NYSE$KMPR

Kemper Corporation · Q3 2023 earnings

Q3 2023 earnings · · Investor relations

Briefing

Kemper reported a net loss, with improvements in the Specialty Auto Underlying Combined Ratio and strategic initiatives on track.

Kemper Corporation reported a net loss of $146.3 million for Q3 2023, compared to a net loss of $74.8 million for Q3 2022. The results included a $55.5 million after-tax non-cash charge related to the termination of Kemper’s remaining pension plan obligations and $22.9 million of after-tax net realized losses on investments. Adjusted Consolidated Net Operating Loss was $27.9 million, compared to $27.0 million in the prior year.

  • Specialty Auto Underlying Combined Ratio improved 1.5 points sequentially.
  • Unfavorable prior year reserve development was largely associated with Florida Personal Injury Protection (PIP).
  • Strategic initiatives are on track to produce or exceed their targeted benefits.
  • Life business trends remain stable; consumer demand remains strong.

Headline financials

Total Revenue

$1.2B

Previous: $1.38B-12.9%
EPS (adj)

-$0.44

Previous: -$0.48+8.3%
Book Value Per Share

$36.85

Previous: $38.16-3.4%
Capital Expenditures

-$13.7M

No prior period
Free Cash Flow

-$52.3M

No prior period
Net Income

-$146M

Previous: -$76.2M-92.0%
Operating Income

-$39M

Previous: -$45.3M+13.9%
Gross Profit

-$230M

Previous: $275M-183.4%
Cash & Equivalents

$110M

Previous: $249M-55.9%
Total Assets

$12.5B

Previous: $13.5B-6.8%

Revenue & EPS history

Kemper · Revenue · Quarterly

$1.2B

Q3 2023-12.9%vs Q3 2022
Beat estimate in 9 of 14 quarters(64%)
ActualEstimate

Revenue by segment

Kemper · $1.22B total across 3 segments · Q3 2023

  • Specialty Property & Casualty Insurance
    $935M-9.7%
  • Life Insurance
    $152M-28.1%
  • Non-Core Operations
    $138M

Forward guidance

Kemper is making strong progress toward profitability in a dynamic operating environment. Implementation of 30 points of California specialty auto rate, along with the cumulative benefits from other actions, are providing a tailwind for the fourth quarter and full year 2024. Strategic initiatives are on track to produce or exceed the intended operational and financial targets.

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

-0.2%

Avg return

Earnings day

+1.5%

Avg return

5 days after

+2.3%

Avg return

30 days after

53%

36 / 68 earnings

Positive

+16.3%

Q3 2015

Best reaction

-20.1%

Q4 2015

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-8.8%-6.2%-24.7%
Q4 2025-13.1%-15.6%-17.5%
Q3 2025-0.8%-3.4%-10.1%
Q1 2025+1.6%+5.4%+3.7%
Q4 2024+1.4%-2.1%-2.9%
Q3 2024-2.0%-1.4%+12.5%
Q2 2024-9.1%-5.3%-2.1%
Q1 2024+0.1%+3.7%+2.6%
Q4 2023-4.5%+12.0%+2.8%
Q3 2023-3.4%+1.9%+4.8%
Q2 2023-6.6%-6.3%-7.4%
Q1 2023+1.8%-2.9%+2.3%
Q4 2022+5.9%+4.2%+10.3%
Q3 2022+4.5%+17.7%+20.1%
Q2 2022-8.8%-6.6%-1.7%
Q1 2022+12.1%+5.5%+12.0%
Q4 2021-10.7%-10.7%-12.2%
Q3 2021-7.9%-7.2%-15.4%
Q2 2021-2.5%-7.3%+3.8%
Q1 2021-4.7%-3.2%-8.6%
Q4 2020-0.9%+1.9%+10.2%
Q3 2020+5.4%+5.1%+24.0%
Q2 2020+3.8%+8.1%-0.9%
Q1 2020+3.3%-5.2%+15.9%
Q4 2019+0.8%-0.1%-14.0%
Q3 2019+1.4%+2.1%+1.9%
Q2 2019-10.2%-7.9%-17.8%
Q1 2019+3.9%+4.9%-2.0%
Q4 2018+4.1%+7.3%+6.2%
Q3 2018+2.2%+1.4%-3.2%
Q2 2018+6.5%+6.5%+8.7%
Q1 2018+12.9%+16.7%+29.6%
Q4 2017-7.3%+1.9%-1.9%
Q3 2017+5.5%+5.8%+14.9%
Q2 2017+13.4%+21.3%+22.0%
Q1 2017-1.6%-2.4%+4.2%
Q4 2016+5.5%+4.5%-2.8%
Q3 2016-1.5%+0.8%+13.0%
Q2 2016+12.2%+15.1%+10.4%
Q1 2016+1.5%
Q4 2015-20.1%
Q3 2015+16.3%
Q2 2015-1.9%
Q1 2015-1.7%
Q4 2014+3.3%
Q3 2014+0.1%
Q2 2014+0.1%
Q1 2014-7.3%
Q4 2013+1.7%
Q3 2013+3.1%
Q2 2013+1.5%
Q1 2013+2.6%
Q4 2012-3.7%
Q3 2012+0.9%
Q2 2012-2.0%
Q1 2012-0.5%
Q4 2011+0.3%
Q3 2011+8.3%
Q2 2011-7.5%
Q1 2010-3.0%
Q1 2011+1.5%
Q4 2010+7.3%
Q4 2008+7.3%
Q3 2009-0.4%
Q3 2010-0.4%
Q4 2009-8.9%
Q2 2009-8.9%
Q2 2010-8.9%

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