Financial Data and Key Metrics Changes - Kingstone Companies reported a record-breaking fourth quarter and full year 2024, achieving a net income of $5.4 million or $0.40 per diluted share for the quarter, and $18.4 million for the year compared to a net loss of $6.2 million last year [23][24] - Direct written premiums for Q4 increased by 37%, with a 49% increase in core direct written premiums, while the overall direct written premiums for the year were up 21% [24][8] - The combined ratio improved by 11 percentage points to 78.5% for the quarter and by 25.3 percentage points to 80% for the year [25][26] Business Line Data and Key Metrics Changes - Core business growth was driven by the exit of two competitors, leading to a 49% growth in core direct written premiums and a 44% increase in overall policy count [9][24] - The average premium for personal lines increased by almost 20% in Q4 compared to the same quarter in 2023 [24] - The company strategically reduced its non-core business, which saw a 60% decrease in direct written premiums and a 65% decrease in policies-in-force [24] Market Data and Key Metrics Changes - The hard market conditions in Downstate New York persist, with limited competition from other companies, primarily MGAs and E&S writers [37][38] - The company is experiencing growth in new business counts and average premiums, indicating a favorable market environment [38][56] Company Strategy and Development Direction - Kingstone plans to focus on its core state of New York while exploring expansion into other catastrophe-exposed geographies [11] - The company aims to maintain a low expense ratio to enhance competitiveness and margins, with a goal to reduce the expense ratio by another point this year [46][12] - Significant resources are being allocated to understand potential new markets and prioritize expansion thoughtfully [44] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving core business direct written premium growth between 15% and 25% for 2025, despite the exit of competitors [20][55] - The company anticipates a favorable first quarter with more snow and colder temperatures compared to the previous year, but without any material catastrophe events [49][55] - Management remains optimistic about the trajectory of the business and its ability to generate long-term value for shareholders [61] Other Important Information - Kingstone has eliminated its debt, saving approximately $800,000 in interest expense for 2025 [14] - The company achieved a book yield of 3.86% on its investment portfolio [59] Q&A Session Summary Question: Growth expectations for 2025 and competitive environment - Management noted that hard market conditions persist in Downstate New York, with limited competition from new entrants, allowing for continued growth in new business counts and average premiums [37][38] Question: Potential expansion plans - Management confirmed plans to explore both New England and other states, emphasizing a thoughtful approach to expansion based on market needs and regulatory environments [41][44] Question: Improvement in expense ratio - Management aims to reduce the expense ratio by another point this year, focusing on maintaining low expenses to enhance competitiveness [46] Question: First quarter weather characterization - Management indicated that this winter has been colder with more snow than last year, but without significant catastrophe events, leading to a positive outlook for Q1 [49][55]

Kingstone Companies, Inc. (NASDAQ:KINS) Q4 2024 Earnings Conference Call March 14, 2025 8:30 AM ET Company Participants Karin Daly - Vice President, Investor Relations Meryl Golden - President and Chief Executive Officer Jennifer Gravelle - Chief Financial Officer Conference Call Participants Robert Farnam - Janney Montgomery Scott Gabriel McClare - Private Investor Operator Greetings, and welcome to the Kingstone Company's Fourth Quarter and Full Year 2024 Earnings Conference Call. [Operator Instructions] ...

NASDAQ: KINS DISCLAIMER & FORWARD- LOOKING STATEMENTS P&C Insurance Company Capitalizing on Unique Niche Market Opportunity to Achieve Profitable Growth Investor Presentation March 2025 This presentation may contain "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. All statements, other than statements of historical facts, may be forward-looking statements. These statements are based on management's current expectations and are subject to uncertainty an ...

分组1 - Kingstone Companies, Inc (KINS) reported quarterly earnings of $0.46 per share, matching the Zacks Consensus Estimate, and showing an increase from $0.15 per share a year ago [1] - The company posted revenues of $42.1 million for the quarter ended December 2024, which was 2.76% below the Zacks Consensus Estimate, and an increase from $36.61 million year-over-year [2] - Kingstone Companies has not surpassed consensus EPS or revenue estimates over the last four quarters [2][3] 分组2 - The stock has declined approximately 6.1% since the beginning of the year, compared to a decline of 4.8% for the S&P 500 [3] - The earnings outlook for Kingstone Companies is currently favorable, with a Zacks Rank of 1 (Strong Buy), indicating expected outperformance in the near future [6] - The current consensus EPS estimate for the upcoming quarter is -$0.09 on revenues of $45.3 million, and for the current fiscal year, it is $1.80 on revenues of $214 million [7] 分组3 - The Insurance - Property and Casualty industry, to which Kingstone Companies belongs, is currently ranked in the top 14% of over 250 Zacks industries, suggesting a positive outlook for the sector [8] - Empirical research indicates a strong correlation between near-term stock movements and trends in earnings estimate revisions, which can be tracked by investors [5]

Core Insights - Kingstone Companies (KINS) is expected to show significant improvement in its fourth-quarter 2024 results, with operating income projected to increase more than three-fold year over year to 49 cents per share [1] - The Zacks Consensus Estimate for KINS' fourth-quarter revenues is $43 million, indicating an 18.3% growth from the previous year, while earnings are estimated at 46 cents per share, reflecting a year-over-year increase of 206.7% [2] Financial Performance - The core personal lines direct written premium is anticipated to improve due to an increase in average premium and a higher number of new business policies, with net premiums earned estimated at $36 million [5] - Core direct written premium grew by 49%, and direct written premium increased by 37%, with net investment income expected to be $1.9 million [6] - Underwriting profitability is likely to benefit from market dislocation and prudent management of catastrophe exposure [7] Valuation and Market Position - KINS stock has outperformed the industry and the Zacks S&P 500 composite index in 2024, although it is currently overvalued with a price-to-book multiple of 2.84 compared to the industry average of 1.5 [8][9] - Other insurers, such as Heritage Insurance Holdings, Inc. and ROOT Inc., are also trading at multiples higher than the industry average [10] Growth Strategy - Kingstone Companies is focused on growth by concentrating on its core business and scaling back unprofitable non-core operations, with expectations for direct written premiums in the core business to grow between 15% and 25% in 2025 [11][12] - The company has a solid reinsurance program that protects its balance sheet and has improved its cash balance while reducing debt [13] Conclusion - KINS' strategy of enhancing pricing capabilities and focusing on core business growth is expected to yield strong earnings, with a target price of $18 indicating a 31.2% upside potential from the last closing price [14]

Core Viewpoint - The market anticipates Kingstone Companies, Inc (KINS) to report a year-over-year increase in earnings driven by higher revenues when it releases its results for the quarter ended December 2024 [1] Earnings Expectations - The earnings report is expected on March 13, 2025, with a consensus EPS estimate of $0.46, reflecting a year-over-year increase of +206.7% [3] - Revenues are projected to be $43.3 million, which is an 18.3% increase from the same quarter last year [3] Estimate Revisions - The consensus EPS estimate has been revised 1000% lower over the last 30 days, indicating a significant reassessment by analysts [4] - The Most Accurate Estimate aligns with the Zacks Consensus Estimate, resulting in an Earnings ESP of 0% [10][11] Earnings Surprise Prediction - The Zacks Earnings ESP model suggests that a positive or negative reading indicates the likely deviation of actual earnings from the consensus estimate, with a strong predictive power for positive readings [7][8] - Kingstone Companies currently holds a Zacks Rank of 1, but the combination of a 0% Earnings ESP makes it challenging to predict an earnings beat [11] Historical Performance - In the last reported quarter, Kingstone Companies met the expected EPS of $0.50, resulting in no surprise [12] - The company has not surpassed consensus EPS estimates in any of the last four quarters [13] Conclusion - While the potential for an earnings beat exists, Kingstone Companies does not appear to be a compelling candidate for such an outcome, and investors should consider other factors before making decisions [16]

Core Insights - Kingstone Companies (KINS) reported a significant improvement in its fourth-quarter and full-year 2024 earnings results, with a notable increase in direct written premium and enhancements in combined, loss, and expense ratios [1][4]. Preliminary Results - Operating income for the fourth quarter increased more than three-fold year over year to $0.49 per share [4]. - Core direct written premium grew by 49%, while total direct written premium increased by 37% [4]. - The consolidated GAAP combined ratio improved by 1,100 basis points to 79%, compared to a Zacks Consensus Estimate of 80.4 [4]. - The net loss ratio improved by 800 basis points to 49%, against a Zacks Consensus Estimate of 51 [4]. - The net expense ratio improved by 300 basis points to 30%, while the Zacks Consensus Estimate was 29.4 [4]. Growth Strategy - KINS is focusing on its core business and scaling back unprofitable non-core operations, positioning itself well for future growth [5]. - The company has successfully implemented price increases ahead of inflation, aligning prices with risks [5]. - A partnership with Earnix enhances KINS' pricing capabilities and supports its strategic growth initiatives [5]. Future Outlook - KINS expects direct written premium in its core business to grow between 15% and 25% in 2025 [6]. - The company is effectively lowering its net underwriting expense ratio by increasing average premiums and reducing commissions and staffing [6]. - KINS has a robust reinsurance program that protects its balance sheet and has improved its cash balance while reducing debt [6]. Market Performance - KINS shares have gained 18% year to date, outperforming its industry, sector, and the Zacks S&P 500 composite [7]. - KINS was the 15th largest homeowner insurer in New York in 2023, holding a market share of 1.6% [9]. - The company is positioned to benefit from a $200 million market opportunity as competing carriers exit the personal property market in July 2024 [9]. Valuation and Investment Considerations - The average target price for KINS shares is $17, indicating a 9.7% upside potential from the last closing price [10]. - KINS shares are trading at a premium to the industry, with a price-to-book value of 3.36X compared to the industry average of 1.63X [10]. - KINS shares are currently trading below the 50-day moving average, suggesting a short-term bearish trend [10].

Financial Results Announcement - Kingstone Companies, Inc. announced preliminary financial results for Q4 and full year ended December 31, 2024, with a conference call scheduled for March 14, 2025[3] - The financial results news release is set to be issued after market close on March 13, 2025[3] Company Information - The company is registered under the NASDAQ Capital Market with the trading symbol KINS[2]

Core Insights - Kingstone Companies (KINS) shares are trading at a premium compared to the Zacks Property and Casualty Insurance industry, with a price-to-book value of 3.36X versus the industry average of 1.63X [1] - KINS is the 15th largest homeowner insurer in New York with a market share of 1.6% and is positioned to benefit from a $200 million market opportunity as competitors exit the personal property market in July 2024 [2] - KINS shares have increased by 5.4% year to date, outperforming its industry, sector, and the Zacks S&P 500 composite [4] Financial Performance - The Zacks Consensus Estimate for KINS is $1.55 for 2025, indicating a 10.7% year-over-year increase with revenues projected to rise by 22.8% to $192.6 million [10] - KINS expects earnings per share for 2025 to be between $1.60 and $2.00 [10] - Return on equity (ROE) for KINS in the trailing 12 months was 32.6%, significantly higher than the industry average of 7.6% [14] - KINS anticipates ROE to be between 32% and 36% in 2024 and between 24% and 32% in 2025 [14] - Return on invested capital (ROIC) for KINS was 27% in the trailing 12 months, also above the industry average of 5.8% [15] Growth Strategy - KINS is focusing on its core business while scaling back unprofitable non-core operations, only writing businesses that meet its underwriting standards [11] - The company has successfully implemented price increases ahead of inflation, enhancing its pricing capabilities through a partnership with Earnix [12] - KINS expects direct written premium in its core business to grow between 15% and 25% in 2025 [12] - The company has been reducing its net underwriting expense ratio by increasing average premiums and lowering commissions and staffing [12] Market Position - KINS shares are trading well above the 50-day moving average, indicating a bullish trend and are near the high end of its 52-week range [7] - The average target price for KINS is $17, reflecting a 4.6% upside potential from the recent closing price [17]

Company Overview - Kingstone Companies (NASDAQ: KINS) is a relatively unknown insurance provider focusing on property and casualty insurance [1] - The company is based in New York and operates through over 700 licensed agents and brokers [1] - Kingstone targets both personal lines and commercial auto insurance markets [1]