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Compared to Estimates, Heritage Insurance (HRTG) Q3 Earnings: A Look at Key Metrics

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For the quarter ended September 2024, Heritage Insurance (HRTG - Free Report) reported revenue of $211.85 million, up 13.7% over the same period last year. EPS came in at $0.27, compared to -$0.28 in the year-ago quarter.

The reported revenue compares to the Zacks Consensus Estimate of $209.91 million, representing a surprise of +0.92%. The company delivered an EPS surprise of +1250.00%, with the consensus EPS estimate being $0.02.

While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to determine their next move, some key metrics always offer a more accurate picture of a company's financial health.

Since these metrics play a crucial role in driving the top- and bottom-line numbers, comparing them with the year-ago numbers and what analysts estimated about them helps investors better project a stock's price performance.

Here is how Heritage Insurance performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:

  • Ceded Premium Ratio: 43.9% compared to the 45% average estimate based on two analysts.
  • Combined Ratio: 100.6% versus the two-analyst average estimate of 105.2%.
  • Expense Ratio: 35.2% versus the two-analyst average estimate of 35.3%.
  • Loss Ratio: 65.4% versus the two-analyst average estimate of 69.9%.
  • Revenues- Net investment income: $9.80 million versus the two-analyst average estimate of $10.20 million. The reported number represents a year-over-year change of +42.7%.
  • Revenues- Net premiums earned: $198.84 million compared to the $196.29 million average estimate based on two analysts. The reported number represents a change of +12.6% year over year.
  • Revenues- Other revenue: $3.20 million versus the two-analyst average estimate of $3.42 million. The reported number represents a year-over-year change of +1%.
View all Key Company Metrics for Heritage Insurance here>>>

Shares of Heritage Insurance have returned +13.7% over the past month versus the Zacks S&P 500 composite's +0.7% change. The stock currently has a Zacks Rank #4 (Sell), indicating that it could underperform the broader market in the near term.

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