Atlantic American Corporation Reports 15.5% Revenue Growth to $55.3 Million in Q2 2025

Atlantic American Corporation reported significant financial improvements in its latest quarterly results, with total revenue reaching $55.3 million for the three months ended June 30, 2025, a 15.5% increase from $47.7 million in the same period last year. For the first half of 2025, revenue rose to $105.4 million, up 11.4% from $94.7 million in the prior year. The company achieved a net income of $3.3 million, or $0.16 per share, compared to a net loss of $0.7 million, or $(0.04) per share, in the second quarter of 2024. For the six-month period, net income was $4.1 million, a turnaround from a loss of $2.7 million in the previous year.

The increase in revenue was primarily driven by a rise in insurance premiums, which totaled $50.1 million for the second quarter, up 11.5% from $45.0 million in 2024. The company attributed this growth to higher premium writings in its inland marine and automobile physical damage lines within its property and casualty operations, as well as increased sales in the Medicare supplement and group accident and health lines in its life and health operations. Additionally, unrealized gains on equity securities contributed positively, amounting to $2.6 million for the quarter.

In terms of operational metrics, Atlantic American's total assets increased to $429.3 million as of June 30, 2025, compared to $393.4 million at the end of 2024. The company’s insurance reserves and policyholder funds also rose to $255.5 million, reflecting a strategic focus on enhancing its insurance offerings. The company reported a combined ratio of 101.0% for its American Southern segment, indicating a slight improvement in underwriting performance, while Bankers Fidelity achieved a more favorable combined ratio of 93.9%.

Looking ahead, Atlantic American remains optimistic about its growth trajectory, bolstered by its strategic initiatives and market conditions. The company is actively working to address previously identified weaknesses in its internal controls over financial reporting, with ongoing remediation efforts expected to enhance operational efficiency. Management anticipates that continued premium growth, particularly in its key product lines, will support sustained profitability in the coming quarters. The company also plans to leverage its strong cash position, which increased to $46.4 million, to meet liquidity needs and support future growth initiatives.