April 22, 2026 – First American Financial Corporation (NYSE: FAF), a leading provider of title, settlement, and risk solutions for real estate transactions, announced impressive financial results for the first quarter ended March 31, 2026. The company continues to lead the digital transformation of the industry, showcasing robust growth and strategic advancements.

1. Key Financial Highlights

First American's first quarter performance reflects a significant improvement over the same period last year:

Earnings Per Share: The company reported earnings per diluted share of $1.21, with adjusted earnings of $1.33 per share, marking a 58% increase year-over-year.

Total Revenue: First American generated total revenue of $1.8 billion, a 16% increase compared to $1.58 billion in Q1 2025.

Net Income: The net income for the quarter was $125 million, up from $74 million in the first quarter of the previous year.

Investment Income: The Title Insurance and Services segment recorded investment income of $154 million, representing a 12% increase from the prior year.

Mark Seaton, CEO of First American Financial Corporation, expressed confidence in the company’s trajectory, stating, "We delivered a strong first quarter, with adjusted earnings per share up 58 percent compared to the prior year. Our results were driven by our commercial business, which achieved record first-quarter revenue."

2. Segment Performance

Title Insurance and Services

The Title Insurance and Services segment saw remarkable growth, demonstrating the company's ability to capitalize on market opportunities:

Total Revenue: Revenues for this segment reached $1.73 billion, a 17% increase from $1.48 billion a year earlier.

Pretax Margin: The segment posted a pretax margin of 9.6%, with an adjusted pretax margin of 10.4%. This is a substantial improvement from the previous year's margins of 7.2% and 7.9%, respectively.

Commercial Revenues: Commercial revenues surged to $271 million, up 48% compared to Q1 2025, driven by increased transaction volumes and higher revenue per order.

Home Warranty

The Home Warranty segment also displayed solid performance:

Total Revenues: Revenues reached $110 million, a 2% increase from the prior year.

Pretax Margin: The pretax margin improved to 23.5%, compared to 22.9% in Q1 2025, reflecting the segment’s operational efficiency.

3. Financial Management and Share Buybacks

First American maintained a healthy financial structure, with a debt-to-capital ratio of 32.2%, or 21.9% when excluding secured financings. The company actively returned capital to shareholders, repurchasing 556,336 shares for $33 million at an average price of $60.21 in the first quarter and an additional 295,872 shares for $18 million in April.

4. Commitment to Innovation

First American's leadership is committed to leveraging artificial intelligence to enhance operational capabilities and improve customer service. Seaton highlighted the company's strategic focus: "We are committed to deploying AI solutions across the company to amplify the talents of our team and strengthen our capabilities."

5. Recognition and Outlook

In addition to its strong financial results, First American was recognized as one of the 100 Best Companies to Work For by Great Place to Work® and *Fortune* Magazine for the eleventh consecutive year, underscoring its commitment to employee satisfaction and corporate culture.

As First American Financial Corporation continues to innovate and adapt in a competitive landscape, its robust financial performance, strategic investments in technology, and commitment to excellence position it well for future growth. The company will discuss its first quarter results in detail during a teleconference scheduled for April 23, 2026.

This strong start to 2026 reinforces First American's leadership role in the title insurance and real estate services sector, setting a positive tone for the remainder of the year.

Original press release