The Allstate Corporation (ALL) reported third-quarter 2024 adjusted net income of $3.91 per share, which outpaced the Zacks Consensus Estimate by a whopping 77.7%. The bottom line increased nearly five-fold year over year.Operating revenues advanced 12.3% year over year to $16.4 billion on the back of higher earned premiums from Property-Liability unit. The top line beat the consensus mark by 0.9%.The quarterly results benefited from strong growth in earned premiums, improved underwriting income and robust ...

Financial Data and Key Metrics Changes - Total revenues for Q3 2024 reached $16.6 billion, an increase of 14.7% compared to the same quarter last year [7][11] - Net income was reported at $1.2 billion, with adjusted net income of $3.91 per share, and a return on equity of 26.1% over the last 12 months [7][12] Business Line Data and Key Metrics Changes - Property-Liability earned premiums increased by 11.6% to $13.7 billion, driven by higher average premiums [16] - Underwriting income improved significantly to $495 million, up $909 million from the prior year quarter [16] - The homeowners insurance segment saw a 10.8% increase in written premiums, with a combined ratio of 98.2, resulting in $60 million of underwriting income [24][25] Market Data and Key Metrics Changes - The overall policies in force declined by 1.5%, with customer retention at 84.7%, slightly below the prior year [27] - New issued applications increased by 26%, helping to offset retention losses [27] Company Strategy and Development Direction - The company aims to increase its market share in personal Property-Liability and expand customer protection offerings [6] - A focus on building a low-cost digital insurer is part of the transformative growth initiatives [9] - The acquisition of National General has been successful, doubling its size and enhancing competitive positioning [14] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in improving retention and new business levels, with expectations of less aggressive rate increases in the future [56][57] - The competitive landscape includes aggressive advertising from major players, but there are opportunities due to smaller competitors lacking resources [55] Other Important Information - The company is in the process of selling its Employer Voluntary Benefits business for $2 billion, expected to close in the first half of 2025 [48][49] - The Protection Plans business reported revenues of $512 million, a 23.1% increase year-over-year, driven by growth in international markets [46] Q&A Session Summary Question: Confidence in auto business PIF growth and competitor behavior - Management refrained from providing specific growth projections but emphasized the strategy to grow market share and improve retention [54][56] Question: Impact of agent compensation changes on retention - Retention in the agency channel is up year-over-year, with price increases being the primary factor affecting overall retention [72] Question: Homeowners business growth despite rate increases - The homeowners segment is performing well due to effective underwriting and bundling strategies, with growth opportunities identified in less competitive markets [75][81] Question: Renewal ratios and impact of new business on retention - New business tends to have lower renewal rates initially, but current volumes are not significant enough to impact overall retention meaningfully [90] Question: Combined ratio and growth strategy in auto insurance - Management believes the auto profit improvement plan has been successful, allowing for increased advertising and growth investments [99] Question: Geographic opportunities for homeowners insurance growth - The company is focusing on growth in the middle part of the country, avoiding states like Florida and California where the market is challenging [104][105]

| --- | --- | --- | --- | |------------------------------------------------------------------------------|-------|-------|-------| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | 10.31.2024 The Allstate Corporation Third Quarter 2024 Earnings Presentation | | | | | | | | | | | | | | | | | | | | | | | | | | | | | Forward-looking statements and non-GAAP financial information This presentation contains forward-looking statements and information. This presentation also contains non- GAAP measures ...

Allstate (ALL) reported $16.38 billion in revenue for the quarter ended September 2024, representing a year-over-year increase of 12.4%. EPS of $3.91 for the same period compares to $0.81 a year ago.The reported revenue represents a surprise of +0.88% over the Zacks Consensus Estimate of $16.24 billion. With the consensus EPS estimate being $2.20, the EPS surprise was +77.73%.While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to determin ...

Allstate (ALL) came out with quarterly earnings of $3.91 per share, beating the Zacks Consensus Estimate of $2.20 per share. This compares to earnings of $0.81 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of 77.73%. A quarter ago, it was expected that this insurer would post earnings of $0.33 per share when it actually produced earnings of $1.61, delivering a surprise of 387.88%.Over the last four quarters, the company has sur ...

Financial Performance - Total revenues for Q3 2024 were $16.627 billion, compared to $14.497 billion in Q3 2023, representing a 14.7% increase[9] - Net income attributable to Allstate for Q3 2024 was $1.190 billion, a significant improvement from a net loss of $5 million in Q3 2023[9] - Earnings per common share (diluted) for Q3 2024 were $4.33, compared to a loss of $0.16 per share in Q3 2023[9] - Comprehensive income attributable to Allstate for Q3 2024 was $2.460 billion, a significant turnaround from a loss of $659 million in Q3 2023[10] - Net income for the nine months ended September 30, 2024, was $2,709 million, a significant improvement from a net loss of $1,700 million in the same period of 2023[16] - Net income for Q3 2024 was $1.164 billion, compared to a net loss of $4 million in Q3 2023[21] - Net income for the nine months ended September 30, 2024, was $2.709 billion, compared to a net loss of $1.7 billion for the same period in 2023[21] - Basic earnings per share for Q3 2024 were $4.39, compared to a loss of $0.16 per share in Q3 2023[21] - Diluted earnings per share for Q3 2024 were $4.33, compared to a loss of $0.16 per share in Q3 2023[21] - Consolidated net income applicable to common shareholders was $1.16 billion in Q3 2024, compared to a loss of $41 million in Q3 2023, primarily due to improved underwriting results[141] - Total revenues increased 14.7% to $16.63 billion in Q3 2024 compared to the same period in 2023, driven by premium rate increases and higher realized capital gains[142] - Net investment income increased $94 million to $783 million in Q3 2024, primarily due to higher market-based investment results[143] - Allstate shareholders' equity increased to $20.88 billion as of September 30, 2024, from $17.77 billion as of December 31, 2023, driven by net income and unrealized net capital gains[144] - Book value per diluted common share increased 47.2% to $70.35 as of September 30, 2024, compared to $47.79 as of September 30, 2023[145] - Return on average Allstate common shareholders' equity for the twelve months ended September 30, 2024 was 26.1%, up from (14.7)% for the same period in 2023[145] Insurance Premiums and Claims - Property and casualty insurance premiums increased to $14.333 billion in Q3 2024, up 11.6% from $12.839 billion in Q3 2023[9] - Property and casualty insurance claims and claims expense increased slightly to $10.409 billion in Q3 2024, up 1.7% from $10.237 billion in Q3 2023[9] - Total Property-Liability insurance premiums increased to $13.694 billion in Q3 2024, up from $12.270 billion in Q3 2023[29] - Auto insurance premiums grew to $9.270 billion in Q3 2024, a 11.1% increase from $8.345 billion in Q3 2023[29] - Homeowners insurance premiums rose to $3.403 billion in Q3 2024, up 14.6% from $2.969 billion in Q3 2023[29] - Property and casualty insurance premiums increased to $14.33 billion in Q3 2024, up from $12.84 billion in Q3 2023, reflecting a growth of 11.6%[146] - Premiums written in Q3 2024 increased by 10.5% to $14.71 billion compared to $13.30 billion in Q3 2023[147] - Total premiums written for Q3 2024 were $14.707 billion, up from $13.304 billion in Q3 2023, while total premiums earned were $13.694 billion, up from $12.270 billion in Q3 2023[153] - Auto insurance premiums written increased by 8.8% or $769 million in Q3 2024 compared to Q3 2023, and by 11.0% or $2.79 billion in the first nine months of 2024 compared to the same period in 2023[159] - Homeowners insurance premiums written increased by 15.5% or $548 million in Q3 2024 compared to Q3 2023, driven by higher average premiums and policy growth[160] - Other personal lines premiums written increased by 20.9% or $141 million in Q3 2024 compared to Q3 2023, primarily due to increases in involuntary auto policies and landlords policies[161] - Commercial lines premiums written decreased by 25.7% or $36 million in Q3 2024 compared to Q3 2023, due to strategic decisions to stop writing new business and non-renew certain policies[161] - Premiums earned rose by $1,424 million (11.6%) to $13,694 million for the three months ended September 30, 2024, compared to $12,270 million in 2023[172] - Premiums written increased 3.0% or $20 million in Q3 2024 compared to Q3 2023, driven by growth at Allstate Protection Plans[179] - Premiums and contract charges increased 5.2% or $24 million in Q3 2024 and 4.4% or $60 million in the first nine months of 2024 compared to the same periods in 2023, primarily due to growth in individual health and group health[183] Investment Performance - Net investment income rose to $783 million in Q3 2024, a 13.6% increase from $689 million in Q3 2023[9] - Unrealized net capital gains and losses improved to $1.299 billion in Q3 2024, compared to a loss of $667 million in Q3 2023[10] - Total investments grew to $73,602 million in Q3 2024, up from $66,677 million at the end of 2023[12] - Fixed income securities at fair value increased to $53,961 million in Q3 2024, up from $48,865 million at the end of 2023[12] - Net investment income for Property-Liability increased to $708 million in Q3 2024, compared to $627 million in Q3 2023[29] - Total fixed income securities portfolio grew to $53.961 billion as of September 30, 2024, up from $48.865 billion at December 31, 2023[30] - Net investment income for the three months ended September 30, 2024, was $783 million, compared to $689 million in the same period in 2023, representing a 13.6% increase[31] - Fixed income securities generated $587 million in investment income for the three months ended September 30, 2024, up from $457 million in the same period in 2023, a 28.4% increase[31] - Equity securities investment income for the three months ended September 30, 2024, was $17 million, compared to $15 million in the same period in 2023, a 13.3% increase[31] - Net gains on investments and derivatives for the three months ended September 30, 2024, were $243 million, compared to a net loss of $86 million in the same period in 2023[33] - Gross realized gains for the three months ended September 30, 2024, were $201 million, compared to $11 million in the same period in 2023, a significant increase[35] - Credit losses recognized in net income for the three months ended September 30, 2024, were $12 million, compared to $19 million in the same period in 2023, a 36.8% decrease[36] - Unrealized net capital gains and losses included in accumulated other comprehensive income as of September 30, 2024, were $361 million after-tax, compared to a loss of $604 million as of December 31, 2023[37] - The fair value of short-term investments as of September 30, 2024, was $6.99 billion, compared to $5.14 billion as of December 31, 2023, a 36.0% increase[41] - The carrying value of limited partnership interests as of September 30, 2024, was $8.925 billion, compared to $8.380 billion as of December 31, 2023, a 6.5% increase[40] - Other investments as of September 30, 2024, totaled $866 million, compared to $1.055 billion as of December 31, 2023, a 17.9% decrease[43] - The company's credit loss allowance for fixed income securities as of September 30, 2024, was $22 million, compared to $37 million as of December 31, 2023[47] - Corporate bonds accounted for the largest portion of the credit loss allowance at $18 million as of September 30, 2024, down from $34 million as of December 31, 2023[47] - Total unrealized losses on fixed income securities as of September 30, 2024, were $629 million, with $558 million attributed to investment grade securities and $71 million to below investment grade securities[50] - U.S. government and agency securities had unrealized losses of $41 million as of September 30, 2024, a decrease from $119 million as of December 31, 2023[48] - Municipal bonds had unrealized losses of $96 million as of September 30, 2024, down from $152 million as of December 31, 2023[48] - The company's accrued interest excluded from the amortized cost of fixed income securities totaled $560 million as of September 30, 2024, up from $495 million as of December 31, 2023[45] - The company recorded $10 million in credit losses on securities for which credit losses were not previously reported during the nine months ended September 30, 2024[47] - Write-offs of fixed income securities totaled $18 million during the nine months ended September 30, 2024[47] - The company's portfolio monitoring process includes a quarterly review of all securities to identify potential credit losses using all reasonably available information[46] - The company's evaluation of credit losses for fixed income securities considers factors such as the financial condition and future earnings potential of the issue or issuer[46] - Mortgage loans with a debt service coverage ratio below 1.0 totaled $13 million as of September 30, 2024, primarily due to temporary cash flow decreases or risk-mitigating circumstances[53] - The amortized cost of mortgage loans before allowance was $776 million as of September 30, 2024, with an allowance of $(11) million, resulting in a net amortized cost of $765 million[52] - Bank loans with a credit rating of NAIC 4 / B had the highest amortized cost before allowance at $119 million as of September 30, 2024[56] - The credit loss allowance for bank loans decreased by $5 million during the nine months ended September 30, 2024, primarily due to reductions related to sales[56] - The ending balance of the credit loss allowance for mortgage loans remained unchanged at $(11) million for both the three and nine months ended September 30, 2024[54] - The amortized cost of bank loans before allowance was $198 million as of September 30, 2024, with an allowance of $(11) million, resulting in a net amortized cost of $187 million[56] - The company uses a probability of default and loss given default model to estimate credit losses for mortgage and bank loans, considering historical losses, prepayments, and economic factors[51] - The debt service coverage ratio is a key credit quality indicator for mortgage loans, updated annually or more frequently based on the company's credit monitoring process[51] - Bank loans are evaluated individually using methods such as the present value of expected future repayment cash flows discounted at the loan's current effective interest rate[54] - The company categorizes assets and liabilities recorded at fair value into three levels based on the observability of inputs used in valuation techniques[57] - Fixed income securities total $53.961 billion, with U.S. government and agencies at $9.246 billion, municipal at $8.258 billion, corporate - public at $24.320 billion, corporate - privately placed at $9.476 billion, foreign government at $1.477 billion, and ABS at $1.184 billion[65] - Equity securities total $1.941 billion, with Level 1 at $1.295 billion, Level 2 at $238 million, and Level 3 at $408 million[65] - Short-term investments total $6.994 billion, with Level 1 at $2.771 billion, Level 2 at $4.221 billion, and Level 3 at $2 million[65] - Other investments total $2 million, with Level 2 at $1 million and Level 3 at $2 million[65] - Assets held for sale total $1.718 billion, with Level 1 at $177 million, Level 2 at $1.534 billion, and Level 3 at $7 million[65] - Total recurring basis assets amount to $64.741 billion, with Level 1 at $13.484 billion, Level 2 at $50.535 billion, and Level 3 at $723 million[65] - Non-recurring basis assets total $1 million, all classified as Level 3[65] - Investments reported at NAV total $1.124 billion, excluded from the fair value hierarchy[65] - The company has commitments to invest $161 million in limited partnership interests as of September 30, 2024[64] - Total liabilities at fair value amount to $9 million, with Level 1 at $9 million and Level 2 at $16 million, offset by counterparty and cash collateral netting of $16 million[65] - Total fixed income securities at fair value as of December 31, 2023, amounted to $48.865 billion, with Level 1 assets at $8.606 billion (21.2%), Level 2 assets at $40.106 billion (77.6%), and Level 3 assets at $153 million (1.2%)[66] - Level 3 fixed income securities increased from $153 million as of December 31, 2023, to $181 million as of September 30, 2024, driven by purchases and transfers[67][68] - Equity securities at fair value as of December 31, 2023, totaled $2.261 billion, with Level 1 assets at $1.656 billion, Level 2 assets at $203 million, and Level 3 assets at $402 million[66] - Total recurring Level 3 assets increased from $676 million as of December 31, 2023, to $723 million as of September 30, 2024, primarily due to gains in equity securities and other assets[67][68] - Short-term investments at fair value as of December 31, 2023, were $5.144 billion, with Level 1 assets at $1.676 billion, Level 2 assets at $3.467 billion, and Level 3 assets at $1 million[66] - Municipal fixed income securities at fair value as of December 31, 2023, were $6.006 billion, with Level 2 assets at $5.995 billion and Level 3 assets at $11 million[66] - Corporate - public fixed income securities at fair value as of December 31, 2023, were $23.298 billion, with Level 2 assets at $23.272 billion and Level 3 assets at $26 million[66] - ABS (Asset-Backed Securities) at fair value as of December 31, 2023, were $1.745 billion, with Level 2 assets at $1.687 billion and Level 3 assets at $58 million[66] - Total assets at fair value as of December 31, 2023, were $56.409 billion, with Level 1 assets at $11.941 billion (21.2%), Level 2 assets at $43.779 billion (77.6%), and Level 3 assets at $691 million (1.2%)[66] - Investments reported at NAV (Net Asset Value) as of December 31, 2023, totaled $1.165 billion, contributing to the total assets of $57.574 billion[66] - Total recurring Level 3 assets increased from $625 million to $647 million during the nine-month period ended September 30, 2023, driven by purchases and net gains[69] - Equity securities under Level 3 assets grew from $333 million to $383 million, with net gains of $22 million included in net income over the nine-month period[70] - Fixed income securities under Level 3 assets decreased from $173 million to $133 million, primarily due to sales and losses, including a $9 million net loss in net income[70] - Net gains (losses) on investments and derivatives for Level 3 assets totaled $16 million for the three months ended September 30, 2023, and $15 million for the nine-month period[70] - Total Level 3 gains included in net income for the nine months ended September 30, 2023, were $19 million, with equity securities contributing $21 million[71] - Mortgage loans classified as Level 3 financial assets had a fair value of $736 million as of September 30, 2024, compared to $769 million as of December 31, 2023[72] - Bank loans under Level 3 financial assets increased in fair value from $238 million to $197 million as of September 30, 2024[72] - Contractholder funds on investment contracts classified as Level 3 liabilities decreased to $0 as of September 30, 2024, from $46 million as of December 31, 2023[72] - Debt classified as Level 2 liabilities had a fair value of $8,027 million as of September 30, 2024, compared to $7,655 million as of December 31, 2023[72] -

(1) FOR IMMEDIATE RELEASE Contacts: Nick Nottoli Allister Gobin Media Relations Investor Relations (847) 402-5600 (847) 402-2800 Allstate Reports Third Quarter 2024 Results Generates excellent returns despite higher catastrophe losses NORTHBROOK, Ill., October 30, 2024 – The Allstate Corporation (NYSE: ALL) today reported financial results for the third quarter of 2024. | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | |-------------------------------------------------------------------------|-- ...

MARKHAM, Ontario, Oct. 29, 2024 (GLOBE NEWSWIRE) -- Winter weather in Canada can present drivers with unique and challenging conditions. In fact, recent collision claims data from Allstate Insurance Company of Canada (“Allstate”) reveals December, January, and November are respectively the top three highest volume months for insurance claims due to a collision. Friday afternoons in December are particularly problematic when the company analyzed its data from the last two years. It’s possible the increase in ...

The Allstate Corporation (ALL) is set to report third-quarter 2024 results on Oct. 30, 2024, after the closing bell. The Zacks Consensus Estimate for the to-be-reported quarter's earnings is currently pegged at $2.20 per share on revenues of $16.24 billion. Stay up-to-date with all quarterly releases: See Zacks Earnings Calendar. The third-quarter earnings estimate has witnessed downward revisions over the past 60 days. However, the bottom-line projection indicates a year-over-year surge of 171.6%. The Zack ...

The upcoming report from Allstate (ALL) is expected to reveal quarterly earnings of $2.20 per share, indicating an increase of 171.6% compared to the year-ago period. Analysts forecast revenues of $16.24 billion, representing an increase of 11.4% year over year.The consensus EPS estimate for the quarter has been revised 0.3% higher over the last 30 days to the current level. This reflects how the analysts covering the stock have collectively reevaluated their initial estimates during this timeframe.Prior to ...