Ambac Financial reports Q3 adjusted EPS (21c), two estimates (23c)

Reports Q3 revenue $43M, up 80%. Claude LeBlanc, President and Chief Executive Officer, stated, “Having successfully completed the sale of our legacy financial guarantee business in late September, our sole focus is now on the growth and profitability of our specialty P&C businesses, including a seamless integration of recently acquired ArmadaCare. Bolstered by our 2024 acquisition of Beat, our insurance distribution business delivered strong reported and organic growth this quarter, reinforcing our strategic momentum and driving higher operating and earnings margins. Adverse loss experience in the quarter unfavorably affected Everspan’s results, validating the decision to exit a commercial auto program last year to protect the long-term performance of our book. We expect Everspan’s combined ratios will improve as the platform reaches scale between 2026 and 2027. We remain highly confident in Ambac’s strategic direction and future prospects, as demonstrated by our repurchase of over 3 million of our shares in October.”