Slide 1: Citizens Inc. - Expand EPS Through Revenue Growth and Operating Leverage
CITIZENS INC. EXPAND EPS THROUGH REVENUE GROWTH AND OPERATING LEVERAGE INHERENT IN OUR BUSINESS MODEL OCTOBER 2025 WWW.CITIZENSINC.COM NYSE: CIA
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Slide 3: Safe Harbor Statement
SAFE HARBOR STATEMENT This presentation contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, that involve risks and uncertainties. All statements other than statements of historical facts contained in this presentation, including statements
Slide 4: Company Overview
Company Overview \CcITIZENS ©
Slide 5: Citizens Overview (NYSE: CIA)
CITIZENS OVERVIEW (NYSE: CIA) We specialize in offering International life and endowment products and Domestic final expense insurance in niche markets globally that build on our sustainable competitive advantages Policyholders 250 Employees In More Than 3,300+ $1.7B Assets Producing 75 Agents Count
Slide 6: Company Snapshot
COMPANY SNAPSHOT Our Markets We deliver U.S. dollar-denominated whole life and endowment insurance policies International Majority of premiums originate in Latin American countries Life Insurance • Additional premiums sales in Taiwan Over 45 years serving this market We deliver whole life insurance
Slide 7: Uniquely Positioned for Growth Opportunities
UNIQUELY POSITIONED FOR GROWTH OPPORTUNITIES PERSISTENT CUSTOMER BASE EXPANSION IN LARGE, GROWING UNDERSERVED NICHE MARKETS GLOBALLY Capital is invested in a more secure economic environment (the U.S.) U.S. Dollar Denominated Protection against devaluation of the policyowners' local currency Product
Slide 8: Strategic Roadmap
Strategic Roadmap \CcITIZENS ©
Slide 9: Company Timeline
COMPANY TIMELINE 2021 Transformational strategic growth roadmap initiated 2020 2021 to 2023 • Over 20 new products or product enhancements CEO, Gerald • Added sought-after white-labeled products by Shields joins established fast-growing agency partners Citizens • A.M. Best Financial Rating B++; Rejo
Slide 10: Strategic Roadmap Is On Track
STRATEGIC ROADMAP IS ON TRACK OUR DIFFERENTIATED BUSINESS MODEL AND STRONG EXECUTION FUEL MEANINGFUL GROWTH 3.0000 Drive Revenues and EPS Growth Jon Stenberg, President and Chief Executive Officer: The critical steps in our strategic roadmap to accelerate growth are delivering 2.5000 tangible result
Slide 11: Strategic Roadmap Priorities
STRATEGIC ROADMAP PRIORITIES WE ARE DELIVERING ON OUR COMMITMENTS 2024 2025E Accelerate Profitable Growth Our 2024 record setting results are a testament to Priorities: Our Strategic Roadmap is designed to deliver the significant transformation of Citizens: ▪ Increase first year premium revenues ope
Slide 12: Recent Accomplishments
ACCOMPLISHMENTS MIX SHIFT TO HIGHER GROWTH OPPORTUNITIES INITIATIVES Rapid expansion of sales force Clear and defined runway for geographic Disciplined expense and expansion capital management Rapidly develop innovative products Advantages in growing niche markets globally ▪ Record number of global
Slide 13: Executing on Success
EXECUTING ON SUCCESS STRONG NEW BUSINESS PIPELINE Direct First Year Life and A&H Premiums New & Innovative Products $33.0 $19.2 30 Successful Selling Campaigns +33% y/y Growing Distributor Relationships in 1H 2025 20 $19.3 $17.8 Positive results $16.0 $17.5 $18.3 $13.8 10 2020 2021 2022 2023 2024 20
Slide 14: Revenue Growth Drivers: Our Life Insurance Segment
REVENUE GROWTH DRIVERS: OUR LIFE INSURANCE SEGMENT STRONG EXECUTION ON OUR ADVANTAGES IN GROWING NICHE MARKETS GLOBALLY U.S. Domestic growth drivers: Licensed in 43 U.S. States • Increased licenses to 43 underpenetrated U.S. states and Washington, DC and Washington, DC • New final expense products 4
Slide 15: Driving Superior Results
DRIVING SUPERIOR RESULTS Total Direct Insurance In Force Strong client demand drove the growth of insurance in force, a 6.2% y/y increase in FY 2024 5,500 • Highest-ever total direct insurance in force of $5.35B $5,347 • New business and in force are actively managed to $5,228 maintain financial tar
Slide 16: EPS Growth Driver: Anticipate Reduced Endowment Benefit Payments After 2025
EPS GROWTH DRIVER: ANTICIPATE REDUCED ENDOWMENT BENEFIT PAYMENTS AFTER 2025 The strongest headwind is anticipated in 2025 due (in millions) Matured Endowment Benefit Payments to the sales of life insurance endowment products $80.0 in early 2000’s: Actual Estimates • Endowment policies are progressiv
Slide 17: Shareholder Returns
SHAREHOLDER RETURNS Book Value Per Share, Ex-AOCI Shareholder Equity, Ex-AOCI $7.00 $millions $6.50 $6.14 $6.22 $5.85 $400 $6.00 $5.50 $5.31 $5.00 $4.78 $313 $306 $4.50 $300 $290 $265 $4.00 $239 $84 $96 $3.50 $118 $3.00 $200 $137 $2.50 $139 $2.00 $1.50 $210 $229 $100 $172 $1.00 $128 $100 $0.50 $0.00
Slide 18: Process Improvements & Technology Drives Efficiency
PROCESS IMPROVEMENTS & TECHNOLOGY DRIVES EFFICIENCY MAKING IT EASIER TO DO BUSINESS WITH CITIZENS Sales & Distribution Self-service Platform Developed digital sales and Enhanced policyholder and agent servicing platforms to improve self-services platform with new distribution capabilities capabiliti
Slide 19: Financial Overview
Financial Overview \CcITIZENS ©
Slide 20: Low Risk Profile and Financial Strength
LOW RISK PROFILE AND FINANCIAL STRENGTH • Low risk business model with traditional products and conservative investment approach Disciplined Conservative • Strong balance sheet underpinned by a prudent Approach to Investment approach to: Capital and Portfolio Liquidity o Investment portfolio mix o P
Slide 21: Investment Portfolio
INVESTMENT PORTFOLIO HIGH-QUALITY AND WELL-DIVERSIFIED Cash and Invested Assets 6/30/25 • Fixed income and cash securities represent 88% of the investment portfolio 7% Long-term and • 99% of fixed income investments Equity Investments rated investment grade 4% Policy Loans • Annualized investment yi
Slide 22: Capital Adequacy and Liquidity
CAPITAL ADEQUACY AND LIQUIDITY Risk Based Capital Ratio (%) Our Puerto Rico Company (TAC/ACL RBC) Capital Ratio 700% 8.0 623% 6.6 7.0 600% 6.0 Management’s 500% 5.0 objective is 400% less than 7.0A Minimum 350% 4.0 300% 3.0 200% 2.0 100% 1.0 0% 0.0 2024 2024 RBC Ratio (%) Premium to Surplus Ratio AO
Slide 23: Income Statement
INCOME STATEMENT Reconciliation of Adjusted Total Revenues1 Performance Highlights • Total revenues of $65.1 in Q2 2025 from $62.1 in year ago quarter • Adjusted total revenues, which excludes investment related gains (losses), of $62.7 million in Q2 2025 from $62.3 million in year ago quarter, driv
Slide 24: Income Statement (Cont'd)
INCOME STATEMENT (CONT’D) Reconciliation of Adjusted Income Before Federal Income Tax2 Reconciliation of Adjusted Earnings Per Class A Common Share4 Reconciliation of Adjusted After-Tax Operating Income3 Performance Highlights • Income before federal income tax of $6.9 million in Q2 2025 increased f
Slide 25: Stockholders' Equity and Book Value Per Share
STOCKHOLDERS’ EQUITY AND BOOK VALUE PER SHARE Reconciliation of Stockholders’ Equity and Book Value Per Class A Common Share5 Performance Highlights • Book value per share (GAAP) grew 18% y/y, and book value per share excluding AOCI grew 3% y/y Explanatory Notes on Use of Non-GAAP Measures is the la
Slide 26: Explanatory Notes on Use of Non-GAAP Measures
EXPLANATORY NOTES ON USE OF NON-GAAP MEASURES In addition to the financial information prepared in conformity with accounting U.S. generally accepted accounting principles (“GAAP”), in this press release, the Company provides certain non-GAAP financial measures that we believe improves understanding
Slide 27: Citizens
SC CITIZENS
Slide 28: Appendix
Appendix \CcITIZENS ©
Slide 29: Dedicated & Experienced Management Team
DEDICATED & EXPERIENCED MANAGEMENT TEAM INTERDISCIPLINARY TEAM WITH BROAD CAPABILITIES JON STENBERG JEFFERY P. CONKLIN CEO and President CEO and Chief Financial Officer and Treasurer, Chief CFO Since ’19 PRESIDENT Investment Officer Joined ’17 Joined ‘24 Paula Guerrero CIO SHERYL KINLAW Chief Inform