First American Financial Reports Strong Q4 Earnings

Commercial title activity and improved profitability drive results despite sluggish residential purchase market.

Published on Feb. 15, 2026

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First American Financial (NYSE:FAF) reported strong fourth quarter earnings, with adjusted EPS of $1.99, up 47% from the prior year. The results were driven by continued momentum in commercial title activity and improved profitability, despite a still-sluggish residential purchase market. The company cited one-time benefits, technology initiatives, and growth in commercial, purchase, and refinance revenue as key factors in the quarter.

Why it matters

First American Financial's results provide insights into the broader real estate and title insurance market, with the company's performance reflecting trends in commercial, residential purchase, and refinance activity. The company's investments in technology and focus on productivity gains are also noteworthy as the industry navigates a shifting landscape.

The details

Commercial title revenue increased 35% to $339 million, supported by both higher pricing and volume. Residential purchase activity remained under pressure, with purchase revenue falling 4% due to a 7% decline in closed orders. Refinance revenue rose 47% year-over-year. The company highlighted several technology initiatives, including the launch of Endpoint, an AI-powered escrow platform, and the expansion of its Sequoia AI engine for title production. Expenses rose with performance and volumes, with personnel costs up 11% and other operating expenses up 7%.

  • First American Financial reported Q4 2025 earnings on February 15, 2026.
  • The company launched its Endpoint platform in December 2025 and has since opened 153 orders and closed 47.

The players

First American Financial

A leading provider of title insurance, settlement services and real estate-related data and analytics, headquartered in Santa Ana, California.

Matt Wajner

Chief Financial Officer of First American Financial.

Dennis Seaton

Chief Executive Officer of First American Financial.

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What they’re saying

“We must not let individuals continue to damage private property in San Francisco.”

— Robert Jenkins, San Francisco resident (San Francisco Chronicle)

“Fifty years is such an accomplishment in San Francisco, especially with the way the city has changed over the years.”

— Gordon Edgar, grocery employee (Instagram)

What’s next

The company plans a national rollout of its Endpoint platform over the next two years and expects to expand its Sequoia AI engine for title production to California and Florida by the end of 2026, followed by a broader national rollout in 2027.

The takeaway

First American Financial's strong fourth quarter results highlight the company's ability to adapt to shifting market conditions, with investments in technology and a focus on productivity gains helping to drive profitability despite challenges in the residential purchase market. The company's performance provides a window into the broader real estate and title insurance industry, which continues to navigate a dynamic landscape.