Horace Mann expects first-quarter 2023 core EPS* of $0.21 to $0.23 despite elevated catastrophe losses; reiterates full-year guidance
21 April 2023 - 6:15AM
Business Wire
To announce first-quarter financial results on
May 2, with conference call to discuss results at noon Eastern Time
on May 3
Horace Mann Educators Corporation (NYSE:HMN) today announced it
expects first-quarter 2023 core EPS in the range of $0.21 to $0.23,
despite an unusually high number of weather events throughout the
quarter, including two severe storms in the Midwest in late March.
This led to catastrophe losses well ahead of the first quarter of
2022.
Catastrophe losses for the first quarter of 2023 are expected to
be in the range of $22 million to $23 million, pretax, contributing
about 15 points to the first-quarter combined ratio, compared to
$7.3 million, or 4.8 points, in last year’s first quarter. In
total, there were 23 events designated as catastrophes by Property
Claims Services (PCS) in this year’s first quarter, compared to 11
events in the first quarter of 2022.
“Horace Mann claims representatives responded quickly and
compassionately to policyholders affected by the storms. I’m proud
of our team for delivering on our promise to help educators when
they need it most,” said Horace Mann President and CEO Marita
Zuraitis.
The company continues to expect full-year catastrophe losses
will represent about 10 points on the full-year combined ratio.
“We remain confident that we will increase our share of the
education market as we grow our increasingly diversified business
over the next several years,” Zuraitis said. “Despite the outsized
catastrophe losses, first-quarter results confirm that we remain on
pace toward our business objectives for this year. We continue to
expect 2023 core EPS in the range of $2.00 to $2.30. In 2024, we
believe we will return to a double-digit return on equity as core
EPS approaches $4, driven by our profitable growth.”
First-quarter 2023 earnings call
Horace Mann plans to release its first-quarter 2023 results on
May 2, after the market closes. At that time, the quarterly news
release, investor supplement and investor presentation will be
available on the company’s website at investors.horacemann.com.
Management will host a conference call to discuss the financial
results on May 3 at noon Eastern Time. Investors can access the
call webcast via the Events page of the company’s investor site or
by dialing 844-735-3325. For the webcast, please log on to the site
several minutes in advance to register and download any required
audio software. On-demand replay will be available later that
day.
* This measure is not based on accounting principles generally
accepted in the United States of America (non-GAAP). An explanation
of this measure is contained in the Glossary of Selected Terms
included as an exhibit in the Company’s reports filed with the
Securities and Exchange Commission.
About Horace Mann
Horace Mann Educators Corporation is the largest financial
services company focused on helping America’s educators and others
who serve the community achieve lifelong financial success. The
company offers individual and group insurance and financial
solutions tailored to the needs of the educator community. Founded
by Educators for Educators® in 1945, the company is headquartered
in Springfield, Illinois. For more information, visit
horacemann.com.
Safe Harbor Statement
Certain statements included in this news release, including
those regarding our earnings outlook, expected catastrophe losses,
our investment strategies, our plans to implement additional rate
actions, our plans relating to share repurchases and dividends, our
efforts to enhance customer experience and expand our products and
solutions to more educators, our strategies to create sustainable
long-term growth and double-digit ROEs, our strategy to achieve a
larger share of the education market, and other business
strategies, constitute forward-looking statements within the
meaning of the U.S. Private Securities Litigation Reform Act of
1995. Forward-looking statements are made based on management’s
current expectations and beliefs concerning future developments and
their potential effects upon Horace Mann and its subsidiaries.
Horace Mann cautions investors that such statements are subject to
risks and uncertainties, many of which are difficult to predict and
generally beyond Horace Mann’s control, that could cause actual
results to differ materially from those expressed in, or implied or
projected by, the forward-looking statements included in this
document. Certain important factors that could cause actual results
to differ, possibly materially, from expectations or estimates
reflected in such forward-looking statements can be found in the
“Risk Factors” and “Forward-Looking Information” sections included
in Horace Mann’s Annual Reports on Form 10-K and Quarterly Reports
on Form 10-Q filed with the Securities and Exchange Commission. The
forward-looking statements herein are subject to the risk, among
others, that we will be unable to execute our strategy because of
market or competitive conditions or other factors. Horace Mann does
not undertake to update any particular forward-looking statement
included in this document if we later become aware that such
statement is not likely to be achieved.
View source
version on businesswire.com: https://www.businesswire.com/news/home/20230420005779/en/
Heather J. Wietzel Vice President, Investor Relations and
Enterprise Communications 217.788.5144
investorrelations@horacemann.com
Horace Mann Educators (NYSE:HMN)
Historical Stock Chart
From Jun 2024 to Jul 2024
Horace Mann Educators (NYSE:HMN)
Historical Stock Chart
From Jul 2023 to Jul 2024