Kemper Corp

Latest Results (21.11.2025):

Kemper Corporation reported results for the third quarter of 2025 showing a net loss of $21.0 million, or $(0.34) per diluted share, versus net income of $73.7 million, or $1.14 per diluted share, in 3Q 2024. On a non‑GAAP basis, Adjusted Consolidated Net Operating Income was $20.4 million, or $0.33 per diluted share (down from $105.0 million, or $1.62, in 3Q 2024). Revenues rose to $1,239.7 million in 3Q 2025, while expenses increased and Specialty Property & Casualty results pressured overall performance.

Earnings and adjusted results

Net loss attributable to Kemper Corporation: $(21.0) million (3Q 2025) vs. $73.7 million (3Q 2024). Adjusted Consolidated Net Operating Income: $20.4 million (3Q 2025) vs. $105.0 million (3Q 2024). Adjusted EPS: $0.33 vs. $1.62 year‑over‑year (non‑GAAP).

Segment performance — Specialty P&C

Specialty Property & Casualty adjusted net operating income fell to $7.6 million from $103.6 million a year ago. Underlying Combined Ratio widened to 99.6% from 91.3%, driven by higher claim severity and adverse prior‑year bodily injury development in commercial auto, partially offset by premium rate increases.

Segment performance — Life

Life Insurance generated $18.6 million of adjusted net operating income in 3Q 2025 (up from $15.0 million), aided by favorable mortality experience and expense management.

Revenue and expense drivers

Total revenues increased $60.8 million to $1,239.7 million, led by a $98.3 million increase in Specialty P&C earned premiums (rate increases). Total expenses rose to $1,272.8 million, with policyholders’ benefits and incurred losses up to $924.6 million (from $769.3 million), contributing to the quarterly loss.

One‑time/other items impacting results

Notable items included acquisition and transaction/integration/restructuring costs of $19.6 million, non‑core operations losses of $20.7 million, impairment losses (~$2.5–3.1 million depending on line), and modest net realized investment gains (~$3.1–3.9 million reported in different tables).

Capital, liquidity and returns

Total shareholders’ equity was $2,732.1 million as of September 30, 2025 (down ~2% from year‑end 2024). Book value per share rose to $45.38 (up ~4% y/y); adjusted book value per share was $28.55 (slightly down). Trailing 12‑month operating cash flow remained near an all‑time high at ~$585 million. Parent liquidity was roughly $1.0 billion (cash/investments plus $600 million available revolver capacity).

Capital actions

Kemper repurchased ~5.1 million shares from July 1–Oct 31, 2025 at an average price of $52.65 for a total cost of about $266 million, and paid a quarterly dividend of $0.32 per share (paid Sept 2, 2025).

Management outlook and actions

Management called the quarter “disappointing,” cited actions underway to improve execution and profitability (particularly in Specialty P&C), and emphasized solid financial footing and confidence in long‑term strategy despite near‑term headwinds.