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Kingsway financial services CEO acquires $2,490 in stock

Published 18/12/2024, 09:06 am
KFS
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CHICAGO—John Taylor Maloney Fitzgerald, the President and CEO of Kingsway Financial Services Inc. (NYSE:KFS), recently acquired additional shares of the company's common stock. According to a recent SEC filing, Fitzgerald purchased 291 shares on December 16, 2024, at a price of $8.56 per share, amounting to a total transaction value of $2,490. The purchase comes as the $232 million market cap company trades near $8.46, with InvestingPro analysis indicating the stock typically moves independently of broader market trends.

This acquisition was made through the Kingsway America Inc. Employee Share Purchase Plan, which allows eligible employees to contribute a portion of their salary to purchase company shares, with Kingsway America Inc. matching these contributions. Following this transaction, Fitzgerald directly owns 1,526,307 shares of Kingsway Financial Services' common stock.

Additionally, Fitzgerald indirectly holds 20,000 shares each in three separate trusts: Trust-GEF, Trust-LTF, and Trust-MPF. This brings his total indirect ownership to 60,000 shares.

The purchase reflects Fitzgerald's ongoing investment in Kingsway Financial Services, a company specializing in fire, marine, and casualty insurance. With annual revenue of $109 million and a Financial Health Score rated as 'FAIR' by InvestingPro, the company continues to navigate challenging market conditions. Discover more insights and 12+ additional ProTips about KFS through InvestingPro's comprehensive research reports.

In other recent news, Kingsway Financial Services Inc. reported a robust financial performance for the third quarter of 2024, marking a nearly 10% increase in consolidated revenue, reaching $27.1 million, and a 28% rise in adjusted EBITDA to $2.9 million. The company's strategic acquisition of Image Solutions for $19.5 million was a notable aspect of the quarter, anticipated to spur growth through expanded IT managed services. Despite an increase in claims expense, the Extended Warranty segment witnessed a 3.4% revenue boost, while the KSX segment saw a 23% revenue surge, attributed to prior acquisitions.

Kingsway continues to focus on growth through acquisitions, maintaining a strong pipeline with an emphasis on asset-light business services and vertical market software. These are recent developments that also include the company's optimism about future growth, potentially benefiting from interest rate cuts. The company's cash and equivalents stood at $6.5 million as of September 30, 2024, with an increase in debt levels due to the financing structure for acquisitions.

However, Kingsway also experienced some operational challenges and delays in hardware installations for Image Solutions due to Hurricane Helene. Despite these hurdles, the company reported positive market conditions, significant progress in KPIs related to new deals, and an increase in Annual Recurring Revenue by 16%. This information comes from the company's recent earnings call and analysts' notes, highlighting Kingsway's commitment to a growth strategy focused on acquisitions.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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