TIPTREE INC

For the period ended Sep 30, 2024. Filed Oct 30, 2024.

About this filing

A company's report for each of its first three quarters. The financial statements are not audited. It shows how the business has moved since the last annual report, and what management says changed.

Sep 30, 2024 · Filed Oct 30, 2024

TIPT$17.62-0.2%Stored close · as of Nov 10, 2026

Extracted filing text, with the paragraph anchors used by the comparison.

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Contents

Condensed Consolidated Balance Sheets as of and

	As of
	September 30,2024	December 31, 2023
Assets:
Investments:
Available for sale securities, at fair value, net of allowance for credit losses	$1,010,067	$802,609
Loans, at fair value	81,816	69,556
Equity securities	95,330	68,308
Other investments	59,250	111,088
Total investments	1,246,463	1,051,561
Cash and cash equivalents	396,187	468,711
Restricted cash	108,183	23,850
Notes and accounts receivable, net	789,624	684,608
Reinsurance recoverable	932,656	953,886
Prepaid reinsurance premiums	978,149	900,524
Deferred acquisition costs	570,923	565,746
Goodwill	208,565	206,155
Intangible assets, net	108,482	118,757
Other assets	166,501	165,515
Total assets	$5,505,733	$5,139,313
Liabilities and Stockholders’ Equity
Liabilities:
Debt, net	$388,523	$402,411
Unearned premiums	1,709,966	1,695,058
Policy liabilities and unpaid claims	1,192,857	844,848
Deferred revenue	692,389	673,085
Reinsurance payable	458,610	543,602
Other liabilities and accrued expenses	407,188	403,744
Total liabilities	$4,849,533	$4,562,748
Stockholders’ Equity:
Preferred stock: $0.001 par value, 100,000,000 shares authorized, none issued or outstanding	$—	$—
Common stock: $0.001 par value, 200,000,000 shares authorized, 36,789,571 and 36,756,187 shares issued and outstanding, respectively	37	37
Additional paid-in capital	389,275	382,239
Accumulated other comprehensive income (loss), net of tax	(15,171)	(26,073)
Retained earnings	87,805	60,663
Total Tiptree Inc. stockholders’ equity	461,946	416,866
Non-controlling interests:
Fortegra preferred interests	77,679	77,679
Common interests	116,575	82,020
Total non-controlling interests	194,254	159,699
Total stockholders’ equity	656,200	576,565
Total liabilities and stockholders’ equity	$5,505,733	$5,139,313

Condensed Consolidated Statements of Operations (Unaudited)

	Three Months Ended September 30,		Nine Months EndedSeptember 30,
	2024	2023	2024	2023
Revenues:
Earned premiums, net	$359,496	$291,293	$1,105,273	$826,418
Service and administrative fees	95,362	100,146	311,696	290,291
Ceding commissions	3,716	2,440	11,525	10,761
Net investment income	9,111	5,416	22,250	19,613
Net realized and unrealized gains (losses)	8,316	1,457	36,518	12,459
Other revenue	18,361	15,762	51,994	43,115
Total revenues	494,362	416,514	1,539,256	1,202,657
Expenses:
Policy and contract benefits	203,442	153,966	645,081	443,375
Commission expense	154,005	153,744	484,232	442,893
Employee compensation and benefits	52,335	45,663	151,438	130,844
Interest expense	7,614	6,716	23,919	20,225
Depreciation and amortization	5,395	6,347	16,254	17,475
Other expenses	34,790	28,937	111,206	94,857
Total expenses	457,581	395,373	1,432,130	1,149,669
Income (loss) before taxes	36,781	21,141	107,126	52,988
Less: provision (benefit) for income taxes	16,308	12,273	48,799	29,119
Net income (loss)	20,473	8,868	58,327	23,869
Less: net income (loss) attributable to non-controlling interests	8,558	6,715	24,511	16,789
Net income (loss) attributable to common stockholders	$11,915	$2,153	$33,816	$7,080
Net income (loss) per common share:
Basic earnings per share	$0.32	$0.06	$0.91	$0.19
Diluted earnings per share	$0.29	$0.04	$0.83	$0.18
Weighted average number of common shares:
Basic	36,789,571	36,749,199	36,781,408	36,672,120
Diluted	37,818,491	37,684,131	37,784,637	37,569,405
Dividends declared per common share	$0.06	$0.05	$0.18	$0.15

Condensed Consolidated Statements of Comprehensive Income (Loss) (Unaudited)

(in thousands)

	Three Months Ended September 30,		Nine Months EndedSeptember 30,
	2024	2023	2024	2023
Net income (loss)	$20,473	$8,868	$58,327	$23,869
Other comprehensive income (loss), net of tax:
Change in unrealized gains (losses) on available for sale securities	21,682	(9,990)	16,065	(4,065)
Change in unrealized currency translation adjustments	6,332	(4,234)	5,241	1,398
Related (provision) benefit for income taxes	(8,990)	4,412	(6,640)	1,174
Other comprehensive income (loss), net of tax	19,024	(9,812)	14,666	(1,493)
Comprehensive income (loss)	39,497	(944)	72,993	22,376
Less: comprehensive income (loss) attributable to non-controlling interests	13,537	4,254	28,275	16,444
Comprehensive income (loss) attributable to common stockholders	$25,960	$(5,198)	$44,718	$5,932

Condensed Consolidated Statements of Changes in Stockholders’ Equity (Unaudited)

(in thousands, except shares)

Common stock · Non-controlling interests
	Number of shares	Par value	Additional paid-in capital	Accumulated other comprehensive income (loss)	Retained earnings	TotalTiptree Inc. stockholders’ equity	Fortegra preferred interests	Common interests	Total stockholders' equity
Balance at December 31, 2023	36,756,187	$37	$382,239	$(26,073)	$60,663	$416,866	$77,679	$82,020	$576,565
Amortization of share-based incentive compensation	—	—	6,983	—	—	6,983	—	2,524	9,507
Vesting of share-based incentive compensation	33,384	—	53	—	—	53	—	(752)	(699)
Non-controlling interest contributions	—	—	—	—	—	—	—	9,956	9,956
Non-controlling interest distributions	—	—	—	—	—	—	—	(644)	(644)
Common stock dividends declared	—	—	—	—	(6,674)	(6,674)	—	—	(6,674)
Other comprehensive income (loss), net of tax	—	—	—	10,902	—	10,902	—	3,764	14,666
Subsidiary preferred dividends declared	—	—	—	—	(4,804)	(4,804)	—	—	(4,804)
Net income (loss)	—	—	—	—	38,620	38,620	—	19,707	58,327
Balance at September 30, 2024	36,789,571	$37	$389,275	$(15,171)	$87,805	$461,946	$77,679	$116,575	$656,200

Common stock · Non-controlling interests
	Number of shares	Par value	Additional paid-in capital	Accumulated other comprehensive income (loss)	Retained earnings	TotalTiptree Inc. stockholders’ equity	Fortegra preferred interests	Common interests	Total stockholders' equity
Balance at June 30, 2024	36,785,305	$37	$387,513	$(29,216)	$78,115	$436,449	$77,679	$103,941	$618,069
Amortization of share-based incentive compensation	—	—	1,693	—	—	1,693	—	839	2,532
Vesting of share-based incentive compensation	4,266	—	69	—	—	69	—	(130)	(61)
Common stock dividends declared	—	—	—	—	(2,225)	(2,225)	—	—	(2,225)
Other comprehensive income (loss), net of tax	—	—	—	14,045	—	14,045	—	4,979	19,024
Subsidiary preferred dividends declared	—	—	—	—	(1,612)	(1,612)	—	—	(1,612)
Net income (loss)	—	—	—	—	13,527	13,527	—	6,946	20,473
Balance at September 30, 2024	36,789,571	$37	$389,275	$(15,171)	$87,805	$461,946	$77,679	$116,575	$656,200

Condensed Consolidated Statements of Changes in Stockholders’ Equity (Unaudited)

(in thousands, except shares)

Common stock · Non-controlling interests
	Number of shares	Par value	Additional paid-in capital	Accumulated other comprehensive income (loss)	Retained earnings	TotalTiptree Inc. stockholders’ equity	Fortegra preferred interests	Common interests	Total stockholders' equity
Balance at December 31, 2022	36,385,299	$36	$382,645	$(39,429)	$54,113	$397,365	$77,679	$58,529	$533,573
Amortization of share-based incentive compensation	—	—	4,711	—	—	4,711	—	1,155	5,866
Vesting of share-based incentive compensation	309,462	1	(350)	—	—	(349)	—	(470)	(819)
Shares issued upon exercise of options	55,007	—	—	—	—	—	—	—	—
Non-controlling interest distributions	—	—	(1,751)	—	—	(1,751)	—	(3,174)	(4,925)
Net change in non-controlling interests and other	—	—	(4,267)	—	—	(4,267)	—	2,106	(2,161)
Common stock dividends declared	—	—	—	—	(5,550)	(5,550)	—	—	(5,550)
Other comprehensive income (loss), net of tax	—	—	—	(1,148)	—	(1,148)	—	(345)	(1,493)
Subsidiary preferred dividends declared	—	—	—	—	(4,787)	(4,787)	—	—	(4,787)
Net income (loss)	—	—	—	—	11,867	11,867	—	12,002	23,869
Balance at September 30, 2023	36,749,768	$37	$380,988	$(40,577)	$55,643	$396,091	$77,679	$69,803	$543,573

Common stock · Non-controlling interests
	Number of shares	Par value	Additional paid-in capital	Accumulated other comprehensive income (loss)	Retained earnings	TotalTiptree Inc. stockholders’ equity	Fortegra preferred interests	Common interests	Total stockholders' equity
Balance at June 30, 2023	36,742,295	$37	$379,741	$(33,226)	$55,340	$401,892	$77,679	$66,497	$546,068
Amortization of share-based incentive compensation	—	—	1,135	—	—	1,135	—	665	1,800
Vesting of share-based incentive compensation	7,473	—	112	—	—	112	—	—	112
Common stock dividends declared	—	—	—	—	(1,850)	(1,850)	—	—	(1,850)
Other comprehensive income (loss), net of tax	—	—	—	(7,351)	—	(7,351)	—	(2,461)	(9,812)
Subsidiary preferred dividends declared	—	—	—	—	(1,613)	(1,613)	—	—	(1,613)
Net income (loss)	—	—	—	—	3,766	3,766	—	5,102	8,868
Balance at September 30, 2023	36,749,768	$37	$380,988	$(40,577)	$55,643	$396,091	$77,679	$69,803	$543,573

Condensed Consolidated Statements of Cash Flows (Unaudited)

(in thousands)

	Nine Months Ended September 30,
	2024	2023
Operating Activities:
Net income (loss) attributable to common stockholders	$33,816	$7,080
Net income (loss) attributable to non-controlling interests	24,511	16,789
Net income (loss)	58,327	23,869
Adjustments to reconcile net income to net cash provided by (used in) operating activities
Net realized and unrealized (gains) losses	(36,518)	(12,459)
Non-cash compensation expense	13,220	5,955
Amortization/accretion of premiums and discounts	(4,416)	(5,272)
Depreciation and amortization expense	16,254	17,475
Non-cash lease expense	5,875	6,003
Deferred provision (benefit) for income taxes	41,695	26,761
Amortization of deferred financing costs	907	825
Change in fair value of liability classified warrants	6,018	(2,611)
Other	453	126
Changes in operating assets and liabilities:
Mortgage loans originated for sale	(693,056)	(663,669)
Proceeds from the sale of mortgage loans originated for sale	710,605	676,866
(Increase) decrease in notes and accounts receivable	(101,126)	(142,020)
(Increase) decrease in reinsurance recoverable	21,230	(291,412)
(Increase) decrease in prepaid reinsurance premiums	(77,625)	(168,802)
(Increase) decrease in deferred acquisition costs	(5,177)	(38,936)
(Increase) decrease in other assets	(1,971)	24,664
Increase (decrease) in unearned premiums	14,908	249,586
Increase (decrease) in policy liabilities and unpaid claims	348,009	246,021
Increase (decrease) in deferred revenue	19,304	19,732
Increase (decrease) in reinsurance payable	(84,992)	166,144
Increase (decrease) in other liabilities and accrued expenses	(81,125)	(45,280)
Net cash provided by (used in) operating activities	170,799	93,566
Investing Activities:
Purchases of investments	(614,279)	(1,030,746)
Proceeds from sales and maturities of investments	477,843	930,041
Purchases of property, plant and equipment	(2,229)	(12,503)
Proceeds from notes receivable	74,867	94,749
Issuance of notes receivable	(82,400)	(106,536)
Business and asset acquisitions, net of cash and deposits	—	(19,726)
Net cash provided by (used in) investing activities	(146,198)	(144,721)
Financing Activities:
Dividends paid	(11,566)	(10,284)
Net non-controlling interest (redemptions) contributions and other	8,381	(13,563)
Payment of debt issuance costs	(144)	(366)
Proceeds from borrowings and mortgage notes payable	773,990	1,083,558
Principal paydowns of borrowings and mortgage notes payable	(788,641)	(1,019,740)
Net cash provided by (used in) financing activities	(17,980)	39,605
Effect of exchange rate changes on cash	5,188	(1,935)
Net increase (decrease) in cash, cash equivalents and restricted cash	11,809	(13,485)
Cash, cash equivalents and restricted cash – beginning of period	492,561	550,847
Cash, cash equivalents and restricted cash – end of period	$504,370	$537,362
Supplemental Schedule of Non-Cash Investing and Financing Activities:
Right of use asset obtained in exchange for lease liability	$1,923	$3,115
	As of
Reconciliation of cash, cash equivalents and restricted cash	September 30,2024	December 31,2023
Cash and cash equivalents	$396,187	$468,711
Restricted cash	108,183	23,850
Total cash, cash equivalents and restricted cash shown in the statements of cash flows	$504,370	$492,561

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The text of this filing, as the company filed it with the SEC, without its images or exhibits. This is not investment advice.