NYSE$KFS
Kingsway Financial Services · Q4 2023 earnings
Q4 2023 earnings · · Investor relations
Briefing
Announced full year 2023 financial results, with revenue up 11% and strategic acquisitions driving growth in the KSX segment, while facing challenges in the Extended Warranty segment due to macroeconomic conditions.
Kingsway Financial Services Inc. reported its full-year 2023 financial results, highlighting an 11% increase in consolidated revenue to $103.2 million, driven primarily by growth in the Kingsway Search Xcelerator (KSX) business. The company made strategic acquisitions of SPI and DDI, expanding its portfolio. However, the Extended Warranty segment faced challenges due to macroeconomic conditions.
- Consolidated revenue increased by 11% year-over-year to $103.2 million.
- KSX revenue increased by 82% due to recent acquisitions, including CSuite, SNS, SPI, and DDI.
- Consolidated net income increased to $24 million, compared to $15.1 million in the prior year.
- The company repurchased 1,093,861 warrants and 430,727 shares of its common stock at a combined cost of $7.2 million through February 29, 2024.
Headline financials
Revenue & EPS history
Kingsway Financial · Revenue · Quarterly
$25.9M
Revenue by segment
Kingsway Financial · $17.3M total across 1 segment · Q3 2023
- Extended Warranty$17.3M—100.0%
Forward guidance
Kingsway is focused on growing cash flows and increasing shareholder returns through its KSX platform, targeting two to three acquisitions per year.
Tailwinds
- KSX platform remains central to the company's strategy for growth.
- Recent acquisitions of SPI and DDI are performing well and expanding the portfolio.
- Company continues to target two to three acquisitions per year.
- Four OIRs are actively searching for new investment targets.
- Disciplined management of operating costs to mitigate rising claims.
Headwinds
- Macro-economic conditions continued to impact the end markets for warranty products.
- Claims severity increased overall for the full year, despite moderation towards the end of 2023.
- Softness in Extended Warranty segment.
- Rising claims costs impacting profitability.
- Need for pricing adjustments across all businesses.
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 2023
-0.2%
Avg return
Earnings day
+0.2%
Avg return
5 days after
-0.7%
Avg return
30 days after
56%
32 / 57 earnings
Positive
+16.3%
Q2 2022
Best reaction
-11.0%
Q1 2024
Worst reaction
| Quarter | Report date | Reaction (Day 0) | +5 days | +30 days |
|---|---|---|---|---|
| Q1 2026 | +0.7% | +6.3% | -5.7% | |
| Q3 2025 | +0.1% | -11.8% | -13.3% | |
| Q1 2025 | -1.2% | +3.8% | +48.1% | |
| Q3 2024 | -0.2% | -4.2% | -9.0% | |
| Q1 2024 | -11.0% | -12.1% | -12.8% | |
| Q4 2023 | +0.8% | -4.9% | -9.5% | |
| Q3 2023 | +2.6% | -4.9% | +1.9% | |
| Q2 2023 | -2.6% | -0.7% | +5.0% | |
| Q1 2023 | -5.1% | -3.9% | +0.8% | |
| Q4 2022 | +0.9% | -11.2% | -13.0% | |
| Q3 2022 | +0.0% | +1.6% | +1.4% | |
| Q2 2022 | +16.3% | +19.6% | +8.7% | |
| Q1 2022 | -2.1% | -3.6% | -3.6% | |
| Q4 2021 | +9.8% | +7.8% | +8.0% | |
| Q3 2021 | -0.2% | -1.1% | -9.2% | |
| Q2 2021 | +0.2% | -1.4% | +0.9% | |
| Q1 2021 | -2.2% | -2.2% | -1.0% | |
| Q4 2020 | +0.7% | +4.5% | +1.1% | |
| Q3 2020 | -0.0% | -0.3% | +33.8% | |
| Q2 2020 | -2.1% | -2.1% | +1.7% | |
| Q1 2020 | +7.6% | +10.5% | +17.6% | |
| Q4 2019 | +4.5% | +9.0% | +26.7% | |
| Q3 2019 | +0.5% | +3.6% | -9.8% | |
| Q2 2019 | +0.5% | +3.6% | -9.8% | |
| Q1 2019 | +0.5% | +0.5% | -9.8% | |
| Q4 2018 | -4.0% | -1.3% | +12.6% | |
| Q3 2018 | +4.2% | +5.0% | -9.6% | |
| Q2 2018 | +1.6% | +3.3% | -21.3% | |
| Q1 2018 | +7.5% | +12.3% | -16.5% | |
| Q4 2017 | -10.5% | -13.5% | -33.3% | |
| Q3 2017 | +0.4% | +0.5% | -0.5% | |
| Q2 2017 | -0.8% | -2.5% | -10.7% | |
| Q1 2017 | -6.1% | +0.0% | +9.6% | |
| Q4 2016 | -1.7% | -5.0% | -4.2% | |
| Q3 2016 | -0.9% | -1.0% | -4.9% | |
| Q2 2016 | +3.6% | +4.0% | +5.3% | |
| Q1 2016 | -2.8% | — | — | |
| Q4 2015 | +0.9% | — | — | |
| Q3 2015 | -0.7% | — | — | |
| Q2 2015 | +4.4% | — | — | |
| Q1 2015 | +1.2% | — | — | |
| Q4 2014 | +0.9% | — | — | |
| Q3 2014 | +1.4% | — | — | |
| Q2 2014 | +0.4% | — | — | |
| Q4 2013 | +4.6% | — | — | |
| Q4 2012 | +4.6% | — | — | |
| Q3 2013 | +0.3% | — | — | |
| Q2 2013 | -7.8% | — | — | |
| Q1 2013 | -4.8% | — | — | |
| Q3 2012 | -8.9% | — | — | |
| Q3 2011 | -8.9% | — | — | |
| Q2 2012 | +0.2% | — | — | |
| Q2 2011 | +0.2% | — | — | |
| Q4 2011 | +4.1% | — | — | |
| Q1 2012 | +4.1% | — | — | |
| Q4 2010 | — | — | — | |
| Q3 2010 | -10.2% | — | — | |
| Q2 2010 | -4.5% | — | — |
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