Company: TIPT
Filing Date: 2025-04-30
Form Type: 10-Q
Source: 0001393726-25-000055
Chunk: 78

Company: TIPTREE INC.
Filing Date: 2025-04-30
Form: 10-Q
Item: Part I, Item 8
Chunk 78
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 and cash equivalent interest income, employee compensation and benefits, other expenses, interest expense and depreciation and amortization. Underwriting and fee margin represents the underwriting performance of our underwriting and fee-based programs. As such, underwriting and fee margin excludes general administrative expenses, interest expense, depreciation and amortization and other corporate expenses as those expenses support the vertically integrated business model and not any individual component of our business mix. We use this metric as we believe it gives our management and other users of our financial information useful insight into the specific performance of our underlying underwriting and fee programs. Underwriting and fee income should not be viewed as a substitute for income before taxes calculated in accordance with GAAP, and other companies may define underwriting and fee margin differently.64

($ in thousands)Three Months EndedMarch 31, 20252024Income (loss) before income taxes$38,054 $36,811 Less: Net investment income(11,729)(6,758)Less: Net realized and unrealized gains (losses)3,419 (2,819)Less: Cash and cash equivalent interest income (1)(2,800)(3,733)Plus: Depreciation and amortization4,450 5,083 Plus: Interest expense8,886 7,639 Plus: Employee compensation and benefits36,435 31,450 Plus: Other expenses31,843 33,161 Underwriting and fee margin (2)$108,558 $100,834 (1)   Cash and cash equivalent interest income was included in other revenue on the statement of operations.(2)   Underwriting and fee margin exclude cash and cash equivalent interest income.Adjusted Net Income — Non-GAAPWe define adjusted net income as income before taxes, less provision (benefit) for income taxes, and excluding the after-tax impact of various expenses that we consider to be unique and non-recurring in nature, including merger and acquisition related expenses, stock-based compensation, net realized and unrealized gains (losses) and intangibles amortization associated with purchase accounting, all of which is reduced for non-controlling interests. The calculation of adjusted net income excludes net realized and unrealized gains (losses) that relate to investments or assets rather than business operations. Adjusted net income should not be viewed as a substitute for income before taxes calculated in accordance with GAAP, and other companies may define adjusted net income differently. Adjusted net income (before NCI) is presented