Universal Insurance Q2 revenue rises, helped by higher net premiums earned

Universal Insurance Holdings

23/07/2026 21:22

    

    Overview
  
US property insurer's Q2 revenue rose 6.7% yr/yr, adjusted EPS up 49.6%
Results driven by higher net premiums earned and improved net loss ratio
Company repurchased $4.5 mln in shares during the quarter

    

    Outlook
  
Universal expects favorable claims and litigation trends to benefit non-catastrophe margins throughout the year
Company says Florida homeowners insurance market has stabilized following legislative reforms
Universal believes it is well positioned for sustained profitable growth due to improved reinsurance rates and new business pipeline

    

    Result Drivers
  
IMPROVED LOSS RATIO - Co said net loss ratio improved by 7.5 points yr/yr due to favorable claims and litigation trends, attributed to Florida legislative reforms
PREMIUM GROWTH - Direct premiums written rose 4.1% yr/yr, driven by strong retention and new business, with growth in Florida and other states
HIGHER INVESTMENT INCOME - Net investment income increased due to higher fixed income reinvestment yields and higher invested assets

    
Company press release: ID:nBwLf3Vda

    

    Key Details
  

            Metric
          

            Beat/Miss
          

            Actual
          

            Consensus Estimate
          
Q2 Revenue
 
$427.03 mln
$381.58 mln (1 Analyst)
Q2 Core Revenue
 
$419.38 mln
 
Q2 Adjusted Net Income
 
$53.41 mln
 
Q2 Net Income
 
$59.19 mln
 

    

    Analyst Coverage
  
The current average analyst rating on the shares is "hold" and the breakdown of recommendations is no "strong buy" or "buy", 2 "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 Universal Insurance Holdings Inc is $31.40, about 16.9% below its July 22 closing price of $37.80
The stock recently traded at 8 times the next 12-month earnings vs. a P/E of 9 three months ago

    

    Reuters Recommended Reads
  
July 21 - Neptune Insurance Q2 revenue rises 33% on record new business sales
July 21 - Insurer Chubb posts higher second-quarter profit on strong underwriting business
July 22 - RLI Q2 net earnings rise as net investment income increases

    
For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(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.)