Total revenues of $612.0 million ($608.9 million on an adjusted basis) compared to $554.3 million ($547.3 million on an adjusted basis) in the prior year quarter Net income of $3.1 million ($7.0 million on an adjusted basis) compared to net income of $3.1 million ($4.6 million on an adjusted basis) in the prior year quarter  Diluted EPS of $0.11 ($0.25 on an adjusted basis) compared to prior year quarter diluted EPS of $0.11 ($0.17 on an adjusted basis)

HOUSTON, April 23, 2025 /PRNewswire/ -- Stewart Information Services Corporation (NYSE: STC) today reported net income attributable to Stewart of $3.1 million ($0.11 per diluted share) for the first quarter 2025, compared to net income attributable to Stewart of $3.1 million ($0.11 per diluted share) for the first quarter 2024. On an adjusted basis, net income for the first quarter 2025 was $7.0 million ($0.25 per diluted share) compared to net income of $4.6 million ($0.17 per diluted share) in the first quarter 2024. Pretax income before noncontrolling interests for the first quarter 2025 was $5.9 million ($11.2 million on an adjusted basis) compared to $7.1 million ($9.1 million on an adjusted basis) for the first quarter 2024.Stewart Logo (PRNewsfoto/Stewart Information Services Co)

First quarters 2025 and 2024 results included $3.1 million and $7.0 million, respectively, of total pretax net realized and unrealized gains, both primarily related to net gains from fair value changes of equity securities investments recorded in the title segment.

"I'm proud of our first quarter 2025 performance as we delivered strong revenue results across all our segments, growing our total revenues compared to the first quarter of last year," commented Fred Eppinger, chief executive officer. "We are pleased with our performance as we were able to deliver these results while navigating a historically challenging macro environment. We remain focused on managing our operations well, growing the company thoughtfully and relentlessly serving our customers."

Selected Financial Information Summary results of operations are as follows (dollars in millions, except per share amounts, pretax margin and adjusted pretax margin, and amounts may not add as presented due to rounding):

Quarter Ended

March 31,  2025 2024   Total revenues 612.0 554.3  Pretax income before noncontrolling interests 5.9 7.1  Income tax expense  (0.5) (0.9)  Net income attributable to noncontrolling interests (2.3) (3.1)  Net income attributable to Stewart 3.1 3.1  Non-GAAP adjustments, after taxes* 3.9 1.5  Adjusted net income attributable to Stewart* 7.0 4.6  Pretax margin 1.0 % 1.3 %  Adjusted pretax margin* 1.8 % 1.7 %  Net income per diluted Stewart share 0.11 0.11  Adjusted net income per diluted Stewart share* 0.25 0.17

*Adjusted net income, adjusted pretax margin and adjusted net income per diluted share are non-GAAP measures. See Appendix A for explanation and reconciliation of non-GAAP adjustments.

Title Segment Summary results of the title segment are as follows (dollars in millions, except pretax margin and adjusted pretax margin):

Story Continues

Quarter Ended March 31,  2025 2024 % Change   Operating revenues 499.2 451.4 11 %  Investment income 12.6 12.9 (2 %)  Net realized and unrealized gains 3.1 7.1 (57 %)  Pretax income 11.8 10.2 16 %  Non-GAAP adjustments to pretax income* (0.3) (3.7)  Adjusted pretax income* 11.5 6.5 77 %  Pretax margin 2.3 % 2.2 %  Adjusted pretax margin* 2.2 % 1.4 %  * Adjusted pretax income and adjusted pretax margin are non-GAAP financial measures. See 
Appendix A for explanation and reconciliation of non-GAAP adjustments.

Title segment operating revenues in the first quarter 2025 increased $47.8 million (11 percent), as revenues from both our direct and agency title operations improved, while total segment operating expenses increased $41.9 million (9 percent) compared to the first quarter 2024. Agency retention expenses in the first quarter 2025 increased $21.4 million (11 percent), consistent with the gross agency revenue increase of $26.7 million (11 percent) compared to the prior year quarter.

Title segment combined employee costs and other operating expenses for the first quarter 2025 increased $20.3 million (9 percent), compared to the first quarter 2024, primarily due to increased incentive compensation expenses related to higher title revenues, and higher outside search and service expenses resulting from higher commercial revenues. As a percentage of operating revenues, total title employee costs and other operating expenses improved to 51.1 percent in the first quarter 2025 compared to 52.0 percent in the prior year quarter.

Title loss expense in the first quarter 2025 was $17.7 million compared to $17.4 million in the first quarter 2024. As a percentage of title operating revenues, first quarter 2025 title loss expense improved to 3.5 percent, compared to 3.9 percent in the prior year quarter, primarily driven by our overall favorable claims experience. In addition to the net realized and unrealized gains presented above (which were primarily related to fair value changes of equity securities investments), non-GAAP adjustments to the title segment's pretax income for the first quarters 2025 and 2024 of $2.8 million and $3.4 million, respectively, were primarily related to acquisition intangible asset amortization and related expenses (refer to Appendix A for details).

Direct title revenues information is presented below (dollars in millions):

Quarter Ended March 31, 2025 2024 % Change  Non-commercial:  Domestic 134.4 135.3 (1 %) International 22.2 19.2 16 % 156.6 154.5 1 % Commercial:  Domestic 69.3 49.7 39 % International 5.8 6.4 (9 %) 75.1 56.1 34 % Total direct title revenues 231.7 210.6 10 %

Domestic commercial revenues in the first quarter 2025 improved $19.6 million (39 percent), driven by a 13 percent higher average transaction size and a 23 percent increase in commercial closed transactions compared to the prior year quarter. Domestic non-commercial revenues in the first quarter 2025 were slightly lower compared to the prior year quarter, primarily due to lower total non-commercial domestic transactions, partially offset by a 13 percent higher fee per file during first quarter 2025. First quarter 2025 average domestic commercial fee per file was $15,800, compared to $13,900 from the first quarter 2024, while average domestic residential fee per file was $3,300, compared to $2,900 from the prior year quarter. Total international revenues improved $2.4 million (9 percent) in the first quarter 2025, primarily driven by increased volumes from our Canadian operations compared to the prior year quarter.

Real Estate Solutions Segment Summary results of the real estate solutions segment are as follows (dollars in millions, except pretax margin and adjusted pretax margin):

Quarter Ended March 31,  2025 2024 % Change   Operating revenues 97.1 83.0 17 %  Pretax income 4.1 6.7 (40 %)  Non-GAAP adjustments to pretax income* 5.5 5.6  Adjusted pretax income* 9.6 12.3 (22 %)  Pretax margin 4.2 % 8.1 %  Adjusted pretax margin* 9.9 % 14.8 %  * Adjusted pretax income and adjusted pretax margin are non-GAAP financial measures. See
Appendix A for an explanation and reconciliation of non-GAAP adjustments.

Segment operating revenues improved $14.1 million (17 percent) in the first quarter 2025, primarily driven by increased revenues from our credit information services operations compared to the first quarter 2024. Combined employee costs and other operating expenses increased $16.6 million (24 percent), primarily due to higher costs of services related to credit information and increased employee costs supporting revenue growth. Non-GAAP adjustments to pretax income shown in the schedule above were related to acquisition intangible asset amortization expenses (refer to Appendix A).

Corporate Segment The segment's results primarily relate to net expenses attributable to corporate operations which totaled $9.9 million in the first quarter 2025, compared to $9.7 million in the prior year quarter.

Expenses Consolidated employee costs in the first quarter 2025 increased $13.4 million (8 percent) compared to the first quarter 2024, primarily due to higher incentive compensation on overall improved revenues and increased salaries primarily due to slightly higher employee counts in our title and real estate solutions businesses. As a percentage of total operating revenues, consolidated employee costs in the first quarter 2025 improved to 31.2 percent from 32.3 percent in the prior year quarter.

Consolidated other operating expenses in the first quarter 2025 increased $24.0 million (18 percent), primarily due to higher real estate solutions service expenses and commercial title outside search fees driven by higher related revenues compared to the first quarter 2024. As a percentage of total operating revenues, first quarter 2025 consolidated other operating expenses increased to 27.0 percent compared to 25.6 percent from the prior year quarter, primarily due to increased real estate solutions service expenses.

Other Net cash used by operations in the first quarter 2025 was $29.9 million, which was comparable to net cash used of $29.6 million in the first quarter 2024.

First Quarter Earnings Call Stewart will hold a conference call to discuss the first quarter 2025 earnings at 8:30 a.m. Eastern Time on Thursday, April 24, 2025. To participate, dial 800-267-6316 (USA) or 203-518-9783 (International) – access code STCQ125. Additionally, participants can listen to the conference call through Stewart's Investor Relations website at https://investors.stewart.com/news-and-events/events/default.aspx. The conference call replay will be available from 11:00 a.m. Eastern Time on April 24, 2025 until midnight on May 1, 2025 by dialing (800) 938-0998 (USA) or (402) 220-1550 (International).

About Stewart Stewart (NYSE-STC) is a global real estate services company, offering products and services through our direct operations, network of Stewart Trusted Providers™ and family of companies. From residential and commercial title insurance and closing and settlement services to specialized offerings for the mortgage and real estate industries, we offer the comprehensive service, deep expertise and solutions our customers need for any real estate transaction. At Stewart, we are dedicated to becoming the premier title services company and we are committed to doing so by partnering with our customers to create mutual success. Learn more at stewart.com.

Cautionary statement regarding forward-looking statements. Certain statements in this press release are "forward-looking statements", including statements related to Stewart's future business plans and expectations, including our plans to achieve market growth and pretax margin improvements. Forward-looking statements, by their nature, are subject to various risks and uncertainties that could cause our actual results to differ materially. Such risks and uncertainties include the volatility of general economic conditions, including economic changes that may result from new or increased tariffs, trade restrictions or geopolitical tensions, and adverse changes in the level of real estate activity, as well as a number of other risk and uncertainties discussed in detail in our documents filed with the Securities and Exchange Commission, including our Annual Report on Form 10-K for the year ended December 31, 2024, and if applicable, as supplemented by any risk factors contained in our Quarterly Reports on Form 10-Q, and our Current Reports on Form 8-K filed subsequently. We expressly disclaim any obligation to update, amend or clarify any forward-looking statements contained in this press release to reflect events or circumstances that may arise after the date hereof, except as may be required by applicable law.

ST-IR

STEWART INFORMATION SERVICES CORPORATION

CONDENSED STATEMENTS OF INCOME

(In thousands of dollars, except per share amounts and except where noted) Quarter Ended

March 31,  2025 2024  Revenues:  Title revenues:  Direct operations  231,680 210,588  Agency operations 267,518 240,772  Real estate solutions 97,077 83,016  Total operating revenues 596,275 534,376  Investment income 12,656 12,901  Net realized and unrealized gains 3,053 7,038  611,984 554,315  Expenses:  Amounts retained by agencies  221,377 199,976  Employee costs 185,811 172,417  Other operating expenses  160,911 136,951  Title losses and related claims  17,702 17,383  Depreciation and amortization  15,322 15,384  Interest 4,961 5,058  606,084 547,169  Income before taxes and noncontrolling interests 5,900 7,146  Income tax expense (484) (936)  Net income 5,416 6,210  Less net income attributable to noncontrolling interests 2,339 3,080  Net income attributable to Stewart 3,077 3,130   Net earnings per diluted share attributable to Stewart 0.11 0.11  Diluted average shares outstanding (000) 28,341 28,027   Selected financial information:  Net cash used by operations (29,927) (29,588)  Other comprehensive income (loss) 6,371 (6,596)

First Quarter Domestic Order Counts:  Opened Orders 2025: Jan Feb Mar Total  Closed Orders 2025: Jan Feb Mar Total Commercial 1,336 1,364 1,628 4,328  Commercial 1,394 1,376 1,620 4,390 Purchase 14,110 14,406 17,734 46,250  Purchase 7,784 8,562 10,434 26,780 Refinancing 5,481 5,655 6,426 17,562  Refinancing 3,142 3,074 3,682 9,898 Other 3,370 4,784 2,649 10,803  Other 1,413 1,507 1,685 4,605 Total 24,297 26,209 28,437 78,943  Total 13,733 14,519 17,421 45,673  Opened Orders 2024: Jan Feb Mar Total  Closed Orders 2024: Jan Feb Mar Total Commercial 1,142 1,359 1,192 3,693  Commercial 1,065 1,186 1,317 3,568 Purchase 14,867 15,920 17,237 48,024  Purchase 8,941 9,843 10,960 29,744 Refinancing 5,419 5,391 5,561 16,371  Refinancing 2,935 3,108 3,310 9,353 Other 3,983 3,836 3,428 11,247  Other 2,618 2,566 2,610 7,794 Total 25,411 26,506 27,418 79,335  Total 15,559 16,703 18,197 50,459

STEWART INFORMATION SERVICES CORPORATION

CONDENSED BALANCE SHEETS

(In thousands of dollars) March 31, 2025 December 31, 2024 Assets:  Cash and cash equivalents 148,510 216,298 Short-term investments 45,716 41,199 Investments in debt and equity securities, at fair value 674,842 669,098 Receivables – premiums from agencies 35,984 36,753 Receivables – other 129,607 111,735 Allowance for uncollectible amounts (8,407) (7,725) Property and equipment, net 84,638 87,613 Operating lease assets, net 99,458 102,210 Title plants 74,955 74,862 Goodwill 1,092,747 1,084,139 Intangible assets, net of amortization 165,156 173,075 Deferred tax assets 4,401 4,827 Other assets 159,489 136,061 2,707,096 2,730,145 Liabilities:  Notes payable 445,860 445,841 Accounts payable and accrued liabilities 198,554 214,580 Operating lease liabilities 114,323 118,835 Estimated title losses 510,790 511,534 Deferred tax liabilities 29,706 28,266 1,299,233 1,319,056 Stockholders' equity:  Common Stock and additional paid-in capital 361,741 358,721 Retained earnings 1,078,378 1,089,484 Accumulated other comprehensive loss (37,026) (43,397) Treasury stock (2,666) (2,666) Stockholders' equity attributable to Stewart 1,400,427 1,402,142 Noncontrolling interests 7,436 8,947 Total stockholders' equity 1,407,863 1,411,089 2,707,096 2,730,145  Number of shares outstanding (000) 27,919 27,764 Book value per share 50.16 50.50

STEWART INFORMATION SERVICES CORPORATION

SEGMENT INFORMATION

(In thousands of dollars) Quarter Ended: March 31, 2025  March 31, 2024 Title Real 
Estate 
Solutions Corporate Total  Title Real 
Estate 
Solutions Corporate Total Revenues:  Operating revenues 499,198 97,077 - 596,275  451,360 83,016 - 534,376 Investment income 12,621 35 - 12,656  12,876 25 - 12,901 Net realized and unrealized gains (losses) 3,055 - (2) 3,053  7,116 - (78) 7,038 514,874 97,112 (2) 611,984  471,352 83,041 (78) 554,315 Expenses:  Amounts retained by agencies  221,377 - - 221,377  199,976 - - 199,976 Employee costs 168,487 13,736 3,588 185,811  156,803 12,217 3,397 172,417 Other operating expenses  86,505 72,943 1,463 160,911  77,901 57,817 1,234 136,952 Title losses and related claims  17,702 - - 17,702  17,383 - - 17,383 Depreciation and amortization  8,614 6,372 336 15,322  8,729 6,275 380 15,384 Interest 422 2 4,537 4,961  379 - 4,679 5,058 503,107 93,053 9,924 606,084  461,171 76,309 9,690 547,170 Income (loss) before taxes 11,767 4,059 (9,926) 5,900  10,181 6,732 (9,768) 7,145

Appendix A Non-GAAP Adjustments

Management uses a variety of financial and operational measurements other than its financial statements prepared in accordance with United States Generally Accepted Accounting Principles (GAAP) to analyze its performance. These include: (1) adjusted revenues, which are reported revenues adjusted for net realized and unrealized gains and losses and (2) adjusted pretax income and adjusted net income, which are reported pretax income and reported net income after earnings from noncontrolling interests, respectively, adjusted for net realized and unrealized gains and losses, acquisition intangible asset amortization and other expenses (acquisition-related), and office closure costs and severance expenses. Adjusted diluted earnings per share (adjusted diluted EPS) is calculated using adjusted net income divided by the diluted average weighted outstanding shares. Adjusted pretax margin is calculated using adjusted pretax income divided by adjusted total revenues. Management views these measures as important performance measures of core profitability for its operations and as key components of its internal financial reporting. Management believes investors benefit from having access to the same financial measures that management uses.

Below are reconciliations of the non-GAAP financial measures used by management to the most directly comparable GAAP measures for the quarter ended March 31, 2025 and 2024 (dollars in millions, except shares, per share amounts and pretax margins, and amounts may not add as presented due to rounding).

Quarter Ended March 31,  2025 2024 % Chg   Total revenues 612.0 554.3 10 %  Non-GAAP revenue adjustments:  Net realized and unrealized gains (3.1) (7.0)  Adjusted total revenues 608.9 547.3 11 %   Details of net realized and unrealized gains:  Unrealized gains on equity securities fair value 3.2 7.2  Gains on acquisition liability adjustments 0.2 -  Net losses on sale of securities investments (0.3) (0.1)  Other items, net - (0.1)  Total net realized and unrealized gains 3.1 7.0   Pretax income 5.9 7.1 (17 %)  Non-GAAP pretax adjustments:  Net realized and unrealized gains (3.1) (7.0)  Acquisition intangible asset amortization and other expenses 8.3 8.5  Office closure and severance expenses - 0.5  Adjusted pretax income 11.2 9.1 22 %  GAAP pretax margin 1.0 % 1.3 %  Adjusted pretax margin 1.8 % 1.7 %

Quarter Ended March 31,  2025 2024 % Chg   Net income attributable to Stewart 3.1 3.1 0 %  Non-GAAP pretax adjustments:  Net realized and unrealized gains (3.1) (7.0)  Acquisition intangible asset amortization and other expenses 8.3 8.5  Office closure and severance expenses - 0.5  Net tax effects of non-GAAP adjustments (1.4) (0.5)  Non-GAAP adjustments, after taxes 3.9 1.5  Adjusted net income attributable to Stewart 7.0 4.6 51 %   Diluted average shares outstanding (000) 28,341 28,027  GAAP net income per share 0.11 0.11  Adjusted net income per share 0.25 0.17

Quarter Ended March 31,  2025 2024 % Chg  Title Segment:  Total revenues 514.9 471.4 9 %  Net realized and unrealized gains (3.1) (7.1)  Adjusted total revenues 511.8 464.2 10 %   Pretax income 11.8 10.2 16 %  Non-GAAP revenue adjustments:  Net realized and unrealized gains (3.1) (7.1)  Acquisition intangible asset amortization and other expenses 2.8 2.9  Office closure and severance expenses - 0.5  Adjusted pretax income 11.5 6.5 77 %  GAAP pretax margin 2.3 % 2.2 %  Adjusted pretax margin 2.2 % 1.4 %    Real Estate Solutions Segment:  Total revenues 97.1 83.0 17 %   Pretax income 4.1 6.7 (40 %)  Non-GAAP revenue adjustment:  Acquisition intangible asset amortization 5.5 5.6  Adjusted pretax income 9.6 12.3 (22 %)  GAAP pretax margin 4.2 % 8.1 %  Adjusted pretax margin 9.9 % 14.8 % Cision

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