Brief: Employers Holdings Q2 EPS USD 1.23

Employers Holdings

30/07/2025 21:15

Removes the word "adjusted" from overview and headline

Overview

Employers Holdings Q2 rev decreases 2% yr/yr, net premiums earned up 6%

EPS excluding LPT beats analysts' expectations

Co returns $31.4 mln to shareholders via dividends and share repurchases

Outlook

Company plans full actuarial study in Q3 2025 to assess claim trends

Employers Holdings focuses on profitability over growth in future quarters

Company sees increased uncertainty due to rise in cumulative trauma claims

Employers Holdings reallocates reserves due to recent claim trends

Result Drivers

PREMIUMS MIX - Gross premiums written decreased due to reductions in middle market new business, while smaller policy size bands grew

CLAIMS IMPACT - Loss and loss adjustment expenses rose due to increased cumulative trauma claims in California, affecting reserve allocations

EXPENSE RATIO - Commission and underwriting expense ratios improved due to lower agency incentive accruals and increased automation

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q2 Revenue
$203.30 mln
Q2 EPS ex LPT
Beat
$1.16
$0.99 (4 Analysts)
Q2 EPS
$1.23
Q2 Net Income Ex LPT
Beat
$28 mln
$23.40 mln (2 Analysts)
Q2 Net Income
$29.70 mln
Q2 Pretax Profit
$37 mln


Analyst Coverage

The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 1 "strong buy" or "buy", 3 "hold" and no "sell" or "strong sell"

The average consensus recommendation for the property & casualty insurance peer group is "buy."

Wall Street's median 12-month price target for Employers Holdings Inc is $55.50, about 16.8% above its July 29 closing price of $46.18

The stock recently traded at 13 times the next 12-month earnings vs. a P/E of 14 three months ago

Press Release: ID:nGNX7HwcZP

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)