Heritage Insurance Q3 revenue beats estimates on higher new business premiums

Heritage Insurance Holdings

05/11/2025 22:42

Overview

Heritage Q3 2025 revenue beats analyst expectations, net income rises significantly

Net combined ratio improved to 72.9%, indicating better underwriting performance

Company repurchased 106,135 shares, announces new $25 mln share repurchase plan

Outlook

Heritage expects policy count to return to growth over the next six months

Result Drivers

UNDERWRITING DISCIPLINE - Heritage attributes improved net loss ratio to disciplined underwriting and rate adequacy

NEW BUSINESS GROWTH - New business premium increased by 166% due to reopened profitable geographies

FAVORABLE LOSS DEVELOPMENT - Lower weather losses and favorable reserve development improved net loss ratio

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q3 Revenue
Beat
$212.46 mln
$210.10 mln (2 Analysts)
Q3 EPS
$1.63
Q3 Combined Ratio
72.90%
Q3 Expense Ratio
34.60%


Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 2 "strong buy" or "buy", 1 "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 Heritage Insurance Holdings Inc is $31.50, about 24.1% above its November 4 closing price of $23.91

The stock recently traded at 6 times the next 12-month earnings vs. a P/E of 6 three months ago

Press Release: ID:nPn3fH4Wfa

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(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.)