle service contract loss experience [33][34] Question: What is driving the decline in investment income from other investments? - Management explained that the investment portfolio continues to perform well, with overall book yields up, but noted some lumpiness due to real estate transactions [35][36] Question: Can you quantify any pull forward in consumer activity regarding the number of devices and protected vehicles? - Management indicated that there was some pull forward in Connected Living, particularly in trade-ins, but the majority of growth was driven by device protection [42][44] Question: What opportunities exist for gaining more leverage in the housing segment? - Management highlighted that the expense ratio is running in the high 30s, with opportunities for leverage coming from growth in the lender-placed portfolio and technology investments [47][49] Question: What is the source of prior year development in Global Housing? - Management identified improvements in Florida due to regulatory changes, lower claim frequencies, and lower-than-expected inflation as key drivers [57] Question: What is the impact of tariffs observed so far? - Management reported limited impact from tariffs in the first half of the year and remains proactive in managing inflation and service efficiency [59] Question: How is the new business pipeline for lifestyle compared to previous years? - Management noted strong momentum in the new business pipeline, with a mix of new client wins and expansions in existing relationships, particularly in Connected Living [63][66]

Financial Data and Key Metrics Changes - The company reported a strong second quarter with adjusted EBITDA increasing by 13% and adjusted earnings per share (EPS) growing by 17%, both excluding reportable catastrophes [18] - Year-to-date adjusted EBITDA increased by 14% and adjusted EPS rose by 16%, both excluding catastrophes [5] - The full year 2025 adjusted EPS growth expectation has been increased to approach 10%, driven by mid to high single-digit growth in adjusted EBITDA [6][26] Business Line Data and Key Metrics Changes - In Global Lifestyle, adjusted EBITDA growth accelerated, with a 6% increase compared to last year, or 7% on a constant currency basis [20] - Connected Living saw a 9% increase in earnings, or 11% on a constant currency basis, driven by strong subscriber growth [20] - Global Housing adjusted EBITDA was $244 million, an 18% increase excluding catastrophes, supported by favorable non-catastrophe loss experience and increased lender-placed policies [22][14] Market Data and Key Metrics Changes - Net written premiums in Global Automotive increased by 8% year-to-date, driven by rate increases and new business wins [12] - The homeowners business benefited from lower claims frequencies and increased lender-placed policies, reflecting pressure in the voluntary insurance market [22][14] - The renters segment saw an 11% increase in policies year-to-date, with significant growth in the property management channel [15] Company Strategy and Development Direction - The company is focused on leveraging technology and innovation to drive growth, including investments in AI and automation to enhance operational efficiency [23][24] - There is a strong emphasis on expanding partnerships and launching new products across various segments, particularly in Connected Living and Global Housing [26][65] - The company aims to maintain a balanced capital allocation strategy while returning excess capital to shareholders through share repurchases [29] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving profitable growth for the ninth consecutive year in 2025, despite macroeconomic challenges [7][26] - The outlook for 2025 has been revised upward due to strong first-half results, with expectations for continued growth in both Global Housing and Global Lifestyle [27][28] - Management is monitoring macroeconomic conditions, including tariffs and inflation, which may impact growth [28] Other Important Information - The company has completed $150 million in share repurchases so far this year, with an expectation to increase this to between $250 million to $300 million for the year [29] - The company reported a holding company liquidity position of $518 million, providing flexibility for future growth [19] Q&A Session Summary Question: What is the trend for the benefit ratio in Global Lifestyle? - Management noted that while there is a mix shift in deal structures, they are pleased with the progress in Global Lifestyle and expect continued stability in the auto segment [31][33] Question: What is driving the negative investment income in the first half? - Management explained that the investment portfolio is performing well overall, with some lumpiness due to real estate transactions affecting quarter-to-quarter performance [34][35] Question: Is there a way to quantify any pull forward in consumer activity? - Management acknowledged some pull forward in activity, particularly in Connected Living, but emphasized that the majority of growth was driven by device protection [42][44] Question: Can you discuss the expense ratio within the housing segment? - Management indicated that there is potential for further leverage in the expense ratio due to growth in the lender-placed portfolio and ongoing technology investments [47][49] Question: What is the source of prior year development in global housing? - Management attributed it to improvements in Florida due to regulatory changes, lower claim frequencies, and lower-than-expected inflation [57] Question: How are tariffs impacting the outlook? - Management reported limited impact from tariffs in the first half and feels well-positioned for the remainder of the year [60] Question: How is the new business pipeline for lifestyle compared to previous years? - Management highlighted strong momentum in the new business pipeline across various segments, with a focus on Connected Living and significant growth opportunities [64][66]

Financial Performance & Outlook - The company increased its 2025 enterprise outlook to mid- to high single-digit growth in Adjusted EBITDA, excluding catastrophes[12,14] - The company is approaching 10% growth in Adjusted EPS, excluding catastrophes[12,14] - The company generated $298 million in cash[12] - The company returned $209 million to shareholders[12] - The company expects share repurchases of $250-$300 million[65] Global Housing - Global Housing Adjusted EBITDA, excluding catastrophes, increased by 25% in the first half of 2025, reaching $513 million[29] - Global Housing Adjusted EBITDA, excluding catastrophes, increased 18% in Q2 2025, reaching $244 million[57] - Global Housing's combined ratio, excluding prior year development, was 87% in the first half of 2025[31] Global Lifestyle - Global Lifestyle Adjusted EBITDA increased 6% in Q2 2025, or 7% on a constant currency basis[55,58] - Connected Living Adjusted EBITDA increased 9% in Q2 2025, or 11% on a constant currency basis[55,58]

Core Insights - Assurant reported strong second-quarter 2025 earnings with adjusted EPS of $5.10, surpassing analyst expectations of $4.50, reflecting a 13.3% non-GAAP EPS beat [1][5] - Revenue increased by 8% year-over-year to $3.05 billion, although it fell short of expectations by 2.3% [1][5] - GAAP net income rose to $235 million, marking a 25% increase compared to the previous year [1][5] Financial Performance - Adjusted EPS (Non-GAAP) for Q2 2025 was $5.10, up 25% from $4.08 in Q2 2024 [2] - GAAP revenue for Q2 2025 was $3.158 billion, an 8% increase from $2.925 billion in Q2 2024 [2] - GAAP net income reached $235 million, a 25% increase from $189 million in Q2 2024 [2] - Adjusted EBITDA was $386 million, up 19% from $323 million in Q2 2024 [2] Segment Performance - Global Lifestyle segment's Adjusted EBITDA was $201.4 million, a 6% increase, with revenues climbing 8% year-over-year [6] - Global Housing segment saw Adjusted EBITDA jump 33% to $214 million, driven by lower catastrophe losses and favorable reserve developments [7] - Net earned premiums, fees, and other income from Global Lifestyle and Global Housing increased by 8%, supported by growth in policies in-force and higher average premiums [7] Strategic Focus - Assurant operates as a B2B2C specialty insurance provider, focusing on housing, mobile device, and vehicle protection [3] - The company emphasizes financial resilience, technology integration, and operational efficiency, with a focus on risk management and AI investments [4] - Recent technology upgrades and strategic acquisitions, including a 250,000-policy renters insurance book, aim to consolidate market leadership [10] Capital Returns and Guidance - The quarterly dividend was increased to $0.80 per share from $0.72 in Q2 2024, with share repurchases totaling $62 million [11] - Management raised guidance for capital returns to the high end of $250–$300 million for the full year [11] - For FY2025, adjusted EPS is expected to approach 10% growth, with mid- to high single-digit growth in adjusted EBITDA [12]

Core Insights - Assurant reported revenue of $3.14 billion for the quarter ended June 2025, reflecting a 6.5% increase year-over-year, with EPS at $5.56 compared to $4.08 in the previous year [1] - The revenue exceeded the Zacks Consensus Estimate of $3.11 billion, resulting in a surprise of +0.73%, while the EPS surpassed the consensus estimate of $4.43 by +25.51% [1] Financial Performance Metrics - Fees and other income reached $463.7 million, exceeding the estimated $399.82 million by five analysts, marking a year-over-year increase of +23.6% [4] - Net investment income was reported at $128.7 million, slightly below the average estimate of $130.45 million, with a year-over-year change of +3.2% [4] - Net earned premiums, fees, and other income totaled $3.05 billion, surpassing the estimated $2.58 billion, representing an increase of +8.3% year-over-year [4] - Total revenues from Global Lifestyle were $2.44 billion, exceeding the estimate of $2.37 billion, with a year-over-year change of +7.5% [4] - Total revenues from Global Housing were $732.1 million, slightly below the estimate of $737.39 million, reflecting a +10.3% change year-over-year [4] - Corporate & Other revenues were reported at $6.9 million, below the estimate of $7.16 million, indicating a -4.2% change year-over-year [4] - Global Lifestyle's net earned premiums were $1.94 billion, exceeding the estimate of $1.91 billion, with a +4% change year-over-year [4] - Fees and other income from Global Lifestyle reached $414.9 million, surpassing the estimate of $353.03 million, marking a year-over-year increase of +28.9% [4]

Core Insights - Assurant reported quarterly earnings of $5.56 per share, exceeding the Zacks Consensus Estimate of $4.43 per share, and showing an increase from $4.08 per share a year ago, resulting in an earnings surprise of +25.51% [1] - The company achieved revenues of $3.14 billion for the quarter ended June 2025, surpassing the Zacks Consensus Estimate by 0.73% and up from $2.94 billion year-over-year [2] - Assurant has consistently surpassed consensus EPS estimates over the last four quarters, indicating strong performance [2] Earnings Outlook - The sustainability of Assurant's stock price movement will depend on management's commentary during the earnings call and future earnings expectations [3][4] - The current consensus EPS estimate for the upcoming quarter is $3.78 on revenues of $3.15 billion, while for the current fiscal year, it is $16.36 on revenues of $12.59 billion [7] Industry Context - The Insurance - Multi line industry, to which Assurant belongs, is currently ranked in the top 38% of over 250 Zacks industries, suggesting a favorable outlook compared to lower-ranked industries [8] - Empirical research indicates a strong correlation between near-term stock movements and trends in earnings estimate revisions, which can impact Assurant's stock performance [5][6]

[Assurant Second Quarter 2025 Financial Results](index=1&type=section&id=Assurant%20Second%20Quarter%202025%20Financial%20Results) [Financial Highlights and CEO Commentary](index=1&type=section&id=Financial%20Highlights%20and%20CEO%20Commentary) The company reported strong Q2 2025 results with 25% Adjusted EPS growth and raised its full-year outlook Q2 2025 Key Financial Metrics | Metric | Q2'25 | Q2'24 | Change | | :--- | :--- | :--- | :--- | | GAAP net income | $235.3M | $188.7M | 25% | | Adjusted EBITDA | $386.0M | $323.4M | 19% | | Adjusted EBITDA, ex. catastrophes | $415.8M | $369.1M | 13% | | GAAP net income per diluted share | $4.56 | $3.58 | 27% | | Adjusted earnings per diluted share | $5.10 | $4.08 | 25% | | Adjusted earnings, ex. catastrophes, per diluted share | $5.56 | $4.77 | 17% | - The company increased its 2025 outlook, now expecting **Adjusted EPS (ex. catastrophes) growth to approach 10%** and Adjusted EBITDA (ex. catastrophes) growth of mid-to-high single-digits[1](index=1&type=chunk)[4](index=4&type=chunk) - CEO Keith Demmings attributed the strong results to growth in both **Global Housing and Global Lifestyle**, highlighting improved loss experience and momentum in mobile device protection[3](index=3&type=chunk) - Share repurchase guidance for 2025 was **increased to a range of $250 to $300 million**, reflecting the company's strong capital position and business performance[4](index=4&type=chunk)[5](index=5&type=chunk) [Consolidated Financial Performance](index=2&type=section&id=Consolidated%20Financial%20Performance) Consolidated net income grew 25% and Adjusted EBITDA rose 19%, driven by both operating segments - GAAP net income **rose 25% to $235.3 million**, primarily due to growth in Global Housing, lower reportable catastrophes, and growth in Global Lifestyle[7](index=7&type=chunk) - Adjusted EBITDA **increased 19% to $386.0 million**; excluding reportable catastrophes, Adjusted EBITDA grew 13% to $415.8 million[7](index=7&type=chunk) - Adjusted earnings per diluted share, excluding reportable catastrophes, **increased 17% to $5.56**, driven by operational growth and share repurchases[7](index=7&type=chunk) - Total net earned premiums, fees and other income from operating segments **increased 8% to $3.05 billion** compared to Q2 2024[7](index=7&type=chunk) [Segment Performance](index=3&type=section&id=Segment%20Performance) Both Global Lifestyle and Global Housing segments delivered strong Adjusted EBITDA growth in Q2 2025 [Global Lifestyle](index=3&type=section&id=Global%20Lifestyle) The segment's Adjusted EBITDA grew 6%, driven by strong performance in Connected Living and Global Automotive Global Lifestyle Q2 2025 Results | Metric | Q2'25 | Q2'24 | Change | | :--- | :--- | :--- | :--- | | Adjusted EBITDA | $201.4M | $189.7M | 6% | | Net earned premiums, fees and other income | $2,350.8M | $2,183.5M | 8% | - Adjusted EBITDA growth was primarily due to **Connected Living**, driven by global mobile protection and trade-in programs, with modest increases from Global Automotive[8](index=8&type=chunk) [Global Housing](index=3&type=section&id=Global%20Housing) Adjusted EBITDA surged 33%, benefiting from lower catastrophe losses and favorable non-catastrophe experience Global Housing Q2 2025 Results | Metric | Q2'25 | Q2'24 | Change | | :--- | :--- | :--- | :--- | | Adjusted EBITDA | $214.4M | $160.9M | 33% | | Adjusted EBITDA, ex. reportable catastrophes | $244.2M | $206.4M | 18% | | Net earned premiums, fees and other income | $697.7M | $633.6M | 10% | - The increase in Adjusted EBITDA (ex-catastrophes) was primarily due to **favorable non-catastrophe loss experience**, including $33.9 million of favorable prior period reserve development, and top-line growth[9](index=9&type=chunk) [Corporate and Other](index=3&type=section&id=Corporate%20and%20Other) The segment's Adjusted EBITDA loss widened by 10% due to higher employee expenses and lower investment income Corporate and Other Q2 2025 Results | Metric | Q2'25 | Q2'24 | Change | | :--- | :--- | :--- | :--- | | Adjusted EBITDA | $(29.8)M | $(27.2)M | (10)% | - The increased Adjusted EBITDA loss was driven by **higher employee-related expenses** and lower investment income[10](index=10&type=chunk) [Capital Management and Liquidity](index=4&type=section&id=Capital%20Management%20and%20Liquidity) The company maintained a strong capital position with $518 million in liquidity and returned $105 million to shareholders - Holding company liquidity was **$518 million** as of June 30, 2025, significantly above the targeted minimum of $225 million[11](index=11&type=chunk) - In Q2 2025, the company repurchased **319,000 shares for $62 million** and paid $43 million in dividends[11](index=11&type=chunk) - **$225 million remains** under the current share repurchase authorization as of August 1, 2025[11](index=11&type=chunk) [2025 Company Outlook](index=4&type=section&id=2025%20Company%20Outlook) Assurant raised its full-year 2025 outlook, expecting Adjusted EPS growth approaching 10% Updated 2025 Full-Year Outlook | Metric | 2024 Actual | 2025 Outlook | | :--- | :--- | :--- | | Adjusted EBITDA, ex. catastrophes | $1,569M | Mid- to high single-digit growth | | Adjusted earnings, ex. catastrophes, per diluted share | $20.35 | Approaching 10% growth | - Global Lifestyle Adjusted EBITDA is expected to increase, driven by growth in **Connected Living and Global Automotive**[12](index=12&type=chunk) - Global Housing Adjusted EBITDA, excluding reportable catastrophes, is projected to deliver **strong growth**[12](index=12&type=chunk) - Capital deployment priorities include maintaining a strong financial position, funding business growth, and **returning capital to shareholders**[12](index=12&type=chunk)[13](index=13&type=chunk) [Financial Statements](index=12&type=section&id=Financial%20Statements) The financial statements reflect year-over-year growth in revenues, net income, total assets, and equity [Consolidated Statement of Operations](index=12&type=section&id=Consolidated%20Statement%20of%20Operations) Total revenues increased to $3.16 billion, and net income rose to $235.3 million for the second quarter Q2 2025 Statement of Operations Highlights (in millions) | Line Item | Q2 2025 | Q2 2024 | | :--- | :--- | :--- | | Total revenues | $3,158.4 | $2,924.9 | | Total benefits, losses and expenses | $2,869.4 | $2,692.0 | | Income before provision for income taxes | $289.0 | $232.9 | | Net income | $235.3 | $188.7 | [Consolidated Condensed Balance Sheets](index=13&type=section&id=Consolidated%20Condensed%20Balance%20Sheets) Total assets grew to $35.53 billion and total equity increased to $5.50 billion as of June 30, 2025 Balance Sheet Highlights (in millions) | Account | June 30, 2025 | Dec 31, 2024 | | :--- | :--- | :--- | | Total assets | $35,525.9 | $35,020.6 | | Total liabilities | $30,027.4 | $29,913.9 | | Total equity | $5,498.5 | $5,106.7 | [Non-GAAP Financial Measures and Reconciliations](index=7&type=section&id=Non-GAAP%20Financial%20Measures%20and%20Reconciliations) This section provides definitions and reconciliations for non-GAAP metrics like Adjusted EBITDA and Adjusted EPS - Adjusted EBITDA is defined as net income excluding items such as **net realized investment gains/losses, interest expense, and taxes**[22](index=22&type=chunk) - Adjusted Earnings per Diluted Share excludes similar items to provide a measure of **stockholder value based on ongoing operations**[24](index=24&type=chunk) Reconciliation of GAAP Net Income to Adjusted EBITDA (Q2 2025, in millions) | Line Item | Amount | | :--- | :--- | | GAAP net income | $235.3 | | Less: Interest expense | $26.7 | | Less: Provision for income taxes | $53.7 | | Less: Depreciation expense | $35.9 | | Less: Amortization of purchased intangible assets | $15.1 | | Adjustments, pre-tax | $19.3 | | **Adjusted EBITDA** | **$386.0** | [Safe Harbor Statement](index=5&type=section&id=Safe%20Harbor%20Statement) This section outlines forward-looking statements and associated risks, directing investors to SEC filings - The report contains **forward-looking statements** based on current plans and expectations, which are not guarantees of future performance[17](index=17&type=chunk)[18](index=18&type=chunk) - Key risk factors that could cause actual results to differ include **general economic conditions, loss of significant clients, competitive pressures, and catastrophe losses**[18](index=18&type=chunk) - Investors are advised to refer to the risk factors identified in the company's most recent **Annual Report on Form 10-K and Quarterly Reports on Form 10-Q**[19](index=19&type=chunk)

Group 1 - The analyst has been actively analyzing publicly traded companies since COVID-19 in 2020, starting with Shell PLC and expanding to various companies across different industries, including ASML, Ahold Delhaize, ING, Samsung Electronics, and SoftBank [2] - The analyst possesses CPA qualifications from a Big Four firm, enabling a deep understanding of financial statements and the ability to assess risks and opportunities in companies [2] - The focus is on verifying company value and future expectations to identify potential investment opportunities [2] Group 2 - There is no current stock, option, or derivative position in any of the mentioned companies, nor plans to initiate such positions within the next 72 hours [3] - The article expresses the analyst's own opinions and is not compensated beyond contributions to Seeking Alpha [3] - Seeking Alpha emphasizes that past performance does not guarantee future results and that the views expressed may not reflect the platform's overall stance [4]

Core Viewpoint - Assurant, Inc. (AIZ) is trading at a discount compared to the Zacks Multi-line Insurance industry, with a forward price-to-earnings multiple of 1.85X, lower than the industry average of 2.56X, indicating potential investment opportunity [1] Financial Performance - Assurant has a market capitalization of $9.63 billion and an average trading volume of 0.5 million shares over the last three months [1] - Shares of Assurant have gained 14% over the past year, outperforming the industry growth of 6.4% and the Zacks S&P 500 composite's growth of 11.8%, but underperformed the Finance sector's return of 18.2% [3][7] - The Zacks Consensus Estimate for Assurant's 2025 revenues is $12.59 billion, reflecting a year-over-year improvement of 5.2% [4] Growth Projections - The consensus estimate for 2026 indicates an increase of 18.7% in earnings per share and 4.4% in revenues compared to 2024 estimates [4] - Assurant's earnings have grown 16.6% over the past five years, surpassing the industry average of 10.2% [4] Business Strategy - Assurant is focusing on expanding its capital-light businesses, which contribute 52% of segment revenues, and management expects this segment to continue growing in double digits over the long term [11] - The company is enhancing its Connected Living platform, particularly in mobile protection, which is expected to drive long-term growth [12][15] Operational Efficiency - Assurant's return on equity in the trailing 12 months was 15.4%, exceeding the industry average of 14.8%, indicating effective utilization of shareholders' funds [9] - The return on invested capital (ROIC) was 9.9%, significantly higher than the industry average of 2%, reflecting efficient fund utilization to generate income [10] Capital Management - Assurant has a solid capital management policy, with an approved dividend hike of 11% in November 2024, marking the 20th consecutive year of increases [16] - In Q1 2025, Assurant repurchased shares worth $62 million, with $287 million remaining under the current repurchase authorization [16] Future Outlook - The company expects adjusted EBITDA growth in its Global Housing and Global Lifestyle segments, driven by various factors including mobile device protection and financial services programs [13][14] - Assurant's focus on capital-light businesses and favorable growth estimates are expected to benefit the insurer in the long term [17][18]