Revenue Analysis
Examining the revenue, Total Revenue and Operating Revenue for KMPR have shown fluctuations over the observed periods. The revenue in 2024-03-31 was $1,141,700,000, which indicates a decrease from the $1,180,200,000 reported in 2023-12-31. This trend reversed the decrease observed in previous quarters from $1,189,700,000 in 2023-09-30 to $1,253,700,000 in 2023-06-30. It’s noteworthy that the Operating Revenue exactly mirrors the Total Revenue figures, suggesting all revenue is operational.
Cost Management
Total Expenses were significantly high across all periods, peaking at $1,395,000,000 in 2023-03-31 and minimally decreasing to $1,055,100,000 by 2024-03-31. When looking at Operating Expenses, which include Selling General and Administration, the company shows a significant reduction in Operating Expenses over time. This suggests improving cost management, albeit the high expense base remains a concern.
Profitability Analysis
Regarding profitability, EBITDA is not directly provided but Operating Income (EBIT) and Net Income were analyzed. There is a major recovery observed in Net Income from a deep negative in the quarters of 2023, turning into a positive by 2024-03-31 at $71,300,000. Pretax Income also reflects a similar trajectory. The improvement in profitability indicators is evident and critical after multiple challenging quarters.
Cash Flow Indicators
Reconciled Depreciation figures indicate a consistent investment in capital, with an incremental increase seen over the periods. Interest Expense remained stable, suggesting a stable debt-cost management strategy.
Taxation
The Tax Rate wavered but remained around 20%, peaking at around 23% in 2023-09-30. Tax Provisions and the Tax Effect of Unusual Items reveal volatility in tax-related costs, potentially due to the non-recurring or extraordinary items fluctuating the company’s taxable income.
Shareholder Metrics
Diluted and Basic EPS (Earnings Per Share) improved notably from -2.28 in the third quarter of 2023 to 1.1 by 2024-03-31. Total and basic Average Shares remained relatively stable. Net Income Available to Common Stockholders replicates the Net Income trajectory, improving significantly into positive terrain.
Conclusion
Throughout the past fiscal periods, KMPR experienced extensive volatility in its earnings, surging back from heavy losses to profitability by 2024. Although revenue showed a recent dip, strict cost controls and improved profitability metrics highlight potential positive outcomes. Monitoring the sustainability of these profitability trends and continual cost management would be advisable for stakeholders.