Core Insights - Kemper reported $1.18 billion in revenue for Q4 2024, a year-over-year increase of 1.4%, with an EPS of $1.78 compared to $0.78 a year ago, indicating strong earnings growth [1] - The revenue exceeded the Zacks Consensus Estimate by 1.30%, while the EPS surprise was 28.99% above the consensus estimate [1] Financial Performance Metrics - Total Incurred Loss and LAE Ratio for Commercial Automobile Insurance was 78%, higher than the average estimate of 73.8% [4] - Total Incurred Loss and LAE Ratio for Personal Automobile Insurance was 68.4%, better than the average estimate of 70.6% [4] - Net investment income was reported at $103 million, below the average estimate of $111.69 million, reflecting a year-over-year decline of 1.5% [4] - Earned premiums totaled $1.08 billion, slightly above the estimated $1.06 billion, marking a 1.7% increase year-over-year [4] - Specialty Property & Casualty Insurance earned premiums reached $954.80 million, exceeding the estimate of $919.42 million, with a year-over-year increase of 10.3% [4] - Specialty Property & Casualty Insurance net investment income was $49.90 million, below the average estimate of $53.04 million, but showed a year-over-year increase of 17.1% [4] - Other income from Specialty Property & Casualty Insurance was $0.90 million, below the estimate of $1.10 million, reflecting a significant year-over-year decline of 30.8% [4] - Life and Health Insurance net investment income was $45.50 million, slightly below the estimate of $46.15 million, with a year-over-year decrease of 3.4% [4] - Earned premiums for Personal Automobile Insurance were $753.30 million, exceeding the estimate of $727.77 million, with a year-over-year increase of 7.7% [4] - Earned premiums for Commercial Automobile Insurance were $201.50 million, surpassing the estimate of $191.70 million, reflecting a year-over-year increase of 21.2% [4] - Total Life and Health Insurance revenue was $141.10 million, above the estimate of $138.83 million, indicating a year-over-year increase of 7.4% [4] - Earned premiums for Life and Health Insurance were $95.20 million, exceeding the estimate of $92.63 million, with a year-over-year increase of 13.3% [4] Stock Performance - Kemper's shares returned +2.2% over the past month, outperforming the Zacks S&P 500 composite's +1.7% change [3] - The stock currently holds a Zacks Rank 3 (Hold), suggesting it may perform in line with the broader market in the near term [3]

Group 1 - Kemper reported quarterly earnings of $1.78 per share, exceeding the Zacks Consensus Estimate of $1.38 per share, and showing a significant increase from $0.78 per share a year ago, resulting in an earnings surprise of 28.99% [1] - The company achieved revenues of $1.18 billion for the quarter ended December 2024, surpassing the Zacks Consensus Estimate by 1.30%, and showing a slight increase from $1.17 billion year-over-year [2] - Over the last four quarters, Kemper has surpassed consensus EPS estimates three times and topped consensus revenue estimates four times [2] Group 2 - The stock has underperformed the market, losing about 0.7% since the beginning of the year, while the S&P 500 has gained 2.7% [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 coming quarter is $1.46 on revenues of $1.21 billion, and for the current fiscal year, it is $5.99 on revenues of $5 billion [7] Group 3 - The Zacks Industry Rank indicates that the Insurance - Multi line sector is currently in the bottom 45% of over 250 Zacks industries, suggesting potential challenges for stock performance [8] - The trend of estimate revisions for Kemper is mixed, leading to a Zacks Rank 3 (Hold), indicating that shares are expected to perform in line with the market in the near future [6]

Fourth Quarter 2024 Earnings February 5, 2025 Earnings Call Presentation – 4Q 2024 Preliminary Matters Cautionary Statements Regarding Forward-Looking Information This presentation may contain or incorporate by reference information that includes or is based on forward-looking statements within the meaning of the safe-harbor provisions of the Private Securities Litigation Reform Act of 1995. We caution investors that these forward-looking statements are not guarantees of future performance, and actual resul ...

Financial Performance - Earned premiums for Q4 2024 were $1,081.8 million, a slight increase from $1,063.8 million in Q4 2023[8] - Total revenues for Q4 2024 reached $1,186.8 million, compared to $1,187.2 million in Q4 2023, indicating a marginal decline[8] - Net income attributable to Kemper Corporation for Q4 2024 was $97.4 million, up from $73.7 million in Q4 2023, representing a 32.5% increase[8] - Adjusted consolidated net operating income for Q4 2024 was $115.1 million, compared to $105.0 million in Q4 2023, reflecting a 9.5% growth[8] - Return on shareholders' equity for Q4 2024 was 14.0%, an increase from 10.8% in Q4 2023[8] - The company declared dividends of $0.31 per share for Q4 2024, consistent with the previous quarter and year[8] - The total net investment income for Q4 2024 was $103.0 million, slightly down from $104.6 million in Q4 2023[8] - Adjusted net operating income per share for Q4 2024 was $1.81, compared to $1.63 in Q4 2023, marking an increase of 11.0%[8] - The company reported a total of $4,215.9 million in earned premiums for the year ended December 31, 2024, down from $4,529.4 million in 2023[8] - Total revenues for the year ended December 31, 2024, reached $4,638.6 million, compared to $4,944.2 million for the previous year[13] - Net income attributable to Kemper Corporation for the year ended December 31, 2024, was $312.5 million, compared to a net loss of $272.3 million in 2023[18] Assets and Liabilities - Total assets as of December 31, 2024, are $12,630.4 million, a decrease of 1.9% from $12,742.7 million in December 31, 2023[11] - The total liabilities of Kemper Corporation were $9,846.1 million as of December 31, 2024, a decrease from $10,102.6 million at September 30, 2024, indicating a reduction of about 2.5%[16] - Insurance reserves decreased to $5,811.6 million from $6,102.9 million year-over-year, reflecting a decline of 4.8%[11] - Shareholders' equity increased to $2,788.4 million, up 11.3% from $2,505.2 million in December 31, 2023[11] - Debt remained stable at $1,391.6 million, showing minimal change compared to $1,389.2 million in December 31, 2023[11] - Debt to total capitalization ratio is at 33.3%, slightly down from 35.7% in the previous year[11] Investment Performance - The company reported a net realized investment gain of $19.7 million for the three months ended September 30, 2024, compared to a loss of $30.3 million in the previous quarter[13] - The company experienced a net realized investment loss of $13.2 million for the year ended December 31, 2024, compared to a gain of $18.6 million in 2023[18] - Total investment income for the year ended December 31, 2024, was $447.1 million, compared to $419.7 million for the year ended December 31, 2023, a growth of 6.5%[50] - The company reported a net realized investment gain of $4.0 million in Q4 2024, compared to a loss of $30.3 million in Q4 2023[50] Segment Performance - Total Specialty Property & Casualty Insurance Revenues for Q4 2024 reached $1,006.2 million, an increase from $909.8 million in Q4 2023, representing a growth of 10.6% year-over-year[26] - Personal Automobile earned premiums for Q4 2024 were $753.3 million, up from $699.3 million in Q4 2023, reflecting a growth of 7.7%[26] - Commercial Automobile earned premiums increased to $201.5 million in Q4 2024, compared to $166.3 million in Q4 2023, marking a significant rise of 21.2%[26] - Life Insurance total revenues for Q4 2024 amounted to $141.1 million, up from $131.4 million in Q4 2023, showing an increase of 7.0%[26] - Specialty Property & Casualty Insurance segment reported adjusted operating income of $126.7 million for Q4 2024, up from $56.6 million in Q4 2023, representing a significant increase of 124% year-over-year[28] - Life Insurance segment achieved adjusted operating income of $28.4 million in Q4 2024, compared to $19.9 million in Q4 2023, reflecting a growth of 42%[28] Operational Efficiency - The combined ratio for the quarter improved to 90.8%, down from 99.5% in the same quarter of the previous year, indicating better operational efficiency[41] - The underlying combined ratio was 91.7%, reflecting a slight improvement from 91.3% in the previous quarter[36] - The insurance expense ratio for the current year was 21.7%, slightly up from 21.2% in the previous quarter[36] Catastrophe and Loss Events - The company reported a total of 6 catastrophe events in Q4 2024 with incurred losses of $1.9 million, compared to 6 events and $2.5 million in losses in Q4 2023[30] - The number of non-core operations events decreased from 7 in Q4 2023 to 6 in Q4 2024, with total losses of $5.4 million in Q4 2024[30] - The total losses and LAE for the Non-Core Operations segment in 2024 were $65.3 million, an increase from $96.7 million in 2023[33] Shareholder Metrics - Average shareholders' equity increased to $2,780.9 million in Q4 2024 from $2,722.3 million in Q3 2024, representing a 2.1% growth[70] - Adjusted shareholders' equity for Q4 2024 was $1,819.7 million, compared to $1,767.0 million in Q3 2024, marking a 3.0% increase[70] - The adjusted book value per share rose to $29.04 in Q4 2024 from $27.88 in Q3 2024, reflecting a 4.2% increase[75] Future Outlook - The company expects continued growth in earned premiums and net investment income for the upcoming quarters[36]

Company Overview - Kemper (KMPR) currently holds a Momentum Style Score of B, indicating a positive momentum outlook [3] - The company has a Zacks Rank of 2 (Buy), suggesting strong potential for outperformance in the market [4][12] Price Performance - Over the past week, Kemper's shares increased by 0.52%, while the Zacks Insurance - Multi line industry rose by 2.46% [7] - In a longer time frame, Kemper's monthly price change is 12.67%, significantly outperforming the industry's 3.57% [7] - Over the past quarter, Kemper shares have risen by 13.08%, and over the last year, they have increased by 65.75%, compared to the S&P 500's gains of 7.52% and 33.61%, respectively [8] Trading Volume - The average 20-day trading volume for Kemper is 429,546 shares, which serves as a baseline for price-to-volume analysis [9] Earnings Outlook - In the last two months, three earnings estimates for Kemper have been revised upwards, while none have been lowered, leading to an increase in the consensus estimate from $5.17 to $5.36 [11] - For the next fiscal year, two estimates have also moved upwards with no downward revisions [11]

Financial Data and Key Metrics Changes - The company reported net income of $74 million, with a return on equity (ROE) of approximately 11% and an adjusted ROE of about 17% [10][15] - The underlying combined ratio for Specialty P&C improved to 91.3%, indicating a significant year-over-year improvement [10][16] - Net investment income for the quarter was $111 million, with a pre-tax equivalent annualized book yield of 4.8% [21] Business Line Data and Key Metrics Changes - Specialty Auto business generated sequential quarter policy in force (PIF) growth in the mid-single digits, with a combined ratio of 91.2% for private passenger auto and 91.8% for commercial auto [9][23] - The Life segment maintained stable underlying operating results, with strong return on capital and distributable cash flows [29] Market Data and Key Metrics Changes - The company observed increased consumer shopping behavior, leading to higher demand for its products, particularly in the Specialty Auto segment [9][11] - The company anticipates ongoing growth in California, Florida, and Texas, with expectations for smaller markets to show higher growth levels as re-expansion efforts take hold [27] Company Strategy and Development Direction - The company plans to fully retire $450 million of debt due in February, which will strengthen its balance sheet and increase financial flexibility [12][20] - The management emphasized a focus on sustainable long-term profitable growth, leveraging competitive advantages in a hard market [30][43] Management's Comments on Operating Environment and Future Outlook - Management noted that the hard market conditions are expected to persist, providing opportunities for profitable growth [9][28] - The company expressed confidence in its ability to grow profitably, despite historical patterns of reduced shopping in the second half of the year [67] Other Important Information - Total catastrophe losses for the third quarter were approximately $16 million, with minimal impact on financials from recent catastrophic events [13] - The company repurchased $25 million in shares during the quarter and has approximately $136 million of authorized share repurchases remaining [12][20] Q&A Session Summary Question: Can you provide details on the hard market conditions in different states? - Management explained that California is experiencing faster growth than Florida and Texas, which are returning to a more normal competitive dynamic [35][40] Question: How does the company plan to balance debt retirement with growth capital needs? - The company intends to retire the debt using holding company cash and investments, while maintaining sufficient capital for future growth [44][45] Question: What is the outlook for investment income? - The company expects a run rate of around $105 million to $107 million per quarter for investment income, barring significant volatility [60] Question: Are there any significant changes in the competitive environment? - Management indicated that there has not been a meaningful shift in capacity going to residual markets, but they are monitoring potential impacts from price increases [61] Question: What are the trends in frequency and severity in commercial auto? - The company reported favorable frequency trends, contributing to lower underlying combined ratios, with no significant changes in severity patterns [70][64]

Core Insights - Kemper reported $1.18 billion in revenue for Q3 2024, a year-over-year decline of 3.7%, but exceeded the Zacks Consensus Estimate of $1.12 billion by 5% [1] - The company achieved an EPS of $1.62, a significant improvement from -$0.44 a year ago, resulting in an EPS surprise of 24.62% against the consensus estimate of $1.30 [1] Revenue and Earnings Performance - Specialty Property & Casualty Insurance - Commercial Automobile Insurance incurred loss and LAE ratio was 74.9%, slightly above the average estimate of 74.2% [3] - Specialty Property & Casualty Insurance - Personal Automobile Insurance incurred loss and LAE ratio was 69.4%, better than the average estimate of 71.5% [3] - Life and Health Insurance earned premiums were $100.60 million, exceeding the average estimate of $98.29 million, representing a year-over-year decline of 1.5% [3] - Specialty Property & Casualty Insurance earned premiums totaled $919 million, surpassing the average estimate of $858.84 million, reflecting a year-over-year increase of 3.2% [3] - Net investment income was reported at $111.10 million, exceeding the average estimate of $99.24 million, with a year-over-year increase of 36.2% [3] - Specialty Property & Casualty Insurance other income was $1.40 million, slightly above the estimated $1.10 million, but down 12.5% year-over-year [3] - Personal Automobile earned premiums were $731.30 million, exceeding the estimate of $687.91 million, with a year-over-year increase of 1% [3] - Commercial Automobile earned premiums were $187.70 million, surpassing the estimate of $178.96 million, reflecting a year-over-year increase of 12.8% [3] - Specialty Property & Casualty Insurance total revenue was $972.60 million, exceeding the average estimate of $915.42 million, with a year-over-year increase of 4% [3] - Overall earned premiums were $1.07 billion, above the average estimate of $1.02 billion, but down 4.4% year-over-year [3] - Life and Health Insurance net investment income was $50.30 million, exceeding the estimate of $38 million, with a year-over-year increase of 1.8% [3] Stock Performance - Kemper shares returned 4.6% over the past month, outperforming the Zacks S&P 500 composite's 1.8% change [3] - The stock currently holds a Zacks Rank 3 (Hold), indicating potential performance in line with the broader market in the near term [3]

Third Quarter 2024 Earnings October 30, 2024 KEMPER Earnings Call Presentation – 3Q 2024 Preliminary Matters Cautionary Statements Regarding Forward-Looking Information This presentation may contain or incorporate by reference information that includes or is based on forward-looking statements within the meaning of the safe-harbor provisions of the Private Securities Litigation Reform Act of 1995. We caution investors that these forward-looking statements are not guarantees of future performance, and actual ...

Kemper (KMPR) came out with quarterly earnings of $1.62 per share, beating the Zacks Consensus Estimate of $1.30 per share. This compares to loss of $0.44 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of 24.62%. A quarter ago, it was expected that this insurance holding company would post earnings of $1.19 per share when it actually produced earnings of $1.42, delivering a surprise of 19.33%.Over the last four quarters, the com ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 ______________________________________________________ FORM 10-Q ______________________________________________________ ☒ Quarterly Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 For the Quarterly Period Ended 9/30/2024 OR ☐ Transition Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 For the Transition Period from to Commission file number 001-18298 ____________________________ ...