Core Viewpoint - Security National Financial Corporation (SNFC) reported a decline in after-tax earnings for the second quarter and first half of 2025, attributing part of the decrease to challenges in the mortgage industry and ongoing efforts to improve sales and operational efficiency [1][2]. Financial Performance - For Q2 2025, after-tax earnings decreased by 10% to $6,506,000 from $7,271,000 in Q2 2024, while for the first half of 2025, earnings fell by 26% to $10,845,000 from $14,746,000 in the same period of 2024 [1]. - The company achieved an annualized Return On Equity (ROE) of 8% for the first half of 2025, which is below the 10-year average of 13.3% [1]. - Total revenues for Q2 2025 were $89,541,000, a 4.4% increase from $85,791,000 in Q2 2024, while total earnings before taxes decreased by 11.2% to $8,337,000 from $9,390,000 [5]. Segment Performance - **Life Insurance Segment**: Revenues increased by 9.1% to $51,525,000 in Q2 2025, with earnings before taxes rising by 14.6% to $8,214,000 [5]. - **Cemetery and Mortuary Segment**: Revenues decreased by 1.7% to $8,140,000, with earnings before taxes down by 14.2% to $1,794,000 [5]. - **Mortgage Segment**: Revenues fell by 1.3% to $29,876,000, with a loss before taxes of $1,671,000 compared to a profit of $134,000 in Q2 2024 [5]. Strategic Initiatives - The company has made significant investments in residential land holdings, totaling approximately $50 million, aiming for higher future yields despite sacrificing current income [3]. - SNFC is focused on improving sales performance across all segments, including a recent reorganization of the executive sales staff to enhance sales capabilities [4][5]. - The company anticipates that increased life insurance premium rates will contribute an additional 1.5 percentage points to ROE in the short term [1]. Market Context - The mortgage market remains challenging, with increased commission expenses impacting profitability, although the company believes it is performing comparably to industry peers [5]. - The nationwide cremation rate has surpassed 50%, influencing revenue dynamics in the Cemetery and Mortuary Segment [4].

Vancouver, British Columbia--(Newsfile Corp. - July 10, 2025) - Dominion Lending Centres Inc. (TSX: DLCG) ("DLCG" or the "Corporation"), one of Canada's leading franchisors of mortgage professionals and owner of Newton Connectivity Systems, will release its second quarter 2025 results on August 7, 2025, after market close. A conference call and webcast will be held to discuss the results on August 7, 2025, at 4:00 p.m. Mountain Time (6:00 p.m. Eastern Time). Second Quarter 2025 Webcast and Conference CallD ...

Financial Performance - TowneBank's total assets reached $17.1 billion as of Q2-FY24 [9], with total loans at $11.5 billion and total deposits at $14.3 billion [9] - The bank reported a Core Return on Average Assets (ROAA) of 1.01% and a Core Return on Average Tangible Common Equity (ROTCE) of 12.08% [9] - Net Interest Margin (NIM) on a fully tax-equivalent basis was 2.89%, while noninterest-bearing deposits accounted for 30.2% of total deposits [9] - For Q2-FY24, net income attributable to TowneBank was $42.9 million, a 2.7% increase year-over-year [47] - Earnings per share (diluted) for Q2-FY24 were $0.57, up 1.8% year-over-year [47] Business Segments - The bank's revenue mix is diversified, with net interest income accounting for 62% and noninterest income for 38% YTD Q2-FY24 [24] - Insurance segment contributes 39% to the total noninterest income YTD Q2-FY24 [26] - Towne Insurance is the largest bank-owned insurance company in the country [105], with insurance revenue of $29.6 million in Q2-24 [105] Balance Sheet and Asset Quality - Noninterest-bearing deposits accounted for 30.15% of total deposits in Q2-FY24 [47] - Nonperforming assets represent 0.04% of total assets [47] - The bank's loan-to-deposit ratio was 80.24% [47] Capital and Liquidity - The total risk-based capital ratio was 15.34% [47] - The tangible common equity to tangible assets ratio was 9.37% [47] - Total liquidity sources were $6.471 billion [171], covering 105% of adjusted uninsured deposits [172]

Financial Data and Key Metrics Changes - Adjusted net operating income for Q1 2025 was $168 million, up 14% year over year, while diluted adjusted operating EPS increased 20% to $5.2 [4] - Total stockholder returns during the quarter amounted to $153 million, comprising $118 million in share repurchases and $35 million in regular dividends [4] Business Line Data and Key Metrics Changes - Term Life segment operating revenues rose 4% year over year to $458 million, driven by a 5% growth in adjusted direct premiums [13] - ISP segment total sales were $3.6 billion, up 28% year over year, with net inflows of $839 million compared to $274 million in the prior year [8][9] - The mortgage business in the U.S. saw closed loans of $93.5 million, up 31%, while Canada reported $43.3 million in closed loans, up 78% [10][11] Market Data and Key Metrics Changes - The total number of life license representatives grew slightly since year-end, up 7% compared to March 2024 [6] - Client asset values at the end of the quarter were $110 billion, up 6% year over year, despite a 2% decline in the first three months of 2025 due to negative market performance [9] Company Strategy and Development Direction - The company remains committed to growing its sales force, expecting around 3% growth during 2025 [6] - The focus on financial education for middle-income families is emphasized as a key driver of success, with a belief in the ongoing need for such services [11] Management's Comments on Operating Environment and Future Outlook - Management noted that economic uncertainty has impacted recruiting and term life insurance sales, leading to a 9% decline in recruiting year over year [5] - The company anticipates that the current uncertainty may persist, affecting decision-making and sales momentum [27][34] Other Important Information - The company maintains a full-year outlook for expenses to increase by around $40 million or 6% to 8% in 2025 [19] - The RBC ratio improved to 470%, reflecting a strong capital position to support growth and absorb uncertainties [21][45] Q&A Session Summary Question: Dynamic between Term Life sales and ISP sales - Management explained that the complementary business model allows different reactions to economic conditions, with term life sales facing more immediate pressure from cost of living while ISP sales remain strong due to demand for guarantees [24][25] Question: ISP sales outlook for the year - The outlook for ISP sales growth is lower than the first quarter due to ongoing economic uncertainty and strong comparisons from the previous year [28][29] Question: Recruiting environment - Management noted that uncertainty can slow down recruiting as potential recruits take more time to consider their options [36][37] Question: Health of the economy in Canada - Management indicated that the Canadian economy is similar to the U.S. economy, with both facing uncertainty, but expressed optimism about future growth in Canada [50][53] Question: Stock repurchase program - The company confirmed a stock repurchase program of $450 million for 2025, emphasizing a consistent return on capital for stockholders [55][56] Question: Lapse rates in the term business - Management reported that lapse rates have stabilized and are in line with expectations, despite some recent increases [75][76] Question: ISP business sales sustainability - Management acknowledged the challenges of market volatility but expressed confidence in the sustainability of ISP sales levels [80][81]