Delivered Second Consecutive Year of
Double-Digit Earnings and EPS Growth in 2024 Led by Strong Global
Housing Results; Profitable Growth Expected to Continue in 2025
Assurant, Inc. (NYSE: AIZ), a premier global protection company
that safeguards and services connected devices, homes and
automobiles in partnership with the world’s leading brands, today
announced results for the fourth quarter and full-year ended
December 31, 2024.
“2024 was a testament to the power of our differentiated
business model as we delivered strong results, led by continued
outperformance in Global Housing as well as underlying Connected
Living growth within Global Lifestyle. Our momentum with clients is
at an all-time high following significant multi-year contract
renewals and the addition of several new partnerships with industry
leaders – demonstrating the trust placed in Assurant and the value
of our products and services for our clients and their customers,”
said Assurant President and CEO Keith Demmings.
“As we enter 2025, Assurant is focused on executing our growth
strategy as we scale new partnerships, invest in product
innovation, and accelerate emerging growth opportunities. As we
further elevate the customer experience, we believe we are
well-positioned to continue our track record of growth,” Demmings
added.
Note: The metrics included within the company’s outlook are
non-GAAP financial measures and the company believes that it
cannot, without unreasonable efforts, forecast certain information
needed to reconcile to the GAAP measures, the probable significance
of which cannot be determined. More information can be found in the
Non-GAAP Financial Measures section.
(Unaudited)
Q4'24
Q4'23
Change
12M'24
12M'23
Change
$ in millions, except per share
data
GAAP net income
201.3
182.5
10%
760.2
642.5
18%
Adjusted EBITDA1
381.4
360.8
6%
1,322.4
1,257.5
5%
Adjusted EBITDA, ex. reportable
catastrophes2
431.5
382.4
13%
1,569.4
1,369.3
15%
GAAP net income per diluted share
3.87
3.42
13%
14.46
11.95
21%
Adjusted earnings per diluted share3
4.79
4.58
5%
16.64
15.49
7%
Adjusted earnings, ex. reportable
catastrophes, per diluted share4
5.54
4.90
13%
20.35
17.13
19%
Some of the metrics throughout this press release are non-GAAP
measures of performance. A full reconciliation of each non-GAAP
measure to the most comparable GAAP measure can be found in the
Non-GAAP Financial Measures section.
Full-Year 2024 Summary
- GAAP net income increased 18 percent versus prior year period,
while net income per diluted share increased 21 percent
- Adjusted EBITDA, excluding reportable catastrophes2, increased
15 percent to $1.57 billion
- Adjusted earnings, excluding reportable catastrophes, per
diluted share4, increased 19 percent to $20.35
- Holding company liquidity was $673 million
- Share repurchases and common stock dividends totaled $456
million
2025 Outlook
The company expects:
- Adjusted EBITDA, excluding reportable catastrophes6, to grow
modestly, or high-single-digits excluding $107 million of favorable
prior year development in 2024.
- Adjusted earnings, excluding reportable catastrophes, per
diluted share6, to increase modestly, or high-single-digits
excluding $107 million of prior year development from 2024. Note:
The metrics included within the company’s outlook are non-GAAP
financial measures and the company believes that it cannot, without
unreasonable efforts, forecast certain information needed to
reconcile to the GAAP measures, the probable significance of which
cannot be determined. More information can be found in the Non-GAAP
Financial Measures section.
Fourth Quarter and Full Year 2024 Consolidated
Results
(Unaudited)
Q4'24
Q4'23
Change
12M'24
12M'23
Change
$ in millions
GAAP net income
201.3
182.5
10%
760.2
642.5
18%
Adjusted
EBITDA
Global Lifestyle
191.7
204.6
(6)%
773.4
792.3
(2)%
Global Housing
225.4
186.1
21%
671.2
574.2
17%
Corporate and Other
(35.7)
(29.9)
(19)%
(122.2)
(109.0)
(12)%
Adjusted EBITDA1
381.4
360.8
6%
1,322.4
1,257.5
5%
Reportable catastrophes
50.1
21.6
247.0
111.8
Adjusted EBITDA, ex.
reportable catastrophes
Global Lifestyle2
191.8
204.3
(6)%
775.2
793.1
(2)%
Global Housing2
275.4
208.0
32%
916.4
685.2
34%
Corporate and Other
(35.7)
(29.9)
(19)%
(122.2)
(109.0)
(12)%
Adjusted EBITDA, ex. reportable
catastrophes2
431.5
382.4
13%
1,569.4
1,369.3
15%
Note: Adjusted EBITDA of the Global Lifestyle, Global Housing
and Corporate and Other segments is the segment measure of
profitability in our GAAP financial statements and includes
reportable catastrophes. Additional details regarding key financial
metrics are included in the Financial Supplement located on
Assurant’s Investor Relations website: https://ir.assurant.com/investor/default.aspx
Fourth Quarter 2024 Consolidated Results
- GAAP net income increased 10 percent to $201.3 million,
compared to fourth quarter 2023 of $182.5 million, primarily due to
higher Global Housing segment earnings, lower impact of foreign
exchange and lower restructuring costs. The increase was partially
offset by higher reportable catastrophes, lower Global Lifestyle
results and higher net realized losses on investments.
- GAAP net income per diluted share increased 13
percent to $3.87 compared to fourth quarter 2023 of $3.42. The
increase was primarily driven by the factors noted above as well as
higher share repurchases.
- Adjusted EBITDA1 increased 6 percent to $381.4 million
compared to the prior year period of $360.8 million. Results
included $28.5 million of higher pre-tax reportable catastrophes.
Excluding reportable catastrophes, Adjusted EBITDA2 increased 13
percent, or 14 percent on a constant currency basis5, to $431.5
million, driven by higher earnings in Global Housing.
- Adjusted earnings, excluding reportable catastrophes, per
diluted share4, increased 13 percent to $5.54 compared to the
prior year period of $4.90, mainly from higher Global Housing
earnings and the impact of share repurchases, partially offset by
higher depreciation expense.
- Net earned premiums, fees and other income from the
Global Lifestyle and Global Housing segments totaled $2.99 billion
compared to $2.85 billion in fourth quarter 2023, up 5 percent, or
6 percent on a constant currency basis5, mainly driven by growth in
Global Housing.
Full-Year 2024 Consolidated Results
- GAAP net income increased 18 percent to $760.2 million,
compared to full year 2023 net income of $642.5 million primarily
due to higher Global Housing segment earnings, lower impact of
foreign exchange, lower losses from non-core operations and lower
restructuring costs, partially offset by higher reportable
catastrophes and higher depreciation expense.
- GAAP net income per diluted share increased 21
percent to $14.46 compared to full year 2023 of $11.95. The
increase was primarily driven by the factors noted above as well as
higher share repurchases.
- Adjusted EBITDA1 increased 5 percent to $1,322.4 million
compared to the prior year period of $1,257.5 million, primarily
due to significant growth in Global Housing, partially offset by
$135.2 million in higher pre-tax reportable catastrophes. Excluding
reportable catastrophes, Adjusted EBITDA2 increased 15 percent, or
16 percent on a constant currency basis5, to $1,569.4 million,
primarily due to continued top-line growth in Homeowners and more
favorable prior year reserve development within Global
Housing.
- Adjusted earnings, excluding reportable catastrophes, per
diluted share4, increased 19 percent to $20.35 compared to the
prior year period of $17.13, primarily from higher Global Housing
segment earnings and share repurchases, partially offset by higher
depreciation expense.
- Net earned premiums, fees and other income from the
Global Lifestyle and Global Housing segments totaled $11.42 billion
compared to $10.70 billion for the prior year period, up 7 percent,
on both a reported and constant currency basis5, driven by an
increase in Global Lifestyle from Connected Living and growth in
Global Housing from Homeowners.
Global Lifestyle
$ in millions
Q4'24
Q4'23
Change
12M'24
12M'23
Change
Adjusted EBITDA
191.7
204.6
(6)%
773.4
792.3
(2)%
Net earned premiums, fees and other
income
2,346.5
2,306.4
2%
8,967.3
8,561.4
5%
- Adjusted EBITDA decreased 6 percent compared to fourth
quarter 2023, or 5 percent on a constant currency basis5. The
decline was primarily driven by lower results within Global
Automotive due to lower real estate joint-venture partnership
income compared to the prior year. Underlying Global Automotive
results were largely stable as higher investment income was
partially offset by elevated losses. Connected Living was down 3
percent, or 1 percent on a constant currency basis5, which included
incremental investments to support growth. Excluding these
investments, Global Financial Services growth was offset by lower
mobile results. Full-year 2024 Adjusted EBITDA decreased 2 percent
compared to 2023, or 1 percent on a constant currency basis5. The
decline was driven by elevated claims costs in Global Automotive
and approximately $25 million of investments in new client programs
and capabilities in Connected Living to support future growth.
Excluding these investments and the $12.0 million adverse impact of
foreign exchange, Connected Living increased 9 percent primarily
due to increased contributions from Global Financial Services,
higher investment income and improved profitability within extended
service contracts.
- Net earned premiums, fees and other income increased 2
percent compared to fourth quarter 2023, or similar on a constant
currency basis5, primarily driven by Connected Living growth in
mobile and Global Financial Services. Excluding $85 million of
favorable non-run rate premium adjustments in Global Automotive in
the prior period, net earned premiums, fees and other income
increased 6 percent. Full-year 2024 net earned premiums, fees and
other income increased 5 percent compared to 2023, or similar on a
constant currency basis5, primarily due to contributions from newly
launched trade-in programs and device protection programs.
Global Housing
$ in millions
Q4'24
Q4'23
Change
12M'24
12M'23
Change
Adjusted EBITDA
225.4
186.1
21%
671.2
574.2
17%
Reportable catastrophes
50.0
21.9
245.2
111.0
Adjusted EBITDA, ex. reportable
catastrophes2
275.4
208.0
32%
916.4
685.2
34%
Net earned premiums, fees and other
income
647.4
545.8
19%
2,457.0
2,142.9
15%
- Adjusted EBITDA increased 21 percent compared to fourth
quarter 2023. Results included $28.1 million of higher pre-tax
reportable catastrophes. Excluding reportable catastrophes,
Adjusted EBITDA2 increased 32 percent, primarily from continued
top-line growth within Homeowners, including higher policies
in-force from voluntary insurance market pressure, and lower
non-catastrophe loss experience. Results included $38.3M of
favorable prior period reserve development(a), compared to $39.8
million in fourth quarter 2023. Full-year 2024 Adjusted EBITDA
increased 17 percent compared to 2023 primarily driven by growth in
Homeowners, partially offset by $134.2 million of higher pre-tax
reportable catastrophes. Excluding reportable catastrophes,
Adjusted EBITDA2 increased 34 percent due to top-line growth and
expense leverage within Homeowners, more favorable prior year
reserve development(b), lower reinsurance costs, and growth in
Renters from the property management channel.
(a) Fourth quarter 2024 had $38.3 million of favorable
non-catastrophe prior period reserve development, of which $21.6
million was related to prior years. Fourth quarter 2023 had $39.8
million of favorable non-catastrophe prior period reserve
development. (b) Full-year 2024 included favorable prior year
reserve development of $106.7 million versus $54.1 million in
full-year 2023.
- Net earned premiums, fees and other income increased 19
percent compared to fourth quarter 2023, mainly driven by
Homeowners top-line growth, including growth in policies in-force
and higher average premiums within lender-placed, as well as growth
across various specialty Homeowners products. Full-year 2024 net
earned premiums, fees and other income increased 15 percent
compared to the prior year 2023, primarily due to the factors noted
above.
Corporate and Other
$ in millions
Q4'24
Q4'23
Change
12M'24
12M'23
Change
Adjusted EBITDA
(35.7)
(29.9)
(19)%
(122.2)
(109.0)
(12)%
- Adjusted EBITDA loss increased in fourth quarter 2024
compared to the prior year period, primarily driven by higher
third-party and employee-related expenses. Full-year 2024 Adjusted
EBITDA loss increased compared to the prior year 2023, primarily
driven by higher third-party and employee-related expenses.
Holding Company Liquidity Position
- Holding company liquidity totaled $673 million as of
December 31, 2024, or $448 million above the company’s targeted
minimum level of $225 million. Dividends paid by the operating
segments to the holding company in fourth quarter 2024 totaled $248
million. For full-year 2024, dividends paid by the operating
segments totaled $805 million.
- Share repurchases and common stock dividends totaled
$161 million in fourth quarter 2024. During fourth quarter 2024,
Assurant repurchased approximately 559 thousand shares of common
stock for $120 million and paid $41 million in common stock
dividends. For full-year 2024, share repurchases and common stock
dividends totaled $456 million. Assurant repurchased 1.5 million
shares of common stock for $300 million and paid $156 million in
common stock dividends. From January 1 through February 7, 2025,
the company repurchased approximately 114 thousand shares for $24
million. $351 million remains under the current repurchase
authorization.
2025 Company Outlook6
Note: Some of the metrics included within the company’s outlook
are non-GAAP financial measures and the company believes that it
cannot, without unreasonable efforts, forecast certain information
needed to reconcile to the GAAP measures, the probable significance
of which cannot be determined. More information can be found in the
Non-GAAP Financial Measures section.
Based on current macroeconomic conditions (not including
potential impacts from tariffs), for full year 2025, the company
expects the following:
$ in millions, except per share
data
2024
2025 Outlook6
2025 Outlook6 ex. 2024
PYD(a)
Adjusted EBITDA, ex. reportable
catastrophes2
$1,569
Modest growth
High-single-digit growth
Adjusted earnings, ex. reportable
catastrophes, per diluted share4
$20.35
Modest growth
High-single-digit growth
(a) 2025 growth rates are shown relative
to 2024 results excluding $106.7 million of favorable prior year
development.
- Adjusted EBITDA, excluding reportable catastrophes6, to
increase modestly, or high-single-digits excluding $107 million of
favorable prior year development in 2024. We continue to monitor
the impact from macroeconomic conditions, including tariffs,
inflation, foreign exchange and interest rate levels, which may
impact the pace and timing of growth.
- Global Lifestyle Adjusted EBITDA to increase from growth
in Connected Living and Global Automotive.
- Global Housing Adjusted EBITDA, excluding reportable
catastrophes6, to decrease modestly, with strong underlying
growth when excluding $107 million of favorable prior year
development in 2024. Reportable catastrophes from the California
Wildfires are expected to approach or slightly exceed our per event
catastrophe reinsurance program retention of $150 million.
- Corporate and Other Adjusted EBITDA loss to approximate
$115 million, reflecting an improvement from 2024.
- Adjusted earnings, excluding reportable catastrophes, per
diluted share6 growth rate to increase modestly, or
high-single-digits when excluding $107 million of prior year
development from 2024. The company expects an effective tax rate of
approximately 20 to 22 percent, depreciation expense of
approximately $165 million, interest expense of approximately $107
million and amortization of purchased intangible assets of
approximately $65 million.
- Capital deployment priorities to focus on maintaining a strong
financial position, supporting business growth by funding
investments and M&A, and returning capital to shareholders
through common stock dividends and share repurchases, subject to
Board approval.
Earnings Conference Call
The fourth quarter 2024 earnings conference call and webcast
will be held on Wednesday, February 12, 2025 at 8:00 a.m. E.T. The
slide presentation used by management during the webcast includes
supplemental information and will be available on Assurant’s
Investor Relations website prior to the conference call. The live
and archived webcast, along with supplemental information, will
also be available on Assurant’s Investor Relations website:
https://ir.assurant.com/investor/default.aspx
About Assurant
Assurant, Inc. (NYSE: AIZ) is a premier global protection
company that partners with the world’s leading brands to safeguard
and service connected devices, homes, and automobiles. As a Fortune
500 company operating in 21 countries, Assurant utilizes
data-driven technology solutions to provide exceptional customer
experiences.
Learn more at assurant.com
Safe Harbor Statement
Some of the statements in this news release and its exhibits,
including our outlook, business and financial plans and any
statements regarding the company’s anticipated future financial
performance, business prospects, growth and operating strategies
and similar matters, may constitute forward-looking statements
within the meaning of the U.S. Private Securities Litigation Reform
Act of 1995.
You can identify forward-looking statements by the use of words
such as “outlook,” “objective,” “will,” “may,” “can,”
“anticipates,” “expects,” “estimates,” “projects,” “intends,”
“plans,” “believes,” “targets,” “forecasts,” “potential,”
“approximately,” and the negative version of those words and other
words and terms with a similar meaning. Any forward-looking
statements contained in this news release or its exhibits are based
upon our historical performance and on current plans, estimates and
expectations. The inclusion of this forward-looking information
should not be regarded as a representation by us or any other
person that our future plans, estimates or expectations will be
achieved. Our actual results might differ materially from those
projected in the forward-looking statements. We undertake no
obligation to update or review any forward-looking statement,
whether as a result of new information, future events or other
developments. The following factors could cause our actual results
to differ materially from those currently estimated by management,
including those projected in the company outlook:
- the loss of significant clients, distributors or other parties
with whom we do business, or if we are unable to renew contracts
with them on favorable terms, or if they disintermediate us, or if
those parties face financial, reputational or regulatory
issues;
- significant competitive pressures, changes in customer
preferences and disruption;
- the failure to execute our strategy, including through the
continuing service of key executives, senior leaders,
highly-skilled personnel and a high-performing workforce;
- the failure to find suitable acquisitions at attractive prices,
integrate acquired businesses or divest of non-strategic businesses
effectively or achieve organic growth;
- our inability to recover should we experience a business
continuity event;
- the failure to manage vendors and other third parties on whom
we rely to conduct business and provide services to our
clients;
- risks related to our international operations;
- declines in the value and availability of mobile devices, and
regulatory compliance or other risks in our mobile business;
- our inability to develop and maintain distribution sources or
attract and retain sales representatives and executives with key
client relationships;
- risks associated with joint ventures, franchises and
investments in which we share ownership and management with third
parties;
- the impact of catastrophe and non-catastrophe losses, including
as a result of climate change and the current inflationary
environment;
- negative publicity relating to our business, practices,
industry or clients;
- the impact of general economic, financial market and political
conditions and conditions in the markets in which we operate,
including the current inflationary environment and potential and
recent actions by the new administration such as tariffs;
- the adequacy of reserves established for claims and our
inability to accurately predict and price for claims and other
costs;
- a decline in financial strength ratings of our insurance
subsidiaries or in our corporate senior debt ratings;
- fluctuations in exchange rates, including in the current
environment;
- an impairment of goodwill or other intangible assets;
- the failure to maintain effective internal control over
financial reporting;
- unfavorable conditions in the capital and credit markets;
- a decrease in the value of our investment portfolio, including
due to market, credit and liquidity risks, and changes in interest
rates;
- an impairment in the value of our deferred tax assets;
- the unavailability or inadequacy of reinsurance coverage and
the credit risk of reinsurers, including those to whom we have sold
business through reinsurance;
- the credit risk of some of our agents, third-party
administrators and clients;
- the inability of our subsidiaries to pay sufficient dividends
to the holding company and limitations on our ability to declare
and pay dividends or repurchase shares;
- limitations in the analytical models we use to assist in our
decision-making;
- the failure to effectively maintain and modernize our
technology systems and infrastructure, or the failure to integrate
those of acquired businesses;
- breaches of our technology systems or those of third parties
with whom we do business, or the failure to protect the security of
data in such systems, including due to cyberattacks and as a result
of working remotely;
- the costs of complying with, or the failure to comply with,
extensive laws and regulations to which we are subject, including
those related to privacy, data security, data protection and
tax;
- the impact of litigation and regulatory actions;
- reductions or deferrals in the insurance premiums we
charge;
- changes in insurance, tax and other regulations;
- volatility in our common stock price and trading volume;
and
- employee misconduct.
For additional information on factors that could affect our
actual results, please refer to the factors identified in the
reports we file with the U.S. Securities and Exchange Commission,
including the risk factors identified in our most recent Annual
Report on Form 10-K and Quarterly Reports on Form 10-Q.
Non-GAAP Financial Measures
Assurant uses the following non-GAAP financial measures to
analyze the company’s operating performance. Assurant’s non-GAAP
financial measures should not be considered in isolation or as a
substitute for GAAP financial measures. Because Assurant’s
calculation of these measures may differ from similar measures used
by other companies, investors should be careful when comparing
Assurant’s non-GAAP financial measures to those of other
companies.
(1)
Assurant uses Adjusted EBITDA as an important measure of the
company’s operating performance. Assurant defines Adjusted EBITDA
as net income, excluding net realized losses (gains) on investments
and fair value changes to equity securities, non-core operations,
restructuring costs related to strategic exit activities, Assurant
Health runoff operations, interest expense, provision (benefit) for
income taxes, depreciation expense, amortization of purchased
intangible assets, as well as other highly variable or unusual
items. The company believes this metric provides investors with an
important measure of the company’s operating performance because it
excludes items that do not represent the ongoing operations of the
company, and therefore (i) enhances management’s and investors’
ability to analyze the ongoing operations of its businesses and
(ii) facilitates comparisons of its operating performance over
multiple periods, including because the amortization expense
associated with purchased intangible assets may fluctuate from
period to period based on the timing, size, nature and number of
acquisitions. Although the company excludes amortization of
purchased intangible assets from Adjusted EBITDA, revenue generated
from such intangible assets is included within the revenue in
determining Adjusted EBITDA. The comparable GAAP measure is net
income. See Note 2 below for a full reconciliation.
(2)
Adjusted EBITDA, Excluding Reportable Catastrophes: Assurant uses
Adjusted EBITDA (defined above), excluding reportable catastrophes
(which represents individual catastrophic events that generate
losses in excess of $5.0 million, pre-tax, net of reinsurance and
client profit sharing adjustments and including reinstatement and
other premiums), as another important measure of the company’s
operating performance. The company believes this metric provides
investors with an important measure of the company’s operating
performance for the reasons noted above, and because it excludes
reportable catastrophes, which can be volatile. The comparable GAAP
measure is net income.
(UNAUDITED)
4Q
4Q
12 Months
12 Months
($ in millions)
2024
2023
2024
2023
GAAP net income
$
201.3
$
182.5
$
760.2
$
642.5
Less:
Interest expense
26.8
26.8
107.0
108.0
Provision for income taxes
48.7
44.1
167.1
164.3
Depreciation expense
39.9
31.7
139.4
109.3
Amortization of purchased intangible
assets
17.2
22.3
69.1
77.9
Adjustments, pre-tax:
Net realized losses on investments and
fair value changes to equity securities
29.1
19.0
75.8
68.7
Non-core operations
5.6
11.0
14.2
50.4
Restructuring costs
5.2
16.0
5.4
34.3
Assurant Health runoff operations
0.3
0.3
—
(6.9
)
Other adjustments(1)
7.3
7.1
(15.8
)
9.0
Adjusted EBITDA
381.4
360.8
1,322.4
1,257.5
Reportable catastrophes
50.1
21.6
247.0
111.8
Adjusted EBITDA, excluding reportable
catastrophes
$
431.5
$
382.4
$
1,569.4
$
1,369.3
(1)
Additional details about the components of Other adjustments and
other key financial metrics throughout this press release are
included in the Financial Supplement located on Assurant’s Investor
Relations website: https://ir.assurant.com/investor/default.aspx
(UNAUDITED)
4Q 2024
4Q 2023
Global Lifestyle
Global Housing
Global Lifestyle
Global Housing
($ in millions)
Adjusted EBITDA
$
191.7
$
225.4
$
204.6
$
186.1
Reportable catastrophes
0.1
50.0
(0.3
)
21.9
Adjusted EBITDA, excluding reportable
catastrophes
$
191.8
$
275.4
$
204.3
$
208.0
(UNAUDITED)
12 Months 2024
12 Months 2023
Global Lifestyle
Global Housing
Global Lifestyle
Global Housing
($ in millions)
Adjusted EBITDA
$
773.4
$
671.2
$
792.3
$
574.2
Reportable catastrophes
1.8
245.2
0.8
111.0
Adjusted EBITDA, excluding reportable
catastrophes
$
775.2
$
916.4
$
793.1
$
685.2
(3)
Adjusted Earnings per Diluted Share: Assurant uses Adjusted
earnings per diluted share as an important measure of the company’s
stockholder value. Assurant defines Adjusted earnings per diluted
share as net income, excluding net realized losses (gains) on
investments and fair value changes to equity securities,
amortization of purchased intangible assets, non-core operations,
restructuring costs related to strategic exit activities, Assurant
Health runoff operations, as well as other highly variable or
unusual items, divided by the weighted average diluted shares
outstanding. The company believes this metric provides investors
with an important measure of stockholder value because it excludes
items that do not represent the ongoing operations of the company,
and therefore (i) enhances management’s and investors’ ability to
analyze the ongoing operations of its businesses and (ii)
facilitates comparisons of its operating performance over multiple
periods, including because the amortization expense associated with
purchased intangible assets may fluctuate from period to period
based on the timing, size, nature and number of acquisitions.
Although the company excludes amortization of purchased intangible
assets from Adjusted earnings, revenue generated from such
intangible assets is included within the revenue in determining
Adjusted earnings. The comparable GAAP measure is net income per
diluted share, defined as net income, divided by the weighted
average diluted shares outstanding. See Note 4 below for a full
reconciliation.
(4)
Adjusted Earnings, Excluding Reportable Catastrophes, per Diluted
Share: Assurant uses Adjusted earnings, excluding reportable
catastrophes, per diluted share (each as defined above) as another
important measure of the company's stockholder value. The company
believes this metric provides investors with an important measure
of stockholder value for the reasons noted above, and because it
excludes reportable catastrophes, which can be volatile. The
comparable GAAP measure is net income per diluted share (defined
above).
(UNAUDITED)
4Q
4Q
12 Months
12 Months
($ in millions)
2024
2023
2024
2023
GAAP net income
$
201.3
$
182.5
$
760.2
$
642.5
Adjustments, pre-tax:
Net realized losses on investments and
fair value changes to equity securities
29.1
19.0
75.8
68.7
Amortization of purchased intangible
assets
17.2
22.3
69.1
77.9
Non-core operations
5.6
11.0
14.2
50.4
Restructuring costs
5.2
16.0
5.4
34.3
Assurant Health runoff operations
0.3
0.3
—
(6.9
)
Other adjustments
7.3
7.1
(15.8
)
9.0
Benefit for income taxes
(16.9
)
(13.3
)
(34.2
)
(43.0
)
Adjusted earnings
249.1
244.9
874.7
832.9
Reportable catastrophes, pre-tax
50.1
21.6
247.0
111.8
Tax impact of reportable catastrophes
(10.5
)
(4.6
)
(51.8
)
(23.5
)
Adjusted earnings, excluding reportable
catastrophes
$
288.7
$
261.9
$
1,069.9
$
921.2
(UNAUDITED)
4Q
4Q
12 Months
12 Months
2024
2023
2024
2023
GAAP net income per diluted
share(1)
$
3.87
$
3.42
$
14.46
$
11.95
Adjustments, pre-tax:
Net realized losses on investments and
fair value changes to equity securities
0.56
0.36
1.44
1.28
Amortization of purchased intangible
assets
0.33
0.42
1.31
1.45
Non-core operations
0.11
0.21
0.27
0.94
Restructuring costs
0.10
0.30
0.10
0.64
Assurant Health runoff operations
0.01
—
—
(0.13
)
Other adjustments
0.13
0.12
(0.29
)
0.16
Benefit for income taxes
(0.32
)
(0.25
)
(0.65
)
(0.80
)
Adjusted earnings, per diluted
share
4.79
4.58
16.64
15.49
Reportable catastrophes, pre-tax
0.96
0.40
4.70
2.08
Tax impact of reportable catastrophes
(0.21
)
(0.08
)
(0.99
)
(0.44
)
Adjusted earnings, excluding reportable
catastrophes, per diluted share
$
5.54
$
4.90
$
20.35
$
17.13
(1)
Information on the share counts used in the per share calculations
throughout this press release are included in the Financial
Supplement located on Assurant’s Investor Relations website:
https://ir.assurant.com/investor/default.aspx
(5)
Constant Currency: Represents a non-GAAP financial measure.
Excludes the impact of changes in foreign currency exchange rates
used in the translation of the income statement because they can be
volatile. These amounts are calculated by translating the
comparable prior period results at the weighted average foreign
currency exchange rates used in the current period, and it excludes
the impact of foreign exchange transaction gains (losses)
associated with the remeasurement of non-functional currencies. The
company believes this information allows investors to identify the
significance of changes in foreign currency exchange rates in
period-to-period comparisons.
(UNAUDITED)
Constant Currency
4Q 2024
12 Months 2024
Percentage change in Global Lifestyle
and Global Housing net earned premiums, fees and other
income:
Including FX impact
5.0
%
6.7
%
FX impact
(0.6
)%
(0.5
)%
Excluding FX impact
5.6
%
7.2
%
Percentage change in Global Lifestyle
net earned premiums, fees and other income:
Including FX impact
1.7
%
4.7
%
FX impact
(0.8
)%
(0.6
)%
Excluding FX impact
2.5
%
5.3
%
Percentage change in GAAP net income,
including FX impact
10.3
%
18.3
%
Percentage change in Adjusted EBITDA,
including FX impact
5.7
%
5.2
%
Percentage change in Adjusted EBITDA,
excluding reportable catastrophes:
Including FX impact
12.8
%
14.6
%
FX impact
(0.8
)%
(0.9
)%
Excluding FX impact
13.6
%
15.5
%
Percentage change in Global Lifestyle
Adjusted EBITDA:
Including FX impact
(6.3
)%
(2.4
)%
FX impact
(1.4
)%
(1.6
)%
Excluding FX impact
(4.9
)%
(0.8
)%
Percentage change in Connected Living
Adjusted EBITDA:
Including FX impact
(2.9
)%
1.2
%
FX impact
(1.7
)%
(2.4
)%
Excluding FX impact
(1.2
)%
3.6
%
(6)
The company outlook for Adjusted earnings, excluding reportable
catastrophes, per diluted share and, for Assurant and Global
Housing, Adjusted EBITDA, excluding reportable catastrophes, each
constitute forward-looking non-GAAP financial measures and the
company believes that it cannot, without unreasonable efforts,
forecast certain information needed to reconcile such
forward-looking non-GAAP financial measures to the most comparable
GAAP measure, the probable significance of which cannot be
determined. The company is able to quantify a full-year estimate of
depreciation expense, interest expense and amortization of
purchased intangible assets, each on a pre-tax basis, and the
estimated effective tax rate, which are expected to be
approximately $165 million, $107 million, $65 million and 20 to 22
percent, respectively. Other GAAP components cannot be reliably
quantified due to the combination of variability and volatility of
such components and may, depending on the size of the components,
have a significant impact on the reconciliation.
Assurant, Inc.
Consolidated Statement of Operations
(unaudited)
Three and Twelve Months Ended December
31, 2024 and 2023
4Q
12 Months
2024
2023
2024
2023
($ in millions except number
of shares and per share amounts)
Revenues
Net earned premiums
$
2,557.5
$
2,422.2
$
9,795.8
$
9,388.0
Fees and other income
438.6
434.4
1,638.6
1,323.2
Net investment income
137.8
145.5
518.9
489.1
Net realized losses on investments and
fair value changes to equity securities
(29.1
)
(19.0
)
(75.8
)
(68.7
)
Total revenues
3,104.8
2,983.1
11,877.5
11,131.6
Benefits, losses and expenses
Policyholder benefits
670.5
599.1
2,766.5
2,521.8
Underwriting, selling, general and
administrative expenses
2,157.5
2,130.6
8,076.7
7,695.1
Interest expense
26.8
26.8
107.0
108.0
Gain on extinguishment of debt
—
—
—
(0.1
)
Total benefits, losses and expenses
2,854.8
2,756.5
10,950.2
10,324.8
Income before provision for income
taxes
250.0
226.6
927.3
806.8
Provision for income taxes
48.7
44.1
167.1
164.3
Net income
$
201.3
$
182.5
$
760.2
$
642.5
Net income per share:
Basic
$
3.89
$
3.44
$
14.55
$
12.02
Diluted
$
3.87
$
3.42
$
14.46
$
11.95
Common stock dividends per
share
$
0.80
$
0.72
$
2.96
$
2.82
Share data:
Basic weighted average shares
outstanding
51,696,455
53,050,518
52,231,729
53,455,139
Diluted weighted average shares
outstanding
52,076,048
53,434,515
52,581,102
53,783,069
Assurant, Inc.
Consolidated Condensed Balance Sheets (unaudited)
At December 31, 2024 and 2023
December 31,
December 31,
2024
2023
($ in millions)
Assets
Investments and cash and cash
equivalents
$
10,352.2
$
9,848.3
Reinsurance recoverables
7,579.5
6,649.2
Deferred acquisition costs
9,992.8
9,967.2
Goodwill
2,616.0
2,608.8
Value of business acquired
8.0
83.9
Other assets
4,472.1
4,477.8
Total assets
$
35,020.6
$
33,635.2
Liabilities
Policyholder benefits and claims
payable
$
3,450.9
$
2,476.4
Unearned premiums
20,211.4
20,110.4
Debt
2,083.1
2,080.6
Accounts payable and other liabilities
4,168.5
4,158.3
Total liabilities
29,913.9
28,825.7
Stockholders’ equity
Equity, excluding accumulated other
comprehensive loss
5,942.8
5,574.5
Accumulated other comprehensive loss
(836.1
)
(765.0
)
Total equity
5,106.7
4,809.5
Total liabilities and equity
$
35,020.6
$
33,635.2
View source
version on businesswire.com: https://www.businesswire.com/news/home/20250211738117/en/
Media Contact: Julie Strider Vice President, Global
Communications julie.strider@assurant.com
Investor Relations Contacts: Rebekah Biondo Deputy CFO
rebekah.biondo@assurant.com
Sean Moshier Vice President, Investor Relations
sean.moshier@assurant.com
Matt Cafarchio Director, Investor Relations
matt.cafarchio@assurant.com
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