First Acceptance Corporation Reports Operating Results for the Three and Six Months Ended June 30, 2026
Rhea-AI Summary
First Acceptance Corporation (OTCQX:FACO) reported second quarter 2026 net income of $10.1 million, up 28% from $7.9 million, marking its 14th consecutive profitable quarter. Diluted EPS rose to $0.26 from $0.21. Gross premiums earned increased to $146.3 million from $142.1 million, while the insurance companies’ combined ratio improved to 93.6% from 95.9%.
For the first six months of 2026, net income rose 69% to $18.3 million, with diluted EPS at $0.48 versus $0.28. Gross premiums earned were $288.0 million versus $277.0 million, and the combined ratio improved to 93.9% from 97.8%. Book value per share increased to $5.80 at June 30, 2026 from $5.45 at December 31, 2025.
Positive
- Q2 2026 net income up 28% to $10.1 million
- Six-month 2026 net income up 69% to $18.3 million
- Diluted EPS increased to $0.26 for Q2 and $0.48 for six months
- Combined ratio improved to 93.6% in Q2 and 93.9% for six months
- Book value per share rose to $5.80 from $5.45 at year-end 2025
- 14th consecutive profitable quarter reported by the company
Negative
- Q2 2026 revenues decreased to $123.1 million from $140.7 million year over year
- Six-month 2026 revenues decreased to $241.5 million from $265.7 million
- Q2 loss ratio increased to 69.8% from 69.1% year over year
AI-generated analysis. How Rhea-AI works. Not financial advice.
Second Quarter Net Income Increases
Company Records 14th Consecutive Profitable Quarter
NASHVILLE, TN / ACCESS Newswire / August 4, 2026 / First Acceptance Corporation (OTCQX:FACO) today reported its financial results for the three and six months ended June 30, 2026. A quarterly report can be found at www.otcmarkets.com/stock/FACO/disclosure.
"We are proud to report another quarter of strong profitability built by solid execution across the business," said Ken Russell, President and Chief Executive Officer. "These results reflect the discipline of our team, the execution on our strategy, and the progress we continue to make building a stronger company."
Anthony Delaney, President and Chief Operating Officer of First Acceptance Insurance Companies, added, "As competition increases across the market, we believe disciplined execution and strong partnerships will become even more important. Our launch in Louisiana reflects our belief that we must earn the right to grow by establishing a strong foundation with trusted existing partners, refining the product and customer experience, and then thoughtfully expanding through new and exciting partnerships. We believe this approach represents our model for future growth, allowing us to broaden our reach while maintaining the underwriting discipline, operational consistency, and service our customers and partners expect."
Second Quarter 2026 Highlights
Gross premiums earned were
$146.3 million , compared with$142.1 million for the same period in the prior year.The combined ratio for insurance companies improved to
93.6% from95.9% for the same period in the prior year.Net income increased
28% to$10.1 million , compared with$7.9 million for the same period in the prior year.Diluted net income per share was
$0.26 , compared with$0.21 for the same period in the prior year.Book value per common share at June 30, 2026 increased to
$5.80 from$5.57 at March 31, 2026.
Six-Month 2026 Highlights:
Gross premiums earned were
$288.0 million , compared with$277.0 million for the same period in the prior year.The combined ratio for insurance companies improved to
93.9% from97.8% for the same period in the prior year.Net income increased
69% to$18.3 million , compared with$10.8 million for the same period in the prior year.Diluted net income per share was
$0.48 , compared with$0.28 for the same period in the prior year.Book value per common share at June 30, 2026 increased to
$5.80 from$5.45 at December 31, 2025.
About First Acceptance Corporation
First Acceptance Corporation is an insurance holding company headquartered in Nashville that underwrites non-standard personal automobile insurance through insurance companies known as the First Acceptance Insurance Group. Our mission is to provide automobile insurance for underserved and higher-risk drivers, especially those with limited liquidity or difficulty managing large upfront payments. We offer coverage designed around how our customers earn, spend, and manage their money. We primarily offer our own underwritten insurance policies through independent agents.
Additional information about First Acceptance Corporation can be found online at www.firstacceptance.com.
Forward-Looking Statements
This press release contains forward-looking statements. All statements made other than statements of historical fact are forward-looking statements. You can identify these statements from our use of the words "believe," "continue," "expand," "expect," "look," "strategy" or the negative of these objective terms and similar expressions. These statements, which have been included in reliance on the "safe harbor" provisions of the federal securities laws, involve risks and uncertainties. Investors are hereby cautioned that these statements may be affected by important factors, including, among others, the factors set forth under the caption "Risk Factors" in our Annual Report for the year ended December 31, 2025, filed by the Company with the OTCQX. Except as required by law, we undertake no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future developments or otherwise.
First Acceptance Corporation and Subsidiaries
Condensed Consolidated Statements of Income
(amounts in thousands, except per share data)
Three Months Ended | Six Months Ended | |||||||||||||||
June 30, | June 30, | |||||||||||||||
2026 | 2025 | 2026 | 2025 | |||||||||||||
Revenues | $ | 123,137 | $ | 140,656 | $ | 241,513 | $ | 265,743 | ||||||||
Income before income taxes | $ | 12,896 | $ | 10,089 | $ | 23,072 | $ | 13,869 | ||||||||
Net income | $ | 10,077 | $ | 7,873 | $ | 18,267 | $ | 10,779 | ||||||||
Net income per diluted share | $ | 0.26 | $ | 0.21 | $ | 0.48 | $ | 0.28 | ||||||||
Average diluted shares outstanding | 38,067 | 37,606 | 37,965 | 38,082 | ||||||||||||
Combined Ratio for Insurance Companies: | ||||||||||||||||
Loss | 69.8 | % | 69.1 | % | 66.3 | % | 73.8 | % | ||||||||
Expense | 23.8 | % | 26.8 | % | 27.6 | % | 24.0 | % | ||||||||
Combined | 93.6 | % | 95.9 | % | 93.9 | % | 97.8 | % | ||||||||
Book Value per Common Share | $ | 5.80 | $ | 4.85 | ||||||||||||
INVESTOR RELATIONS CONTACT:
ir@firstacceptance.com
SOURCE: First Acceptance Corporation
View the original press release on ACCESS Newswire