Insurance holding co Kemper Q1 revenue declines

Kemper

06/05/2026 21:36

Overview

U.S. specialized insurer's Q1 revenue declined and slightly missed analyst expectations

Adjusted consolidated net operating income fell sharply from prior year

Specialty personal auto losses in California weighed on results; restructuring underway

Outlook

Kemper says restructuring initiatives are underway with $60 mln run-rate savings identified

Company is taking rate and non-rate actions to improve profitability in personal auto

Kemper expects diversification into Florida and Texas to contribute positively to future results

Result Drivers

CALIFORNIA AUTO LOSSES - Co said higher claim severity and frequency in California specialty personal auto drove up loss ratios and hurt results

FLORIDA REFUND - $28 mln Florida Statutory Profit Limit Refund reduced Specialty Property and Casualty Insurance segment revenue

LIFE INSURANCE STRENGTH - Life Insurance segment reported improved results due to lower insurance expenses and higher earned premiums

Company press release: ID:nBw7WGQCya

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q1 Revenue
Slight Miss*
$1.11 bln
$1.12 bln (5 Analysts)
Q1 EPS
-$0.03
Q1 Net Income
-$1.70 mln
Q1 Adjusted Consolidated Net Operating Income
$12.50 mln


*Applies to a deviation of less than 1%; not applicable for per-share numbers.

Analyst Coverage

The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 2 "strong buy" or "buy", 2 "hold" and 2 "sell" or "strong sell"

The average consensus recommendation for the property & casualty insurance peer group is "buy."

Wall Street's median 12-month price target for Kemper Corp is $54.00, about 64.2% above its May 5 closing price of $32.88

The stock recently traded at 8 times the next 12-month earnings vs. a P/E of 8 three months ago

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)