NYSE$KMPR

Kemper Corporation · Q4 2022 earnings

Q4 2022 earnings · · Investor relations

Briefing

Kemper reported a net loss and focused on restoring profitability through rate increases and cost reduction initiatives.

Kemper Corporation reported a net loss of $55.5 million for Q4 2022, an improvement compared to the net loss of $105.8 million in Q4 2021. The company is focused on restoring profitability through rate increases in Specialty and Preferred P&C Personal Auto, growth in Commercial Vehicle, and improving Life profitability. Strategic initiatives to reduce costs and enhance capabilities are on track.

  • Focus remains on restoring profitability; actions taken earning in at an accelerated rate.
  • Higher seasonality and modest current year prior quarter reserve development impacted results
  • Rate-taking activities continue ahead of schedule.
  • Continued strong profitable growth momentum in Commercial Vehicle, net written premiums grew 33% year-over-year.

Headline financials

Total Revenue

$1.38B

Previous: $1.49B-7.8%
EPS (adj)

-$0.41

Previous: -$2.05+80.0%
Book Value Per Share

$38.23

No prior period
Net Income

-$55.5M

Previous: -$106M+47.5%
Operating Income

-$46.5M

Previous: -$163M+71.5%
Gross Profit

$1.38B

Previous: $1.48B-6.8%
Cash & Equivalents

$212M

Previous: $148M+43.3%
Total Assets

$13.4B

Previous: $14.9B-10.4%

Revenue & EPS history

Kemper · Revenue · Quarterly

$1.38B

Q4 2022-7.8%vs Q4 2021
Beat estimate in 9 of 14 quarters(64%)
ActualEstimate

Revenue by segment

Kemper · $1.22B total across 2 segments · Q4 2022

  • Specialty Property & Casualty Insurance
    $1.02B-4.1%
  • Life Insurance
    $198M-5.7%

Forward guidance

Kemper is focused on improving profitability through rate increases, cost reductions, and strategic initiatives.

Tailwinds

  • Rate and non-rate actions are earning in at an accelerating rate.
  • Cost structure measures are being implemented.
  • Improving profitability in the Life business.
  • Strength of Kemper’s differentiated capabilities.
  • Enhancement initiatives position the company to provide attractive near- and long-term returns to shareholders.

Headwinds

  • Changes in the frequency and severity of insurance claims.
  • Claim development and the process of estimating claim reserves.
  • The impacts of inflation.
  • Supply chain disruption.
  • Investment risks.

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 2022

Historical avgQ4 2022

-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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