Fidelity National Financial(US:FNF)2025-11-06 21:22Financial Performance - Net earnings attributable to common shareholders for Q3 2025 were $358 million, or $1.33 per diluted share, compared to $266 million, or $0.97 per share in Q3 2024, representing a 34.5% increase in net earnings[4] - Adjusted net earnings attributable to common shareholders for Q3 2025 were $439 million, or $1.63 per share, up from $356 million, or $1.30 per share in Q3 2024, reflecting a 23.3% increase[5] - Total revenue for the third quarter of 2025 was $4,030 million, an increase from $3,603 million in the same quarter of 2024, representing a growth of approximately 11.8%[29] - Adjusted EPS attributable to common shareholders for Q3 2025 was $1.63, up from $1.30 in Q3 2024, indicating a growth of 25.4%[31] - Net earnings attributable to common shareholders for the nine months ended September 30, 2025, were $719 million, compared to $820 million in 2024, reflecting a decrease of 12.4%[39] - Adjusted net earnings attributable to common shareholders for the nine months ended September 30, 2025, were $970 million, up from $900 million in 2024, indicating an increase of 7.8%[39] Revenue and Sales - Total revenue for the Title Segment was $2.3 billion in Q3 2025, an 8% increase from $2.1 billion in Q3 2024, with adjusted pre-tax title margin reaching 17.8%[8] - The Title Segment's commercial revenue increased by 34% year-over-year, reaching $389 million in Q3 2025[11] - Direct title premiums in Q3 2025 reached $678 million, compared to $571 million in Q3 2024, marking an increase of 18.7%[29] - Total title and escrow revenue for the nine months ended September 30, 2025, was $8,013 million, compared to $7,296 million in 2024, marking a growth of 9.8%[39] - F&G gross sales for Q3 2025 were $4.2 billion, an 8% increase compared to $3.9 billion in Q3 2024, with net sales rising to $2.8 billion from $2.4 billion[18] Expenses and Costs - Total expenses for Q3 2025 were $3,577 million, up from $3,290 million in Q3 2024, which is an increase of 8.7%[29] - Personnel costs in Q3 2025 were $899 million, an increase from $810 million in Q3 2024, representing a rise of 11%[29] - The company incurred total expenses of $9,448 million for the nine months ended September 30, 2025, compared to $8,958 million in 2024, an increase of 5.5%[39] Assets and Investment - F&G Segment achieved record assets under management (AUM) of $71.4 billion, a 14% increase from $62.9 billion in Q3 2024, driven by strong annuity sales[8] - Cash and investment portfolio increased to $74,379 million as of September 30, 2025, from $67,094 million at the end of 2024, a rise of 10.1%[45] - Total assets grew to $106,636 million as of September 30, 2025, compared to $95,263 million at the end of 2024, reflecting an increase of 11.9%[45] Market and Operational Metrics - Total opened orders in Q3 2025 reached 370,000, a 5% increase from 352,000 in Q3 2024, with a purchase percentage of 70%[49] - Total closed orders in Q3 2025 were 250,000, a 7.8% increase from 232,000 in Q3 2024, with a purchase percentage of 74%[49] - Total commercial closed orders for Q3 2025 were 30.8 million, up from 29.6 million in Q2 2025, indicating a 4% increase[49] - Total staffing in field operations increased to 10,600 employees in Q3 2025, compared to 10,500 in Q2 2025, showing a slight growth[49] Risks and Challenges - The company faced various risks including changes in economic conditions, consumer spending, and regulatory compliance, which could impact future performance[27] Non-GAAP Measures - Management considers non-GAAP financial measures useful for assessing the size and performance of the investment portfolio[60] - Management excludes non-recurring, infrequent, or unusual items from adjusted net earnings to better reflect core business operations[58] - Certain income tax adjustments are excluded from adjusted net earnings if they do not reflect core business performance[58]