First American Financial Corp Reports 14% Revenue Growth

By Ahmed Jameison • Thursday, July 24 06:11 • Permanent Link

First American Financial Reports Strong Second Quarter 2025 Results

First American Financial Corporation (NYSE: FAF) has released its financial results for the second quarter ended June 30, 2025. The company reported total revenue of $1.8 billion, representing a 14 percent increase compared to the same quarter last year. Net income for the quarter was $146.1 million, or $1.41 per diluted share, compared to $116 million, or $1.11 per diluted share, in the second quarter of 2024.

Adjusted net income for the current quarter was $158.4 million, or $1.53 per diluted share, compared to $133 million, or $1.27 per diluted share, in the second quarter of 2024. These figures include a $13 million one-time expense related to executive separation costs, recorded in the corporate segment. Net investment losses in the current quarter were $10 million, compared to losses of $13 million in the same period last year, while purchase-related intangible amortization was $7 million, compared to $8 million in the second quarter of 2024.

Total revenue for the title insurance and services segment during the second quarter of 2025 was $1.7 billion, marking a 13 percent increase compared to the same quarter in 2024. The home warranty segment also posted strong results, with total revenues of $110.2 million, up 3 percent compared to the previous year.

The company's board of directors approved a new $300 million share repurchase authorization, reflecting confidence in its financial position and future prospects.

Mark Seaton, Chief Executive Officer at First American Financial Corporation, commented, "Our second quarter performance was strong despite continued challenges in the U.S. housing market. The strength of our commercial business, growth in investment income, and management of our cost structure enabled us to deliver an adjusted margin in our title segment of 13.2 percent. Our home warranty segment also posted another strong quarter with an adjusted pretax margin of 20.7 percent."

First American Financial Corporation remains optimistic about its performance, citing their unique assets and expected productivity improvements related to investments in data, technology, and AI.

For more detailed discussions on the results, the company will hold a teleconference on Thursday, July 24, 2025, at 11 a.m. EDT, with an audio webcast available on the company's website.

First American Financial Corporation is a leading provider of title, settlement, and risk solutions for real estate transactions, with total revenue of $6.1 billion in 2024. The market has reacted to these announcements by moving the company's shares 0.5% to a price of $57.85. Check out the company's full 8-K submission here.

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