Company: TIPT
Filing Date: 2025-07-30
Form Type: 10-Q
Source: 0001393726-25-000076
Chunk: 157

Company: TIPTREE INC.
Filing Date: 2025-07-30
Form: 10-Q
Item: Part I, Item 8
Chunk 157
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 before taxes calculated in accordance with GAAP, and other companies may define adjusted net income differently. Adjusted net income (before NCI) is presented before the impacts of non-controlling interests. We present adjustments for amortization associated with acquired intangible assets. The intangible assets were recorded as part of purchase accounting in connection with Tiptree’s acquisition of Fortegra Financial in 2014, and additional services businesses from 2019 to 2024. The intangible assets acquired contribute to overall revenue generation, and the respective purchase accounting adjustments will continue to occur in future periods until such intangible assets are fully amortized in accordance with the respective amortization periods required by GAAP.Adjusted Return on Average Equity — Non-GAAPWe define adjusted return on average equity as adjusted net income expressed on an annualized basis as a percentage of average beginning and ending stockholders’ equity during the period. See “—Adjusted Net Income—Non-GAAP” above. Adjusted return on average equity should not be viewed as a substitute for return on average equity calculated in accordance with GAAP, and other companies may define adjusted return on average equity differently.73

Table of ContentsThree Months Ended June 30, 2025($ in thousands)Tiptree CapitalInsuranceMortgageOtherCorporateTotalIncome (loss) before taxes$67,144 $238 $(3,305)$(11,365)$52,712 Less: Income tax (benefit) expense(15,980)(40)(171)(5,417)(21,608)Less: Net realized and unrealized gains (losses) (1)(11,968)(216)1,456 — (10,728)Plus: Intangibles amortization (2)3,351 — — — 3,351 Plus: Stock-based compensation expense775 — — 1,490 2,265 Plus: Non-recurring expenses (3)789 — 1,350 — 2,139 Plus: Non-cash fair value adjustments (4)(1,426)— — — (1,426)Plus: Impact of tax deconsolidation of Fortegra (5)— — — 7,937 7,937 Less: Tax on adjustments (6)2,487 35 261 (836)1,947 Adjusted net income (before NCI)$45,172 $17 $(409)$(8,