First Acceptance Corporation

Latest earnings-call sentiment

As of FY2026 Q1, the Tellvest earnings-call sentiment score for First Acceptance Corporation (FACO) is 5/10.

First Acceptance Corporation, a non-standard personal auto insurer reporting on OTC Markets' Alternative Reporting Standard, posted much stronger earnings on an optically weak revenue line. Revenues after ceded reinsurance fell 5% to $118.4 million, but the decline reflects a deliberate step-up in quota-share reinsurance ceded (ceded premiums earned rose to $35.6 million from $23.3 million) rather than a shrinking book: revenues before ceding rose 4% to $154.0 million and before-reinsurance premiums earned grew 5% to $141.7 million on more policies in-force and rate increases. The combined ratio improved to 94.4% from 99.8% as the loss ratio fell to 62.6% from 78.9%. Net income rose to $8.2 million from $2.9 million and diluted EPS to $0.22 from $0.08. The gain leaned on $13.5 million of favorable prior-period reserve development versus $0.2 million unfavorable a year earlier, partly offset by a $6.6 million contingent commission expense, but excluding development the underlying loss ratio also improved to 75.5% from 78.7% on lower bodily injury severity and physical damage frequency. Management is earning in 2025 rate actions through 2026 against an elevated tariff-driven loss-cost environment and signs of competitive softening in the non-standard segment.

Scored from First Acceptance Corporation’s FY2026 Q1 earnings call. The newest quarter is available with Tellvest Pro.