Form 8-K - Current report

 

 

 

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

 

 

FORM 8-K

 

 

CURRENT REPORT

 

PURSUANT TO SECTION 13 OR 15(d) OF THE

SECURITIES EXCHANGE ACT OF 1934

 

 

DATE OF REPORT (DATE OF EARLIEST EVENT REPORTED): October 23, 2024

 

STEWART INFORMATION SERVICES CORPORATION

(EXACT NAME OF REGISTRANT AS SPECIFIED IN ITS CHARTER)

 

Delaware		001-02658		74-1677330
(STATE OR OTHER JURISDICTION)		(COMMISSION FILE NO.)		(I.R.S. EMPLOYER IDENTIFICATION NO.)

 

1360 Post Oak Blvd, Suite 100, Houston, Texas 77056

(Address Of Principal Executive Offices) (Zip Code)

 

Registrant’s Telephone Number, Including Area Code: [phone]

 

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

 

¨

Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

¨

Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

¨

Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

¨

Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

 

Securities registered pursuant to Section 12(b) of the Act:

 

Title of each class	Trading Symbol(s)	Name of each exchange on which registered
Common Stock, $1 par value	STC	New York Stock Exchange (NYSE)

 

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).

 

Emerging growth company ¨

 

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ¨

 

 

 

 

 

 

ITEM 2.02.

RESULTS OF OPERATIONS AND FINANCIAL CONDITION.

 

A press release issued by Stewart Information Services Corporation on October 23, 2024, regarding financial results for the three months ended September 30, 2024, is attached hereto as Exhibit 99.1, and is incorporated herein by reference. This information is not deemed to be “filed” for the purposes of Section 18 of the Securities Exchange Act of 1934 and is not incorporated by reference in any filing under the Securities Act of 1933, as amended.

 

ITEM 9.01.

FINANCIAL STATEMENTS AND EXHIBITS.

 

(d) EXHIBITS

 

Exhibit No.	Description
99.1	Press release of Stewart Information Services Corporation dated October 23, 2024, reporting financial results for the three months ended September 30, 2024.
104	Cover Page Interactive Data File (embedded within the Inline XBRL document)

 

 

 

 

SIGNATURE

 

Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

 

	STEWART INFORMATION SERVICES CORPORATION (Registrant)
	By:	/s/ David C. Hisey
	David C. Hisey,
	Chief Financial Officer and Treasurer
Date: October 23, 2024

 

 

 

 

Exhibit 99.1

 

 

 

NEWS RELEASE

 

STEWART INFORMATION SERVICES CORP. P.O. Box 2029 Houston, Texas 77252-2029 www.stewart.com

CONTACT Kathryn Bass / Brian Glaze Investor Relations [phone]

 

Stewart Reports Third Quarter 2024 Results

 

·

Total revenues of $667.9 million ($663.2 million on an adjusted basis) compared to $601.7 million ($603.7 million on an adjusted basis) in the prior year quarter

·

Net income of $30.1 million ($33.1 million on an adjusted basis) compared to $14.0 million ($23.9 million on an adjusted basis) in the prior year quarter

·

Diluted earnings per share of $1.07 ($1.17 on an adjusted basis) compared to prior year diluted EPS of $0.51 ($0.86 on an adjusted basis)

HOUSTON, October 23, 2024 - Stewart Information Services Corporation (NYSE: STC) today reported net income attributable to Stewart of $30.1 million ($1.07 per diluted share) for the third quarter 2024, compared to $14.0 million ($0.51 per diluted share) for the third quarter 2023. On an adjusted basis, third quarter 2024 net income was $33.1 million ($1.17 per diluted share) compared to $23.9 million ($0.86 per diluted share) in the third quarter 2023. Pretax income before noncontrolling interests for the third quarter 2024 was $42.8 million ($46.8 million on an adjusted basis) compared to $27.1 million ($40.0 million on an adjusted basis) for the third quarter 2023.

 

Third quarter 2024 results included $4.7 million of pretax net realized and unrealized gains, while third quarter 2023 results included $1.9 million of pretax net realized and unrealized losses, both of which were primarily driven by net unrealized gains and losses, respectively, from fair value changes of equity securities investments in the title segment.

 

“We are proud of our third quarter results as they reflect continued progress on our journey. Strong topline performance in several lines of business resulted in improved third quarter results when compared to the same quarter last year, even as residential purchase market conditions remain difficult given macro-economic impacts,” commented Fred Eppinger, chief executive officer. “We remain focused on investing in ourselves to better the company and our customers and remain dedicated to prioritizing our pursuit of growth and margin improvement across all lines of business.”

 

-1- 

 

 

Selected Financial Information

 

Summary results of operations are as follows (dollars in millions, except per share amounts, pretax margin and adjusted pretax margin, and amounts may not add as presented due to rounding):

 

		Quarter Ended September 30,								Nine Months Ended September 30,
		2024				2023				2024				2023
Total revenues			667.9				601.7				1,824.5				1,675.2
Pretax income before noncontrolling interests			42.8				27.1				78.9				42.1
Income tax expense			(9.1	)			(9.1	)			(18.0	)			(9.6	)
Net income attributable to noncontrolling interests			(3.6	)			(3.9	)			(10.4	)			(10.9	)
Net income attributable to Stewart			30.1				14.0				50.6				21.6
Non-GAAP adjustments, after taxes*			3.0				9.9				12.3				27.7
Adjusted net income attributable to Stewart*			33.1				23.9				62.8				49.4
Pretax margin			6.4	%			4.5	%			4.3	%			2.5	%
Adjusted pretax margin*			7.1	%			6.6	%			5.3	%			4.7	%
Net income per diluted Stewart share			1.07				0.51				1.80				0.79
Adjusted net income per diluted Stewart share*			1.17				0.86				2.24				1.80

 

* Adjusted net income, adjusted pretax margin and adjusted net income per diluted share are non-GAAP measures. See Appendix A for explanation and reconciliation of non-GAAP adjustments.

 

Title Segment

 

Summary results of the title segment are as follows (dollars in millions, except pretax margin and adjusted pretax margin):

 

		Quarter Ended September 30,
		2024				2023				% Change
Operating revenues			553.3				522.1				6	%
Investment income			13.6				13.4				2	%
Net realized and unrealized gains (losses)			4.8				(1.8	)			361	%
Pretax income			45.0				35.4				27	%
Non-GAAP adjustments to pretax income*			(1.6	)			6.6
Adjusted pretax income*			43.4				42.0				3	%
Pretax margin			7.9	%			6.6	%
Adjusted pretax margin*			7.7	%			7.8	%
* Adjusted pretax income and adjusted pretax margin are non-GAAP financial measures. See Appendix A for explanation and reconciliation of non-GAAP adjustments.

 

Title segment operating revenues in the third quarter 2024 increased $31.2 million, or 6 percent, primarily driven by higher revenues from our domestic commercial and agency title operations, while total segment operating expenses increased $28.4 million, or 6 percent, compared to the third quarter 2023. Agency retention expenses in the third quarter 2024 increased $15.0 million, or 7 percent, primarily resulting from $16.8 million (6 percent) higher gross agency revenues compared to the third quarter 2023.

 

-2- 

 

 

Total title segment employee costs and other operating expenses increased by $14.6 million, or 6 percent, in the third quarter 2024 compared to the prior year quarter, primarily due to higher outside search and incentive compensation expenses related to higher commercial revenues. As a percentage of operating revenues, these expenses were 47.4 percent in both third quarters of 2024 and 2023. Title loss expense in the third quarter 2024 decreased $1.0 million, or 4 percent, primarily due to an overall favorable claim experience compared to the prior year quarter. As a percentage of title revenues, title loss expense was 3.8 percent for the third quarter 2024 compared to 4.3 percent in the third quarter 2023.

 

In addition to the net realized and unrealized losses and gains presented above, non-GAAP adjustments to the title segment’s pretax income for the third quarters 2024 and 2023 included $3.2 million and $4.8 million, respectively, of total acquisition intangible asset amortization and other expenses (refer to Appendix A).

 

Direct title revenues information is presented below (dollars in millions):

 

		Quarter Ended September 30,
		2024				2023				% Change (Rounded)
Non-commercial:
Domestic			168.2				167.6				0	%
International			29.0				29.1				0	%
			197.2				196.7				0	%
Commercial:
Domestic			67.4				51.9				30	%
International			6.1				7.8				(22	%)
			73.5				59.7				23	%
Total direct title revenues			270.7				256.4				6	%

 

Total non-commercial domestic revenues in the third quarter 2024 were comparable to the prior year quarter, primarily due to the higher average fee per file offsetting the slightly lower total non-commercial domestic transactions in the third quarter 2024. Domestic commercial revenues in the third quarter 2024 increased $15.5 million, or 30 percent, due to a higher average transaction size and a 4 percent improvement in commercial transactions closed compared to the third quarter 2023. Third quarter 2024 average domestic commercial fee per file was $17,700, which was 25 percent higher compared to $14,200 from the prior year quarter, while average residential fee per file was $3,000, a 2 percent improvement compared to the prior year quarter.

 

-3- 

 

 

Real Estate Solutions Segment

 

Summary results of the real estate solutions segment are as follows (dollars in millions, except pretax margin and adjusted pretax margin):

 

		Quarter Ended September 30,
		2024				2023				% Change
Operating revenues			96.3				68.2				41	%
Pretax income			7.4				2.6				181	%
Non-GAAP adjustments to pretax income*			5.5				6.3
Adjusted pretax income*			12.9				8.9				45	%
Pretax margin			7.7	%			3.8	%
Adjusted pretax margin*			13.4	%			13.0	%
* Adjusted pretax income and adjusted pretax margin are non-GAAP financial measures. See Appendix A for an explanation and reconciliation of non-GAAP adjustments.

 

Segment operating revenues in the third quarter 2024 increased $28.2 million, or 41 percent, compared to the prior year quarter, primarily due to improved revenues from our credit information and valuation services. On a combined basis, segment employee costs and other operating expenses in the third quarter 2024 increased $24.2 million, or 41 percent, in line with the higher operating revenues. Non-GAAP adjustments to pretax income shown in the schedule above were related to acquisition intangible asset amortization expenses.

 

Corporate and Other Segment

 

The segment’s results were primarily driven by net expenses attributable to corporate operations, which decreased to $9.5 million in the third quarter 2024, compared to $10.8 million in the third quarter 2023, primarily due to a prior acquisition-related settlement expense in the third quarter 2023.

 

Expenses

 

Consolidated employee costs in the third quarter 2024 increased $12.4 million, or 7 percent, compared to the prior year quarter, primarily driven by increased incentive compensation on higher title and real estate solutions revenues. As a percentage of total operating revenues, employee costs improved to 29.8 percent in the third quarter 2024 compared to 30.7 percent in the third quarter 2023.

 

Consolidated other operating expenses in the third quarter 2024 increased $25.2 million, or 19 percent, primarily driven by higher service expenses and outside search fees related to higher revenues from real estate solutions and commercial title operations, respectively, compared to the third quarter 2023. As a percentage of total operating revenues, total other operating expenses for the third quarter 2024 increased to 24.0 percent compared to 22.1 percent in the prior year quarter, primarily due to increased real estate solutions service expenses.

 

Other

 

Net cash provided by operations in the third quarter 2024 was $76.1 million compared to $59.5 million in the third quarter 2023, primarily driven by increased consolidated net income in the third quarter 2024.

 

-4- 

 

 

Third quarter Earnings Call

 

Stewart will hold a conference call to discuss the third quarter 2024 earnings at 8:30 a.m. Eastern Time on Thursday, October 24, 2024. To participate, dial [phone] (USA) or [phone] (International) - access code STCQ324. Additionally, participants can listen to the conference call through Stewart’s Investor Relations website at https://investors.stewart.com/news-and-events/events/default.aspx. The conference call replay will be available from 11:00 a.m. Eastern Time on October 24, 2024 until midnight on October 31, 2024 by dialing [phone] (USA) or [phone] (International).

 

About Stewart

 

Stewart (NYSE-STC) is a global real estate services company, offering products and services through our direct operations, network of Stewart Trusted Providers™ and family of companies. From residential and commercial title insurance and closing and settlement services to specialized offerings for the mortgage and real estate industries, we offer the comprehensive service, deep expertise and solutions our customers need for any real estate transaction. At Stewart, we are dedicated to becoming the premier title services company and we are committed to doing so by partnering with our customers to create mutual success. Learn more at stewart.com.

 

Cautionary statement regarding forward-looking statements. Certain statements in this earnings release are “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995, as amended. Such forward-looking statements relate to future, not past, events and often address our expected future business and financial performance. These statements often contain words such as “may,” “expect,” “anticipate,” “intend,” “plan,” “believe,” “seek,” “will,” “foresee” or other similar words. Forward-looking statements by their nature are subject to various risks and uncertainties that could cause our actual results to be materially different than those expressed in the forward-looking statements. These risks and uncertainties include, among other things, the volatility of economic conditions; adverse changes in the level of real estate activity; changes in mortgage interest rates, existing and new home sales, and availability of mortgage financing; our ability to respond to and implement technology changes, including the completion of the implementation of our enterprise systems; the impact of unanticipated title losses or the need to strengthen our policy loss reserves; any effect of title losses on our cash flows and financial condition; the ability to attract and retain highly productive sales associates; the impact of vetting our agency operations for quality and profitability; independent agency remittance rates; changes to the participants in the secondary mortgage market and the rate of refinancing that affects the demand for title insurance products; regulatory non-compliance, fraud or defalcations by our title insurance agencies or employees; our ability to timely and cost-effectively respond to significant industry changes and introduce new products and services; the outcome of pending litigation; our ability to manage risks associated with potential cybersecurity or other privacy or data security breaches; the impact of changes in governmental and insurance regulations, including any future reductions in the pricing of title insurance products and services; our dependence on our operating subsidiaries as a source of cash flow; our ability to access the equity and debt financing markets when and if needed; our ability to grow our international operations; seasonality and weather; and our ability to respond to the actions of our competitors. These risks and uncertainties, as well as others, are discussed in more detail in our documents filed with the Securities and Exchange Commission, including our Annual Report on Form 10-K for the year ended December 31, 2023, and if applicable, as supplemented by any risk factors contained in our Quarterly Reports on Form 10-Q, and our Current Reports on Form 8-K filed subsequently. All forward-looking statements included in this earnings release are expressly qualified in their entirety by such cautionary statements. We expressly disclaim any obligation to update, amend or clarify any forward-looking statements contained in this earnings release to reflect events or circumstances that may arise after the date hereof, except as may be required by applicable law.

 

-5- 

 

 

STEWART INFORMATION SERVICES CORPORATION

CONDENSED STATEMENTS OF INCOME

(In thousands of dollars, except per share amounts and except where noted)

 

		Quarter Ended September 30,								Nine Months Ended September 30,
		2024				2023				2024				2023
Revenues:
Title revenues:
Direct operations			270,706				256,377				736,774				722,242
Agency operations			282,549				265,700				764,081				723,476
Real estate solutions			96,346				68,190				271,561				202,169
Total operating revenues			649,601				590,267				1,772,416				1,647,887
Investment income			13,626				13,393				40,833				32,114
Net realized and unrealized gains (losses)			4,714				(1,946	)			11,238				(4,829	)
			667,941				601,714				1,824,487				1,675,172
Expenses:
Amounts retained by agencies			233,980				218,983				634,083				596,498
Employee costs			193,862				181,493				545,987				534,710
Other operating expenses			155,646				130,455				444,890				380,530
Title losses and related claims			21,282				22,251				59,754				59,727
Depreciation and amortization			15,480				16,414				46,062				46,848
Interest			4,899				5,054				14,768				14,777
			625,149				574,650				1,745,544				1,633,090
Income before taxes and noncontrolling interests			42,792				27,064				78,943				42,082
Income tax expense			(9,123	)			(9,134	)			(17,999	)			(9,588	)
Net income			33,669				17,930				60,944				32,494
Less net income attributable to noncontrolling interests			3,573				3,931				10,375				10,870
Net income attributable to Stewart			30,096				13,999				50,569				21,624
Net earnings per diluted share attributable to Stewart			1.07				0.51				1.80				0.79
Diluted average shares outstanding (000)			28,200				27,650				28,069				27,445
Selected financial information:
Net cash provided by operations			76,121				59,533				67,656				43,578
Other comprehensive income (loss)			18,259				(13,295	)			10,911				(7,278	)

 

Third Quarter Domestic Order Counts:
Opened Orders 2024:		July				August				Sept				Total				Closed Orders 2024:		July				August				Sept				Total
Commercial			1,111				1,273				1,281				3,665			Commercial			1,140				1,318				1,336				3,794
Purchase			17,796				16,403				15,259				49,458			Purchase			12,382				12,217				10,991				35,590
Refinancing			6,017				7,077				7,826				20,920			Refinancing			3,617				4,016				4,133				11,766
Other			3,621				3,129				6,671				13,421			Other			4,304				2,142				1,779				8,225
Total			28,545				27,882				31,037				87,464			Total			21,443				19,693				18,239				59,375

 

Opened Orders 2023:		July				August				Sept				Total				Closed Orders 2023:		July				August				Sept				Total
Commercial			913				1,208				1,199				3,320			Commercial			1,036				1,320				1,305				3,661
Purchase			17,446				19,674				16,386				53,506			Purchase			13,006				14,200				12,697				39,903
Refinancing			5,077				5,807				5,148				16,032			Refinancing			3,367				3,778				3,252				10,397
Other			2,976				3,161				2,493				8,630			Other			2,891				1,187				2,269				6,347
Total			26,191				29,850				25,226				81,267			Total			20,300				20,485				19,523				60,308

 

 

 

 

STEWART INFORMATION SERVICES CORPORATION

CONDENSED BALANCE SHEETS

(In thousands of dollars)

 

		September 30, 2024 (Unaudited)				December 31, 2023
Assets:
Cash and cash equivalents			183,772				233,365
Short-term investments			44,911				39,023
Investments in debt and equity securities, at fair value			688,661				679,936
Receivables – premiums from agencies			40,730				38,676
Receivables – other			120,457				93,811
Allowance for uncollectible amounts			(8,851	)			(7,583	)
Property and equipment, net			90,036				82,335
Operating lease assets, net			105,510				115,879
Title plants			76,028				73,359
Goodwill			1,080,681				1,072,129
Intangible assets, net of amortization			175,166				193,196
Deferred tax assets			3,749				3,776
Other assets			128,720				84,959
			2,729,570				2,702,861
Liabilities:
Notes payable			445,704				445,290
Accounts payable and accrued liabilities			196,670				190,054
Operating lease liabilities			122,788				135,654
Estimated title losses			517,592				528,269
Deferred tax liabilities			32,481				25,045
			1,315,235				1,324,312
Stockholders’ equity:
Common Stock and additional paid-in capital			353,172				338,451
Retained earnings			1,080,879				1,070,841
Accumulated other comprehensive loss			(24,304	)			(35,215	)
Treasury stock			(2,666	)			(2,666	)
Stockholders’ equity attributable to Stewart			1,407,081				1,371,411
Noncontrolling interests			7,254				7,138
Total stockholders’ equity			1,414,335				1,378,549
			2,729,570				2,702,861

 

Number of shares outstanding (000)			27,714				27,370
Book value per share			50.77				50.11

 

 

 

 

STEWART INFORMATION SERVICES CORPORATION

SEGMENT INFORMATION

(In thousands of dollars)

 

Quarter Ended:		September 30, 2024																September 30, 2023
		Title				Real Estate Solutions				Corporate and Other				Total				Title				Real Estate Solutions				Corporate and Other				Total
Revenues:
Operating revenues			553,255				96,346				-				649,601				522,077				68,190				-				590,267
Investment income			13,588				38				-				13,626				13,368				25				-				13,393
Net realized and unrealized gains (losses)			4,757				-				(43	)			4,714				(1,821	)			-				(125	)			(1,946	)
			571,600				96,384				(43	)			667,941				533,624				68,215				(125	)			601,714
Expenses:
Amounts retained by agencies			233,980				-				-				233,980				218,983				-				-				218,983
Employee costs			176,225				14,104				3,533				193,862				165,829				12,361				3,303				181,493
Other operating expenses			85,853				68,634				1,159				155,646				81,625				46,217				2,613				130,455
Title losses and related claims			21,282				-				-				21,282				22,251				-				-				22,251
Depreciation and amortization			8,860				6,264				356				15,480				9,196				6,820				398				16,414
Interest			406				-				4,493				4,899				355				191				4,508				5,054
			526,606				89,002				9,541				625,149				498,239				65,589				10,822				574,650
Income (loss) before taxes			44,994				7,382				(9,584	)			42,792				35,385				2,626				(10,947	)			27,064

 

Nine Months Ended:		September 30, 2024																September 30, 2023
		Title				Real Estate Solutions				Corporate and Other				Total				Title				Real Estate Solutions				Corporate and Other				Total
Revenues:
Operating revenues			1,500,855				271,561				-				1,772,416				1,445,718				202,169				-				1,647,887
Investment income			40,746				87				-				40,833				32,033				81				-				32,114
Net realized and unrealized gains (losses)			11,387				-				(149	)			11,238				(1,658	)			-				(3,171	)			(4,829	)
			1,552,988				271,648				(149	)			1,824,487				1,476,093				202,250				(3,171	)			1,675,172
Expenses:
Amounts retained by agencies			634,083				-				-				634,083				596,498				-				-				596,498
Employee costs			495,943				39,904				10,140				545,987				485,690				37,333				11,687				534,710
Other operating expenses			247,371				193,703				3,816				444,890				236,752				138,052				5,726				380,530
Title losses and related claims			59,754				-				-				59,754				59,727				-				-				59,727
Depreciation and amortization			26,126				18,803				1,133				46,062				26,182				19,401				1,265				46,848
Interest			1,165				7				13,596				14,768				1,063				191				13,523				14,777
			1,464,442				252,417				28,685				1,745,544				1,405,912				194,977				32,201				1,633,090
Income (loss) before taxes			88,546				19,231				(28,834	)			78,943				70,181				7,273				(35,372	)			42,082

 

 

 

 

Appendix A

Non-GAAP Adjustments

 

Management uses a variety of financial and operational measurements other than its financial statements prepared in accordance with United States Generally Accepted Accounting Principles (GAAP) to analyze its performance. These include: (1) adjusted revenues, which are reported revenues adjusted for net realized and unrealized gains and losses and (2) adjusted pretax income and adjusted net income, which are reported pretax income and reported net income after earnings from noncontrolling interests, respectively, adjusted for net realized and unrealized gains and losses, acquired intangible asset amortization, office closure costs, executive severance expenses, and nonrecurring expenses. Adjusted diluted earnings per share (adjusted diluted EPS) is calculated using adjusted net income divided by the diluted average weighted outstanding shares. Adjusted pretax margin is calculated using adjusted pretax income divided by adjusted total revenues. Management views these measures as important performance measures of core profitability for its operations and as key components of its internal financial reporting. Management believes investors benefit from having access to the same financial measures that management uses.

 

Below are reconciliations of the non-GAAP financial measures used by management to the most directly comparable GAAP measures for the quarter and nine months ended September 30, 2024 and 2023 (dollars in millions, except shares, per share amounts and pretax margins, and amounts may not add as presented due to rounding).

 

		Quarter Ended September 30,												Nine Months Ended September 30,
		2024				2023				% Chg				2024				2023				% Chg
Total revenues			667.9				601.7				11	%			1,824.5				1,675.2				9	%
Non-GAAP revenue adjustments:
Net realized and unrealized (gains) losses			(4.7	)			1.9								(11.2	)			4.8
Adjusted total revenues			663.2				603.7				10	%			1,813.2				1,680.0				8	%
Pretax income			42.8				27.1				58	%			78.9				42.1				88	%
Non-GAAP pretax adjustments:
Net realized and unrealized (gains) losses			(4.7	)			1.9								(11.2	)			4.8
Acquired intangible asset amortization			8.3				9.6								25.1				27.3
Office closure costs			0.3				1.4								2.0				1.4
Executive severance expenses			0.1				-								0.7				1.7
State sales tax assessment expense			-				-								-				1.2
Adjusted pretax income			46.8				40.0				17	%			95.5				78.6				22	%
GAAP pretax margin			6.4	%			4.5	%							4.3	%			2.5	%
Adjusted pretax margin			7.1	%			6.6	%							5.3	%			4.7	%
Net income attributable to Stewart			30.1				14.0				115	%			50.6				21.6				134	%
Non-GAAP pretax adjustments:
Net realized and unrealized losses (gains)			(4.7	)			1.9								(11.2	)			4.8
Acquired intangible asset amortization			8.3				9.6								25.1				27.6
Office closure costs			0.3				1.4								2.0				1.4
Executive severance expenses			0.1				-								0.7				1.7
State sales tax assessment expense			-				-								-				1.2
Net tax effects of non-GAAP adjustments			(1.0	)			(3.1	)							(4.3	)			(8.8	)
Non-GAAP adjustments, after taxes			3.0				9.9								12.3				27.7
Adjusted net income attributable to Stewart			33.1				23.9				39	%			62.8				49.4				27	%
Diluted average shares outstanding (000)			28,200				27,650								28,069				27,445
GAAP net income per share			1.07				0.51								1.80				0.79
Adjusted net income per share			1.17				0.86								2.24				1.80

 

 

 

 

		Quarter Ended September 30,												Nine Months Ended September 30,
		2024				2023				% Chg				2024				2023				% Chg
Title Segment:
Total revenues			571.6				533.6				7	%			1,553.0				1,476.1				5	%
Net realized and unrealized (gains) losses			(4.8	)			1.8								(11.4	)			1.7
Adjusted total revenues			566.8				535.4				6	%			1,541.6				1,477.8				4	%
Pretax income			45.0				35.4				27	%			88.5				70.2				26	%
Non-GAAP revenue adjustments:
Net realized and unrealized (gains) losses			(4.8	)			1.8								(11.4	)			1.7
Acquired intangible asset amortization			2.8				3.4								8.5				9.4
Office closure costs			0.3				1.4								2.0				1.4
Severance expenses			0.1				-								0.7				0.4
Adjusted pretax income			43.4				42.0				3	%			88.3				83.1				6	%
GAAP pretax margin			7.9	%			6.6	%							5.7	%			4.8	%
Adjusted pretax margin			7.7	%			7.8	%							5.7	%			5.6	%
Real Estate Solutions Segment:
Total revenues			96.4				68.2				41	%			271.6				202.3				34	%
Pretax income			7.4				2.6				181	%			19.2				7.3				164	%
Non-GAAP revenue adjustments:
Acquired intangible asset amortization			5.5				6.3								16.6				17.9
State sales tax assessment expense			-				-								-				1.2
Adjusted pretax income			12.9				8.9				45	%			35.9				26.4				36	%
GAAP pretax margin			7.7	%			3.8	%							7.1	%			3.6	%
Adjusted pretax margin			13.4	%			13.0	%							13.2	%			13.0	%

 

 

 

Cover	Oct. 23, 2024
Cover [Abstract]
Document Type	8-K
Amendment Flag	false
Document Period End Date	Oct. 23, 2024
Entity File Number	001-02658
Entity Registrant Name	STEWART INFORMATION SERVICES CORP
Entity Central Index Key	0000094344
Entity Tax Identification Number	74-1677330
Entity Incorporation, State or Country Code	DE
Entity Address, Address Line One	1360 Post Oak Blvd, Suite 100
Entity Address, City or Town	Houston
Entity Address, State or Province	TX
Entity Address, Postal Zip Code	77056
City Area Code	713
Local Phone Number	625-8100
Written Communications	false
Soliciting Material	false
Pre-commencement Tender Offer	false
Pre-commencement Issuer Tender Offer	false
Title of 12(b) Security	Common Stock, $1 par value
Trading Symbol	STC
Security Exchange Name	NYSE
Entity Emerging Growth Company	false

---