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First American Financial FAF Home Warranty — Labor And Related Expense

Other segment segments

Title Insurance And Services
$572.5M+9.5%
Corporate
$19.9M-27.1%

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Other financials

Income statement

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Revenue$2.1B+15.0%
Net income$218.5M+49.6%
EPS (diluted)$2.12+50.4%

Balance sheet

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Cash & equivalents$2.6B+29.2%
Total debt$1.8B-0.9%
Total equity$5.6B+9.6%
Total assets$18.9B+16.4%

Cash flow

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Operating cash flow$356.6M-1.4%
CapEx$39.2M-25.2%
Free cash flow$317.4M+2.6%

Valuation

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Market cap$7.66B+20.0%
Enterprise value$6.78B+10.9%
P/E10.3×-23.5×
P/S0.0×

Profitability

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Net margin9.3%+6.4pp
FCF margin10.4%+0.2pp

Returns & leverage

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Return on equity13.9%+10.1pp
Debt / equity0.3×0.0×

Where this comes from

Reported directly by First American Financial in its filing.

Tagged under the XBRL concept us-gaap:LaborAndRelatedExpense.

The source filing: First American Financial’s 10-Q, filed July 23, 2026.

Filed
Jul 23, 2026, 4:55 PM EDT
Fiscal quarter
Q2 FY2026
Calendar quarter
Q2 2026
Accession
0001193125-26-314255
(dollars in millions)Title Insurance and ServicesHome WarrantyCorporateEliminationsConsolidated
Total segment revenue$2,014.6$113.8$(11.0)$(0.1)$2,117.3
Less: (1)
Personnel costs572.522.019.9(0.1)614.3
Premiums retained by agents658.6658.6
Other operating expenses (2)319.023.39.60.2352.1
Provision for policy losses45.341.70.4(0.1)87.3
Depreciation and amortization52.31.40.1(0.2)53.6
Premium taxes20.61.221.8

Item 1. Financial Statements.

FAQ

What is First American Financial's home warranty — labor and related expense?
First American Financial (FAF) reported home warranty — labor and related expense of $22M in Q2 2026.
How has First American Financial's home warranty — labor and related expense changed year-over-year?
First American Financial's home warranty — labor and related expense increased by 6.3% year-over-year, from $20.7M to $22M.
What is the long-term trend for First American Financial's home warranty — labor and related expense?
Over 3 years (2022 to 2025), First American Financial's home warranty — labor and related expense has grown at a 2.9% compound annual growth rate (CAGR), from $77.3M to $84.1M.
What does home warranty — labor and related expense mean?
Includes all compensation, benefits, and payroll-related costs for employees directly supporting the home warranty segment operations. Monitoring this helps assess the operational leverage and human capital efficiency required to manage service contracts.

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