Q1 2024 Crawford & Company Earnings Call
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Column: Apologies for the technical interruption there alright. Good morning, My name is column and I'll be your conference facilitator today at this time I would like to welcome everyone to the Crawford and company first quarter 2024 earnings release conference call in conjunction with this call.
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Unnamed: Apologies for the technical interruption. Good morning.
Colin: My name is Colin, and I'll be your conference facilitator today. At this time, I would like to welcome everyone to the Crawford & Company First Quarter 2024 Earnings Release Conference Call. In conjunction with this call, a supplementary financial presentation is available on our website at www.crawco.com. In the Investor Relations section, all lines have been placed on mute to prevent any background noise. After the speaker's remarks, there will be a question and answer period.
Column: <unk> financial presentation is available on our web site at Www Dot Kropko Dot com under the Investor Relations section all lines have been placed on mute to prevent any background noise. After the speakers' remarks, there'll be a question and answer period instructions will follow at that time.
Colin: Instructions will follow at that time. Should anyone need assistance at any time during this conference, please press star then zero, and an operator will assist you. As a reminder, ladies and gentlemen, this conference call is being recorded today, Tuesday, May 2, 2024. Some of the matters to be discussed in this conference call and in the supplementary financial presentation may include forward-looking statements that involve risk and uncertainties. Apologies again; there's just some technical issues.
Column: Should any one need assistance at any time during this conference. Please press Star then zero and an operator will assist you as a reminder, ladies and gentlemen. This conference is being recorded today Tuesday May <unk> 2024 are some of the matters to be discussed in this conference call and in the supplementary financial presentation.
Column: May include forward looking statements that involve risks and uncertainties.
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Speaker Change: So apologies again Theres just had some technical issues.
Tami E. Stevenson: Colin, I will read the forward-looking statement at this point. Thank you. This is Tami Stevenson.
Column: I will read the forward looking statement at this point thank you.
Tami E. Stevenson: Some of the matters to be discussed in this conference call and in the supplementary financial presentation may include forward-looking statements that involve risks and uncertainty. These statements may relate to, among other things, our expected future operating results and financial condition, our ability to grow our revenues and reduce our operating expenses, expectations regarding our anticipated contributions to our underfunded defined benefit pension plans, collectibility of our billed and unbilled accounts receivable, financial results from our recently completed acquisitions, our continued compliance with financial and other covenants contained in our financing agreements, our long-term capital resource and liquidity requirements, and our ability to pay dividends in the future.
Column: Okay.
Column: Andy Stephens and some of the matters to be discussed in this conference call and in the supplementary financial presentation may include forward looking statements that involve risks and uncertainties.
Column: These statements may relate to among other things our expected future operating results and financial condition, our ability to grow our revenues and reduce our operating expenses expectations regarding our anticipated contributions to our underfunded defined benefit pension plans.
Column: That stability of our billed and Unbilled accounts receivable financial results from our recently completed acquisitions, our continued compliance with financial and other covenants contained in our financing agreements, our long term capital resource and liquidity requirements and our ability to pay dividends in the future.
Tami E. Stevenson: The company's actual results achieved in future quarters could differ materially from the results that may be implied by such forward-looking statements. The company undertakes no obligation to publicly release revisions to any forward-looking statements made in this conference call to reflect events or circumstances occurring after the date of the call or to reflect the occurrence of unanticipated events. In addition, you are reminded that operating results for any historical period are not necessarily indicative of results expected for any future period.
Column: The company's actual results achieved in future quarters could differ material from the material materially from the results that maybe implied by such forward looking statements.
Column: Company undertakes no obligation to publicly release revisions to any forward looking statements made in this conference call to reflect events or circumstances occurring after the date of the call or to reflect the occurrence of unanticipated events.
Column: In addition, you are reminded that operating results for any historical period are not necessarily indicative of results expected for any future period for a complete discussion regarding factors, which could affect the companys financial performance. Please refer to the company's Form 10-Q for the quarter ended March 32024 filed with the Securities and Exchange Commission.
Tami E. Stevenson: For a complete discussion regarding factors which could affect the company's financial performance, please refer to the company's Form 10-Q for the quarter ended March 30, 2024, filed with the Securities and Exchange Commission. I would now like to introduce Mr. Rohit Verma, Chief Executive Officer of Crawford & Co.
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Column: Particularly the information under heading risk factors and management's discussion and analysis of financial condition and results of operation as well as subsequent company filings with the SEC. This presentation also includes certain non-GAAP financial measures as defined under the SEC rules as required a reconciliation is provided for those for those measures to the Moe.
Rohit Verma: Directly comparable GAAP measures I would now like to introduce Mr wrote Verma, Chief Executive Officer of Crawford and company through it. Thank.
Rohit Verma: Thank you, Tami. Good morning and welcome to our first quarter 2024 earnings call. Joining me today is Bruce Swain, our Chief Financial Officer, and Tami Stevenson, our General Counsel. After our prepared remarks, we will open the call for your questions.
Rohit Verma: Thank you Tammy good morning, and welcome to our first quarter 2024 earnings call. Joining me today is Bruce Swain, our Chief Financial Officer, and Tammy Stevenson, Our general counsel after our prepared remarks, we will open the call for your questions before we begin today I would like to take a moment to acknowledge the recent tornado activity and resulting damage in them.
Rohit Verma: Before we begin today, I would like to take a moment to acknowledge the recent tornado activity and resulting damage in the Midwest. Our thoughts are with the many people who were impacted by devastating tornadoes this weekend, and we stand ready to support our industry partners as the areas affected begin the damage assessment and the rebuild-back process. Our results for the first quarter of 2024 came in largely as expected. Benign weather continued to impact our consolidated revenue compared to last year, but our underlying non-weather-related business performed very well.
Rohit Verma: West our thoughts are with the many people who are impacted by devastating tornadoes. This weekend and we stand ready to support our industry partners as the areas affected begin the damage assessment and to build back process.
Rohit Verma: Our results for the first quarter of 2024 came in largely as expected benign weather continued to impact our consolidated revenue.
Rohit Verma: Compared to last year, but our underlying non weather related business performed very well.
Rohit Verma: My comments today will focus on operational updates for the quarter, and Bruce will then take a deeper dive into our first quarter financial performance. As a reminder, Crawford is the largest publicly listed provider of claims management.
Rohit Verma: My comments today will focus on the operational updates for the quarter and Bruce will then take a deeper dive into our first quarter financial performance as a reminder, Crawford as the largest publicly listed provider of claims management, we manage more than $18 billion in claims annually across 70 countries employing approximately 10000 talented and.
Rohit Verma: We manage more than $18 billion in claims annually across 70 countries, employing approximately 10,000 talented individuals and thousands of field resources. Our scale and global presence set us apart from other providers and offer a competitive advantage in a fragmented market. As a result, we are valued as a partner of choice for top carriers and continue to be an industry leader. We are well positioned to drive growth and strategic success. Although we may see quarter-to-quarter variation, several key factors support our long-term progress. First, the frequency and severity of extreme weather events are increasing.
Rohit Verma: Individuals and thousands of field resources.
Bruce Swain: Our scale and global presence set us apart from other providers and offer a competitive advantage in a fragmented market.
Bruce Swain: As a result, we are valued as a partner of choice for top carriers and continue to be an industry leader.
Bruce Swain: We are well positioned to drive growth and strategic success.
Bruce Swain: Although we may see quarter to quarter variation several key factors support our long term progress.
Bruce Swain: First the frequency and severity of extreme weather events is increasing.
Rohit Verma: While we have seen some benign weather patterns from the back half of 2023 through the beginning of this year, catastrophic weather remains a significant long-term growth driver for Crawford. As natural disasters become more prevalent, our expert catastrophe teams are utilized to provide increased resources and support for carriers and policyholders. While there will be quarter-to-quarter fluctuation, this is, unquestionably, a longer-term trend we are seeing. Second, we continue to see a long-term trend of carriers outsourcing claims as they contend with increased volumes, staffing challenges, and a lower velocity of technology adoption. Crawford's team of adjusters are experts in their fields, providing capacity, expertise, and scale to manage outsourced claims. Additionally, our claims handling technology helps reduce time and costs for carriers.
Bruce Swain: While we have seen some benign weather pattern from the back half of 2023 through the beginning of this year catastrophic weather remains a significant long term growth driver for Crawford.
Bruce Swain: Natural disasters become more prevalent our expert catastrophe teams are utilized to provide increased resources and support for carriers and policyholders.
Bruce Swain: While there will be quarter to quarter fluctuation. This is unquestionably a longer term trend we are seeing.
Bruce Swain: Second we continue to see a long term trend of carrier's outsourcing claims as they contend with increased volumes staffing challenges and a lower velocity of technology adoption.
Bruce Swain: Crawford's chemo for gestures are experts in their fields, providing capacity expertise and scale to manage outsource claims.
Bruce Swain: Additionally, our claims handling technology helps reduce time and cost for carriers.
Rohit Verma: Third, the fragmentation within the independent loss-adjusting market presents an opportunity for us to expand our market share, leveraging robust brand recognition. Our scale is a distinct competitive advantage as carriers turn to us for a breadth of offerings and the assurance of high quality service. Fourth, as I have stated on previous calls, we have an incredible customer base, and continuing to build deep strategic partnerships with a broader base of customers is of paramount importance to us.
Bruce Swain: Third the fragmentation within the independent loss adjusting market presents an opportunity for us to expand our market share leveraging our robust brand recognition.
Bruce Swain: Our scale is a distinct competitive advantage as carriers turned to us for our breadth of offerings and the assurance of high quality service.
Bruce Swain: Fourth as I have stated on previous calls we have an incredible customer base and continuing to build deep strategic partnerships with a broader base of customers is of paramount importance to us.
Rohit Verma: And finally, we offer clients some of the best insurance technology in the marketplace, technology that helps reduce expenses, improve accuracy, and increase customer satisfaction. Technology will only continue to increase in importance in our industry, and we are well positioned to benefit from it.
Bruce Swain: And finally, we offer clients some of the best insurance technology in the marketplace technology that helps reduce expenses improve accuracy and increase customer satisfaction.
Bruce Swain: Technology will only continue to increase and its importance in our industry and we are well positioned to benefit from this.
Bruce Swain: Yes.
Rohit Verma: Now an overview of the quarter. As we discussed on last quarter's call, our results this quarter reflect the trend of reduced catastrophic weather activity, presenting a challenging comparison year-over-year. The first quarter of 2023 included significant revenues and improved profits, with the wrap-up of claims from catastrophic events including Hurricane Ian, Winter Storm Elliot, historic floods in Australia, and severe winter freezes in the UK and the US. It is important to note that while our weather-dependent business was down for the quarter, our non-weather-dependent business performed very well, reflecting the health of our diversified business model.
Bruce Swain: Now an overview of the quarter.
Bruce Swain: As we discussed on last quarter's call. Our results this quarter reflect the trend of reduced catastrophic weather activity.
Bruce Swain: Renting a challenging comparison year over year.
Bruce Swain: First quarter of 2023 included significant revenues and improve profit with the wrap up of claims from catastrophic events, including Hurricane Ian Winter Storm Elliot historic flooding in Australia, and severe winter freezes in the UK and the U S.
Bruce Swain: It is important to note that while our weather dependent business was down for the quarter, our non weather dependent business performed very well, reflecting the health of our diversified business model.
Rohit Verma: Our first quarter consolidated revenue declined year over year to $301.7 million with operating earnings of $12.1 million, reflecting the absence of meaningful catastrophe events. It is part of our long-term growth strategy to keep our catastrophe teams well-staffed regardless of short-term weather fluctuations. This allows us to effectively serve our clients in times of unprecedented need.
Bruce Swain: Our first quarter consolidated revenue declined year over year to $301.7 million with operating earnings of $12 1 million, reflecting the absence of meaningful catastrophe events.
Bruce Swain: It is part of our long term growth strategy to keep our catastrophe teams are well staffed regardless of short term weather fluctuations. This allows us to effectively serve our clients in times of unprecedented need.
Rohit Verma: Highlights of the quarter included continued strong performances from our Broad Spire segment and the U.S. GTS service line, both of which achieved record quarterly revenues reflecting our strong client relationships and new business wins. I'm optimistic about their continued strong performance as we move through 2024. We added a total of $24 million in new and enhanced business this quarter, a testament to our focus on expanding our customer base and deepening our relationships with existing customers.
Bruce Swain: Highlights of the quarter included continued strong performances from our broad spire segment and the U S. G. T. A service line, both of which achieved record quarterly revenues, reflecting our strong client relationships and new business wins.
Bruce Swain: Im optimistic about their continuing strong performance as we move through 2024.
Bruce Swain: We added a total of $24 million in new and enhanced business. This quarter, a testament to our focus on expanding our customer base and deepening our relationships with the existing customers.
Rohit Verma: Our balance sheet remains robust, with strong liquidity providing the capacity for potential future acquisitions. In the chart on the left, we broke out our weather-related and non-weather-related business to help you better understand the dynamics in the quarter. Weather-related business on the chart, which includes U.S. CAT, U.S. loss-adjusting, and Australia, decreased approximately 30%.
Bruce Swain: Our balance sheet remains robust with strong liquidity, providing the capacity for potential future acquisitions.
Bruce Swain: On the chart on the left we broke out our weather related and non weather related business to help you better understand the dynamics in the quarter.
Bruce Swain: Weather related business on the chart, which includes U S Cat U S loss, adjusting and Australia decreased approximately 30%.
Rohit Verma: As you can see in the middle chart, a particularly large contributor to this decrease was our networks business, which generates revenues from claims management services frequently tied to storm activity. Our network service line saw a revenue decline of 79% this quarter, directly related to reduced weather-related claims, illustrating the magnitude of this weather impact. Networks accounted for 2.6% of our consolidated 2024 first quarter revenue as compared to 11.8% in the prior year period.
Bruce Swain: As you can see in the Middle chart, a particularly large contributor to this decrease was our networks business, which generates revenues from claims management services frequently tied to strong activity.
Bruce Swain: Our network service line saw a revenue decline of 79% this quarter directly related to reduced weather related claims.
Bruce Swain: Illustrating the magnitude of this weather impact.
Bruce Swain: Networks accounted for 2.6% of our consolidated 2024 first quarter revenue as compared to 11, 8% in the prior year period.
Rohit Verma: Another indicator of the reduced storm activity is the recently published AON data, which shows a 43% decrease in global insured losses in the quarter and is profiled on the chart on the right. Finally, large carriers have also shared similar weather-related claim strength this quarter. It is very important to point out that our non-weather-related revenue grew approximately 8% during the quarter, driven primarily by growth in Broad Spire International, our two largest segments, and reflecting the strength of our diverse business model. Weather will always fluctuate, but the team is doing a good job in all weather cycles while keeping our catastrophe teams well staffed and driving performance in our non-weather-related business.
Bruce Swain: Another indicator of the reduced storm activity is the recently published <unk> data, which shows a 43% decrease in global insured losses in the quarter and is profiled on the chart on the right.
Bruce Swain: Finally large carriers have also shared similar weather related claims trends this quarter.
Bruce Swain: It is very important to point out that our non weather related revenue grew approximately 8% during the quarter driven primarily by growth in broad spire in international our two largest segments and reflecting the strength of our diverse business model.
Bruce Swain: Weather will always fluctuate, but the team is doing a good job in all weather cycles, while keeping our catastrophe teams are well staffed and driving performance in our non weather related business.
Rohit Verma: We continue to allocate capital thoughtfully and with discipline. It is our strategy to seek opportunities that broaden our capabilities for clients, and Drive is growing market share, which includes investing in proprietary innovative technology. Our leverage ratio remains low at 2.06 times EBITDA.
Bruce Swain: We continue to allocate capital toward fully and with discipline. It is our strategy to seek opportunities that broaden our capabilities for clients.
Bruce Swain: And drive our growing market share, which includes investing in our proprietary innovative technologies.
Bruce Swain: Our leverage ratio remains low at 2.06 times EBITDA. There is some seasonality in our business and we expect to return to a leverage ratio below two times as we progress through 2024.
Rohit Verma: There is some seasonality in our business, and we expect to return to a leverage ratio below 2 times as we progress through 2024. In the first quarter of 2024, we continue to return capital to shareholders with a quarterly dividend of $0.07 for CRDA and CRDB. As a reminder, our business is comprised of four segments. North America Loss Adjusting encompasses primarily our loss adjusting business in the U.S. and Canada and reported 26% of our first quarter 2024 revenues.
Rohit Verma: In the first quarter of 2024, we continued to return capital to shareholders with a quarterly dividend of seven.
Bruce Swain: For CRD, a and CRD b.
Rohit Verma: Our international business is comprised of all reported service lines outside of North America and contributed 32% of revenue. Broad Spire is a third-party administration business in the U.S. and accounts for 31% of our annual revenues, and Platform Solutions, which includes Contractor Connection and our networks and subrogation businesses, contributed 11%. Now, let's go on to the segment.
Rohit Verma: As a reminder, our business is comprised of four segments North America loss adjusting encompasses primarily our loss adjusting business in the U S and Canada and reported 26% of our first quarter 2024 revenues. Our international business is comprised of all reported service lines outside of North America and contributed.
Bruce Swain: 32% of revenues <unk>.
Rohit Verma: <unk> is a third party administration business in the U S and accounts for 31% of our annual revenues and platform solutions, which includes contractor connection and our networks and subrogation businesses contributed 11%.
Rohit Verma: Now, let's go on to the segments.
Rohit Verma: Beginning with North America loss adjusting, in the first quarter of 2024, our revenues were $77.4 million, flat with the prior year quarter. Operating earnings were $4.5 million, and our margin was 5.8%. We saw some margin erosion in this segment this quarter, this quarter reflecting investments in personnel and technology as we prepare for the 2024 storm season and the anticipated increased demand for our services.
Rohit Verma: Beginning with North America loss adjusting in the first quarter of 2024, our revenues were $77 $4 million flat with the prior year quarter.
Rohit Verma: Operating earnings were $4 $5 million and our margin was five 8%. We saw some margin erosion in this segment this quarter, reflecting investments in personnel and technology as we prepare for the 'twenty 'twenty four storm season, and the anticipated increasing demand for our services, notably this was a record quarter for GTS revenues with continued growth.
Rohit Verma: Notably, this was a record quarter for GTS revenues with continued growth in top carrier accounts. International operations revenue for the first quarter of 2024 was $98.1 million, and operating earnings were $1.7 million. Our revenues grew 7% from the first quarter of 2023 or 6% when measured in constant currency. However, as discussed, operating earnings decreased year-over-year due to relatively high-margin catastrophe revenue in the first quarter of 2023 associated with the 2020, two Australian floods, as well as some investments in technology.
Rohit Verma: In top carrier accounts.
Rohit Verma: International operations revenue for the first quarter of 2024 was $98 $1 million and operating earnings were $1 $7 million or revenues grew 7% from the first quarter of 2023 or 6% when measured in constant currency.
Rohit Verma: As discussed operating earnings decreased year over year due to relatively high margin catastrophe revenue in the first quarter of 2023 associated with 2022 Australian floods as well as some investments in technology, our strategic efforts to improve our international performance continue to drive results and this quarter, we saw revenue growth in the U K.
Rohit Verma: Our strategic efforts to improve our international performance continue to drive results, and this quarter, we saw revenue growth in the UK, Europe, and Latin America. We expect this positive momentum to continue driving results in our international segment and anticipate margin improvement in future quarters. Broughtspire achieved a new quarterly revenue record of $94.3 million in the first quarter of 2024. Operating earnings were $12.8 million for the quarter, with an operating margin expansion of 420 basis points.
Rohit Verma: Europe and Latin America, we expect this positive momentum to continue driving results with our international segment and anticipate margin improvement in the future quarters.
Rohit Verma: <unk> achieved a new quarterly revenue record of $94 $3 million in the first quarter of 2024 operating earnings were $12 8 million for the quarter with operating margin expansion of 420 basis points. Additionally, medical management services and claims management, both showed strong growth of 12% in the quarter.
Rohit Verma: Additionally, Medical Management Services and Claims Management both showed strong growth of 12% in the quarter. We retain 97% of our business year to date. Platform Solutions' first quarter revenue decreased by 49% compared with the first quarter of 2023, primarily due to anticipated softness in our networks business. This was due to reduced catastrophe claims reflecting low U.S. severe storm activity for the last couple of quarters. Our non-weather business in the platform solutions demonstrated continued growth with subrogation revenue increasing 18% compared to the first quarter. With that, I will turn the call over to Bruce for a deeper look at our financial performance. Thank you, Rohit.
Bruce: We retained 97% of our business year to date.
Rohit Verma: Platform solutions first quarter revenue decreased by 49% compared with the first quarter of 2023, primarily attributed to anticipated softness in our networks business. This was due to reduced catastrophe claims, reflecting low U S. Severe storm activity for the last couple of quarters.
Bruce: Our non weather business and the platform solutions demonstrated continued growth with subrogation revenue, increasing 18% compared to the first quarter.
Rohit Verma: With that let me turn the call over to Bruce for a deeper look at our financial performance. Thank you ROE at looking at the first quarter of 2024 companywide revenues before reimbursements decreased 5% to $301 7 million foreign exchange rates increased revenues before reimbursements by $1 million or 3%.
Bruce: Looking at the first quarter of 2024, company-wide revenues before reimbursements decreased 5% to $301.7 million. Foreign exchange rates increased revenues before reimbursements by $1 million, or 0.3%. In the first quarter of 2024, selling, general, and administrative expenses increased $10.6 million, or 15.5%, compared to the prior year. The increase was primarily due to professional fees, IT costs, bad debt expenses, and a lack of funding.
Bruce: In the first.
Bruce: <unk> 2020 for selling general and administrative expenses increased $10 6 million or 15, 5% compared to the prior year period. The increase was primarily due to professional fees it costs bad debt expense and compensation expense, including taxes and benefits as well as investments in sales and marketing.
Unnamed: [inaudible] Gap net income attributable to shareholders totaled $2.8 million, compared to net income of $10.7 million in the same period of 2020. Gap diluted EPS in the 2024 first quarter was $0.06 for both CRDA and CRDB, compared to $0.22 for both share classes in the 2023 period. On an on-gap basis, diluted EPS was $0.13 for both CRDA and CRDB, compared to $0.28 for both share classes in the prior year period. The companies' non-GAAP operating earnings totaled $12.1 million in the 2024 first quarter, or 4% of revenues, compared to $24.9 million, or 7.9% of revenues in the prior year period. Consolidated Adjusted EBITDA was $20.6 million in the 2000s for the first quarter, or 6.8% of revenues compared to $32.8 million, or 10.4% of revenues in the 2023 quarter.
Bruce: GAAP net income attributable to shareholders totaled $2 8 million compared to net income of $10 7 million in the same period of 2023.
Unnamed: GAAP diluted EPS in the 2020 for first quarter was <unk> for both CRD, a and CRD b compared to 22 for boats share classes in the 2023 period.
Unnamed: On a non-GAAP basis basis diluted EPS was <unk> 13 cents for both CRD, a and CRD b compared to 28 for both share classes in the prior year period.
Unnamed: Company's non-GAAP operating earnings totaled $12 1 million in the 2024 first quarter or 4% of revenues compared to $24 9 million or seven 9% of revenues in the prior year period.
Unnamed: Consolidated adjusted EBITDA was $20 6 million in the 2020 for first quarter were six 8% of revenues compared to $32 8 million or 10, 4% of revenues in the 2023 quarter.
Bruce: I'll now review the first quarter performance for each of our segments. North America loss-adjusting revenues totaled $77.4 million in the 2024 first quarter, decreasing slightly from $77.6 million reported in last year's quarter. This segment reported operating earnings of $4.5 million in the quarter, decreasing from $8.1 million reported in last year's quarter due to milder weather activity. The operating margin was 5.8% in the 2024 first quarter compared to 10.4% in the 2023 quarter. International operations revenues totaled $98.1 million in the 2024 first quarter, up 6.8% from the $91.9 million reported in last year's quarter. The impact of foreign exchange was immaterial.
Speaker Change: I will now review the first quarter performance for each of our segments.
Bruce: North America loss adjusting revenues totaled 77 4 million in the 2024 first quarter decreasing slightly from $77 6 million reported in last year's quarter.
Bruce: The segment reported operating earnings of $4 5 million in the quarter decreasing from $8 1 million reported in last year's quarter due to milder weather activity.
Bruce: The operating margin was five 8% in 2024 first quarter compared to 10, 4% in 2023 quarter.
Bruce: International operations revenues totaled $98 1 million in the 2024 first quarter up six 8% from the $91 9 million reported in last year's quarter.
Bruce: The impact of foreign exchange was immaterial.
Bruce: The segment reported operating earnings of $1.7 million in the 2024 first quarter, decreasing from $3 million reported in last year's quarter. The operating margin was 1.7% in the current quarter, compared to 3.3% in the 2023 quarter. Rothspire revenues were a new quarterly record of $94.3 million in the 2024 first quarter, increasing 12.2% from $84.1 million in the 2023 period, driven primarily by new business development, pricing improvements, and increased medical management use.
Bruce: The segment reported operating earnings of $1 7 million in the 2024 first quarter decreasing from $3 million reported in last year's quarter. The operating margin was one 7% in the current quarter compared to three 3% in the 2023 quarter.
Bruce: <unk> revenues were a new quarterly record of $94 3 million in the 2024 first quarter, increasing 12, 2% from $84 1 million in the 2023 period, driven primarily by new business development pricing improvements and increased medical management usage.
Bruce: Broadspire operating earnings were $12.8 million in the 2024 quarter, compared to last year's first quarter operating earnings of $7.9 million. The operating margin in this segment was a company-leading 13.6% in the quarter, improving from 9.4% in the 2023 period.
Bruce: By our operating earnings were $12 8 million in the 2024 quarter compared to last year's first quarter operating earnings of $7 9 million.
Bruce: The operating margin in this segment was a company leading 13, 6% in the quarter improving from nine 4% in the 2023 period.
Bruce: Revenues for platform solutions were $31.9 million in the 2024 first quarter, decreasing from $62.8 million in the prior year quarter. The decrease was expected and is largely attributed to a reduction in network revenues as a result of lower CAD activity in the quarter as we were completing Hurricane Ian claims in the prior year period. Operating earnings and platform solutions totaled $1.1 million, or 3.5% of segment revenues in the 2024 quarter, compared to operating earnings of $10 million, or 15.9% of revenues in the prior year quarter.
Bruce: Revenues for platform solutions were 31 9 million in the 2024 first quarter decreasing from $62 8 million in the prior year quarter.
Bruce: The decrease was expected and is largely attributed to a reduction in networks revenues as a result of lower cat activity in the quarter as we were completing hurricane Ian claims in the prior year period.
Bruce: Operating earnings in platform solutions totaled $1 1 million or three 5% of segment revenues in the 2024 quarter compared to operating earnings of 10 million or 15, 9% of revenues in the prior year quarter.
Bruce: Corporate unallocated costs were $8 million in the 2024 first quarter, compared to corporate costs of $4.1 million in the same period of 2023. The increase was primarily due to increased professional fees, compensation-related costs, and other reserves.
Bruce: Corporate unallocated costs were $8 million in the 2024 first quarter compared to corporate costs of $4 1 million in the same period of 2023.
Bruce: The increase was primarily due to increased professional fees compensation related costs and other reserves.
Bruce: During the 2024 first quarter, non-service pension costs were $2.5 million, compared to $2.2 million in the 2023 period. We recognize a pre-tax contingent earn out expense of $200,000 in both the 2024 and 2023 first quarters. During the first quarter of 2024, the company did not repurchase any shares of CRDA, but it did repurchase approximately 86,000 shares of CRDB at an average share cost of $8.56. As a reminder, approximately 1.4 million shares are eligible to be repurchased under our 2021 Share Repurchase Authorization.
Bruce: During the 2024 first quarter non service pension costs were $2 5 million compared to $2 2 million in the 2023 period.
Bruce: We recognized a pre tax contingent earn out expense of 200000 in both the 2024 and 2023 first quarters.
Bruce: During the first quarter of 2024, the company did not repurchase any shares of CRD, a but did repurchase approximately 86000 shares of CRD b at an average share cost of $8 56.
Bruce: As a reminder, approximately one 4 million shares are eligible to be repurchased under our 2021 share repurchase authorization.
Bruce: The company's cash and cash equivalent position as of March 31, 2024 totaled $45.2 million compared to $58.4 million at the 2023 year-end. Our total receivables were up $5.6 million from the 2023 year-end. The company's total debt outstanding as of March 31, 2024 totaled $230.2 million, up from $209.1 million as of December 31, 2023. Net debt stood at $185 million as of March 31, 2024, while our U.S. pension liability was $23.4 million at the end of the first quarter, reflecting a funded ratio of 92.6%. We made no discretionary contributions to our U.S.
Bruce: The company's cash and cash equivalent position as of March 31, 2024 totaled $45 2 million compared to $58 4 million at the 2023 year end.
Bruce: Our total receivables were up $5 $6 million from the 2023 year end.
Bruce: The company's total debt outstanding as of March 31, 2024 totaled $230 2 million up from $209 1 million as of December 31, 2023.
Bruce: Net debt stood at 185 million as of March 31, 2024, while our U S pension liability was $23 4 million at the end of the first quarter, reflecting our funded ratio of 92, 6%.
Bruce: We made no discretionary contributions to our U S defined benefit pension plan during the first quarter of 2024, and we do not intend to make contributions for the remainder of the year.
Bruce: Defined Benefit Pension Plan during the first quarter of 2024, and we do not intend to make contributions for the remainder of the year. Cash flow from operations for the first quarter of 2024 was a use of $19.8 million, with free cash flow of negative $29.4 million. This compares to cash used in operating activities last year of $445,000 and negative free cash flow of $9.1 million. This was due to lower operating earnings and higher incentive compensation payments in the 2024 period. With that, I'll turn the call back over to Rohit for his concluding remarks.
Bruce: Cash flow from operations for the 2020 for first quarter was a use of $19 8 million with free cash flow of negative $29 4 million.
Rohit Verma: This compares to cash used in operating activities last year of 445000 and negative free cash flow of $9 1 million.
Rohit Verma: This was due to lower operating earnings and higher incentive compensation payments in the 2024 period.
Rohit Verma: With that I will turn the call back over to Rowan for concluding remarks. Thank you Bruce in conclusion. This quarter came in largely where we expected our non weather related business performed very well and our business is well positioned to service clients when increased storm activity inevitably returns.
Rohit Verma: Thank you, Bruce. In conclusion, this quarter came in largely where we expected. Our non-weather-related business performed very well, and our business is well positioned to service clients when increased storm activity inevitably returns. Our balance sheet remains strong, and I am quite optimistic about the prospects for continued improved financial performance looking forward.
Rohit Verma: Our balance sheet remains strong and I'm quite optimistic about the prospects for continued improved financial performance looking forward.
Rohit Verma: Thank you for your time today. Operator, please open the call for questions. Thank you.
Speaker Change: You for your time today operator, please open the call for questions.
Unnamed: Thank you. At this time, if you'd like to ask a question, please press star on the number 1 on your telephone keypad. To withdraw your question, please press star 2. If you are using a speakerphone, please pick up your handset before asking your question. We'll pause for just a moment to compile the Q&A roster. The first question comes from Mark Hodges on Truist. Please go ahead.
Speaker Change: Thank you at this time, if you'd like to ask a question. Please press Star then the number one on your telephone keypad.
Mark Douglas Hughes: Your question. Please press star two if youre using a speakerphone. Please pick up your handset before asking your question, we'll pause for just a moment to compile the Q&A roster.
Mark Douglas Hughes: The first question comes from Mike <unk> with <unk>. Please go ahead.
Mark Douglas Hughes: Yeah, thank you. Good morning.
Mark Douglas Hughes: Yes. Thank you good morning.
Mark Douglas Hughes: You asked GTS.
Mark Douglas Hughes: Yes.
Mark Douglas Hughes: Had a good performance in the quarter.
Mark Douglas Hughes: Could you talk about that.
Mark Douglas Hughes: What's driving the upside there.
Mark Douglas Hughes: Yes, Hi, Mark how are you.
Mark Douglas Hughes: I'm good.
Unnamed: The USGTF, you suggested had a good performance in the quarter. Could you talk about that? What's driving the upside there?
Mark Douglas Hughes: Our U S. GTS has been performing performing really well not just this quarter, but for several years. This quarter certainly was another breakout performance as you know we have been investing and we had talked about adding experts and we had a target of adding 200 X parts by the end of 2023, and we met that target in Q1 of 2023.
Unnamed: Hi Mark, how are you? I'm good, thank you.
Rohit Verma: U.S. GTS has been performing really well, not just this quarter, but for several years now. This quarter certainly was another breakout performance. As you know, we have been investing, and we talked about adding experts, and we had a target of adding 200 experts by the end of 2023, and we met that target in Q1 of 2023. Adding these experts has given us depth, and given us eminence in the industry, so we're seeing a lot of notable losses come to us, and that team has been hitting on all cylinders.
Rohit Verma: Adding these experts has given us depth has given us eminence in the in the industry. So we're seeing a lot of notable losses come to us and that team has been hitting on all cylinders. So we feel very good about that business. We believe that that business has good long term prospects. It's one of those businesses that doesn't get touched by by AI, our technology of any form.
Rohit Verma: So we feel very good about that business. We believe that that business has good long-term prospects. It's one of those businesses that doesn't get touched by AI or technology of any form from a disruption perspective, so that's the reason for the performance and the continued confidence in that business.
Rohit Verma: From a disruption perspective.
Rohit Verma: So that's the reason for their performance and their continued confidence in that business.
Unnamed: Yeah, thank you. And then likewise, the international good momentum and the UK and Europe, sounds like you're looking for margin improvement there. What is that? Is that new hires driving incremental volume? What's driving that?
Speaker Change: Yes. Thank you and then likewise internationally said good momentum.
Unnamed: Hey in Europe, It sounds like Youre looking for margin improvement here, which.
Unnamed: Is that new hires.
Unnamed: Driving incremental volume, what's driving that.
Rohit Verma: Yeah, if you recall, you know right around the end of 2022 We have started signaling that we were making some changes in our national. We had made some leadership changes We had made some, you know other sort of structural changes within international We believe that those results are still showing we had also talked about diversifying in Europe from a client base Which was largely travel and entertainment to a much broader client base that is showing as well We had made a couple of international a couple of acquisitions in in Netherlands as an example I think that is showing success So we believe that you know, there's there's good momentum in international.
Rohit Verma: Yeah, if you record it...
Unnamed: If you recall.
Rohit Verma: Right around the end of 2022, we have started signaling that we were making some changes in international we had made some leadership changes we had made some.
Rohit Verma: Other sort of structural changes within international we believe that those results are showing we had also talked about diversifying in Europe from our client base, which was largely travel and entertainment to a much broader client base that is showing as well. We had made a couple of international a couple of acquisitions in Netherlands. As an example, I think that is showing.
Rohit Verma: Success. So we believe that there is.
Rohit Verma: We've made some investments in technology. We believe that that will lead to efficiency. We are very closely looking at our pricing to make sure that if there's anything which is underpriced or mispriced, that gets corrected. And that gives us confidence on the international stage as well. And I feel very good about the leadership team that we have in place in our national operations.
Rohit Verma: There is good momentum in international we've made some investments in technology, we believe that that will lead to efficiency. We are very closely looking at our pricing to make sure that if there's anything which is underpriced or mispriced that that gets corrected and thats what gives us the confidence on international as well and I feel very good about the leadership team that we have in place in international now.
Mark Douglas Hughes: And Bruce, SG&A looks like some expense items are up this quarter. How do you think that's going to play out for the balance of the year?
Rohit Verma: And Bruce.
Rohit Verma: SG&A real quick.
Bruce: Hence items.
Bruce: This quarter, how do you think thats going to play out at the balance of the year.
Bruce: Yeah, Mark, we had some investment in SG&A, as I, as I mentioned, with, you know, professional fees, some increase in IT costs, compensation related costs, including investment in sales and marketing. I would say about $3 million of that increase in SG&A is kind of one-time for the quarter, and we wouldn't see that continuing as we go through the year.
Bruce: Yes, Mark we had some some investment in SG&A is as high.
Bruce: As I mentioned with professional.
Bruce: Professional fees, some increase in costs compensated relation compensation related costs, including.
Bruce: Investment in sales and marketing.
Bruce: I would say about $3 million of that increase in SG&A as kind of one time for the quarter and we wouldn't see that continuing as we go through the year.
Mark Douglas Hughes: Very good. And then finally, in broad terms, any observations about underlying claims? Looks like your overall volume is going up because it's helped by new customer wins, but I wonder whether in Workers' Comp, for instance, or any other lines, do you see any notable inflection in the underlying claims activity?
Bruce: Okay, Great and then finally in broad spire.
Mark Douglas Hughes: Innovation is about underlying claims it looks like your overall volume is going up because we are helped by new customer wins.
Mark Douglas Hughes: Wonder whether.
Mark Douglas Hughes: Workers' comp for instance, or any other line do you see any notable inflection in the underlying claims activity.
Rohit Verma: Mark, I won't say that there is any, I mean, certainly, the claims are up since they were during the pandemic, right? There's no question about it.
Speaker Change: Mark I won't say that there is any I mean, certainly the claims are up.
Rohit Verma: Since they were during the pandemic right Theres no question about it and we have seen from a recovery standpoint, a full recovery of the claims frequency as well as a full recovery of what we saw as medical management cases.
Rohit Verma: And we have seen, from a recovery standpoint, a full recovery of the claims frequency as well as a full recovery of what we saw as medical management. But I won't say that I'm seeing any kind of underlying secular increase in the frequency of... I would say that most of our increases are coming from additional new business and additional economic activity as opposed to just pure increases in underlying.
Rohit Verma: But I won't say that I'm seeing any kind of underlying secular increase in the frequency of claims in.
Rohit Verma: <unk> com.
Rohit Verma: I would say that most of our increases are coming from additional new business and additional economic activity as opposed to just pure increase in underlying claims.
Mark Douglas Hughes: Understood. Thank you very much. Thanks, Mark. You.
Speaker Change: Understood. Thank you very much.
Speaker Change: Thanks Mark.
Unnamed: Thank you, Mark. Ladies and gentlemen, as a reminder, if you have any questions, please press star 1. Your next question comes from Kevin Steinke with Barrington Research. Kevin, please go ahead.
Speaker Change: Thank you, Mike Ladies and gentlemen, as a reminder, if you have any questions. Please press star one.
Unnamed: Your next question comes from Kevin Steinke with Barrington Research Kevin. Please go ahead.
Kevin Mark Steinke: Good morning.
Unnamed: Yeah.
Kevin Mark Steinke: Hi, Kevin had mentioned.
Kevin Mark Steinke: [inaudible] Great. You had mentioned that you reached the goal of getting 200 new GTS adjusters early in 2023, earlier than you had planned. Just wondering about the pace of hiring in that business now and if you continue to look to add there, and also, given the growth in that business, I don't know if it's possible to provide just kind of a rough approximation of what percentage that business is of the overall North American loss adjusting segment.
Kevin Mark Steinke: Greg you had mentioned.
Kevin Mark Steinke: You know youre reach you reach the goal.
Kevin Mark Steinke: Adding 200.
Kevin Mark Steinke: New GTS Adjustors.
Kevin Mark Steinke: Italy earlier in 2023 earlier and then you had planned just just wondering.
Kevin Mark Steinke: About the pace of hiring in that business now.
Kevin Mark Steinke: And if you continue to look to add there and also maybe given the growth in that business I don't know if its possible to provide just kind of a.
Kevin Mark Steinke: Rough approximation of.
Kevin Mark Steinke: What percentage that businesses.
Kevin Mark Steinke: The overall.
Kevin Mark Steinke: North American loss adjusting segment.
Rohit Verma: Sure. I think I've shared this with you before, Kevin, that we're always in the market for expertise. We're an expertise-based business. Clients come to us because we have the expertise on our roster. So we will always continue to look for it. We certainly haven't slowed down the hiring down. We certainly had a target that we had shared with you all, so we felt compelled to make sure that we were reporting
Speaker Change: Sure so.
Rohit Verma: Look we I think I've shared this with you before Kevin that we're always in the market for expertise of our expertise based business.
Rohit Verma: Clients come to us because it because we have the expertise on our roster. So we will always continue to look for it we haven't slowed the hiring down we certainly had a target that we had shared with you also even what we thought compelled to make sure that we were reporting on it.
Bruce: We haven't slowed our hiring down. If we're finding experts, we're bringing them on board, not just in the U.S. but elsewhere in the world as well. We've certainly had the most success in the U.S., but we're seeing replication of that success in other parts of the world as well as in the service line. As far as North America loss-adjusting is concerned, do you want to, Bruce? Yeah, I would say roughly a third. Yeah, roughly a third.
Bruce: We haven't slowed our hiring down if our finding experts, we're bringing them on not just in the U S. But elsewhere in the world as well and we've certainly had the most success in the U S. But we're seeing replication of that success in other parts of the world as well.
Bruce: And in the service line as far as North America loss adjusting is concerned do you want to Bruce Yeah, I would say roughly a third yes.
Bruce: Roughly roughly a third so think about.
Bruce: So think about it. Global Technical Services is the third, Canada is the third, and then our field operations business is another. You'll see some variability there, dependent upon weather and where that's occurring, but that's a general framework.
Bruce: Global Technical services third Canada, as a third and then our field operations business as another third.
Bruce: Youll see some variability there dependent upon whether and where that's occurring but that said that's a general framework to use.
Kevin Mark Steinke: Okay, great. Thanks, that's very helpful.
Speaker Change: Okay, great. Thanks, that's very helpful.
Kevin Mark Steinke: So. The $24 million of new and enhanced business in the quarter, should we think of that as fairly broad-based across the company, or does one area stand out? Wondering about that in terms of the kind of... I would say the preponderance of that business is US. I assume there's still good momentum and broad spike as well with new business, could you speak to that?
Kevin Mark Steinke: So.
Speaker Change: The $24 billion of new and enhanced business in the quarter should we think of that as fairly broad based across the company or this one area standout.
Speaker Change: Just wondering about the answer.
Kevin Mark Steinke: Yes.
Kevin Mark Steinke: It's broad based but I would say the preponderance of that business is U S.
Kevin Mark Steinke: Okay.
Kevin Mark Steinke: Yes.
Kevin Mark Steinke: Assume theres still good momentum and broad spire as well with new business could you speak to that.
Rohit Verma: Yeah, we feel, look, I mean, I would say I feel good about all of our businesses, right? But as it specifically relates to financial results in 2024, I am particularly, you know, bullish about Broadspire's continued growth. And, you know, I would say that I'm bullish about all our businesses with the return of weather activity. You should see us, all of our businesses, performing really, really well.
Speaker Change: Yes, we feel look I mean, I would say I feel good about all of our businesses right, but as it specifically relates to financial results in 2024.
Kevin Mark Steinke: Okay, great.
Kevin Mark Steinke: I am particularly.
Kevin Mark Steinke: Bullish about <unk> buyers continued momentum.
Kevin Mark Steinke: And you know if I would I would say that I'm bullish about all our businesses with the return of weather activity you should see us all of our business is performing really really well.
Kevin Mark Steinke: Okay great.
Kevin Mark Steinke: Revenues are up 12% quarter over quarter.
Kevin Mark Steinke: Revenues were up 12% quarter over quarter.
Kevin Mark Steinke: Yeah, no, that was a really nice result. Good to see that. So, you know, you didn't call it out on this call, but... You talked about the continuation of fairly benign weather, and it looks like we'll still have a fairly difficult comparison in the second quarter here in the networks business. Is that the right way to think about it?
Speaker Change: Yeah, No that was that was a really nice result.
Kevin Mark Steinke: Good to see that.
Kevin Mark Steinke: Yeah.
Kevin Mark Steinke: So.
Kevin Mark Steinke: You didn't call it out.
Kevin Mark Steinke: On this call but.
Kevin Mark Steinke: You talked about continuation of.
Kevin Mark Steinke: Fairly benign weather.
Kevin Mark Steinke: It looks like we will still have a fairly difficult comparison in the second quarter here.
Kevin Mark Steinke: Networks business is that the right way to think about it.
Rohit Verma: You know, Kevin, it's early. It's still early in the quarter, I would say. You know, we often see a lot of activity in May and June of the second quarter. Yeah, but if we don't have any weather activity in May and June as well, it will be a difficult comparison. But, you know, everything that we're reading and learning says that it should be a fairly active weather season. So that's where I'll leave it. But if we don't have weather, then your assessment is a failure.
Kevin Mark Steinke: Kevin It's early it's still early in the quarter I would say.
Rohit Verma: We often see a lot of activity in May and June 2nd quarter, Yes.
Rohit Verma: If we don't have any weather activity in may and June as well it will be a difficult comparison, but everything that we're reading and learning that it should be a fairly active weather season, So that's where I'll leave it at but if we don't have weather than your assessment is accurate.
Kevin Mark Steinke: Okay, in May and June, we just usually think about more like the, you know, convective storm activity. Right, okay. All right. You mentioned in your prepared remarks about potential acquisitions, just, just, wondering what sort of opportunities you're seeing there, if there's an active pipeline and, you know, how the market looks in terms of valuation. Kevin, I think we've all been...
Speaker Change: Okay. It may and June we just usually think about or like the.
Kevin Mark Steinke: Convective storm activity.
Kevin: That's correct.
Kevin Mark Steinke: Alright, okay.
Kevin Mark Steinke: Alright.
Rohit Verma: We've always shared that we're always actively looking at the marketplace. Our pipeline is anywhere from 10 to 30 deep, depending on how things are going, but we are very discerning in terms of what we want to acquire and how we want to acquire it. We're always looking, and that's the reason why we said that we had the financial flexibility to do it. If something aligns with us strategically and we believe the valuation is attractive, then we will. The valuations have come down slightly, but I think for quality assets, valuations still remain fairly high. Obviously, not at the same level as what you saw two years ago, but still fairly high.
Kevin Mark Steinke: You mentioned.
Kevin Mark Steinke: In your prepared remarks potential acquisitions.
Rohit Verma: Just just wondering.
Rohit Verma: What sort of opportunities youre seeing there.
Rohit Verma: If there is an active pipeline.
Rohit Verma: Yes.
Rohit Verma: How the market looks in terms of valuation.
Speaker Change: Kevin I think we've.
Rohit Verma: We've always shared that we're always actively looking in the marketplace. Our pipeline is anywhere from 10 to 30 deep depending on how things are going but we are very discerning in terms of.
Rohit Verma: What we want to acquire and how we want to acquire.
Rohit Verma: We're always looking and that's the reason why we said that we have the financial flexibility to do it if if something aligns with us strategically and we believe the valuation is attractive then we will.
Rohit Verma: The valuations have come down slightly but I think for quality assets valuations still still remain remained.
Rohit Verma: Fairly high obviously not at the same level as what you saw two years ago, but still fairly high.
Kevin Mark Steinke: Could you just remind us of some particular areas and I you know you'd like to acquire, and I guess it really comes down to capabilities and technology, adding some of those things that you might not have, but do you have any thoughts on that?
Speaker Change: Could you just remind us of a particular areas.
Kevin Mark Steinke: You'd like to acquire and I guess, it really comes out of the capabilities and technology, adding some of those things that you might have but.
Kevin Mark Steinke: Any any thoughts on that.
Rohit Verma: Yeah, we always look for, you know, we kind of put a lens on it which has three different axes, if I can put it right. One axis is, does it give us capability in a geography that we already exist that we don't have? So, as an example, what you saw with our acquisitions with eJuster in Canada or with... The acquisitions that we made in the Netherlands, those were capabilities that we didn't have.
Speaker Change: Yes, we always look for we kind of put a.
Rohit Verma: Lens, which has which has three different axes, if I can put it right. One accident is does it give us capability in a geography that we already exist that we don't have so as an example, what you saw with our acquisitions with the adjustment in Canada or with.
Rohit Verma: The acquisitions that we made in Netherlands, those of our capabilities that we didn't have that.
Rohit Verma: Then we look for acquisitions where there's a geography that we believe has significant scale opportunities for us, but we just don't have scale, or we are not there. So that was the acquisition that you saw from us in Chile as an example. And then the third and final, I would say, is where we need to establish some kind of a beachhead. I would say that the capability, the first one that I mentioned, the first dimension, is probably where we're looking the most, right, where we want to have newer capabilities rather than have something purely for us.
Rohit Verma: When we look for acquisitions, where there is a geography that we believe has significant.
Rohit Verma: Scale opportunities for us, but we just we just don't have scale or we are not there. So that was the acquisition that you saw from US as an example in Chile and then the third and final I would say is.
Rohit Verma: Is where we need to establish some kind of a beachhead I would say that that capability.
Rohit Verma: One the first one that I mentioned, the first dimension is probably where we're looking at the models right, where we want to have.
Rohit Verma: Newer capabilities that have something purely for scale.
Kevin Mark Steinke: Okay, that makes sense. That's a helpful update. Thanks for taking the questions. I'll turn it back over.
Speaker Change: Okay. That's makes sense that's a helpful update.
Speaker Change: Thanks for taking the questions I'll turn it back over.
Speaker Change: Thank you Kevin Thank you.
Unnamed: Thank you, Kevin. Thank you.
Unnamed: Thank you, Kevin. There are no further questions at this time. I will turn the call back to management for closing remarks.
Speaker Change: Thank you Kevin there are no further questions at this time I will turn the call back to management for closing remarks.
Unnamed: Thank you, Ernest. And thank you to all our employees, clients, and shareholders for your continued commitment to Crawford & Co. Thank you, and God bless.
Speaker Change: Thank you Anna and thank you to all our employees clients and shareholders for your continued commitment to Crawford <unk> company, Thank you and God bless.
Unnamed: Thank you for participating in today's Crawford & Co. conference call. This call will be available for replay beginning at 11: 30 a.m. EST today through 11:59 p.m. EST on June 2, 2024. The conference ID number for the replay is 309-448-PAM. The number to dial in for the replay is 877-674-707. Thank you; you may now disconnect.
Speaker Change: Thank you for participating in today's <unk> Company Conference call. This call will be available for replay beginning at 11 30, a M. ESD today through 11 59 P. M. ESC on June 2nd 2024 D. Catherine <unk> number for the replay is 309448 P M.
Unnamed: Number two is dialing for replay is 877674707 view.
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