Assurant(US:AIZ)2025-11-04 21:20Financial Performance - GAAP net income for Q3 2025 increased 99% to $265.6 million compared to $133.8 million in Q3 2024[6] - Adjusted EBITDA rose 75% to $431.5 million in Q3 2025, with a 13% increase to $433.5 million when excluding reportable catastrophes[6] - Adjusted earnings per diluted share, excluding reportable catastrophes, increased 13% to $5.76 compared to $5.08 in Q3 2024[6] - GAAP net income for Q3 2025 was $265.6 million, compared to $133.8 million in Q3 2024, representing a 98.5% increase[26] - Adjusted EBITDA for Q3 2025 reached $431.5 million, up from $246.9 million in Q3 2024, indicating a 74.7% growth[26] - Adjusted earnings per diluted share for Q3 2025 reached $5.73, up from $3.00 in Q3 2024, representing a 91.0% increase[30] - Total revenues for Q3 2025 were $3,231.5 million, compared to $2,967.7 million in Q3 2024, reflecting an 8.9% increase[30] - Net earned premiums for Q3 2025 were $2,627.2 million, up 8.7% from $2,417.2 million in Q3 2024[30] Segment Performance - Global Housing adjusted EBITDA increased 177% to $256.3 million in Q3 2025, with net earned premiums rising 16% to $702.9 million[8] - Global Lifestyle adjusted EBITDA grew 12% to $206.8 million in Q3 2025, driven by double-digit earnings growth across Connected Living and Global Automotive[7] - Adjusted EBITDA for the Lifestyle segment in Q3 2025 was $206.8 million, while the Housing segment reported $256.3 million[26] Growth Expectations - The company expects low double-digit growth in adjusted earnings per share and adjusted EBITDA growth approaching 10% for the full year 2025, both excluding reportable catastrophes[4] - The company anticipates a corporate and other adjusted EBITDA loss of approximately $120 million for 2025[14] Capital Management - Share repurchases and common stock dividends totaled $122 million in Q3 2025, with approximately 398 thousand shares repurchased for $81 million[11] - Capital deployment priorities include maintaining a strong financial position, supporting business growth through investments and M&A, and returning capital to shareholders[18] - Common stock dividends per share increased to $0.80 in Q3 2025 from $0.72 in Q3 2024[30] Financial Position - The holding company liquidity position was $613 million as of September 30, 2025, exceeding the targeted minimum level by $388 million[11] - Total assets as of September 30, 2025, were $35,782.1 million, compared to $35,020.6 million at the end of 2024[31] - Policyholder benefits and claims payable decreased to $2,722.1 million from $3,450.9 million at the end of 2024[31] Economic Outlook - The company continues to monitor macroeconomic conditions, including tariffs, which may impact future performance[18] - Assurant's financial outlook remains cautious due to potential risks from economic conditions, competitive pressures, and operational execution challenges[20] - The company expects a full-year depreciation expense of approximately $150 million and an effective tax rate of 19% to 21%[29] Catastrophe Impact - The company reported a total of $188.8 million in reportable catastrophes for the first nine months of 2025, compared to $196.9 million in the same period of 2024[26] - Adjusted EBITDA excluding reportable catastrophes for Q3 2025 was $433.5 million, compared to $385.1 million in Q3 2024, reflecting a 12.0% increase[26] - Adjusted EBITDA for Q3 2025 increased by 74.8%, including foreign exchange impact[29] - The company reported a 12.6% increase in Adjusted EBITDA, excluding reportable catastrophes, when including foreign exchange impact[29] Operational Performance - Adjusted EBITDA for Q3 2025 increased significantly, driven by improved operational performance and lower volatility from catastrophes[27] - The company emphasizes the importance of Adjusted EBITDA as a measure of operating performance, excluding items that do not represent ongoing operations[24]