NYSE$ALL

Allstate Corp · Q3 2023 earnings

Q3 2023 earnings · · Investor relations

Briefing

Allstate's Q3 2023 financial performance was marked by improved profitability and progress in its growth strategy.

Allstate reported adjusted net income of $214 million, driven by improved underwriting performance, strong investment income, and profits from Protection Services and Health and Benefits. The Property-Liability underlying combined ratio improved, but the company faced an underwriting loss due to increased auto insurance loss costs, elevated catastrophe losses, and adverse prior year loss development. Allstate is pursuing the sale of its Health and Benefits businesses and is focused on increasing property-liability market share.

  • Adjusted net income was $214 million, or $0.81 per diluted share.
  • Property-Liability earned premium grew by 10.0%.
  • The Property-Liability underlying combined ratio improved to 91.9.
  • Total revenues increased by 9.8% to $14.5 billion.

Headline financials

Total Revenue

$14.5B

Previous: $13.2B+9.8%
EPS (adj)

$0.81

Previous: -$1.56+151.9%
P&C Combined Ratio

103.4%

Previous: 111.6%-7.3%
Capital Expenditures

-$196M

Previous: -$352M+44.3%
Free Cash Flow

-$201M

Previous: -$1.02B+80.3%
Net Income

-$5M

Previous: -$668M+99.3%
Operating Income

$10.7B

Previous: $9.58B+11.8%
Gross Profit

$12.7B

Previous: $11.5B+9.8%
Cash & Equivalents

$860M

Previous: $786M+9.4%
Total Assets

$101B

Previous: $97.7B+3.6%

Revenue & EPS history

Allstate · Revenue · Quarterly

$14.5B

Q3 2023+9.8%vs Q3 2022
Beat estimate in 12 of 15 quarters(80%)
ActualEstimate

Revenue by segment

Allstate · $607M total across 4 segments · Q1 2023

  • Protection Plans
    $385M
  • Dealer Services
    $148M
  • Arity
    $37M
  • Identity Protection
    $37M

Forward guidance

Allstate is proactively managing capital and is confident that strategic actions will result in profitable growth and attractive shareholder returns.

Tailwinds

  • Comprehensive profit improvement plan is in progress.
  • Strategic actions are expected to lead to profitable growth.
  • Attractive shareholder returns are anticipated.
  • Financial flexibility to navigate the operating environment.
  • Capital resources are available to invest in growth.

Headwinds

  • Challenging operating environment.
  • Unspecified uncertainties.
  • Reliance on estimates, assumptions, and plans.
  • Potential for inaccurate estimates, assumptions, or plans.
  • Risk of actual results differing materially from forward-looking statements.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q3 2023

Historical avgQ3 2023

+0.3%

Avg return

Earnings day

+0.6%

Avg return

5 days after

+2.1%

Avg return

30 days after

53%

39 / 73 earnings

Positive

+5.7%

Q2 2025

Best reaction

-9.9%

Q2 2015

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+0.0%+2.9%-2.8%
Q4 2025+3.9%-2.9%+2.5%
Q3 2025+1.5%+6.5%+3.9%
Q2 2025+5.7%+6.9%+5.8%
Q1 2025-0.6%+1.8%+5.8%
Q4 2024-0.6%-1.9%+4.0%
Q3 2024-0.0%-2.3%+11.2%
Q2 2024+2.2%-2.6%+8.8%
Q1 2024-0.5%+0.0%-1.5%
Q4 2023+2.8%+1.3%-0.3%
Q3 2023+2.5%+1.9%+7.5%
Q2 2023-5.5%-2.5%-4.3%
Q1 2023+1.5%+3.3%-2.1%
Q4 2022+2.7%-7.6%-0.3%
Q3 2022-1.4%+2.4%+4.1%
Q2 2022-1.5%+2.2%+5.0%
Q1 2022+1.4%-0.6%+1.7%
Q4 2021+2.5%+5.1%+7.4%
Q3 2021-6.5%-6.5%-13.5%
Q2 2021-2.1%+1.5%+2.5%
Q1 2021+3.7%+5.2%+6.6%
Q4 2020-3.3%-3.1%+0.7%
Q3 2020-2.7%+1.0%+12.3%
Q2 2020-1.5%+0.7%-3.0%
Q1 2020+1.1%+0.4%+1.5%
Q4 2019+4.7%+4.5%-8.9%
Q3 2019-1.5%-0.7%+5.1%
Q2 2019+5.5%+2.7%+0.4%
Q1 2019-0.8%-1.4%-3.6%
Q4 2018+4.2%+4.1%+5.0%
Q3 2018-5.8%-5.3%-6.6%
Q2 2018+2.5%+3.4%+5.7%
Q1 2018-3.8%-3.4%-4.4%
Q4 2017-6.8%-6.1%-0.6%
Q3 2017+4.3%+5.6%+9.8%
Q2 2017+3.5%+3.5%-0.5%
Q1 2017+0.6%-0.9%+2.0%
Q4 2016+2.9%+3.8%+8.8%
Q3 2016+1.3%-0.5%+5.1%
Q2 2016+0.7%+1.6%+1.2%
Q1 2016+3.8%
Q4 2015+3.5%
Q3 2015+2.1%
Q2 2015-9.9%
Q1 2015-3.6%
Q4 2014+0.4%
Q3 2014+1.1%
Q2 2014+2.5%
Q1 2014+1.2%
Q4 2013+4.9%
Q3 2013-0.6%
Q2 2013+2.6%
Q1 2013-2.1%
Q4 2012+1.7%
Q3 2012-2.7%
Q4 2011+4.7%
Q2 2012+4.7%
Q1 2012+2.5%
Q3 2011-3.9%
Q2 2011-0.3%
Q1 2011-1.3%
Q4 2010-0.1%
Q3 2010-6.9%
Q2 2010-0.4%
Q1 2009+0.0%
Q1 2010+1.3%
Q4 2009-0.1%
Q4 2007-0.1%
Q3 2009-2.3%
Q3 2008-2.3%
Q2 2009+0.5%
Q2 2008+0.5%
Q4 2008+0.5%

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