Kingsway Financial Services ( (KFS) ) has released its Q4 earnings. Here is a breakdown of the information Kingsway Financial Services presented to its investors.
Kingsway Financial Services Inc. is a holding company operating primarily in the business services and extended warranty industries, with its shares traded on the New York Stock Exchange under the symbol ‘KFS’. The company has a diverse portfolio of subsidiaries across various sectors, including B2B services, healthcare, vertical market software, and skilled trade services.
In its latest earnings report for the full year 2024, Kingsway Financial Services reported a 5.9% increase in consolidated revenue, reaching $109.4 million. However, the company experienced a net loss of $8.3 million, contrasting with the previous year’s net income of $24.0 million, which included a significant gain from debt extinguishment. Despite the net loss, the company achieved an adjusted consolidated EBITDA of $10.6 million, up from $9.1 million in the prior year.
Key financial highlights include a 15.7% revenue increase in the KSX segment, driven by strategic acquisitions, and a 14.9% rise in KSX adjusted EBITDA. The Extended Warranty segment saw a slight revenue increase but faced challenges with higher claims expenses, resulting in a decrease in adjusted EBITDA. The company also completed the acquisition of Bud’s Plumbing, adding to its skilled trades portfolio.
Looking ahead, Kingsway’s management remains optimistic about future acquisition opportunities and the potential for continued growth in its cash flow-generating businesses. The company is focused on strategic capital allocation and operational execution to enhance shareholder value in the long term.