NYSE$FNF

Fidelity National Financial Inc · Q4 2020 earnings

Q4 2020 earnings · · Investor relations

Briefing

Reported diluted EPS from continuing operations of $2.74 and adjusted diluted EPS from continuing operations of $2.01.

Fidelity National Financial reported Q4 2020 results with total revenue of approximately $3.8 billion, net earnings from continuing operations of $803 million, and diluted EPS from continuing operations of $2.74. The Title business saw strong refinance and purchase order activity, while F&G experienced significant retail sales growth.

  • Total revenue reached approximately $3.8 billion, up from $2.4 billion in Q4 2019.
  • Net earnings from continuing operations were $803 million, compared to $340 million in Q4 2019.
  • Diluted EPS from continuing operations was $2.74, versus $1.22 in Q4 2019.
  • Adjusted pre-tax title earnings were $624 million with an adjusted pre-tax title margin of 22.7%.

Headline financials

Total Revenue

$3.77B

Previous: $2.36B+59.6%
EPS (adj)

$2.01

Previous: $0.95+111.6%
Adjusted Pre-Tax Title Margin

22.7%

Previous: 16.3%+39.3%
Commercial Revenue

$322M

Previous: $321M+0.3%
Net Income

$803M

Previous: $340M+136.2%
Operating Income

$930M

Previous: $439M+111.8%
Gross Profit

$9.02B

Previous: $6.79B+32.9%
Cash & Equivalents

$2.72B

Previous: $5.76B-52.8%
Total Assets

$50.5B

Previous: $10.7B+372.6%

Revenue & EPS history

Fidelity National Financial · Revenue · Quarterly

$3.77B

Q4 2020+59.6%vs Q4 2019
Beat estimate in 15 of 16 quarters(94%)
ActualEstimate

Revenue by segment

Fidelity National Financial · $3.1B total across 2 segments · Q4 2020

  • Title Segment
    $3.04B+31.7%
  • Corporate and Other
    $60M+15.4%

Forward guidance

FNF is focused on maintaining a balanced capital allocation strategy, returning capital to shareholders, and investing in the business to drive growth. F&G's next phase of growth is expected to benefit from leveraging FNF's expertise in capital allocation, value creation and strategic oversight.

Tailwinds

  • Continued innovation in the Title industry with the inHere Experience Platform and Close inHere.
  • Significant national footprint expected to be a plus as adoption of client-facing and title automation technology expands.
  • F&G experiencing retail sales growth of over 40% in the fourth quarter.
  • Credit rating upgrade for F&G has opened additional large market opportunities.
  • Expansion into institutional products, including the pension risk transfer market, will be an area of strategic focus for F&G in 2021.

Headwinds

  • Challenging environment requiring navigation by the team.
  • Dependence on distributions from title insurance underwriters as a main source of cash flow.
  • Significant competition faced by F&G and operating subsidiaries.
  • Compliance with extensive government regulation of operating subsidiaries.
  • Potential impact of economic and political conditions, and COVID-19 on real estate activity.

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 Q4 2020

Historical avgQ4 2020

-0.2%

Avg return

Earnings day

+0.9%

Avg return

5 days after

+0.9%

Avg return

30 days after

51%

35 / 68 earnings

Positive

+5.8%

Q2 2018

Best reaction

-7.2%

Q1 2025

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-1.9%-7.2%-7.6%
Q4 2025-3.8%-5.0%-20.2%
Q3 2025+4.6%+7.2%+6.5%
Q1 2025-7.2%-10.9%-14.9%
Q4 2024+3.3%+6.8%+10.4%
Q3 2024-0.6%+1.2%+4.2%
Q2 2024-2.6%+0.2%+7.8%
Q1 2024+0.9%-1.4%-5.6%
Q4 2023-4.1%-5.1%-1.0%
Q3 2023+3.8%+5.1%+12.0%
Q2 2023+2.2%+5.6%+7.8%
Q1 2023-4.1%-1.3%+1.2%
Q4 2022-5.8%-5.5%-20.6%
Q3 2022-2.3%+7.3%-2.2%
Q2 2022-3.6%-2.2%-0.4%
Q1 2022-1.6%+1.2%+1.1%
Q4 2021-2.7%+2.1%+7.9%
Q3 2021-0.5%+3.7%+5.1%
Q2 2021+2.1%+6.1%+9.8%
Q1 2021+0.8%+0.6%+2.8%
Q4 2020-5.3%-2.8%+0.5%
Q3 2020+2.5%+2.1%+14.1%
Q2 2020+3.2%+7.4%+0.5%
Q1 2020+4.0%+8.0%+10.4%
Q4 2019+0.7%-0.6%-23.7%
Q3 2019+1.9%+3.4%+6.3%
Q2 2019+2.9%+2.8%+4.9%
Q1 2019+2.2%+0.8%-0.0%
Q4 2018-1.3%-3.4%-2.6%
Q3 2018-6.0%-5.6%-5.4%
Q2 2018+5.8%+7.8%+6.0%
Q1 2018+2.2%+1.3%+1.2%
Q4 2017-2.7%-5.3%-4.1%
Q3 2017+2.9%+4.9%+14.5%
Q2 2017+0.0%+2.9%+3.3%
Q1 2017+2.1%+2.1%+7.9%
Q4 2016+1.5%+3.3%+7.2%
Q3 2016-5.2%-5.2%-11.4%
Q2 2016+1.9%+3.7%+0.2%
Q1 2016-2.2%
Q4 2015+3.8%
Q3 2015+1.3%
Q2 2015+0.8%
Q1 2015+0.9%
Q4 2014-2.7%
Q3 2014-0.8%
Q2 2014+1.1%
Q1 2014+1.5%
Q4 2013+2.6%
Q3 2013-0.5%
Q2 2013-1.7%
Q1 2013-5.5%
Q4 2012-1.3%
Q3 2012+3.3%
Q2 2012-1.8%
Q1 2012+0.1%
Q4 2011+0.5%
Q3 2011+1.8%
Q2 2011+3.3%
Q1 2011+1.8%
Q4 2008-2.7%
Q4 2010-2.7%
Q3 2009+0.9%
Q3 2010+0.9%
Q4 2009-0.9%
Q2 2009-0.9%
Q2 2010-0.9%
Q1 2010-2.2%

Discussion

Share your read of this quarter. Sign-in carries your eToro identity.

Join the conversation

Sign in with eToro to post your read of this quarter and vote on others'.

Sign in with eToro