Essent Group Earnings Call Transcripts
Fiscal Year 2026
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Q2 2026 saw strong net income, EPS growth, and stable MI portfolio performance, with robust capital returns and a positive long-term outlook despite near-term affordability constraints. Strategic investments and reinsurance expansion support future growth.
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Q1 2026 net income reached $172M ($1.82/share) with 12% ROE and 11% book value growth. MI in force rose 1% year-over-year, credit quality remains strong, and capital returns exceeded $200M in share repurchases YTD. Housing affordability and rates remain key headwinds.
Fiscal Year 2025
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Strong Q4 and full year 2025 results were driven by positive credit trends, high persistency, and disciplined capital management, with robust earnings, a 13% increase in book value per share, and nearly 10% of shares repurchased. Modest growth is expected near term amid stable credit quality and a cautious outlook on market conditions.
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Net income for Q3 2025 was $164 million with EPS of $1.67, and mortgage insurance in force rose 2% year-over-year. Persistency remained high at 86%, and capital returns to shareholders accelerated with a new $500 million buyback authorization.
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Q2 2025 net income was $195M with strong credit performance and investment income. Persistency and capital remain robust, with $247B insurance in force and a 14% ROE. Moody’s upgraded ratings, and $390M in share repurchases were completed YTD.
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Q1 2025 net income was $175M with strong credit quality and persistency, supported by higher rates and investment yields. Share repurchases exceeded $200M year-to-date, and the board approved a $0.31 dividend for Q2. Long-term housing demand remains a key growth driver.
Fiscal Year 2024
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Net income for Q4 2024 was $168 million, with full-year net income at $729 million and strong credit quality maintained. The board approved an 11% dividend increase and a $500 million share repurchase, while capital and liquidity remain robust.
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Q3 2024 net income was $176M with stable EPS and strong portfolio quality. Default rates rose due to portfolio seasoning and forbearance normalization, but claim risk remains low. Capital position is robust, with $6.4B in investments and new reinsurance and debt facilities.
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Q2 2024 net income rose to $204M with strong credit quality and a 15% ROE. Persistency and investment income benefited from higher rates, while disciplined expense management and capital actions further strengthened the balance sheet. Housing demand remains robust amid supply constraints.