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KFS

Kingsway Financial Services Inc.

KFS

Kingsway Financial Services Inc. • NYSE
$13.00 ▲ 0.46% (+0.06)
Market Cap $376.28 M
52w High $16.80
52w Low $7.06
Dividend Yield 0%
P/E -30.23
Volume 29.79K
Outstanding Shares 28.94M

Income Statement

Period Revenue Operating Expense Net Income Net Profit Margin Earnings Per Share EBITDA
Q3-2025 $37.71M ▲ $38.575M ▲ $-2.456M ▲ -6.513% ▲ $-0.1 ▲ $3.82M ▲
Q2-2025 $31.457M ▲ $34.753M ▲ $-3.317M ▼ -10.545% ▲ $-0.13 $-160K ▲
Q1-2025 $28.658M ▼ $32.014M ▼ $-3.217M ▼ -11.225% ▼ $-0.13 ▼ $-300K ▼
Q4-2024 $30.234M ▲ $32.059M ▲ $-1.622M ▲ -5.365% ▲ $-0.066 ▲ $1.641M ▲
Q3-2024 $27.136M $20.991M $-2.802M -10.326% $-0.1 $615K

Balance Statement

Period Cash & Short-term Total Assets Total Liabilities Total Equity
Q3-2025 $9.291M ▼ $235.133M ▲ $199.314M ▲ $16.649M ▼
Q2-2025 $19.786M ▲ $207.697M ▲ $172.089M ▲ $33.692M ▲
Q1-2025 $13.762M ▲ $192.117M ▲ $170.65M ▲ $19.703M ▲
Q4-2024 $13.632M ▼ $186.616M ▼ $168.314M ▼ $16.663M ▼
Q3-2024 $13.784M $191.124M $171.449M $18.188M

Cash Flow Statement

Period Net Income Cash From Operations Cash From Investing Cash From Financing Net Change Free Cash Flow
Q3-2025 $-2.456M ▲ $1.468M ▲ $-16.216M ▼ $12.12M ▼ $-2.628M ▼ $810K ▲
Q2-2025 $-3.165M ▼ $337K ▲ $-10.494M ▼ $15.654M ▲ $5.497M ▲ $158K ▲
Q1-2025 $-3.092M ▼ $-1.798M ▼ $-3.182M ▼ $5.804M ▲ $824K ▲ $-1.861M ▼
Q4-2024 $-1.621M ▲ $-124.157K ▼ $-156.826K ▲ $-1.642M ▼ $-2.002M ▲ $-234K ▼
Q3-2024 $-4.882M $368K $-17.34M $14.193M $-2.818M $218K

Revenue by Products

Product Q4-2024Q1-2025Q2-2025Q3-2025
Service Fees
Service Fees
 $0 ▲$20.00M ▲$30.00M ▲$50.00M ▲

Five-Year Company Overview

Income Statement

Income Statement Kingsway’s income statement shows a small but steadily growing business that is still hovering around break-even. Revenue has roughly doubled over the last several years, and gross profit has improved, but operating results remain very thin, with profits and losses flipping from year to year. That pattern suggests the company is still in a transition phase where integration costs, deal activity, and one-time items can easily swing reported earnings. Overall, the business is moving in the right direction on sales, but profitability is not yet consistently reliable.

Balance Sheet

Balance Sheet The balance sheet is relatively light and reflects Kingsway’s shift toward an asset‑light, acquisition-driven model. Total assets have come down from earlier levels, and debt has been reduced meaningfully from prior years, which lowers financial risk compared with the past. However, equity remains quite modest, giving the company only a thin capital cushion if results disappoint or acquisitions underperform. Cash balances are also not large, so disciplined capital allocation and access to funding remain important considerations.

Cash Flow

Cash Flow Cash flow is still a weak spot. Operating cash flow has tended to hover around breakeven or slightly negative, and free cash flow has been inconsistent. Capital spending on physical assets is low, consistent with an asset‑light strategy, but the company’s growth depends more on acquisitions, which can demand additional funding beyond internal cash generation. Overall, the cash profile suggests the business is not yet throwing off substantial surplus cash and must carefully balance growth ambitions with liquidity management.

Competitive Edge

Competitive Edge Kingsway holds a differentiated position by combining an extended vehicle warranty business with a “search fund” style acquisition platform focused on small, profitable, service and software companies. Its strengths include recurring revenue from warranties and B2B services, strong dealer and credit union relationships, and a tax asset that can shield future profits. The Kingsway Search Xcelerator gives it a unique way to attract entrepreneurial managers and source niche deals that many larger investors ignore. On the other hand, the company is still relatively small, competes against well-funded private equity and established warranty providers, and must prove it can integrate multiple acquisitions without losing focus or service quality.

Innovation and R&D

Innovation and R&D Innovation at Kingsway is more about business model and technology adoption than traditional laboratory R&D. The use of a publicly traded search-fund platform is itself a notable innovation, aimed at systematically acquiring and professionalizing small, asset‑light businesses. Within its portfolio, Kingsway is emphasizing technology upgrades—such as modern online portals for warranty customers and vertical market software platforms like SPI Software and ViewPoint—to improve efficiency and stickiness with clients. The “Kingsway Business System” is another important innovation, serving as a common playbook for improving operations across acquired companies. Future progress will depend on how well these tools drive organic growth inside the portfolio rather than relying solely on more deals.

Summary

Kingsway is in the midst of a strategic transformation from a traditional insurer to a niche holding company focused on warranties, services, and vertical software. The financials show encouraging growth in revenue and improved gross profit, but earnings and cash flow are still fragile and easily affected by integration costs and deal activity. The balance sheet is cleaner and less leveraged than in the past, yet equity and cash remain relatively thin, which heightens the importance of careful capital deployment. Strategically, Kingsway’s distinctive acquisition model, recurring revenue focus, and tax advantages present clear opportunities, but success depends heavily on disciplined acquisitions, strong execution by operating managers, and the ability to turn a portfolio of small, specialized businesses into a consistently profitable, cash‑generating platform over time.

NEWS

November 6, 2025 · 4:10 PM UTC

Kingsway Reports Third Quarter 2025 Financial Results

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October 29, 2025 · 4:30 PM UTC

Kingsway to Report Financial Results for Third Quarter 2025 on November 6

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October 21, 2025 · 8:30 AM UTC

Kingsway Search Xcelerator Announces New OIR Colter Hanson

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