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Business Wire
2 hours ago
- Business
- Business Wire
Assurant Appoints Chief Operating Officer and President, Global Housing, Drawing on Strength of Leadership Bench
ATLANTA--(BUSINESS WIRE)-- 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 two strategic leadership appointments. Demonstrating the company's continued commitment to accelerate growth, these changes are designed to position the organization for continued long-term success. Mike Campbell has been named EVP, Chief Operating Officer, assuming leadership of Global Operations and Information Technology for the enterprise. In his new role, Campbell will lead efforts to enhance operational efficiency, accelerate our technology roadmap, and fully leverage Assurant's global scale and capabilities across all Assurant products. Bringing Operations and IT together will drive greater integration between our digital infrastructure and operational execution, enabling faster innovation, more agile service delivery, and a more seamless experience for clients and customers. Campbell joined Assurant in 2006, and has held several senior leadership roles, including most recently serving as President, Global Housing since 2019. 'For the last six years, Mike has led Global Housing, expanding our market-leading position and significantly growing that business,' said Keith Demmings, President and CEO of Assurant. 'His operational experience and proven success in scaling complex businesses make him ideally suited to drive enterprise-wide execution and efficiency in this new role.' Ryan Lumsden has been named EVP and President, Global Housing, succeeding Campbell. Lumsden led Assurant's Renters business for nearly six years, where he expanded the customer base, embedded technology to enhance client and customer experiences, introduced new products, and built and deepened relationships with key partners. With more than 25 years of financial services experience, Lumsden joined Assurant in 2014 and has since held various roles to support strategy and business development across Global Housing. Prior to Assurant, Lumsden held leadership positions at Equifax, General Electric, and Metris Companies. 'Ryan brings exceptional strategic and commercial acumen to his new role,' said Demmings. 'He is uniquely positioned to lead the next phase of growth and innovation in our Housing business and continue strengthening Assurant's leadership in the sector, and I am pleased to have him join Assurant's Management Committee.' These appointments are effective Monday, September 15, 2025, and reflect Assurant's commitment to enterprise transformation, investment in leadership, and its vision for the future. 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 leverages data-driven technology solutions to provide exceptional customer experiences. Learn more at ###
Globe and Mail
7 days ago
- Business
- Globe and Mail
Assurant (AIZ) Q2 EPS Jumps 25%
Key Points Adjusted earnings per share rose 25% year over year to $5.10, beating analyst expectations by 13.3% (non-GAAP). Net earned premiums, fees, and other income from the Global Lifestyle and Global Housing segments increased 8% year over year, but fell short of analyst estimates by 2.3% (GAAP revenue). Global Housing delivered a 33% jump in Adjusted EBITDA, driven by lower catastrophe losses and favorable reserve developments. These 10 stocks could mint the next wave of millionaires › Assurant (NYSE:AIZ), a specialty insurance provider focused on housing and lifestyle protection, released its second-quarter 2025 earnings on August 5, 2025. The company reported adjusted earnings per share of $5.10, exceeding analyst expectations of $4.50 (non-GAAP), a 13.3% non-GAAP EPS beat. Revenue increased 8% from the prior year to $3.05 billion, falling short of expected revenue by 2.3% (GAAP). GAAP net income climbed to $235 million, up 25% year over year (GAAP net income). Overall, the quarter reflected strong profitability and segment momentum, despite slightly softer top-line growth than anticipated. Metric Q2 2025 Q2 2025 Estimate Q2 2024 Y/Y Change Adjusted EPS (Non-GAAP) $5.10 $4.50 $4.08 25% Revenue (GAAP) $3,158 million N/A $2,925 million 8.0% GAAP Net Income $235 million $189 million 25% Adjusted EBITDA $386 million $323 million 19% Net Earned Premiums, Fees and Other Income – Global Housing $698 million $634 million 10% Source: Analyst estimates provided by FactSet. Management expectations based on management's guidance, as provided in Q1 2025 earnings report. Business Overview and Strategic Focus Assurant (NYSE:AIZ) operates as a B2B2C (business-to-business-to-consumer) specialty insurance and protection services company, serving segments such as housing, mobile device, and vehicle protection. It delivers products like homeowners insurance and mobile protection plans to consumers, mainly through large partners including telecom providers and car dealers. Its business model thrives on strategic partnerships and recurring, scalable fee-based income streams. In recent years, the company has directed its efforts toward financial resilience, technology integration, and operational efficiency. Key focuses remain on strong risk management, continuous technology investment -- particularly in artificial intelligence -- and deepening relationships with major partners. Success is heavily tied to maintaining its balance sheet strength, innovating product offerings, and efficiently managing catastrophic event risks. Quarter in Review: Segment Performance and Financial Trends Assurant's Q2 2025 reflected a clear outperformance on earnings, with adjusted earnings per share jumping 25% to $5.10, beating analyst predictions by a wide margin, with non-GAAP EPS of 5.10 exceeding the analyst estimate of 4.50. While GAAP revenue grew 8%, it slipped 2.3% below consensus forecasts. Earnings leverage stemmed from both segment profitability and efficient capital allocation, including share repurchases. In the Global Lifestyle segment, which includes products such as mobile device protection plans and auto service contracts, Adjusted EBITDA reached $201.4 million, up 6%. Segment revenues climbed 8% year over year. Growth came from expanded mobile protection partnerships, including a new program with Total Wireless by Verizon, and a new financial services offering. Automotive service contracts experienced modest gains, as earlier pricing actions and claim adjustments led to improved loss experience. The segment benefited from technology-driven efficiencies, ongoing investments in AI-enabled platforms, and new program wins, but growth rates lagged those seen in Housing. Global Housing, which covers homeowners and renters insurance products, saw standout performance for the period. Adjusted EBITDA jumped 33% to $214 million, driven by lower catastrophe losses and favorable reserve developments. Excluding catastrophes, adjusted EBITDA increased 18%. Net earned premiums, fees, and other income from the Global Lifestyle and Global Housing segments increased 8%, mainly driven by growth in policies in-force, higher average premiums within lender-placed, and growth across various specialty products within Homeowners. This segment benefited from $33.9 million in prior period reserve releases, compared to $17.0 million in Q2 2024, and saw inflation guard features and rate management help limit claims cost growth. These tools allow Assurant to frequently adjust pricing by state to offset inflation and higher repair costs, a key advantage for managing housing risk. On the downside, Corporate and Other posted a negative adjusted EBITDA of $29.8 million, a slight year-over-year decline due to higher employee-related costs and reduced investment income. While manageable relative to overall earnings, this continues to be an area flagged for ongoing cost pressure monitoring. Lower catastrophe losses versus Q2 2024 provided earnings stability, with total reportable catastrophe impacts of $29.8 million, more than $15 million below the prior year. The period also saw ongoing technology upgrades, with continued investment in client launches, automation, and digital platforms. The company also acquired a new 250,000-policy renters insurance book through reinsurance, adding further scale in its housing subsegment. Management cited this as a strategic move to consolidate market leadership. Dividend policy remained robust. The quarterly dividend was $0.80 per share, compared to $0.72 per share in Q2 2024, and share repurchases totaled $62 million, with another $25 million completed since. These returns were supported by strong free cash flow and holding company liquidity, which stood at $518 million, well above internal targets. Guidance for capital returns was also raised for the full year, to the high end of $250–$300 million in planned buybacks. Looking Ahead: Guidance and Investor Considerations For FY2025, management increased its non-GAAP outlook. Adjusted earnings per share, excluding catastrophe impacts, are now expected to approach 10% growth in 2025 compared to 2024. Adjusted EBITDA (non-GAAP) is expected to grow at a mid- to high single-digit rate for 2025. Segmental drivers include further gains in both Connected Living (mobile device, home electronics, appliance protection) and Global Automotive (service contracts and vehicle care), along with strong earnings growth in the housing segment, excluding catastrophe losses, as measured by Adjusted EBITDA (non-GAAP). Guidance also includes assumptions for tariffs, inflation, and other macro risks. Leadership is targeting annual capital returns at the high end of the $250–$300 million range for 2025, fueled by continued cash generation and a strong balance sheet. Investors should continue to monitor segment-level revenue pacing -- especially given the recent GAAP revenue miss against expectations -- and the sustainability of reserve releases and favorable loss experience as drivers of profit growth. Other watchpoints include expense trends in Corporate and Other and ongoing macroeconomic or regulatory risks, such as tariffs on parts and housing materials, which can influence claim costs. Revenue and net income presented using U.S. generally accepted accounting principles (GAAP) unless otherwise noted. Where to invest $1,000 right now When our analyst team has a stock tip, it can pay to listen. After all, Stock Advisor's total average return is 1,039%* — a market-crushing outperformance compared to 181% for the S&P 500. They just revealed what they believe are the 10 best stocks for investors to buy right now, available when you join Stock Advisor. See the stocks » *Stock Advisor returns as of August 4, 2025
Yahoo
09-07-2025
- Business
- Yahoo
5 Must-Read Analyst Questions From Assurant's Q1 Earnings Call
Assurant's first quarter performance tracked closely to Wall Street's revenue expectations, while non-GAAP earnings per share significantly exceeded analyst forecasts. Management credited this outcome to robust growth in the Global Housing segment, particularly from an increase in lender placed homeowners policies and ongoing demand in the renters business. CEO Keith Demmings highlighted a 17% top-line gain in homeowners, driven by 70,000 additional lender placed policies, and noted strong execution in expanding strategic client partnerships. Meanwhile, the Global Lifestyle segment benefited from stable automotive earnings and new program launches, though softness in mobile device trade-in activity and higher investments in new client initiatives tempered overall margin performance. Is now the time to buy AIZ? Find out in our full research report (it's free). Revenue: $3.07 billion vs analyst estimates of $3.06 billion (6.7% year-on-year growth, in line) Adjusted EPS: $3.39 vs analyst estimates of $2.78 (22.1% beat) Operating Margin: 6%, down from 10.2% in the same quarter last year Market Capitalization: $9.65 billion While we enjoy listening to the management's commentary, our favorite part of earnings calls are the analyst questions. Those are unscripted and can often highlight topics that management teams would rather avoid or topics where the answer is complicated. Here is what has caught our attention. Jeff Schmitt (William Blair & Company) asked about timing for improvement in the Global Lifestyle loss ratio. CEO Keith Demmings said results were tracking as expected, citing progress in auto and stable trends in connected living. John Barnidge (Piper Sandler) questioned the assumed impact of tariffs on claims costs in auto and housing. CFO Keith Meier explained that only a small portion of claims exposure is directly affected and that quarterly rate adjustments help address inflationary pressures. Mark Hughes (Truist) inquired about initial subscriber growth and financial impact from the Total Wireless Protect program. Demmings noted it is a new launch, with a multi-year ramp, representing a strategic opportunity rather than an immediate financial step change. Tommy McJoynt (KBW) probed why mobile device protection is less impacted by tariffs. Meier clarified that risk-sharing and reinsurance arrangements with large clients, as well as the monthly pay model, limit direct exposure. Bob Huang (Morgan Stanley) asked which commodity inputs are most sensitive to tariffs in auto and housing. Meier responded that potential impacts are mostly limited to imported auto parts and building materials, but scenario planning and client collaboration help mitigate risk. Looking ahead, StockStory's analysts will monitor (1) the ongoing ramp of new client programs like Total Wireless Protect and the impact on market share in mobile protection, (2) sustained growth in lender placed and renters insurance policies amid shifting voluntary market dynamics, and (3) the effectiveness of operational levers—such as rate adjustments and risk-sharing contracts—in managing claims inflation and tariff-related cost pressures. Execution on further technology investments will also be a key marker of progress. Assurant currently trades at $190.26, down from $197.92 just before the earnings. Is the company at an inflection point that warrants a buy or sell? See for yourself in our full research report (it's free). Market indices reached historic highs following Donald Trump's presidential victory in November 2024, but the outlook for 2025 is clouded by new trade policies that could impact business confidence and growth. While this has caused many investors to adopt a "fearful" wait-and-see approach, we're leaning into our best ideas that can grow regardless of the political or macroeconomic climate. Take advantage of Mr. Market by checking out our Top 5 Growth Stocks for this month. This is a curated list of our High Quality stocks that have generated a market-beating return of 183% over the last five years (as of March 31st 2025). Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,545% between March 2020 and March 2025) as well as under-the-radar businesses like the once-micro-cap company Tecnoglass (+1,754% five-year return). Find your next big winner with StockStory today. StockStory is growing and hiring equity analyst and marketing roles. Are you a 0 to 1 builder passionate about the markets and AI? See the open roles here. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
