0000850141-26-000007
SEC filingHorace Mann Educators Corporation (HMN) reported strong FY 2025 results with total revenues of $1.70B, up 6.7% YoY from $1.60B in 2024, driven by 7.2% growth in net premiums and contract charges earned to $1.23B and 4.2% increase in net investment income to $464.3M. Net income rose 57.7% to $162.1M from $102.8M, with diluted EPS at $3.90 vs $2.48, reflecting improved Property & Casualty underwriting (combined ratio 96.5% vs 98.4%) due to lower catastrophe losses ($61.7M vs $94.9M) and favorable prior year development. Total assets grew to $15.27B from $14.49B, supported by $7.30B investments. Operating cash flow strengthened to $553.2M, up 22.4%. Shareholders' equity reached $1.48B, with book value per share at $36.47 (up 15.7%). Key drivers included Property & Casualty net premiums written up 6.5% to $830.2M, Life & Retirement deposits up 6.7% to $612.1M, and Supplemental & Group Benefits premiums up 4.8%. Outlook targets 2026 core EPS $4.20-$4.50 with core ROE 11%+, supported by Property & Casualty low-mid 90s combined ratio and net investment income $485M-$495M pre-tax.
Horace Mann Educators Corporation delivered robust FY 2025 performance with net income of $162.1M, up 57.7% from $102.8M in 2024, driven by Property & Casualty improvements. Revenues reached $1.70B (+6.7% YoY), fueled by $1.23B net premiums (+7.2%) and $464.3M net investment income (+4.2%). Diluted EPS improved to $3.90 from $2.48. Total assets expanded to $15.27B (+5.3%), with investments at $7.30B. Operating cash flow surged to $553.2M (+22.4%). Shareholders' equity hit $1.48B, book value per share $36.47 (+15.7%). Key tailwinds: lower catastrophe losses ($61.7M vs $94.9M) and favorable reserve development ($18.8M).
Revenues grew 6.7% to $1.70B. Property & Casualty led with net premiums earned $802.6M (+9.0%), net premiums written $830.2M (+6.5%). Life & Retirement net premiums earned $158.6M (+2.6%), deposits $612.1M (+6.7%). Supplemental & Group Benefits premiums $267.2M (+4.8%). Net investment income $464.3M benefited from higher yields (4.6% annualized excluding LPs). No geographic breakdown disclosed, but diversified across states.
Property & Casualty combined ratio improved to 96.5% (-1.9 pts), underlying 96.5% (-3.3 pts). Auto loss ratio 68.3% (-2.9 pts), property 50.7% (-18.4 pts). Supplemental benefits ratio 36.8% (+4.1 pts). Operating expenses rose 14.8% to $396.6M due to tech/marketing investments. Pretax income $201.2M (+56.5%), effective tax 19.4%. Core ROE targeted 11%+ for 2026.
Operating cash $553.2M (+22.4%). Investing outflow $252.1M on securities purchases. Financing outflow $311.7M included $57.1M dividends, $20.8M repurchases. Debt $593.4M (28.6% of capital). Liquidity strong with $1.1B cash/govt securities. Total assets $15.27B, liabilities $13.78B.
2026 core EPS $4.20-$4.50, core ROE 11%+. Property & Casualty low-mid 90s combined ratio (~$90M cats). Life & Retirement spread 220-230 bps. Supplemental benefits ratio 39%. Net investment income $485M-$495M pre-tax. Risks: catastrophes, rates, reserves.