ORI Earnings Prediction
The chart below shows how ORI performed 10 days before and after its earnings report, based on data from the past quarters. Typically, ORI sees a -1.91% change in stock price 10 days leading up to the earnings, and a +1.72% change 10 days following the report. On the earnings day itself, the stock moves by +0.41%. This data can give you a slight idea of what to expect for the next quarter's release.
ORI Key Earning Data
2024/Q4
Year Over Year
Quarter Over Quarter
Total Revenue
2.13B
12.99%
0.06%
Gross Margin
--
--
--
Operating Margin
13.04%
23.14%
17.06%
Net Margin
4.93%
-51.24%
-68.99%
EPS
0.42
-39.13%
-68.18%
No Data Available
ORI Earnings Analysis
Old Republic International Corp Corporation (ORI.N) Earnings Conference Call
Positive
Operating Income Increase: $285 million of consolidated pretax operating income in Q4 2024, up from $237 million in Q4 2023, reflecting strong operational performance.
Specialty Insurance Growth: Specialty Insurance segment grew net premiums earned by 13% in Q4 2024, with pretax operating income increasing to $228 million from $195 million year-over-year.
Title Insurance Growth: Title Insurance premiums and fees increased by 9% in Q4 2024, with pretax operating income rising to $55 million, up from $44 million in the same quarter last year.
Special Dividend Announcement: Declared a special dividend of $2 per share in Q4 2024, contributing to an 11% increase in book value per share for the year, reaching $22.84.
Shareholder Value Commitment: Returned over $1.7 billion to shareholders in 2024 through dividends and share repurchases, demonstrating strong capital management and commitment to shareholder value.
Negative
Income Increase, Portfolio Decline: Despite a reported increase in consolidated pretax operating income to $285 million, the company experienced a decrease in the total value of its investment portfolio by approximately $400 million during the quarter.
Combined Ratio Increase: The full year combined ratio for Specialty Insurance increased to 92.2%, which is 2 percentage points higher than the previous year, indicating a decline in operational efficiency.
Commercial Auto Loss Ratio: The loss ratio for commercial auto increased to 72.4% for the full year, compared to 71.5% in 2023, reflecting worsening claims experience in this segment.
Risk Management Challenges: The company reported unfavorable development in general liability and transactional risk, which negatively impacted overall performance, with transactional risk contributing less than $20 million in premiums for 2024.
Expense Ratio Increase: The average expense ratio for Specialty Insurance increased to 28.1% for the full year, up from 28.2% in 2023, indicating a slight deterioration in cost management despite efforts to control expenses.
ORI FAQs
How does ORI typically perform around its earnings report dates?
Is Earnings call transcript: Old Republic Q4 2024 earnings beat forecasts positive or negative?
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ORI Earning Call Sentiment
Earnings call transcript: Old Republic Q4 2024 earnings beat forecasts
ORI.N
-0.72%Positive
The earnings call reflects a mixed outlook. While financial performance shows improvement in key areas like operating income and combined ratios, risks such as investment portfolio volatility and catastrophic losses persist. The special dividend and share repurchase are positives, but the lack of clarity in management's responses during the Q&A raises concerns. Given these factors, along with the absence of a market cap for context, the stock price is likely to remain stable, resulting in a neutral sentiment.
