First American Financial Q3 2026 profit falls to $177M

Adjusted net income and adjusted diluted EPS were above year-earlier levels, while net income and operating cash flow were lower.

Rhea-AI Filing Summary

First American Financial Corp. (FAF) reported third-quarter 2026 revenue of $2,084.6 million, up 5% from $1,978.9 million a year earlier. Net income attributable to the company was $177.0 million, versus $189.6 million, and diluted earnings were $1.72 per share versus $1.84. Adjusted net income was $183.4 million, compared with $174.9 million, and adjusted diluted EPS was $1.78 versus $1.70.

Title Insurance and Services revenue was $1,972.9 million, compared with $1,835.9 million; commercial revenue was $297.4 million, up 21%. Home Warranty revenue was $114.7 million, while pretax income fell to $11.3 million from $16.2 million and its pretax margin was 9.9%, versus 14.1%. Cash flow from operations was $238 million, compared with $273 million.

FAF raised its common stock dividend 11% to an annual rate of $2.44 per share.

2 points · 0 major

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Rhea-AI gives every point it takes from this document a weight. Minor counts 1, Moderate 3 and Major 9, so one Major point outweighs several Minor ones. The bar adds up the weights on each side, and when neither side holds more than 65% of the total the balance reads Mixed.

It reads the document as published, with the same rules for every company, and it does not look at what the market expected or at how the stock traded, so a point can be objectively good on a day the stock falls.

Rhea-AI Sentiment measures something else, the tone of the wording.

How the balance worksHow Sentiment works

0 major · 3 points

How the balance works

Positive

• Moderate pointRevenue increased 5% to $2.1 billion in Q3 2026.
• Moderate pointDividend rose 11% to $2.44 per share annually.

Negative

• Moderate pointNet income attributable fell to $177.0 million from $189.6 million in Q3 2025.
• Moderate pointOperating cash flow was $238 million, versus $273 million in Q3 2025.
• Minor pointHome Warranty pretax income declined 30% to $11.3 million year over year.

Filing Explained

The reported debt-to-capital ratio is 30.3%, or 22.2% excluding $808 million in secured financings payable.

The Oct. 21 Form 8-K furnishes First American's third-quarter earnings release, which reports completed repurchases of $1 million for 23,149 shares during the quarter and $9 million for 143,254 shares through October 21.

The release reports a debt-to-capital ratio of 30.3%, or 22.2% excluding $808 million in secured financings payable.

8-K Event Classification

2 items: 2.02, 9.01

2 items

Item 2.02 Results of Operations and Financial Condition Financial

Disclosure of earnings results, typically an earnings press release or preliminary financials.

Item 9.01 Financial Statements and Exhibits Exhibits

Financial statements, pro forma financial information, or exhibit attachments filed with this report.

Key Figures

Total revenue: $2,084.6 million vs. $1,978.9 million Net income attributable to the company: $177.0 million vs. $189.6 million Diluted EPS: $1.72 per share vs. $1.84 per share +5 more

8 metrics

Total revenue $2,084.6 million vs. $1,978.9 million Three months ended September 30, 2026, compared with September 30, 2025; up 5%

Net income attributable to the company $177.0 million vs. $189.6 million Three months ended September 30, 2026, compared with September 30, 2025

Diluted EPS $1.72 per share vs. $1.84 per share Three months ended September 30, 2026, compared with September 30, 2025

Adjusted net income $183.4 million vs. $174.9 million Three months ended September 30, 2026, compared with September 30, 2025

Adjusted diluted EPS $1.78 per share vs. $1.70 per share Three months ended September 30, 2026, compared with September 30, 2025

Cash flow from operations $238 million vs. $273 million Third quarter of 2026 compared with the third quarter of 2025

Annual common stock dividend rate $2.44 per share Raised 11% in the third quarter of 2026

Commercial revenue $297.4 million vs. $245.9 million Title Insurance and Services segment, third quarter of 2026 compared with 2025; up 21%

Key Terms

Adjusted net income, Ultimate loss rate, Agent premiums, Success Ratio

4 terms

Adjusted net income financial

"Adjusted net income in the current quarter was $183 million"

Adjusted net income is a company's reported profit after removing unusual, one-time, or non-operational items so the number reflects the business’s regular earning power. Investors use it like a cleaned-up scorecard — similar to judging a player’s season performance without a few fluke games — to compare companies or assess trends without being misled by rare gains or losses that won’t affect future cash flow.

Ultimate loss rate financial

"an ultimate loss rate of 3.75 percent for the current policy year"

The ultimate loss rate is an insurance metric that estimates the total amount of claims (paid losses plus case reserves and incurred but not reported losses) as a share of earned premiums once all claims have fully developed and reserves are settled. It matters to investors because it shows the true, long-term cost of underwriting business and helps reveal whether reserves are adequate and future earnings will cover past claim costs, like comparing a final repair bill to an initial estimate.

Agent premiums financial

"recorded on approximately a one-quarter lag relative to direct premiums"

Success Ratio financial

"Success Ratio (1)"

Earnings Snapshot

Total revenue: $2,084.6 million

Third quarter ended September 30, 2026

Total revenue $2,084.6 million Up 5% from $1,978.9 million

Net income attributable to the company $177.0 million Compared with $189.6 million

Adjusted net income $183.4 million Compared with $174.9 million

Diluted EPS $1.72 per share Compared with $1.84 per share

FAQ

AI-generated questions and answers. How Rhea-AI works. Not financial advice.

What were FAF's third-quarter 2026 revenue and net income?

FAF reported revenue of $2,084.6 million in the third quarter of 2026, up 5% from $1,978.9 million a year earlier. Net income attributable to the company was $177.0 million, compared with $189.6 million.

How many U.S. direct title orders did FAF report?

FAF reported 175,600 open and 134,900 closed U.S. direct title insurance orders for the three months ended September 30, 2026. The corresponding counts for the three months ended September 30, 2025, were 191,300 open and 141,800 closed orders.

How many shares did FAF repurchase in Q3 2026 and through October 21?

FAF repurchased 23,149 shares for $1 million at an average price of $64.24 during the third quarter. In the fourth quarter through October 21, 2026, it repurchased 143,254 shares for $9 million at an average price of $62.40.

AI-generated analysis. How Rhea-AI works. Not financial advice.

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Available on EDGAR 10/21/2026 - 04:17 PM EDT Accepted by SEC EDGAR 10/21/2026 - 04:15 PM EDT Learn about SEC filing dates

0001472787falseFirst American Financial Corp00014727872026-10-212026-10-21

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549

FORM 8-K

CURRENT REPORT

Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

Date of Report (Date of earliest event reported): October 21, 2026

FIRST AMERICAN FINANCIAL CORPORATION

(Exact name of Registrant as Specified in Its Charter)

Delaware			001-34580	26-1911571
(State or Other Jurisdiction of Incorporation)			(Commission File Number)	(IRS Employer Identification No.)
1 First American Way
Santa Ana, California				92707-5913
(Address of Principal Executive Offices)				(Zip Code)

Registrant’s Telephone Number, Including Area Code: (714) 250-3000

Not Applicable

(Former Name or Former Address, if Changed Since Last Report)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

☐Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

☐Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

☐Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

☐Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Securities registered pursuant to Section 12(b) of the Act:

Title of each class		Trading Symbol(s)		Name of each exchange on which registered
Common stock, $0.00001 par value		FAF		New York Stock Exchange

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§ 230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§ 240.12b-2 of this chapter).

Emerging growth company ☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Item 2.02 Results of Operations and Financial Condition.

On October 21, 2026, First American Financial Corporation issued a press release announcing its financial results for the quarter ended September 30, 2026. The full text of the press release is attached hereto as Exhibit 99.1.

The information in this Item 2.02, including Exhibit 99.1 hereto, is being “furnished” in accordance with General Instruction B.2 of Form 8-K. As such, this information is not deemed to be “filed” for the purposes of Section 18 of the Securities Exchange Act, or otherwise subject to the liabilities of that section, and is not incorporated by reference into any filings with the SEC unless it shall be explicitly so incorporated in such filings.

Item 9.01 Financial Statements and Exhibits.

(d) Exhibits.

Exhibit Number		Description
99.1		Press Release, dated October 21, 2026*
104		Cover Page Interactive Data File (embedded within the Inline XBRL document)

*Furnished herewith.

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

			FIRST AMERICAN FINANCIAL CORPORATION
Date:	October 21, 2026	By:	/s/ Lisa W. Cornehl
			Name: Lisa W. Cornehl Title: Senior Vice President, Chief Legal Officer

Exhibit 99.1

NEWS  FOR  IMMEDIATE  RELEASE

FIRST AMERICAN FINANCIAL REPORTS third quarter 2026 results

SANTA ANA, Calif., Oct. 21, 2026 – First American Financial Corporation (NYSE: FAF), a premier provider of title, settlement and risk solutions for real estate transactions and the leader in the digital transformation of its industry, today announced financial results for the third quarter ended Sept. 30, 2026.

Current Quarter Highlights

•Earnings per diluted share of $1.72, or $1.78 per share on an adjusted basis

- Net investment losses of $2 million, or 1 cent per diluted share

- Purchase-related intangible amortization of $7 million, or 5 cents per diluted share

•Total revenue of $2.1 billion, up 5 percent compared with last year

- Adjusted total revenue of $2.1 billion, up 7 percent compared with last year

•Title Insurance and Services segment investment income of $169 million, up 11 percent compared with last year

•Title Insurance and Services segment pretax margin of 12.4 percent, or 12.7 percent on an adjusted basis

•Commercial revenues of $297 million, up 21 percent compared with last year

•Home Warranty segment pretax margin of 9.9 percent, or 9.7 percent on an adjusted basis

•Debt-to-capital ratio of 30.3 percent, or 22.2 percent excluding secured financings payable of $808 million

•Cash flow from operations of $238 million compared with $273 million last year

•Raised common stock dividend by 11 percent to an annual rate of $2.44 per share

•Repurchased 23,149 shares for a total of $1 million at an average price of $64.24

- In the fourth quarter, through October 21, repurchased 143,254 shares for a total of $9 million at an average price of $62.40

Selected Financial Information

($ in millions, except per share data)

		Three Months Ended
		September 30,
		2026				2025
Total revenue		$	2,084.6			$	1,978.9
Income before taxes		$	227.6			$	247.0
Net income		$	177.0			$	189.6
Net income per diluted share		$	1.72			$	1.84
Adjusted net income		$	183.4			$	174.9
Adjusted net income per diluted share		$	1.78			$	1.70

Total revenue for the third quarter of 2026 was $2.1 billion, up 5 percent compared with the third quarter of 2025. Net income in the current quarter was $177 million, or $1.72 per diluted share, compared with net income of $190 million, or $1.84 per diluted share, in the third quarter of 2025. Adjusted net income in the current quarter was $183 million, or $1.78 per diluted share, compared with $175 million, or

First American Financial Reports Third Quarter 2026 Results

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$1.70 per diluted share, in the third quarter of last year. Net investment losses in the current quarter were $2 million, or 1 cent per diluted share, compared with net investment gains of $26 million, or 20 cents per diluted share, in the third quarter of last year. Purchase-related intangible amortization in both the current and prior year quarters was $7 million, or 5 cents per diluted share. The effective tax rate this quarter was 22.4 percent.

"Continued growth in our commercial business and higher investment income drove our earnings this quarter," said Mark Seaton, chief executive officer at First American Financial Corporation. "The recent increase in mortgage rates reinforces our expectation for a lower-for-longer residential origination market. We will use this environment to deepen our customer relationships and execute the rollout of our new AI-native title and settlement platforms, which will enhance the customer experience, improve operating efficiency and position First American for stronger earnings growth as the market recovers."

Title Insurance and Services

($ in millions, except average revenue per order)

		Three Months Ended
		September 30,
		2026				2025
Total revenues		$	1,972.9			$	1,835.9
Income before taxes		$	244.1			$	236.2
Pretax margin			12.4	%			12.9	%
Adjusted pretax margin			12.7	%			12.9	%
Title open orders(1)			175,600				191,300
Title closed orders(1)			134,900				141,800
U.S. Commercial
Total revenues		$	297.4			$	245.9
Open orders			28,900				28,200
Closed orders			16,300				15,300
Average revenue per order		$	18,200			$	16,100
(1) U.S. direct title insurance orders only.

Total revenues for the Title Insurance and Services segment were $2.0 billion in the third quarter, up 7 percent compared with the same quarter of 2025. Total adjusted revenues in the current quarter were $2.0 billion, up 8 percent compared with last year. Direct premiums and escrow fees were $643 million, an increase of 7 percent compared with the third quarter of last year, driven by a 13 percent increase in the average revenue per order closed, partially offset by a 5 percent decline in the number of direct title orders closed in our domestic operations. The average revenue per direct title order rose to $4,304, primarily due to an increase in the average revenue per order for commercial and purchase transactions, and a shift in the mix to higher premium commercial transactions. Agent premiums, which are recorded on approximately a one-quarter lag relative to direct premiums, were $868 million, up 9 percent compared with last year.

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First American Financial Reports Third Quarter 2026 Results

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Information and other revenues were $292 million during the quarter, up $16 million, or 6 percent, compared with last year, primarily driven by 31 percent growth in the company's subservicing business.

Investment income was $169 million in the third quarter, up $16 million, or 11 percent, compared with the same quarter last year. The increase was primarily driven by higher interest income from the company's investment portfolio, partially offset by a decline in interest income from escrow balances. Net investment gains were $0.2 million in the current quarter, compared with gains of $6 million in the same quarter last year that were primarily attributable to changes in the fair value of marketable equity securities.

Personnel costs were $574 million in the third quarter, up $31 million, or 6 percent, compared with the same quarter of 2025. The increase in personnel costs was primarily attributable to higher salary and incentive compensation expense.

Other operating expenses of $306 million in the current quarter were up $31 million, or 11 percent, compared with the third quarter of 2025, primarily due to an increase in software expense and higher production expense.

The provision for policy losses and other claims was $45 million in the third quarter, or 3.0 percent of title premiums and escrow fees, unchanged from the prior year. The third quarter rate reflects an ultimate loss rate of 3.75 percent for the current policy year and a net decrease of $11 million in the loss reserve estimate for prior policy years.

Depreciation and amortization expense was $53 million in the third quarter, unchanged compared with the same period last year.

Interest expense was $31 million in the current quarter, up $7 million, or 27 percent, compared with last year, primarily due to higher interest expense on deposit balances at the company's bank subsidiary.

The Title Insurance and Services segment posted pretax income of $244 million in the third quarter, compared with pretax income of $236 million in the third quarter of 2025. Pretax margin was 12.4 percent in the current quarter, compared with 12.9 percent last year. Adjusted pretax margin was 12.7 percent in the current period, compared with 12.9 percent last year.

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First American Financial Reports Third Quarter 2026 Results

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Home Warranty

($ in millions)

		Three Months Ended
		September 30,
		2026				2025
Total revenues		$	114.7			$	114.6
Income before taxes		$	11.3			$	16.2
Pretax margin			9.9	%			14.1	%
Adjusted pretax margin			9.7	%			13.5	%

Total revenues for the Home Warranty segment were $115 million in the third quarter, flat compared with last year. The segment posted pretax income of $11 million this quarter, down 30 percent compared with last year, primarily attributable to higher marketing expense to drive continued growth in our direct-to-consumer sales channel. The claims loss rate in the current quarter was 47 percent, virtually unchanged compared with last year. Home Warranty’s pretax margin was 9.9 percent this quarter, compared with 14.1 percent last year.

Corporate

The Corporate segment pretax loss was $28 million in the third quarter, compared with a loss of $5 million last year. Excluding net investment gains and losses, the Corporate pretax loss was $26 million in the current quarter, compared with a $24 million loss in the third quarter of last year.

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First American Financial Reports Third Quarter 2026 Results

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Teleconference/Webcast

First American’s third quarter 2026 results will be discussed in more detail on Thursday, Oct. 22, 2026, at 11 a.m. EDT, via teleconference. The toll-free dial-in number is +1-877-407-8293. Callers from outside the United States may dial +1-201-689-8349.

The live audio webcast of the call will be available on First American’s website at www.firstam.com/investor. An audio replay of the conference call will be available through Nov. 5, 2026, by dialing +1-201-612-7415 and using the conference ID 13763251. An audio archive of the call will also be available on First American’s investor website.

About First American

First American Financial Corporation (NYSE: FAF) is a premier provider of title, settlement and risk solutions for real estate transactions. With its combination of financial strength and stability built over 135 years, innovative proprietary technologies, and unmatched data assets, the company is leading the digital transformation of its industry. First American also provides data products to the title industry and other third parties; valuation products and services; mortgage subservicing; home warranty products; banking, trust and wealth management services; and other related products and services. With total revenue of $7.5 billion in 2025, the company offers its products and services directly and through its agents throughout the United States and abroad. In 2026, First American was named one of the 100 Best Companies to Work For by Great Place to Work® and Fortune Magazine for the eleventh consecutive year. More information about the company can be found at www.firstam.com.

Website Disclosure

First American posts information of interest to investors at www.firstam.com/investor. This includes opened and closed title insurance order counts for its U.S. direct title insurance operations, which are posted approximately 10 to 12 days after the end of each month.

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First American Financial Reports Third Quarter 2026 Results

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Forward-Looking Statements

Certain statements made in this press release and the related management commentary contain, and responses to investor questions may contain, forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These forward-looking statements can be identified by the fact that they do not relate strictly to historical or current facts and may contain the words “believe,” “anticipate,” “expect,” “intend,” “plan,” “predict,” “estimate,” “project,” “will be,” “will continue,” “will likely result,” or other similar words and phrases or future or conditional verbs such as “will,” “may,” “might,” “should,” “would,” or “could.” These forward-looking statements include, without limitation, statements regarding future operations, performance, financial condition, prospects, plans and strategies. These forward-looking statements are based on current expectations and assumptions that may prove to be incorrect. Risks and uncertainties exist that may cause results to differ materially from those set forth in these forward-looking statements. Factors that could cause the anticipated results to differ from those described in the forward-looking statements include, without limitation: interest rate fluctuations; changes in conditions of the real estate markets; volatility in the capital markets; unfavorable economic conditions; impairments in the company’s goodwill or other intangible assets; failures at financial institutions where the company deposits funds; regulatory oversight and changes in applicable laws and government regulations, including privacy and data protection laws; heightened scrutiny by legislators and regulators of the company’s title insurance and services segment and certain other of the company’s businesses; regulation of title insurance rates; limitations on access to public records and other data; severe weather conditions, health crises, terrorist attacks and other catastrophes; changes in relationships with large mortgage lenders and government-sponsored enterprises; changes in measures of the strength of the company’s title insurance underwriters, including ratings and statutory capital and surplus; losses in the company’s investment portfolio or venture investment portfolio; material variance between actual and expected claims experience; provision of capital to subsidiaries that could affect the company’s liquidity position; defalcations, increased claims or other costs and expenses attributable to the company’s use of title agents; any inadequacy in the company’s risk management framework or use of models; systems damage, failures, interruptions, cyberattacks and intrusions, or unauthorized data disclosures; innovation efforts of the company and other industry participants and any related market disruption; errors and fraud involving the transfer of funds; failures to recruit and retain qualified employees; the company’s use of a global workforce; inability of the company to fulfill parent company obligations and/or pay dividends; inability to realize anticipated synergies or produce returns that justify investment in acquired businesses; a reduction in the deposits at the company’s federal savings bank subsidiary; claims of infringement or inability to adequately protect the company’s intellectual property; and other factors described in the company’s annual report on Form 10-K for the year ended December 31, 2025, including under the caption Risk Factors in Item 1A of Part I, and in the company's subsequent quarterly reports on Form 10-Q and other filings with the Securities and Exchange Commission. The forward-looking statements speak only as of the date they are made. The company does not undertake to update forward-looking statements to reflect circumstances or events that occur after the date the forward-looking statements are made.

Use of Non-GAAP Financial Measures

This news release and related management commentary contain certain financial measures that are not presented in accordance with generally accepted accounting principles (GAAP), including an adjusted debt to capitalization ratio, personnel and other operating expense ratios, success ratios, net operating revenues, adjusted revenues, adjusted pretax income, adjusted pretax margin, adjusted net income, and adjusted earnings per share. The company is presenting these non-GAAP financial measures because they provide the company’s management and investors with additional insight into the financial leverage, operational efficiency and performance of the company relative to earlier periods and relative to the company’s competitors. The company does not intend for these non-GAAP financial measures to be a substitute for any GAAP financial information. In this news release, these non-GAAP financial measures have been presented with, and reconciled to, the most directly comparable GAAP financial measures. Investors should use these non-GAAP financial measures only in conjunction with the comparable GAAP financial measures.

Media Contact: Marcus Ginnaty
Corporate Communications
First American Financial Corporation
714-250-3298 Investor Contact: Craig Barberio Investor Relations First American Financial Corporation 714-250-5214

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First American Financial Reports Third Quarter 2026 Results

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First American Financial Corporation
Summary of Consolidated Financial Results and Selected Information
(in millions, except per share amounts and title orders, unaudited)
		Three Months Ended								Nine Months Ended
		September 30,								September 30,
		2026				2025				2026				2025
Total revenues		$	2,084.6			$	1,978.9			$	6,039.9			$	5,402.5
Income before income taxes		$	227.6			$	247.0			$	673.3			$	538.8
Income tax expense			51.0				57.1				152.8				127.0
Net income			176.6				189.9				520.5				411.8
Less: Net (loss) income attributable to noncontrolling interests			(0.4	)			0.3				(0.1	)			1.9
Net income attributable to the Company		$	177.0			$	189.6			$	520.6			$	409.9
Net income per share attributable to stockholders:
Basic		$	1.72			$	1.84			$	5.06			$	3.96
Diluted		$	1.72			$	1.84			$	5.04			$	3.95
Cash dividends declared per share		$	0.61			$	0.55			$	1.71			$	1.63
Weighted average common shares outstanding:
Basic			102.7				102.8				102.8				103.5
Diluted			103.2				103.1				103.2				103.8
Selected Title Insurance Segment Information
Title orders opened(1)			175,600				191,300				546,700				547,136
Title orders closed(1)			134,900				141,800				392,100				390,376
Paid title claims		$	55.2			$	42.9			$	158.8			$	128.6
(1) U.S. direct title insurance orders only.

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First American Financial Reports Third Quarter 2026 Results

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First American Financial Corporation
Selected Consolidated Balance Sheet Information
(in millions, unaudited)
		September 30,				December 31,
		2026				2025
Cash and cash equivalents		$	1,731.1			$	1,387.3
Investments			10,737.5				9,394.3
Goodwill and other intangible assets, net			1,895.6				1,919.3
Total assets			17,982.8				16,228.8
Reserve for claim losses			1,134.6				1,169.6
Notes and contracts payable			1,546.8				1,545.4
Total stockholders’ equity		$	5,386.9			$	5,499.5

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First American Financial Reports Third Quarter 2026 Results

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First American Financial Corporation
Segment Information
(in millions, unaudited)
Three Months Ended						Title				Home				Corporate
September 30, 2026		Consolidated				Insurance				Warranty				(incl. Elims.)
Revenues
Direct premiums and escrow fees		$	749.8			$	642.8			$	107.1			$	(0.1	)
Agent premiums			868.4				868.4				—				—
Information and other			297.9				292.2				5.8				(0.1	)
Net investment income			170.1				169.3				1.6				(0.8	)
Net investment (losses) gains			(1.6	)			0.2				0.2				(2.0	)
			2,084.6				1,972.9				114.7				(3.0	)
Expenses
Personnel costs			597.4				574.1				22.4				0.9
Premiums retained by agents			695.6				695.6				—				—
Other operating expenses			343.6				306.4				28.2				9.0
Provision for policy losses and other claims			95.1				45.3				50.2				(0.4	)
Depreciation and amortization			54.7				53.3				1.3				0.1
Premium taxes			24.2				22.8				1.3				0.1
Interest			46.4				31.3				—				15.1
			1,857.0				1,728.8				103.4				24.8
Income (loss) before income taxes		$	227.6			$	244.1			$	11.3			$	(27.8	)
Three Months Ended						Title				Home				Corporate
September 30, 2025		Consolidated				Insurance				Warranty				(incl. Elims.)
Revenues
Direct premiums and escrow fees		$	708.0			$	601.5			$	106.6			$	(0.1	)
Agent premiums			798.8				798.8				—				—
Information and other			282.0				276.1				5.7				0.2
Net investment income			163.8				153.1				1.4				9.3
Net investment gains			26.3				6.4				0.9				19.0
			1,978.9				1,835.9				114.6				28.4
Expenses
Personnel costs			574.9				542.9				21.4				10.6
Premiums retained by agents			640.1				640.1				—				—
Other operating expenses			309.2				275.6				24.4				9.2
Provision for policy losses and other claims			90.8				42.0				50.0				(1.2	)
Depreciation and amortization			54.8				53.5				1.3				(0.0	)
Premium taxes			22.2				20.9				1.3				(0.0	)
Interest			39.9				24.7				—				15.2
			1,731.9				1,599.7				98.4				33.8
Income (loss) before income taxes		$	247.0			$	236.2			$	16.2			$	(5.4	)

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First American Financial Reports Third Quarter 2026 Results

Page 10

First American Financial Corporation
Segment Information
(in millions, unaudited)
Nine Months Ended						Title				Home				Corporate
September 30, 2026		Consolidated				Insurance				Warranty				(incl. Elims.)
Revenues
Direct premiums and escrow fees		$	2,204.1			$	1,889.1			$	315.0			$	-
Agent premiums			2,447.5				2,447.5				—				—
Information and other			880.8				856.4				17.9				6.5
Net investment income			506.2				487.5				4.2				14.5
Net investment gains (losses)			1.3				39.3				1.2				(39.2	)
			6,039.9				5,719.8				338.3				(18.2	)
Expenses
Personnel costs			1,779.9				1,693.0				65.4				21.5
Premiums retained by agents			1,956.4				1,956.4				—				—
Other operating expenses			1,006.1				902.8				74.8				28.5
Provision for policy losses and other claims			260.2				130.1				129.1				1.0
Depreciation and amortization			162.9				158.7				4.1				0.1
Premium taxes			67.1				63.4				3.6				0.1
Interest			134.0				88.4				—				45.6
			5,366.6				4,992.8				277.0				96.8
Income (loss) before income taxes		$	673.3			$	727.0			$	61.3			$	(115.0	)
Nine Months Ended						Title				Home				Corporate
September 30, 2025		Consolidated				Insurance				Warranty				(incl. Elims.)
Revenues
Direct premiums and escrow fees		$	1,973.3			$	1,661.5			$	311.9			$	(0.1	)
Agent premiums			2,169.9				2,169.9				—				—
Information and other			794.3				776.4				17.8				0.1
Net investment income			459.2				437.9				3.4				17.9
Net investment gains (losses)			5.8				(2.5	)			(0.5	)			8.8
			5,402.5				5,043.2				332.6				26.7
Expenses
Personnel costs			1,652.7				1,550.7				62.6				39.4
Premiums retained by agents			1,739.1				1,739.1				—				—
Other operating expenses			896.9				799.8				68.8				28.3
Provision for policy losses and other claims			242.8				114.9				130.5				(2.6	)
Depreciation and amortization			160.3				156.3				3.9				0.1
Premium taxes			58.8				55.2				3.6				—
Interest			113.1				67.5				—				45.6
			4,863.7				4,483.5				269.4				110.8
Income (loss) before income taxes		$	538.8			$	559.7			$	63.2			$	(84.1	)

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First American Financial Reports Third Quarter 2026 Results

Page 11

First American Financial Corporation
Reconciliation of Non-GAAP Financial Measures
(in millions, except margin and per share amounts, unaudited)
Consolidated
		Three Months Ended								Nine Months Ended
		September 30,								September 30,
		2026				2025				2026				2025
Total revenues		$	2,084.6			$	1,978.9			$	6,039.9			$	5,402.5
Non-GAAP adjustments:
Less: Net investment (losses) gains			(1.6	)			26.3				1.3				5.8
Adjusted total revenues		$	2,086.2			$	1,952.6			$	6,038.6			$	5,396.7
Pretax income		$	227.6			$	247.0			$	673.3			$	538.8
Non-GAAP adjustments:
Less: Net investment (losses) gains			(1.6	)			26.3				1.3				5.8
Plus: Purchase-related intangible amortization			6.7				7.1				20.1				20.5
Adjusted pretax income		$	235.9			$	227.8			$	692.1			$	553.5
Pretax margin			10.9	%			12.5	%			11.1	%			10.0	%
Non-GAAP adjustments:
Less: Net investment (losses) gains			(0.1	)%			1.2	%			(0.0	)%			0.1	%
Plus: Purchase-related intangible amortization			0.3	%			0.4	%			0.4	%			0.4	%
Adjusted pretax margin			11.3	%			11.7	%			11.5	%			10.3	%
Net income		$	177.0			$	189.6			$	520.6			$	409.9
Non-GAAP adjustments, net of tax:
Less: Net investment (losses) gains			(1.2	)			20.2				1.0				4.4
Plus: Purchase-related intangible amortization			5.2				5.5				15.5				15.7
Adjusted net income		$	183.4			$	174.9			$	535.1			$	421.2
Earnings per diluted share (EPS)		$	1.72			$	1.84			$	5.04			$	3.95
Non-GAAP adjustments, net of tax:
Less: Net investment (losses) gains		$	(0.01	)		$	0.20			$	0.01			$	0.04
Plus: Purchase-related intangible amortization		$	0.05			$	0.05			$	0.15			$	0.15
Adjusted EPS		$	1.78			$	1.70			$	5.18			$	4.06
Purchase-related intangible amortization includes amortization of noncompete agreements,
customer relationships, and trademarks acquired in business combinations.
Totals may not sum due to rounding.

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First American Financial Reports Third Quarter 2026 Results

Page 12

First American Financial Corporation
Reconciliation of Non-GAAP Financial Measures
(in millions except margin, unaudited)
By Segment
		Three Months Ended								Nine Months Ended
		September 30,								September 30,
		2026				2025				2026				2025
Title Insurance and Services Segment
Total revenues		$	1,972.9			$	1,835.9			$	5,719.8			$	5,043.2
Non-GAAP adjustments:
Less: Net investment gains (losses)			0.2				6.4				39.3				(2.5	)
Adjusted total revenues		$	1,972.7			$	1,829.5			$	5,680.5			$	5,045.7
Pretax income		$	244.1			$	236.2			$	727.0			$	559.7
Non-GAAP adjustments:
Less: Net investment gains (losses)			0.2				6.4				39.3				(2.5	)
Plus: Purchase-related intangible amortization			6.6				7.0				20.0				20.4
Adjusted pretax income		$	250.5			$	236.8			$	707.7			$	582.6
Pretax margin			12.4	%			12.9	%			12.7	%			11.1	%
Non-GAAP adjustments:
Less: Net investment gains (losses)			0.0	%			0.3	%			0.6	%			(0.0	)%
Plus: Purchase-related intangible amortization			0.3	%			0.3	%			0.4	%			0.4	%
Adjusted pretax margin			12.7	%			12.9	%			12.5	%			11.5	%
Home Warranty Segment
Total revenues		$	114.7			$	114.6			$	338.3			$	332.6
Non-GAAP adjustments:
Less: Net investment gains (losses)			0.2				0.9				1.2				(0.5	)
Adjusted total revenues		$	114.5			$	113.7			$	337.1			$	333.1
Pretax income		$	11.3			$	16.2			$	61.3			$	63.2
Non-GAAP adjustments:
Less: Net investment gains (losses)			0.2				0.9				1.2				(0.5	)
Adjusted pretax income		$	11.1			$	15.3			$	60.1			$	63.7
Pretax margin			9.9	%			14.1	%			18.1	%			19.0	%
Non-GAAP adjustments:
Less: Net investment gains (losses)			0.2	%			0.6	%			0.3	%			(0.1	)%
Adjusted pretax margin			9.7	%			13.5	%			17.8	%			19.1	%
Purchase-related intangible amortization includes amortization of noncompete agreements,
customer relationships, and trademarks acquired in business combinations.
Totals may not sum due to rounding.

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First American Financial Reports Third Quarter 2026 Results

Page 13

First American Financial Corporation
Expense and Success Ratio Reconciliation
Title Insurance and Services Segment
($ in millions, unaudited)
		Three Months Ended								Nine Months Ended
		September 30,								September 30,
		2026				2025				2026				2025
Total revenues		$	1,972.9			$	1,835.9			$	5,719.8			$	5,043.2
Less: Net investment gains (losses)			0.2				6.4				39.3				(2.5	)
Net investment income			169.3				153.1				487.5				437.9
Premiums retained by agents			695.6				640.1				1,956.4				1,739.1
Net operating revenues		$	1,107.8			$	1,036.3			$	3,236.6			$	2,868.7
Personnel and other operating expenses		$	880.5			$	818.5			$	2,595.8			$	2,350.5
Ratio (% net operating revenues)			79.5	%			79.0	%			80.2	%			81.9	%
Ratio (% total revenues)			44.6	%			44.6	%			45.4	%			46.6	%
Change in net operating revenues		$	71.5							$	367.9
Change in personnel and other operating expenses			62.0								245.3
Success Ratio(1)			87	%							67	%
(1) Change in personnel and other operating expenses divided by change in net operating revenues.

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First American Financial Reports Third Quarter 2026 Results

Page 14

First American Financial Corporation
Supplemental Direct Title Insurance Order Information(1)
(unaudited)
		Q326				Q226				Q126				Q425				Q325
Open Orders per Day
Purchase			1,305				1,516				1,429				1,100				1,375
Refinance			645				662				838				768				771
Refinance as % of residential orders			33	%			30	%			37	%			41	%			36	%
Commercial			452				465				451				444				441
Default and other			342				297				280				346				402
Total open orders per day			2,744				2,941				2,998				2,657				2,989
Closed Orders per Day
Purchase			1,014				1,072				839				953				1,062
Refinance			517				555				616				629				503
Refinance as % of residential orders			34	%			34	%			42	%			40	%			32	%
Commercial			255				246				249				289				238
Default and other			322				273				262				375				413
Total closed orders per day			2,108				2,145				1,966				2,246				2,216
Average Revenue per Order (ARPO)(2)
Purchase		$	3,766			$	3,900			$	3,740			$	3,704			$	3,689
Refinance			992				1,050				1,130				1,146				1,034
Commercial			18,222				19,980				17,851				18,605				16,119
Default and other			293				503				126				366				343
Total ARPO		$	4,304			$	4,572			$	4,229			$	4,350			$	3,801
Business Days			64				64				61				63				64
(1) U.S. operations only.
(2) Average revenue per order (ARPO) defined as direct premiums and escrow fees divided by closed title orders.
Totals may not sum due to rounding.

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