Crawford & Company Q1 2026 Earnings Report

Crawford & Company EPS Results

• Actual EPS: $0.16
• Consensus EPS: N/A
• Beat/Miss: N/A
• One Year Ago EPS: N/A

Crawford & Company Revenue Results

• Actual Revenue: $320.13 million
• Expected Revenue: N/A
• Beat/Miss: N/A
• YoY Revenue Growth: N/A

Crawford & Company Announcement Details

• Quarter: Q1 2026
• Date: 5/4/2026
• Time: After Market Closes
• Conference Call Date: Tuesday, May 5, 2026
• Conference Call Time: 8:30AM ET

Crawford & Company (NYSE:CRD.A) provides claims management and outsourcing solutions to the risk management and insurance industry, and self-insured entities. The company's Crawford Claims Solutions segment offers claims management services related to property, casualty, and catastrophe losses caused by physical damage to commercial and residential real properties, and personal properties, as well as marine losses. It also offers services in the areas of field investigation, catastrophe, evaluation, and resolution of property and casualty insurance claims; and various on-demand inspection, verification, and other task specific field services for businesses and consumers through a mobile platform. Its Crawford TPA Solutions segment provides claims and risk management services; desktop claim adjusting and claims evaluation services; initial loss reporting services for claimants; loss mitigation services, such as medical bill review and case management, and vocational rehabilitation services; and risk management information services, as well as administers trust funds established to pay claims. It offers services for workers' compensation, auto and liability, disability absence and medical management, and accident and health markets. The company's Crawford Specialty Solutions segment offers claims management services related to large and complex losses in various industries, such as commercial property, aviation, forensic accounting, marine and transportation, retail, building and construction, cyber, and energy. It also provides a customer-centric solution for various loss types comprising high-frequency and low-complexity claims, and large complex repairs; and outsourced contractor management services to personal and commercial insurance carriers, and consumer markets. The company operates in the United States, the United Kingdom and the rest of Europe, Canada, Australia, and internationally. Crawford & Company was founded in 1941 and is based in Peachtree Corners, Georgia.

Crawford & Company Q1 2026 Earnings Call Transcript

Key Takeaways

• Negative Sentiment: Company profitability declined in Q1 with revenues of $309.5 million (‑1% YoY), non‑GAAP EPS of $0.16 (down from $0.21), and consolidated adjusted EBITDA falling to $22.4 million (7.2% of revenues), reflecting margin compression.
• Positive Sentiment: Operating cash flow improved to $3.3 million (up $17.2M YoY) and net debt is about $140 million with a leverage ratio of 1.62x EBITDA; the company maintained its quarterly dividend and repurchased over 525,000 shares, supporting shareholder returns and balance‑sheet flexibility.
• Positive Sentiment: Diversification helped performance: International Operations revenue rose 4.5% and operating earnings increased 80% (margin +120 bps), while Broadspire showed modest growth despite a one‑off client loss, underscoring strength outside U.S. weather‑dependent business.
• Negative Sentiment: Near‑term headwinds persist from benign U.S. weather—Q1 saw a 16% decline in U.S. severe storm support (≈6% reduction in weather‑related revenues) and management noted industry‑wide softness and downward pressure on insurance rates that could weigh on volumes and pricing.
• Positive Sentiment: Management highlighted an encouraging pipeline and go‑to‑market changes (two‑division structure and a unified U.S. sales approach), won $24 million of new/enhanced business in Q1, and is pursuing acqui‑hires and targeted M&A to drive future growth.

Presentation

[Operator]

Good morning. My name is Dustin, and I will be your conference facilitator today. At this time, I would like to welcome everyone to the Crawford & Company First Quarter 2026 earnings release conference call. In conjunction with this call, a supplementary financial presentation is available on our website at www.crawco.com under the Investor Relations section. All lines have been placed on mute to prevent any background noise. After the speakers' remarks, there will be a question-and-answer period. 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 is being recorded today, Tuesday, May 5th, 2026. Now, I would like to introduce Tami Stevenson, Crawford & Company's General Counsel.

[Tami Stevenson, General Counsel at Crawford & Company]

Thank you, Dustin. 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. 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 the 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. The company's actual results achieved in future quarters could differ materially from the results that may be implied by such forward-looking statements.

[Tami Stevenson, General Counsel at Crawford & Company]

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 to be expected for any future period. 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 31, 2026, filed with the Securities and Exchange Commission, particularly the information under the headings Risk Factors and Management's Discussion and Analysis of Financial Condition and Results of Operations, as well as subsequent company filings with the SEC. This presentation also includes certain non-GAAP financial measures as defined under SEC rules.

[Tami Stevenson, General Counsel at Crawford & Company]

As required, a reconciliation is provided for those measures to the most directly comparable GAAP measures. I would now like to introduce Mr. Bruce Swain, Chief Executive Officer of Crawford & Company. Bruce?

[W. Bruce Swain, Jr., President and CEO at Crawford & Company]

Good morning, and welcome to our First Quarter 2026 earnings call. I'm honored to be speaking with you today as President and CEO of Crawford & Company. Joining me today is Holly Boudreau, our Chief Financial Officer, and Tami Stevenson, our General Counsel. After our prepared remarks, we will open the call for your questions. As a reminder, Crawford is a global provider of claims management and outsourcing solutions, serving large insurance carriers and self-insured entities with industry-leading expertise across the claims landscape. Our purpose is to restore lives, businesses, and communities by providing our clients with dependable and comprehensive claims solutions and outcomes. As we mentioned on our fourth quarter call, effective January 1, 2026, we began operating under two divisions: U.S. Operations, comprised of our U.S. Property and Casualty and Broadspire businesses; and International Operations, which includes all service lines outside of the U.S.

[W. Bruce Swain, Jr., President and CEO at Crawford & Company]

We believe this streamlined operating model will strengthen execution, improve client outcomes, and drive continued growth across the business. As we've consistently demonstrated, our ability to deliver at scale across more than 70 countries with a team of 10,000 professionals and over $20 billion in claims managed annually sets us apart in a competitive and evolving marketplace. This global reach, combined with over eight decades of deep technical expertise and an unwavering commitment to service excellence and client success, allows us to meet the needs of the world's leading insurers and corporations, regardless of the size or complexity of the program. This combination of global presence, technical depth, and proven experience positions Crawford & Company as a trusted partner of choice for clients navigating an increasingly complex risk landscape across a variety of geographies and market conditions.

[W. Bruce Swain, Jr., President and CEO at Crawford & Company]

Our organic growth opportunities are underpinned by a combination of favorable industry dynamics and core capabilities. First, risk is becoming increasingly complex. As a result, clients are seeking partners with a demonstrated ability to handle high-severity claims with speed and efficiency, something that we're uniquely positioned to do globally. Second, as I just touched upon, we streamlined our operating structure at the start of 2026 to further improve efficiency and support continued scalable growth. It's our belief that this strengthened operating model in the U.S. will allow us to be a more agile and unified organization as we look to provide further value to our clients and partners. Third, our deep expertise and technology capabilities remain a true differentiator.

[W. Bruce Swain, Jr., President and CEO at Crawford & Company]

Our ongoing commitment to our people and cutting-edge technology translates into service excellence and performance differentiation in the markets we serve. Fourth, natural disasters remain a significant driver of sustained demand for our services. While individual weather events are inherently unpredictable, as we've experienced the last few quarters, the broader trajectory points towards an active and complex loss environment in which Crawford's service offerings are increasingly needed. Finally, growing complexity across the claims landscape is prompting more carriers and self-insured clients to search for dependable third-party administrators. Our global TPA operations have the scope, scale, and specialized knowledge required to help clients in today's increasingly challenging claims environment. Let me take a moment to discuss our first quarter 2026 results. We executed well in the quarter despite weather-related headwinds in the U.S. that we discussed on our 2025 year-end earnings call.

[W. Bruce Swain, Jr., President and CEO at Crawford & Company]

First quarter revenues were $309.5 million, down slightly compared to last year, reflected the continued trend of lower industry-wide property claims activity in the U.S. as we saw a continuation of relatively benign weather conditions to start the year. Importantly, our non-weather dependent businesses reflected quarter-over-quarter growth with Broadspire and International Operations reporting increased revenues compared to the prior year period, highlighting the benefit of our diversified operations. Consolidated operating earnings decreased by 23.2% year-over-year as a result of lower results in our U.S. Property and Casualty business and higher unallocated and corporate costs, partially offset by improved operating earnings in International Operations. Our non-GAAP EPS was $0.16 for both CRDA and CRDB compared to $0.21 for both share classes in the prior year quarter.

[W. Bruce Swain, Jr., President and CEO at Crawford & Company]

Operating cash flow was $3.3 million in the first quarter of 2026, improving by $17.2 million year-over-year and providing us with continued financial strength and flexibility. We added $24 million in new and enhanced business during the first quarter. Pipeline activity in the quarter was encouraging, and we have a continued focus on further sharpening our go-to-market approach to turn these opportunities into wins. Our leverage ratio was 1.62x EBITDA, well below industry levels, reflecting our disciplined capital management approach. We continue to have a thoughtful approach to capital allocation, strategically investing in our business with an eye towards long-term growth while ensuring continued balance sheet and liquidity strength. We maintained our quarterly dividend and opportunistically engaged in share repurchases during the quarter.

[W. Bruce Swain, Jr., President and CEO at Crawford & Company]

Beyond organic investment in returning capital to shareholders, we continually evaluate external growth opportunities, including targeting acquisitions and acqui-hires that can meaningfully broaden our capabilities and strengthen our position in the market. With that, I'll turn the call over to Holly for a deeper look at our first quarter financial performance.

[Holly Boudreau, CFO at Crawford & Company]

Thank you. As Bruce noted earlier, effective January 1st, 2026, we streamlined our operating structure and began operating under two divisions. U.S. Operations, which includes our U.S. Property and Casualty business and Broadspire. International Operations, which is made up of all service lines outside the U.S. In first quarter 2026, U.S. Property and Casualty, which consists of our U.S. loss adjusting and networks businesses, contributed 23% of revenues. Broadspire, our U.S.-based third-party administration business, represented 34% of revenues, and International Operations accounted for 43% of revenues. U.S. Property and Casualty revenues decreased 11.3% year-over-year, reflecting the absence of revenues associated with Hurricane Helene and Hurricane Milton, recognized in the first quarter of 2025, and continuing the trend of lower industry-wide property claims activity in the U.S.

[Holly Boudreau, CFO at Crawford & Company]

Operating earnings in the segment decreased by $2.2 million or 22.1% year-over-year, with operating margin down 150 basis points. Despite the extended trend of benign weather we're seeing, we remain well-positioned to serve our clients with a strong pool of high-caliber, experienced adjusters with expertise serving major and complex claims to drive future growth. Broadspire delivered quarterly revenues of $104.8 million, an increase of 1% from the prior year period, reflecting a slow ramp for certain new client wins. Our retention rate of 86% is related to the loss of a client in the quarter, and it's not indicative of any broader trends.

[Holly Boudreau, CFO at Crawford & Company]

The segment delivered operating earnings of $10.9 million, decreasing by $1.1 million or 9.4% year-over-year, with operating margin decreasing by 120 basis points, reflecting planned hiring in anticipation of new business wins. International Operations' first quarter 2026 revenue increased 4.5% to $131.9 million compared to the prior year. Revenue decreased 1.7% on a constant currency basis due to foreign exchange fluctuations. Operating earnings increased by $1.8 million or 80%, with operating margin increasing by 120 basis points. International's first quarter operating performance reflects the strong demand across key markets, as Australia and Asia specifically saw an increase in catastrophe-related claims events.

[Holly Boudreau, CFO at Crawford & Company]

Canada saw margin accretion from cost control initiatives started in 2025. For further context around the ongoing weather cycles, the first quarter of 2026 saw a 16% decline in U.S. severe storm support compared to the prior year, translating into a roughly 6% reduction in weather-related revenues to Crawford in the quarter. Notably, our weather-related revenues remained stable on a year-over-year basis, a testament to the balanced nature of our business and the strength of our underlying operation. Now for a look at our consolidated results. In the first quarter of 2026, company-wide revenues before reimbursements were $309.5 million, a decrease of 1% compared to the prior year period. Foreign exchange rates increased revenue before reimbursements by $7.8 million or 2.5%.

[Holly Boudreau, CFO at Crawford & Company]

GAAP net income attributable to shareholders totaled $4.9 million compared to net income of $6.7 million in the same period of 2025. GAAP diluted EPS in the 2026 first quarter was $0.10 for both CRDA and CRDB, a decrease from earnings of $0.13 for both share classes in the 2025 period. On a non-GAAP basis, diluted EPS was $0.16 for CRDA and CRDB, decreasing from $0.21 for both share classes in the prior year period. The company's non-GAAP operating earnings totaled $13.7 million in the 2026 first quarter, or 4.4% of revenues, compared to $17.8 million, or 5.7% of revenues in the prior year period.

[Holly Boudreau, CFO at Crawford & Company]

Consolidated adjusted EBITDA was $22.4 million in the 2026 first quarter, or 7.2% of revenues, decreasing from $26.8 million, or 8.6% of revenues in the 2025 quarter. The company's cash and cash equivalents as of March 31st, 2026 totaled $54.5 million compared to $64.1 million at December 31st, 2025. Total receivables were $260.8 million as of March 31st, 2026, up $18.2 million from 2025 year-end. The company's total debt outstanding as of March 31st, 2026 totaled $194.1 million, up $5 million from December 31st, 2025.

[Holly Boudreau, CFO at Crawford & Company]

Net debt was approximately $140 million as of March 31st, 2026, while our U.S. pension liability was $16.7 million, reflecting a funded ratio of 93.2%. We made no discretionary contributions to our U.S. defined pension benefit plan during the first quarter of 2026. Cash flows provided by operating activities for the first quarter of 2026 was $3.3 million, increasing from a use of cash of $13.9 million in the prior year quarter. Free cash flow was -$4.6 million in the 2026 first quarter, improving from -$23.2 million in the first quarter of 2025. Unallocated corporate costs were $8.8 million in the 2026 first quarter, compared to costs of $6.1 million in the 2025 period.

[Holly Boudreau, CFO at Crawford & Company]

The variance was driven by an increase in unallocated compensation expense and self-insurance reserves. Non-service pension costs were $2 million in the 2026 first quarter, a decrease from $2.3 million in the same period of 2025. During the first quarter of 2026, we paid a quarterly dividend of $0.075 a share. The company repurchased over 525,000 shares of CRDA and CRDB during the first quarter of 2026. Approximately 1.6 million shares remain eligible to be repurchased under our existing share purchase program as of March 31st, 2026. Now I'll turn the call back over to Bruce.

[W. Bruce Swain, Jr., President and CEO at Crawford & Company]

Thank you, Holly. As we conclude the first quarter of 2026, I'm proud of the progress we achieved despite weather-related headwinds to start the year. While recent claims activity is tracked below historical norms, our first quarter emphasis has been on building resilience by strengthening our operating foundation, sharpening our go-to-market approach, and positioning Crawford to be prepared when claim volumes return. As we continue through 2026, our focus remains on execution and creating the right conditions for our teams and ultimately our clients to succeed. We have a strong operational, financial, and leadership foundation, and I am confident that we're executing against the right priorities to deliver further shareholder value moving forward. Thank you for your time today and for your continued interest in Crawford. We look forward to updating you on our progress throughout 2026. Dustin, please open the call for questions.

[Operator]

Thank you. At this time, if you'd like to ask a question, please press star then the number one on your telephone keypad. To withdraw your question, press the pound key. 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 QA roster. Your first question comes from the line of Mark Hughes from Truist Securities. Please go ahead.

[Mark Hughes, Analyst at Truist Securities]

Yeah, thank you. Good morning.

[W. Bruce Swain, Jr., President and CEO at Crawford & Company]

Hey, good morning, Mark.

[Holly Boudreau, CFO at Crawford & Company]

Morning.

[Mark Hughes, Analyst at Truist Securities]

The Broadspire business, up a little bit. I think you talked about kind of a delay in new onboarding and maybe a particular client loss. How should that trend through the balance of the year? Are those going to kind of keep it steadied up a little bit, or would you expect that to potentially accelerate?

[W. Bruce Swain, Jr., President and CEO at Crawford & Company]

Yeah.

[Mark Hughes, Analyst at Truist Securities]

What does that mean from a margin standpoint?

[W. Bruce Swain, Jr., President and CEO at Crawford & Company]

Yeah. For Broadspire, we expect growth this year. The new business that's coming on, and we brought on a good bit of new business in the first quarter within Broadspire a little bit delayed, some with start dates later in the year. The impact in the first quarter also was due to the loss of that one program.

[W. Bruce Swain, Jr., President and CEO at Crawford & Company]

normal, which resulted in the 86% retention rate, you know. For that particular client, our retention rate would have been 93% or so. You know, we look at that one loss, it's just kind of an outlier was related to, you know, relationships that the company had with other providers and they had a change in risk management. Those things happen. We win programs that way, and sometimes we lose programs that way. That was just kind of an isolated item that we don't think is indicative of any, you know, longer term trends in the business. You know, Broadspire's got a great pipeline, and you know, we feel, you know, great about that business and look forward to them continuing to grow as they go through 2026.

[Mark Hughes, Analyst at Truist Securities]

Any observations about the underlying trend in just claims activity, the workers' comp claims, the need for claims management, any change there?

[W. Bruce Swain, Jr., President and CEO at Crawford & Company]

You know, our workers' compensation claims year-over-year held pretty steady. I think, you know, industry-wide, there's a general decline in comp claims, but severity certainly is going up. We're seeing severity increase in our book as well. That's what we're observing.

[Mark Hughes, Analyst at Truist Securities]

How about in the U.S. Property and Casualty, the Global Technical Services? I think, outside of the weather-related claims look like you held steady in U.S. Property and Casualty. What are you seeing in GTS? How do you think about the recruiting? I think you've mentioned the word acqui-hires.

[W. Bruce Swain, Jr., President and CEO at Crawford & Company]

Yeah

[Mark Hughes, Analyst at Truist Securities]

what's the prospect in 2026 there?

[W. Bruce Swain, Jr., President and CEO at Crawford & Company]

Yeah. You know, a lot of our GTS growth, in the U.S. in particular, has come from acqui-hires, where we've been recruiting teams and bringing them into Crawford to serve our clients. Typically, they bring a book with them as well. That's really driven a lot of growth in the U.S. We are active in that recruiting or acqui-hires initiative across the globe. It's not just centered in the U.S. We're doing it around the globe as well. We see, you know, Global Technical Services overall, not just within the U.S., but as a global proposition, as one of the key growth drivers for us going forward.

[Mark Hughes, Analyst at Truist Securities]

Then in the unallocated corporate, you had it looks like a bump in self-insurance expense. How much was that? I think you referred to a little higher administrative payroll. When you take those into account, how does that trend in the coming quarters?

[Holly Boudreau, CFO at Crawford & Company]

Yeah. That was about $800,000 in the quarter. I think trend in the coming quarters, I think it's probably, you know, no major increase expected.

[Mark Hughes, Analyst at Truist Securities]

Okay. All right. Very good. Thank you very much.

[W. Bruce Swain, Jr., President and CEO at Crawford & Company]

Okay. Thank you, Mark.

[Operator]

Thank you. Again, if you would like to ask a question, please press star and the number one on your telephone keypad. Our next question comes from the line of Kevin M. Steinke from Barrington Research. Please go ahead.

[Kevin M. Steinke, Analyst at Barrington Research]

Thank you. Good morning.

[W. Bruce Swain, Jr., President and CEO at Crawford & Company]

Hey, good morning, Kevin.

[Kevin M. Steinke, Analyst at Barrington Research]

Hey, I wanted to start off by asking about in your prepared comments, you mentioned encouraging pipeline activity, I believe you kind of tied that to your updated go-to-market strategy under the new segment operating structure. Maybe just any comments on initial traction you're seeing with the go-to-market strategy and what sort of opportunities you're seeing in the pipeline?

[W. Bruce Swain, Jr., President and CEO at Crawford & Company]

We do have a very strong pipeline, and it's a lot of it's related to the change in the operating structure in the U.S., where we've unified our sales organization in the U.S. to be not just related to, you know, Broadspire or U.S. loss adjusting or networks, but it all comes together into one unified whole. You know, we're still in the process of bedding in all of our process changes and organizational changes and go-to-market strategies and approaches in the business. We are seeing recognition in the marketplace of the benefits of a unified go-to-market approach. We're hearing that from our customers who see us as easier to engage and do business with.

[W. Bruce Swain, Jr., President and CEO at Crawford & Company]

It allows us to bring kind of the full strength of our service solutions to our customers in solving their underlying needs and objectives. That's the whole reason for doing this. It's gonna allow our teams to operate faster and more efficiently in serving our clients and provide a more integrated client experience. You know, we think that the benefits are just beginning to unfold and are really quite excited about this change in the U.S. We think it's going to deliver, you know, sustained value as we move forward through, you know, this year and into the future.

[Kevin M. Steinke, Analyst at Barrington Research]

Okay. That's helpful. When we think about the pipeline activity as well as the $24 million in new and enhanced business that you won in the quarter, are any particular segments that you're really seeing increased activity? Should we think about that as mostly Broadspire? Or is it kind of more broad-based across the segments?

[W. Bruce Swain, Jr., President and CEO at Crawford & Company]

You know, I would say that our strongest pipeline is within Broadspire. The pipeline is building within the U.S. and U.S. Property and Casualty business as well, and we see that continuing to strengthen. In terms of the wins, a mix of Broadspire wins, a few U.S. Property and Casualty wins, and then we had a nice win in our International Operations segment as well that made up the $24 million.

[Kevin M. Steinke, Analyst at Barrington Research]

Okay. You know, I think the changes you made with go-to-market, you talked about primarily in the U.S., but have there been any tweaks in the International Operations segment as well? You just mentioned a win there internationally, just wondering if you've kind of changed up the approach at all there as well.

[W. Bruce Swain, Jr., President and CEO at Crawford & Company]

I mean, within the realignment that we did, we moved Canada, which was previously in our North America Loss Adjusting segment. We moved that into International Operations. Now all non-U.S. operations are in our International Operations segment. You know, I would say that the go-to-market approach change has been most pronounced in the U.S. because in the U.S., as you remember, we were operating under as three distinct segment operations. You know, in International Operations, they were one business before. They just have another component that got added to them. Their go-to-market approach is, if you were in the U.K., it was a U.K. business approaching the U.K. market as one. That was the same last year and it hasn't changed.

[W. Bruce Swain, Jr., President and CEO at Crawford & Company]

I would say that the overall thing that we're doing within the company, and it touches all aspects of our operation, is, you know, being conscious and working to be more client-centric and putting, you know, our client success at the forefront of everything that we do and making client success our North Star. Driving that culture within the company is something that's transcending all aspects of our operations. You know, the, the core go-to-market approach in international is largely unchanged.

[Kevin M. Steinke, Analyst at Barrington Research]

Okay, great. Yeah, that makes sense. you know, you've been talking about the industry-wide level of outsourced claims activity being down just due to the more benign weather. Any updated thoughts on some of the affordability pressures you've talked about before in the U.S., just the you know, residential property market? Any signs maybe of loosening there in the industry?

[W. Bruce Swain, Jr., President and CEO at Crawford & Company]

Yeah. I think there are certainly signs of loosening, you know, particularly in the U.S. We saw that kind of exiting 2025, I think, in the renewal cycle so far in the first quarter. Rates are continuing to grind down. From everything that I see, it's starting to impact the casualty lines as well. So as, you know, property rates have been coming down, I think the carriers are looking at, you know, the casualty lines to compete in, and that's starting to put downward pressure on rates and, you know, the excess and surplus market is softening as well.

[W. Bruce Swain, Jr., President and CEO at Crawford & Company]

I see, you know, kind of that hitting the, you know, the softening, you know, kind of across the board in the U.S., maybe excepting certain, you know, really troubling lines. Generally, we're seeing softness. As you know, in the first quarter in the U.S. Property and Casualty, we had, you know, we were impacted by, you know, the lack of carryover of claims coming from, you know, hurricanes that didn't occur in the fourth quarter of 2025, and we had some carryover from Hurricanes Helene and Milton that didn't repeat, and you also had some capacity in the marketplace that kind of had our revenues and earnings down quarter-over-quarter.

[W. Bruce Swain, Jr., President and CEO at Crawford & Company]

You know, in March and certainly through April, we're seeing, you know, the severe convective storms in the U.S. generate, you know, a lot of claims. You know, those are certainly, you know, coming into the market and benefiting us as we sit here today.

[Kevin M. Steinke, Analyst at Barrington Research]

Okay. That's a helpful update. I appreciate you taking the questions. I will turn it back over.

[W. Bruce Swain, Jr., President and CEO at Crawford & Company]

Okay. Thanks, Kevin.

[Operator]

Thank you. We have reached the end of the question and answer session.

[W. Bruce Swain, Jr., President and CEO at Crawford & Company]

Okay.

[Operator]

I want to turn the call back over to Mr. Swain for closing remarks.

[W. Bruce Swain, Jr., President and CEO at Crawford & Company]

Okay. Thank you, Dustin. Thank you to all our employees, clients, and shareholders for your continued commitment to Crawford & Company. I hope you all have a great rest of the week. Thank you.

[Operator]

Thank you for participating in today's Crawford & Company conference call. This call will be available for replay beginning at 11:30 A.M. Eastern Standard Time today through 11:59 P.M. Eastern Standard Time on May 12th, 2026. The conference ID number for the replay is seven, nine, six, two, zero, seven, four, and a pound sign. The number to dial for the replay is one, eight hundred, seven, seven, zero two, zero, three, zero. Thank you. You may now disconnect.

Participants

Executives

• Holly Boudreau, CFO
• Tami Stevenson, General Counsel
• W. Bruce Swain, Jr., President and CEO

Analysts

• Kevin M. Steinke, Analyst at Barrington Research
• Mark Hughes, Analyst at Truist Securities