Financial Performance - Total revenues for Q3 2025 increased by 6.4% to $438.5 million compared to $412.1 million in Q3 2024[120] - Net income for Q3 2025 rose by 70.0% to $58.3 million, up from $34.3 million in Q3 2024[120] - Net premiums and contract charges earned increased by 7.3% to $310.3 million for Q3 2025, compared to $289.1 million in Q3 2024[121] - Total net investment income increased by 5.8% to $119.6 million for Q3 2025, up from $113.0 million in Q3 2024[121] - Benefits, claims, and settlement expenses decreased by 10.6% to $171.0 million in Q3 2025, compared to $191.3 million in Q3 2024[121] - Operating expenses increased by 16.2% to $96.3 million for Q3 2025, reflecting investments in growth and higher incentives[121] - Book value per share increased by 11.7% to $35.31 as of September 30, 2025, compared to $31.60 a year earlier[120] Property & Casualty Segment - For the three months ended September 30, 2025, net premiums written in the Property & Casualty segment increased by 9.3% to $232.1 million compared to $212.3 million in the same period of 2024[150] - The net income for the Property & Casualty segment for the three months ended September 30, 2025, was $31.8 million, reflecting a 200.0% increase from $10.6 million in the prior year[151] - The combined ratio for the Property & Casualty segment improved to 87.8% for the three months ended September 30, 2025, compared to 91.4% in the same period of 2024[151] - Catastrophe losses decreased by 70.9% for the three months ended September 30, 2025, amounting to $9.9 million compared to $34.0 million in the prior year[150] - Net investment income for the Property & Casualty segment increased by 68.2% to $14.8 million for the three months ended September 30, 2025, compared to $8.8 million in the same period of 2024[150] Life & Retirement Segment - Life & Retirement segment net premiums written and contract deposits increased by 9.4% to $170.4 million for the three months ended September 30, 2025[163] - Net income for the Life & Retirement segment rose by 14.2% to $16.9 million for the three months ended September 30, 2025, primarily due to favorable benefits in the Life segment[163] - Net annuity contract deposits for the Retirement business increased by 9.3% to $138.6 million for the quarter[164] - Life insurance in force increased to $21.4 billion at quarter-end, reflecting strong persistency[165] - The company has $5.9 billion in annuity assets under management, including $2.2 billion in fixed annuities[165] Supplemental & Group Benefits Segment - The Supplemental & Group Benefits segment represented 18% of total revenues in 2024, indicating its significance in the overall revenue structure[168] - Supplemental & Group Benefits revenues for Q3 2025 were $75.6 million, a 4.4% increase from $72.4 million in Q3 2024[172] - Net premiums earned for Q3 2025 were $66.4 million, up 5.9% from $62.7 million in Q3 2024, while net investment income increased by 9.9% to $11.1 million[172] - Total sales for the three months ended September 30, 2025, increased by $4.7 million, with Individual Supplemental product sales rising 40.5% and Group Benefits products increasing 90.9%[174] - The benefits ratio for Supplemental & Group Benefits decreased by 5.1 percentage points to 30.9% in Q3 2025 compared to 36.0% in Q3 2024[172] Investment and Capital Management - The company has outstanding commitments of $23.0 million related to the purchase of transferable tax credits as of September 30, 2025[135] - The company issued $300.0 million in Senior Notes at a 4.70% interest rate, with proceeds used to repay existing debt and for general corporate purposes[198] - The company maintained a diversified fixed maturity securities portfolio with 4,018 investment positions[186] - The total corporate bonds amounted to $1.84 billion in fair value, with unrealized losses of $149.2 million[184] - The company held $1.3 billion in cash and liquid securities as of September 30, 2025, which could be rapidly liquidated under normal market conditions[202] Shareholder Returns - Total dividends paid to shareholders for the nine months ended September 30, 2025, was $42.9 million, with quarterly dividends of $0.35 per share approved in March, May, and September 2025[209] - The company repurchased 343,301 shares of common stock for a total cost of $13.9 million at an average price of $40.70 per share during the nine months ended September 30, 2025[210] Risk Management - Significant interest rate changes expose the company to potential losses or reduced income levels, impacting the difference between earned interest rates on investments and credited interest rates on liabilities[222] - The company manages market value risk by aligning projected cash inflows of assets with projected cash outflows of liabilities, maintaining reasonable durations for assets and liabilities[223] - The company aims to maximize income while ensuring investment quality, liquidity, and diversification in its asset management strategy[223] Ratings and Regulatory - The insurance financial strength ratings for HMEC's subsidiaries are all rated 'A' (stable) by A.M. Best, Fitch, and Moody's, with the parent company rated 'bbb' by A.M. Best and 'BBB' by Fitch[219] - The ratings assigned by agencies can affect the company's access to capital and cost of capital, impacting its competitive position[218] - The financial ratings are subject to change, which could influence the company's market strategies and investment decisions[218]

Shares of Horace Mann (HMN) have been strong performers lately, with the stock up 5.1% over the past month. The stock hit a new 52-week high of $48.33 in the previous session. Horace Mann has gained 19.2% since the start of the year compared to the 13.2% gain for the Zacks Finance sector and the 3.9% return for the Zacks Insurance - Multi line industry.What's Driving the Outperformance?The stock has an impressive record of positive earnings surprises, having beaten the Zacks Consensus Estimate in each of t ...

Financial Data and Key Metrics Changes - The company reported record third quarter core EPS of $1.36, a 64% increase over the prior year [4] - Trailing 12-month core return on equity increased to 13.8% [4] - Total revenues for the quarter were up 6% over the prior year, with net premiums and contract charges earned up over 7% [4][15] - Tangible book value per share increased more than 9%, reflecting strong underlying profitability [15] Business Line Data and Key Metrics Changes - In the Property and Casualty (P&C) segment, core earnings were $32 million, tripling year-over-year, with net written premiums of $232 million, a 9% increase [15][16] - The P&C reported combined ratio improved to 87.8%, reflecting much lower catastrophe costs [16] - In the Life and Retirement segment, core earnings were $15 million, in line with the prior year, and net written premiums and contract deposits rose to $170 million [17] - Supplemental and Group Benefits contributed $18 million to core earnings, with individual supplemental sales up 40% for the quarter [19][21] Market Data and Key Metrics Changes - The company experienced oversized growth in the supplemental and group benefits segment, with individual supplemental sales up 40% and group benefits nearly doubling [4][9] - Policyholder retention remained strong, with property retention nearly 89% and life persistency near 96% [17][18] Company Strategy and Development Direction - The company is focused on increasing its share of the education market and driving future growth through strategic partnerships and enhanced distribution [7][8] - Investments are being made in growth while maintaining expense discipline, with a goal to reduce the expense ratio by about one and a half points over the next three years [10][34] - The company is leveraging GenAI to enhance productivity and efficiency across operations [10][11] Management's Comments on Operating Environment and Future Outlook - Management raised full-year core EPS guidance to a range of $4.50-$4.70, reflecting strong year-to-date performance [5][14] - The company expects to continue to meet and exceed strategic objectives, delivering sustained market-leading growth and accelerating shareholder value creation [12][24] - Management noted that while this year has been favorable for catastrophe losses, it would not be prudent to assume similar conditions will repeat in the future [59][60] Other Important Information - The company plans to make a significant donation to the Horace Mann Educators Foundation in the fourth quarter, reflecting its commitment to supporting educators [14] - The company has returned $20 million to shareholders through share repurchases and $43 million through dividends [12] Q&A Session Summary Question: Organic policy account growth trajectory in P&C operations - Management noted that sales momentum is up across all business lines, with retention steady and individual supplemental sales up 41% [26][27] Question: EPS guidance and moving pieces - Management explained that the updated guidance reflects known expenses and the intent to continue investing in growth, with a normalized fourth quarter expected [30][31] Question: Supplemental and group benefits capabilities - Management indicated that they are making investments in lead generation and expanding distribution for group benefits, which is a newer area for the company [39][40] Question: Catastrophe losses and mitigation efforts - Management confirmed that this year has seen lower catastrophe losses due to effective mitigation efforts and a favorable weather year, but they do not expect this trend to continue into 2026 [53][54]

Financial Performance - Core earnings per share (EPS) increased by 64% year-over-year to $1.36[7] - The Property & Casualty (P&C) combined ratio improved by over 10 points year-over-year to 87.8%[7] - Core return on equity (ROE) was 13.8%[7] - The company repurchased $20 million of shares at an average purchase multiple of 1.06x adjusted book value year-to-date[8] - Total net investment income on the managed portfolio increased nearly 11% year-over-year[8] Growth & Revenue - Total revenues increased 6% year-over-year to $439 million[8] - Net premiums and contract charges earned increased 7% year-over-year[8] - Group new business sales were up 91% year-over-year[8] - Individual Supplemental new business sales were up 41% year-over-year[8] - Life new business sales were up 16% year-over-year[8] - Retirement deposits were up 9% year-over-year[8] - Property new business sales were up 8% year-over-year[8] - Auto new business sales were up 4% year-over-year[8] Portfolio & Investments - The investment portfolio has a fair value of $7.1 billion[13] - The fixed-maturity portfolio is $5.7 billion[14] - The commercial mortgage loan fund portfolio is $593 million[15] - The limited partnership portfolio is $545 million[15] Future Outlook - The company revised its full-year 2025 core EPS guidance to $4.50 to $4.70, representing core earnings of $187 million to $195 million[20] - The company is targeting a 10%+ increase in EPS through strong top-line premium and deposit growth[25] - The company is aiming for a 12%-13% core ROE[26]

分组1 - Horace Mann (HMN) reported quarterly earnings of $1.36 per share, exceeding the Zacks Consensus Estimate of $1.05 per share, and showing an increase from $0.76 per share a year ago [1][2] - The earnings surprise for the quarter was +29.52%, and the company has surpassed consensus EPS estimates in all four of the last quarters [2] - Revenues for the quarter were $438.5 million, surpassing the Zacks Consensus Estimate by 1.78%, and up from $412.1 million year-over-year [3] 分组2 - The stock has gained approximately 12.8% since the beginning of the year, compared to the S&P 500's gain of 16.5% [4] - The company's earnings outlook is crucial for investors, with current consensus EPS estimates at $1.22 for the coming quarter and $4.31 for the current fiscal year [5][8] - The Zacks Industry Rank for Insurance - Multi line is in the top 36% of over 250 Zacks industries, indicating a favorable industry outlook [9]

Financial Performance - Total revenues for Q3 2025 were $438.5 million, a 6.4% increase from $412.1 million in Q3 2024[3] - Net income for Q3 2025 reached $58.3 million, up 70.0% from $34.3 million in Q3 2024, resulting in a diluted EPS of $1.40[3][6] - Core earnings for Q3 2025 were $56.6 million, a 64.5% increase compared to $34.4 million in Q3 2024, with core EPS of $1.36[3][6] Guidance and Projections - Full-year 2025 core EPS guidance has been increased to a range of $4.50 to $4.70[5][6] - The company aims to achieve record annual core earnings and a double-digit shareholder return on equity by 2025[7] Book Value Metrics - Book value per share at the end of Q3 2025 was $35.31, an 11.7% increase from $31.60 in Q3 2024[3] - Adjusted book value per share was $39.51, up 7.1% from $36.89 in Q3 2024[3] - Tangible book value per share increased by more than 9%[6] Operational Efficiency - The Property & Casualty segment's combined ratio improved to 87.8%, more than 10 points better than the prior year[6] - Year-to-date results indicate strong profitability and sustained growth momentum across the diversified business[5][7]

Core Insights - Horace Mann Educators Corporation reported a third-quarter net income of $58.3 million, equating to $1.40 per share, indicating strong financial performance [1] - The company achieved record core earnings of $56.6 million, or $1.36 per share, showcasing its robust operational efficiency [1] Financial Performance - For the three months ended September 30, 2025, the diversified business model contributed to significant profitability [1] - The reported figures reflect a solid growth trajectory within the financial services sector, particularly focused on serving educators [1]

Group 1: Chevron - Chevron has a long history of increasing dividends, having raised them for 38 consecutive years [3] - The latest dividend hike on January 31 increased the quarterly payout by 5% to $1.71 per share, resulting in an annual figure of $6.84 per share [3] - The current dividend yield for Chevron is 4.37% [3] - As of June 30, Chevron's annual revenue was $187.74 billion, with Q2 2025 revenues reported at $44.82 billion, which was below the consensus estimate of $45.88 billion [4] - Chevron's EPS for Q2 2025 was $1.77, surpassing the consensus estimate of $1.70 [4] Group 2: Robert Half - Robert Half has consistently raised its dividends for the last 20 years [6] - The most recent dividend increase on February 12 raised the quarterly payout from $0.53 to $0.59 per share, equating to an annual figure of $2.36 per share [6] - The current dividend yield for Robert Half stands at 8.06% [6] - As of June 30, Robert Half's annual revenue was $5.57 billion, with Q3 2025 revenues reported at $1.35 billion, meeting Street estimates [7] Group 3: Horace Mann Educators - Horace Mann Educators provides various insurance products and financial services specifically designed for educators and their families [7]

Core Points - Horace Mann is the largest multiline financial services company focused on supporting educators and community service professionals in achieving lifelong financial success [1] - The company announced the winners of its 2025 Ready. Set. Inspire. Classroom Makeover Sweepstakes, with Lotus Elementary School in Spring Grove, Illinois winning the grand prize [1] - The grand prize includes a $25,000 classroom makeover, allowing the school to furnish a classroom with new furniture and innovative educational tools [1]

Core Points - Horace Mann Educators Corporation plans to release its third-quarter 2025 results on November 4, after market close [1] - The quarterly news release, investor supplement, and investor presentation will be available on the company's website [1] - Management will host a conference call on November 5 at 11:00 AM Eastern Time to discuss the financial results [1] - Investors can access the call via webcast [1]