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Mar 31, 2020

Assurant Q1 2020 Earnings Report

Year-over-year earnings growth was driven by Global Lifestyle and improved Global Housing results. Company suspended 2020 outlook due to COVID-19 uncertainty.

Key Takeaways

Assurant reported solid first-quarter results largely unaffected by COVID-19, with net income of $150.0 million and net operating income of $163.1 million. The company has suspended its 2020 outlook due to the ongoing uncertainty related to the COVID-19 pandemic.

Net income of $150.0 million, or $2.43 per share, down 7 percent and 4 percent, respectively

Net operating income of $163.1 million, or $176.0 million excluding reportable catastrophes, up 16 percent and 18 percent, respectively

Net operating income per diluted share of $2.64, or $2.84 excluding reportable catastrophes, up 19 percent and 22 percent, respectively

$433 million of holding company liquidity available at quarter end

Total Revenue
$2.57B
Previous year: $2.44B
+5.3%
EPS
$2.64
Previous year: $2.33
+13.3%
Holding Company Liquidity
$433M
Gross Profit
$2.45B
Previous year: $2.43B
+0.9%
Cash and Equivalents
$2B
Previous year: $1.27B
+56.7%
Free Cash Flow
-$144M
Previous year: $214M
-167.2%
Total Assets
$43.4B
Previous year: $42.2B
+2.8%

Assurant

Assurant

Forward Guidance

Assurant is suspending its 2020 outlook given the uncertainty regarding the duration of the COVID-19 pandemic and its impact on the broader economy.

Positive Outlook

  • Executing cost saving measures including the deferral of certain discretionary expenses
  • Strengthening its liquidity position and capital flexibility, including the $200 million draw of its revolving credit facility
  • Exercising additional caution relative to capital deployment in light of the current economic environment and the start of catastrophe season on June 1, 2020