First American Financial Corporation reported strong financial results for the third quarter of 2025, with total revenue reaching $1.98 billion, a 41% increase compared to $1.41 billion in the same period of 2024. The company posted net income of $190 million, or $1.84 per diluted share, compared to a net loss of $104 million, or $1.00 per diluted share, in the third quarter of 2024. Adjusted net income for the quarter was $175 million, or $1.70 per diluted share, up from $138 million, or $1.34 per share, in the prior-year period. The improvement was driven by stronger performance across key segments, particularly in the title insurance and services business, which reported total revenues of $1.84 billion, up 42% year-over-year. The segment’s adjusted pretax margin reached 12.9%, up from 11.6% in the third quarter of 2024, reflecting improved cost management and growth in commercial operations. Direct title orders closed increased by 17% compared to last year, although average revenue per order declined slightly to $3,801 due to a shift in mix toward lower-premium refinance and default transactions. Investment income rose to $153 million, up $17 million from the prior year, primarily due to higher interest income from the investment portfolio. Net investment gains were $26 million in the current quarter, compared to net losses of $312 million in the same period of 2024, largely due to gains from portfolio rebalancing activities. The home warranty segment also delivered solid results, with revenues of $115 million, up 3% year-over-year. Pretax income rose 80% to $16 million, driven by a decline in the claim loss rate to 47% from 54% in the prior year, largely due to favorable weather conditions reducing claim frequency. The segment’s adjusted pretax margin improved to 13.5% from 7.7% in 2024. Corporate expenses declined, with a pretax loss of $5 million compared to $23 million in the prior year, reflecting improved operational efficiency. CEO Mark Seaton highlighted the company’s resilience amid ongoing housing market challenges and emphasized the strategic importance of its investments in data, technology, and AI. He noted that modernizing platforms and integrating AI across operations are expected to drive productivity, reduce risk, and open new revenue opportunities. First American also reported a significant increase in open and closed title insurance orders, with 191,300 open orders and 141,800 closed orders in the U.S. direct segment during the quarter—up from 166,100 and 121,600, respectively, in the third quarter of 2024. The company’s effective tax rate for the quarter was 23.1%. Total assets stood at $17.6 billion as of September 30, 2025, with cash and cash equivalents reaching $2.91 billion. First American will discuss the results in a conference call on October 23, 2025, at 11 a.m. EDT. The company remains focused on long-term growth, innovation, and leadership in the real estate technology and risk solutions space.