Assurant (AIZ) Q2 2024 earnings summary

Executive summary

• First half 2024 results showed strong outperformance in Global Housing and momentum in Connected Living, driving increased full-year growth expectations and robust capital returns.

• Adjusted EBITDA excluding catastrophes rose 20% year-to-date and 10% in Q2 to $369.1M; adjusted EPS grew 29% year-to-date and 17% in Q2, both excluding catastrophes.

• Net income rose 21% year-over-year to $188.7M for Q2 2024, with revenues up 7% to $2.92B and net earned premiums up 4%.

• New partnerships and contract renewals, including with T-Mobile, Spectrum Mobile, Telstra, and Chase, drove subscriber and client growth.

• Sustainability initiatives advanced, with a new vision focused on a connected, respected, and protected world.

Financial highlights

• Q2 2024 adjusted EBITDA (excluding catastrophes) grew 10% to $369M; adjusted EPS (excluding catastrophes) increased 17% to $4.77.

• Q2 2024 GAAP net income: $188.7M (+21% YoY); net income per diluted share: $3.58 (+23% YoY).

• Holding company liquidity stood at $735M as of June 30, 2024.

• Returned $157M to shareholders year-to-date via share repurchases and dividends; $80M returned in Q2.

• Net investment income increased 10% year-over-year to $124.7M in Q2 2024.

Outlook and guidance

• Full-year adjusted EBITDA expected to grow high single digits and adjusted EPS to increase low double digits, both excluding catastrophes.

• Global Housing expected to lead enterprise growth in 2024; modest growth anticipated in Global Lifestyle, with continued pressure in Global Automotive.

• Share repurchases expected at the high end of $200M-$300M range for 2024; capital deployment to prioritize business growth, M&A, and shareholder returns.