Citizens (CIA) Q3 2025 earnings summary

Executive summary

• Net income before federal income tax for Q3 2025 rose to $4.5M from $3.0M in Q3 2024, driven by higher investment and other income, partially offset by investment losses related to a BlackRock write-down.

• Achieved record number of producing agents, up 19% year-over-year and 29% since year-end 2024, driving growth in new business.

• Highest-ever total direct insurance in force at $5.38 billion, up 3.7% from the prior year.

• Year-to-date (YTD) net income before tax decreased to $9.6M from $11.3M YTD 2024, mainly due to investment losses and higher insurance benefits, despite increased premium revenue.

• Book value per share of Class A common stock was $4.49; adjusted book value per share was $6.26.

Financial highlights

• Q3 2025 total revenues increased by $1.1M year-over-year, with a $1.7M rise in net investment income and a $1.0M increase in other income.

• Total revenues in Q3 2025 were $62.8M, up from $61.7M in Q3 2024; adjusted total revenues rose 5% to $64.1M.

• Adjusted net income increased 70% to $3.4M ($0.07 per share) from $2.0M ($0.04 per share) year-over-year.

• Net investment income for Q3 was $19.1M, up from $17.4M in Q3 2024, aided by a one-time $1.7M dividend.

• Premium revenue grew 4% in Q3 and 6% YTD, driven by new product sales and expanded distribution, especially in the Life Insurance segment.

Outlook and guidance

• Expects continued revenue and profit growth for full year 2026, with improving operating leverage.

• Anticipates continued elevated matured endowment benefits through 2025, then a gradual decline.

• Expects ongoing growth in domestic Life Insurance, with product mix shifting toward whole life products with lower margins.

• Positive long-term outlook supported by expanding global business model and favorable demographic trends.