UVE Universal Insurance Holdings Inc

• Diluted GAAP earnings per common share (EPS) of $0.21; diluted adjusted* EPS of $0.25
• Annualized return on average common equity (“ROCE”) of 6.2%, annualized adjusted* ROCE of 6.5%
• Direct premiums written of $470.9 million, up 8.8% from the prior year quarter
• Book value per share of $13.28, up 12.7% year-over-year; adjusted book value per share of $15.53, up 8.3% year-over-year
• Total capital returned to shareholders of $16.2 million, including $7.7 million of share repurchases, a $0.16 per share regular dividend and a $0.13 per share special dividend

Universal Insurance Holdings (NYSE: UVE) (“Universal” or the “Company”) reported fourth quarter and full year 2024 results.

* Reconciliations of GAAP to non-GAAP financial measures are provided in the attached tables.

“In 2024, we experienced three hurricanes, including Debbie, Helene and Milton, and we’re working hard, as we always do, to help our customers restore their lives,” said Stephen J. Donaghy, Chief Executive Officer. “We continue to see progress relative to claims trends in our Florida book and recently filed a modest rate decrease in the state that’s directly correlated with the legislative changes made in December 2022. We’re already well underway negotiating and placing our 2025 reinsurance program with 92% of our first event catastrophe tower already placed as we stand here today, along with significant additional multi-year capacity secured for the 2026 hurricane season.”

Summary Financial Results

($thousands, except per share data)

Three Months Ended December 31,

 

 

Twelve Months Ended December 31,

 

2024

 

2023

 

Change

 

 

2024

 

2023

 

Change

GAAP comparison

 

 

 

 

 

 

 

 

 

 

 

 

Total revenues

$

384,809

 

 

$

375,456

 

 

2.5

%

 

 

$

1,520,536

 

 

$

1,391,582

 

 

9.3

%

Operating income

$

8,957

 

 

$

27,531

 

 

(67.5

)%

 

 

$

91,087

 

 

$

94,880

 

 

(4.0

)%

Operating income margin

 

2.3

%

 

 

7.3

%

 

(5.0) pts

 

 

 

6.0

%

 

 

6.8

%

 

(0.8) pts

 

 

 

 

 

 

 

 

 

 

 

 

 

Net income available to common stockholders

$

6,016

 

 

$

19,997

 

 

(69.9

)%

 

 

$

58,918

 

 

$

66,813

 

 

(11.8

)%

Diluted earnings per common share

$

0.21

 

 

$

0.68

 

 

(69.1

)%

 

 

$

2.01

 

 

$

2.22

 

 

(9.5

)%

 

 

 

 

 

 

 

 

 

 

 

 

 

Annualized ROCE

 

6.2

%

 

 

24.9

%

 

(18.7) pts

 

 

 

16.5

%

 

 

21.2

%

 

(4.7) pts

Book value per share, end of period

$

13.28

 

 

$

11.78

 

 

12.7

%

 

 

 

13.28

 

 

$

11.78

 

 

12.7

%

 

 

 

 

 

 

 

 

 

 

 

 

 

Non-GAAP comparison1

 

 

 

 

 

 

 

 

 

 

 

 

Core revenue

$

386,414

 

 

$

365,705

 

 

5.7

%

 

 

$

1,511,915

 

 

$

1,380,765

 

 

9.5

%

Adjusted operating income

$

10,562

 

 

$

17,780

 

 

(40.6

)%

 

 

$

82,466

 

 

$

84,063

 

 

(1.9

)%

Adjusted operating income margin

 

2.7

%

 

 

4.9

%

 

(2.2) pts

 

 

 

5.5

%

 

 

6.1

%

 

(0.6) pts

 

 

 

 

 

 

 

 

 

 

 

 

 

Adjusted net income available to common stockholders

$

7,226

 

 

$

12,645

 

 

(42.9

)%

 

 

$

52,418

 

 

$

58,657

 

 

(10.6

)%

Adjusted diluted earnings per common share

$

0.25

 

 

$

0.43

 

 

(41.9

)%

 

 

$

1.79

 

 

$

1.95

 

 

(8.2

)%

 

 

 

 

 

 

 

 

 

 

 

 

 

Annualized adjusted ROCE

 

6.5

%

 

 

12.4

%

 

(5.9) pts

 

 

 

12.4

%

 

 

14.7

%

 

(2.3) pts

Adjusted book value per share, end of period

$

15.53

 

 

$

14.34

 

 

8.3

%

 

 

$

15.53

 

 

$

14.34

 

 

8.3

%

 

 

 

 

 

 

 

 

 

 

 

 

 

Underwriting Summary

 

 

 

 

 

 

 

 

 

 

 

 

Premiums:

 

 

 

 

 

 

 

 

 

 

 

 

Premiums in force

$

2,079,069

 

 

$

1,934,369

 

 

7.5

%

 

 

$

2,079,069

 

 

$

1,934,369

 

 

7.5

%

Policies in force

 

855,526

 

 

 

809,932

 

 

5.6

%

 

 

 

855,526

 

 

 

809,932

 

 

5.6

%

 

 

 

 

 

 

 

 

 

 

 

 

 

Direct premiums written

$

470,895

 

 

$

432,617

 

 

8.8

%

 

 

$

2,069,692

 

 

$

1,921,833

 

 

7.7

%

Direct premiums earned

$

519,339

 

 

$

482,126

 

 

7.7

%

 

 

$

1,999,805

 

 

$

1,875,129

 

 

6.6

%

Ceded premiums earned

$

(170,985

)

 

$

(146,728

)

 

16.5

%

 

 

$

(626,732

)

 

$

(623,193

)

 

0.6

%

Ceded premium ratio

 

32.9

%

 

 

30.4

%

 

2.5 pts

 

 

 

31.3

%

 

 

33.2

%

 

(1.9) pts

Net premiums earned

$

348,354

 

 

$

335,398

 

 

3.9

%

 

 

$

1,373,073

 

 

$

1,251,936

 

 

9.7

%

 

 

 

 

 

 

 

 

 

 

 

 

 

Net ratios:

 

 

 

 

 

 

 

 

 

 

 

 

Loss ratio

 

82.3

%

 

 

81.9

%

 

0.4 pts

 

 

 

79.2

%

 

 

79.3

%

 

(0.1) pts

Expense ratio

 

25.6

%

 

 

21.8

%

 

3.8 pts

 

 

 

24.9

%

 

 

24.3

%

 

0.6 pts

Combined ratio

 

107.9

%

 

 

103.7

%

 

4.2 pts

 

 

 

104.1

%

 

 

103.6

%

 

0.5 pts

 

 

 

 

 

 

 

 

 

 

 

 

 

1 Reconciliation of GAAP to non-GAAP financial measures are provided in the attached tables. Adjusted net income (loss) available to common stockholders, adjusted diluted earnings (loss) per common share and core revenue exclude net realized gains (losses) on investments and net change in unrealized gains (losses) on investments. Adjusted operating income (loss) excludes the items above and interest and amortization of debt issuance costs. Adjusted book value per share excludes accumulated other comprehensive income (loss), net of taxes. Adjusted ROCE is calculated by dividing annualized adjusted net income (loss) available to common stockholders by average adjusted book value per share, with the denominator further excluding current period after-tax net realized gains (losses) on investments and net change in unrealized gains (losses) on investments.

Net Income and Adjusted Net Income

Net income available to common stockholders was $6.0 million, down from net income of $20.0 million in the prior year quarter, and adjusted net income available to common stockholders was $7.2 million, down from adjusted net income of $12.6 million in the prior year quarter. The decrease in adjusted net income mostly stems from lower underwriting income, partly offset by higher net investment income and commission revenue.

Revenues

Revenue was $384.8 million, up 2.5% from the prior year quarter and core revenue was $386.4 million, up 5.7% from the prior year quarter. The increase in core revenue primarily stems from higher net premiums earned, net investment income and commission revenue.

Direct premiums written were $470.9 million, up 8.8% from the prior year quarter. The increase stems from 0.8% growth in Florida and 38.4% growth in other states. Overall growth mostly reflects higher policies in force, higher rates and inflation adjustments.

Direct premiums earned were $519.3 million, up 7.7% from the prior year quarter. The increase stems from direct premiums written growth over the past twelve months.

The ceded premium ratio was 32.9%, up from 30.4%, in the prior year quarter. The increase primarily reflects replacement of the Reinsurance to Assist Policyholders (RAP) layer, which was provided by the state of Florida, with private market coverage.

Net premiums earned were $348.4 million, up 3.9% from the prior year quarter. The increase is primarily attributable to higher direct premiums earned, partly offset by a higher ceded premium ratio, as described above.

Net investment income was $15.6 million, up from $13.7 million in the prior year quarter. The increase primarily stems higher fixed income reinvestment yields and higher invested assets.

Commissions, policy fees and other revenue were $22.5 million, up 35.6% from the prior year quarter. The increase primarily reflects replacement of the RAP layer with private market coverage and replacement of the catastrophe bond with traditional reinsurance coverage in the 2024-2025 program.

Margins

The operating income margin was 2.3%, down from an operating income margin of 7.3% in the prior year quarter. The adjusted operating income margin was 2.7%, down from an adjusted operating income margin of 4.9% in the prior year quarter. The lower adjusted operating income margin primarily reflects a higher net combined ratio, partly offset by higher net investment income and commission revenue.

The net loss ratio was 82.3%, up 0.4 points compared to the prior year quarter. The increase primarily reflects higher weather losses, primarily from Hurricane Milton, partly offset by more favorable prior year reserve development.

The net expense ratio was 25.6%, up 3.8 points from 21.8% in the prior year quarter. The increase was primarily driven by higher policy acquisition costs associated with growth outside Florida and higher other operating costs.

The net combined ratio was 107.9%, up 4.2 points compared to the prior year quarter. The increase reflects higher net loss ratio and expense ratios, as described above.

Capital Deployment

During the fourth quarter, the Company repurchased approximately 370 thousand shares at an aggregate cost of $7.7 million. The Company’s current share repurchase authorization program has $2.6 million remaining.

On February 6, 2025, the Board of Directors declared a regular quarterly cash dividend of 16 cents per share of common stock, payable March 14, 2025 to shareholders of record as of the close of business on March 7, 2025.

Conference Call and Webcast

• Wednesday, February 26, 2025 at 10:00 a.m. ET
• Investors and other interested parties may listen to the call by accessing the online, real-time webcast at universalinsuranceholdings.com/investors or by registering in advance via teleconference at https://register.vevent.com/register/BIb9ed7bf57ebb4ae697ac54467570a179. Once registration is completed, participants will be provided with a dial-in number containing a personalized conference code to access the call. An online replay of the call will be available at universalinsuranceholdings.com/investors shortly after the investor call concludes.

About Universal

Universal Insurance Holdings, Inc. (NYSE: UVE) is a holding company providing property and casualty insurance and value-added insurance services. We develop, market, and write insurance products for consumers predominantly in the personal residential homeowners lines of business and perform substantially all other insurance-related services for our primary insurance entities, including risk management, claims management and distribution. We provide insurance products in the United States through both our appointed independent agents and our direct online distribution channels, primarily in Florida. Learn more at universalinsuranceholdings.com or get an insurance quote at Clovered.com.

Non-GAAP Financial Measures and Key Performance Indicators

This press release contains non-GAAP financial measures within the meaning of Regulation G promulgated by the U.S. Securities and Exchange Commission (“SEC”), including core revenue, adjusted net income available to common stockholders and diluted adjusted earnings (loss) per common share, which exclude the impact of net realized gains (losses) on investments and net change in unrealized gains (losses) on investments. Adjusted operating income (loss) and adjusted operating income (loss) margin exclude the impact of net realized gains (losses) on investments and net change in unrealized gains (losses) on investments and interest and amortization of debt issuance costs. Adjusted common stockholders’ equity and adjusted book value per share exclude accumulated other comprehensive income (loss) (AOCI), net of taxes. Adjusted return on common equity excludes after-tax net realized gains (losses) on investments and net change in unrealized gains (losses) on investments from the numerator and AOCI, net of taxes, and current period after-tax net realized gains (losses) on investments and net change in unrealized gains (losses) on investments from the denominator. A “non-GAAP financial measure” is generally defined as a numerical measure of a company’s historical or future performance that excludes or includes amounts, or is subject to adjustments, so as to be different from the most directly comparable measure calculated and presented in accordance with generally accepted accounting principles (“GAAP”). UVE management believes that these non-GAAP financial measures are meaningful, as they allow investors to evaluate underlying revenue and profitability trends and enhance comparability across periods. When considered together with the GAAP financial measures, management believes these metrics provide information that is useful to investors in understanding period-over-period operating results separate and apart from items that may, or could, have a disproportionately positive or negative impact on results in any particular period. UVE management also believes that these non-GAAP financial measures enhance the ability of investors to analyze UVE’s business trends and to understand UVE’s operational performance. UVE’s management utilizes these non-GAAP financial measures as guides in long-term planning. Non-GAAP financial measures should be considered in addition to, and not as a substitute for or superior to, financial measures presented in accordance with GAAP. For more information regarding our key performance indicators, please refer to the section titled “Management’s Discussion and Analysis of Financial Condition and Results of Operations – Key Performance Indicators” in our forthcoming Annual Report on Form 10-K for the year ended December 31, 2024.

Forward-Looking Statements

This press release may contain “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. The words “believe,” “expect,” “anticipate,” “will,” “plan,” and similar expressions identify forward-looking statements, which speak only as of the date the statement was made. Such statements may include commentary on plans, products and lines of business, marketing arrangements, reinsurance programs and other business developments and assumptions relating to the foregoing. Forward-looking statements are inherently subject to risks and uncertainties, some of which cannot be predicted or quantified, including those risks and uncertainties described under the heading “Risk Factors” and “Liquidity and Capital Resources” in our 2024 Annual Report on Form 10-K, and supplemented in our subsequent Quarterly Reports on Form 10-Q. Future results could differ materially from those described, and the Company disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise. For further information regarding risk factors that could affect the Company’s operations and future results, refer to the Company’s reports filed with the Securities and Exchange Commission, including the Company’s Annual Report on Form 10-K and the most recent quarterly reports on Form 10-Q.

UNIVERSAL INSURANCE HOLDINGS, INC. AND SUBSIDIARIES

CONSOLIDATED BALANCE SHEETS (UNAUDITED)

(in thousands, except per share data)

 

 

 

December 31,

 

December 31,

 

 

2024

 

2023

ASSETS

 

 

 

 

Invested Assets

 

 

 

 

Fixed maturities, at fair value

 

$

1,269,079

 

 

$

1,064,330

 

Equity securities, at fair value

 

 

77,752

 

 

 

80,495

 

Other investments, at fair value

 

$

16,123

 

 

$

10,434

 

Investment real estate, net

 

 

8,322

 

 

 

5,525

 

Total invested assets

 

 

1,371,276

 

 

 

1,160,784

 

Cash and cash equivalents

 

 

259,441

 

 

 

397,306

 

Restricted cash and cash equivalents

 

 

2,635

 

 

 

2,635

 

Prepaid reinsurance premiums

 

 

262,716

 

 

 

236,254

 

Reinsurance recoverable

 

 

627,617

 

 

 

219,102

 

Premiums receivable, net

 

 

77,936

 

 

 

77,064

 

Property and equipment, net

 

 

48,653

 

 

 

47,628

 

Deferred policy acquisition costs

 

 

121,178

 

 

 

109,985

 

Deferred income tax asset, net

 

 

42,163

 

 

 

43,175

 

Goodwill

 

 

2,319

 

 

 

2,319

 

Other assets

 

 

25,927

 

 

 

20,309

 

TOTAL ASSETS

 

$

2,841,861

 

 

$

2,316,561

 

 

 

 

 

 

LIABILITIES AND STOCKHOLDERS' EQUITY

 

 

 

 

LIABILITIES:

 

 

 

 

Unpaid losses and loss adjustment expenses

 

$

959,291

 

 

$

510,117

 

Unearned premiums

 

 

1,060,446

 

 

 

990,559

 

Advance premium

 

 

46,237

 

 

 

48,660

 

Income taxes payable

 

 

6,561

 

 

 

5,886

 

Reinsurance payable, net

 

 

220,328

 

 

 

191,850

 

Commission payable

 

 

25,931

 

 

 

20,989

 

Long-term debt, net

 

 

101,243

 

 

 

102,006

 

Other liabilities and accrued expenses

 

 

48,574

 

 

 

105,197

 

Total liabilities

 

 

2,468,611

 

 

 

1,975,264

 

STOCKHOLDERS' EQUITY:

 

 

 

 

Cumulative convertible preferred stock ($0.01 par value)2

 

 

—

 

 

 

—

 

Common stock ($0.01 par value)3

 

 

475

 

 

 

472

 

Treasury shares, at cost - 19,382 and 18,303

 

 

(282,693

)

 

 

(260,779

)

Additional paid-in capital

 

 

121,781

 

 

 

115,086

 

Accumulated other comprehensive income (loss), net of taxes

 

 

(63,166

)

 

 

(74,172

)

Retained earnings

 

 

596,853

 

 

 

560,690

 

Total stockholders' equity

 

 

373,250

 

 

 

341,297

 

TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY

 

$

2,841,861

 

 

$

2,316,561

 

 

 

 

 

 

Notes:

 

 

 

 

2 Cumulative convertible preferred stock ($0.01 par value): Authorized - 1,000 shares; Issued - 10 and 10 shares; Outstanding - 10 and 10 shares; Minimum liquidation preference - $9.99 and $9.99 per share.

3 Common stock ($0.01 par value): Authorized - 55,000 shares; Issued - 47,478 and 47,269 shares; Outstanding - 28,096 and 28,966 shares.

UNIVERSAL INSURANCE HOLDINGS, INC. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF INCOME (LOSS) (UNAUDITED)

(in thousands)

 

 

 

Three Months Ended

 

 

Twelve Months Ended

 

 

December 31,

 

 

December 31,

 

 

2024

 

2023

 

 

2024

 

2023

REVENUES

 

 

 

 

 

 

 

 

 

Net premiums earned

 

$

348,354

 

 

$

335,398

 

 

 

$

1,373,073

 

 

$

1,251,936

 

Net investment income

 

 

15,559

 

 

 

13,714

 

 

 

 

59,148

 

 

 

48,449

 

Net realized gains (losses) on investments

 

 

219

 

 

 

(892

)

 

 

 

(1,315

)

 

 

(1,229

)

Net change in unrealized gains (losses) on investments

 

 

(1,824

)

 

 

10,643

 

 

 

 

9,936

 

 

 

12,046

 

Commission revenue

 

 

16,121

 

 

 

10,960

 

 

 

 

51,792

 

 

 

54,058

 

Policy fees

 

 

4,315

 

 

 

4,219

 

 

 

 

19,490

 

 

 

18,881

 

Other revenue

 

 

2,065

 

 

 

1,414

 

 

 

 

8,412

 

 

 

7,441

 

Total revenues

 

 

384,809

 

 

 

375,456

 

 

 

 

1,520,536

 

 

 

1,391,582

 

 

 

 

 

 

 

 

 

 

 

EXPENSES

 

 

 

 

 

 

 

 

 

Losses and loss adjustment expenses

 

 

286,652

 

 

 

274,783

 

 

 

 

1,087,366

 

 

 

992,636

 

Policy acquisition costs

 

 

63,344

 

 

 

51,134

 

 

 

 

233,444

 

 

 

208,011

 

Other operating expenses

 

 

25,856

 

 

 

22,008

 

 

 

 

108,639

 

 

 

96,055

 

Total operating costs and expenses

 

 

375,852

 

 

 

347,925

 

 

 

 

1,429,449

 

 

 

1,296,702

 

Interest and amortization of debt issuance costs

 

 

1,612

 

 

 

1,635

 

 

 

 

6,476

 

 

 

6,531

 

Income before income tax expense

 

 

7,345

 

 

 

25,896

 

 

 

 

84,611

 

 

 

88,349

 

Income tax expense

 

 

1,327

 

 

 

5,897

 

 

 

 

25,683

 

 

 

21,526

 

NET INCOME

 

$

6,018

 

 

$

19,999

 

 

 

$

58,928

 

 

$

66,823

 

UNIVERSAL INSURANCE HOLDINGS, INC. AND SUBSIDIARIES

SHARE AND PER SHARE INFORMATION

(in thousands, except per share data)

 

 

 

Three Months Ended

 

 

Twelve Months Ended

 

 

December 31,

 

 

December 31,

 

 

2024

 

2023

 

 

2024

 

2023

Weighted average common shares outstanding - basic

 

 

28,173

 

 

 

29,064

 

 

 

 

28,498

 

 

 

29,829

 

Weighted average common shares outstanding - diluted

 

 

29,118

 

 

 

29,487

 

 

 

 

29,274

 

 

 

30,147

 

Shares outstanding, end of period

 

 

28,096

 

 

 

28,966

 

 

 

 

28,096

 

 

 

28,966

 

Basic earnings per common share

 

$

0.21

 

 

$

0.69

 

 

 

$

2.07

 

 

$

2.24

 

Diluted earnings per common share

 

$

0.21

 

 

$

0.68

 

 

 

$

2.01

 

 

$

2.22

 

Cash dividend declared per common share

 

$

0.29

 

 

$

0.29

 

 

 

$

0.77

 

 

$

0.77

 

Book value per share, end of period

 

$

13.28

 

 

$

11.78

 

 

 

$

13.28

 

 

$

11.78

 

Annualized return on average common equity (ROCE)

 

 

6.2

%

 

 

24.9

%

 

 

 

16.5

%

 

 

21.2

%

UNIVERSAL INSURANCE HOLDINGS, INC. AND SUBSIDIARIES

SUPPLEMENTARY INFORMATION

(in thousands, except for Policies In Force data)

 

 

 

Three Months Ended

 

 

Twelve Months Ended

 

 

December 31,

 

 

December 31,

 

 

2024

 

2023

 

 

2024

 

2023

Premiums

 

 

 

 

 

 

 

 

 

Direct premiums written - Florida

 

$

342,565

 

 

$

339,902

 

 

 

$

1,598,426

 

 

$

1,565,197

 

Direct premiums written - Other States

 

 

128,330

 

 

 

92,715

 

 

 

 

471,266

 

 

 

356,636

 

Direct premiums written - Total

 

$

470,895

 

 

$

432,617

 

 

 

$

2,069,692

 

 

$

1,921,833

 

Direct premiums earned

 

$

519,339

 

 

$

482,126

 

 

 

$

1,999,805

 

 

$

1,875,129

 

Net premiums earned

 

$

348,354

 

 

$

335,398

 

 

 

$

1,373,073

 

 

$

1,251,936

 

 

 

 

 

 

 

 

 

 

 

Underwriting Ratios - Net

 

 

 

 

 

 

 

 

 

Loss and loss adjustment expense ratio

 

 

82.3

%

 

 

81.9

%

 

 

 

79.2

%

 

 

79.3

%

General and administrative expense ratio

 

 

25.6

%

 

 

21.8

%

 

 

 

24.9

%

 

 

24.3

%

Policy acquisition cost ratio

 

 

18.2

%

 

 

15.2

%

 

 

 

17.0

%

 

 

16.6

%

Other operating expense ratio

 

 

7.4

%

 

 

6.6

%

 

 

 

7.9

%

 

 

7.7

%

Combined ratio

 

 

107.9

%

 

 

103.7

%

 

 

 

104.1

%

 

 

103.6

%

 

 

As of

 

 

December 31,

 

 

2024

 

2023

Policies in force

 

 

 

 

Florida

 

 

567,307

 

 

567,893

Other States

 

 

288,219

 

 

242,039

Total

 

 

855,526

 

 

809,932

 

 

 

 

 

Premiums in force

 

 

 

 

Florida

 

$

1,608,142

 

$

1,577,210

Other States

 

 

470,927

 

 

357,159

Total

 

$

2,079,069

 

$

1,934,369

 

 

 

 

 

Total Insured Value

 

 

 

 

Florida

 

$

186,751,842

 

$

188,516,949

Other States

 

 

171,759,368

 

 

134,939,758

Total

 

$

358,511,210

 

$

323,456,707

UNIVERSAL INSURANCE HOLDINGS, INC. AND SUBSIDIARIES

RECONCILIATION OF NON-GAAP FINANCIAL MEASURES

(in thousands, except for per share data)

 

GAAP revenue to core revenue

 

Three Months Ended

 

 

Twelve Months Ended

 

December 31,

 

 

December 31,

 

2024

 

2023

 

 

2024

 

2023

GAAP revenue

$

384,809

 

 

$

375,456

 

 

 

$

1,520,536

 

 

$

1,391,582

 

less: Net realized gains (losses) on investments

 

219

 

 

 

(892

)

 

 

 

(1,315

)

 

 

(1,229

)

less: Net change in unrealized gains (losses) on investments

 

(1,824

)

 

 

10,643

 

 

 

 

9,936

 

 

 

12,046

 

Core revenue

$

386,414

 

 

$

365,705

 

 

 

$

1,511,915

 

 

$

1,380,765

 

GAAP operating income to adjusted operating income

 

Three Months Ended

 

 

Twelve Months Ended

 

December 31,

 

 

December 31,

 

2024

 

2023

 

 

2024

 

2023

GAAP income before income tax expense

$

7,345

 

 

$

25,896

 

 

 

$

84,611

 

 

$

88,349

 

add: Interest and amortization of debt issuance costs

 

1,612

 

 

 

1,635

 

 

 

 

6,476

 

 

 

6,531

 

GAAP operating income

 

8,957

 

 

 

27,531

 

 

 

 

91,087

 

 

 

94,880

 

less: Net realized gains (losses) on investments

 

219

 

 

 

(892

)

 

 

 

(1,315

)

 

 

(1,229

)

less: Net change in unrealized gains (losses) on investments

 

(1,824

)

 

 

10,643

 

 

 

 

9,936

 

 

 

12,046

 

Adjusted operating income

$

10,562

 

 

$

17,780

 

 

 

$

82,466

 

 

$

84,063

 

GAAP operating income margin to adjusted operating income margin

 

Three Months Ended

 

 

Twelve Months Ended

 

December 31,

 

 

December 31,

 

2024

 

2023

 

 

2024

 

2023

GAAP operating income (a)

$

8,957

 

 

$

27,531

 

 

 

$

91,087

 

 

$

94,880

 

GAAP revenue (b)

 

384,809

 

 

 

375,456

 

 

 

 

1,520,536

 

 

 

1,391,582

 

GAAP operating income margin (a÷b)

 

2.3

%

 

 

7.3

%

 

 

 

6.0

%

 

 

6.8

%

Adjusted operating income (c)

 

10,562

 

 

 

17,780

 

 

 

 

82,466

 

 

 

84,063

 

Core revenue (d)

 

386,414

 

 

 

365,705

 

 

 

 

1,511,915

 

 

 

1,380,765

 

Adjusted operating income margin (c÷d)

 

2.7

%

 

 

4.9

%

 

 

 

5.5

%

 

 

6.1

%

GAAP net income (NI) to adjusted NI available to common stockholders

 

Three Months Ended

 

 

Twelve Months Ended

 

December 31,

 

 

December 31,

 

2024

 

2023

 

 

2024

 

2023

GAAP NI

$

6,018

 

 

$

19,999

 

 

 

$

58,928

 

 

$

66,823

 

less: Preferred dividends

 

2

 

 

 

2

 

 

 

 

10

 

 

 

10

 

GAAP NI available to common stockholders (e)

 

6,016

 

 

 

19,997

 

 

 

 

58,918

 

 

 

66,813

 

less: Net realized gains (losses) on investments

 

219

 

 

 

(892

)

 

 

 

(1,315

)

 

 

(1,229

)

less: Net change in unrealized gains (losses) on investments

 

(1,824

)

 

 

10,643

 

 

 

 

9,936

 

 

 

12,046

 

add: Income tax effect on above adjustments

 

(395

)

 

 

2,399

 

 

 

 

2,121

 

 

 

2,661

 

Adjusted NI available to common stockholders (f)

$

7,226

 

 

$

12,645

 

 

 

$

52,418

 

 

$

58,657

 

 

 

 

 

 

 

 

 

 

Weighted average diluted common shares outstanding (g)

 

29,118

 

 

 

29,487

 

 

 

 

29,274

 

 

 

30,147

 

Diluted earnings per common share (e÷g)

$

0.21

 

 

$

0.68

 

 

 

$

2.01

 

 

$

2.22

 

Diluted adjusted earnings per common share (f÷g)

$

0.25

 

 

$

0.43

 

 

 

$

1.79

 

 

$

1.95

 

GAAP stockholders’ equity to adjusted common stockholders’ equity

 

As of

 

December 31,

 

 

December 31,

 

 

December 31,

 

2024

 

 

2023

 

 

2022

GAAP stockholders’ equity

$

373,250

 

 

 

$

341,297

 

 

 

$

287,896

 

less: Preferred equity

 

100

 

 

 

 

100

 

 

 

 

100

 

Common stockholders’ equity (h)

 

373,150

 

 

 

 

341,197

 

 

 

 

287,796

 

less: Accumulated other comprehensive (loss), net of taxes

 

(63,166

)

 

 

 

(74,172

)

 

 

 

(103,782

)

Adjusted common stockholders’ equity (i)

$

436,316

 

 

 

$

415,369

 

 

 

$

391,578

 

 

 

 

 

 

 

 

 

Common shares outstanding (j)

 

28,096

 

 

 

 

28,966

 

 

 

 

30,389

 

Book value per common share (h÷j)

$

13.28

 

 

 

$

11.78

 

 

 

$

9.47

 

Adjusted book value per common share (i÷j)

$

15.53

 

 

 

$

14.34

 

 

 

$

12.89

 

GAAP return on common equity (ROCE) to adjusted ROCE

 

 

 

Three Months Ended

 

 

Twelve Months Ended

 

December 31,

 

 

December 31,

 

2024

 

2023

 

 

2024

 

2023

 

2022

Actual or Annualized NI (loss) available to common stockholders (k)

$

24,064

 

 

$

79,988

 

 

 

$

58,918

 

 

$

66,813

 

 

$

(22,267

)

Average common stockholders’ equity (l)

 

386,648

 

 

 

321,300

 

 

 

 

357,174

 

 

 

314,497

 

 

 

358,699

 

ROCE (k÷l)

 

6.2

%

 

 

24.9

%

 

 

 

16.5

%

 

 

21.2

%

 

 

(6.2

)%

Annualized adjusted NI (loss) available to common stockholders (m)

$

28,904

 

 

$

50,580

 

 

 

$

52,418

 

 

$

58,657

 

 

$

(12,618

)

 

 

 

 

 

 

 

 

 

 

 

Adjusted average common stockholders’ equity4 (n)

 

441,632

 

 

 

408,267

 

 

 

 

422,593

 

 

 

399,396

 

 

 

423,199

 

Adjusted ROCE (m÷n)

 

6.5

%

 

 

12.4

%

 

 

 

12.4

%

 

 

14.7

%

 

 

(3.0

)%

 

 

 

 

 

 

 

 

 

 

 

4 Adjusted average common stockholders’ equity excludes current period after-tax net realized gains (losses) on investments and net change in unrealized gains (losses) on investments.

 

View source version on businesswire.com: https://www.businesswire.com/news/home/20250225227965/en/

Investors/Media: Arash Soleimani, CFA, CPA, CPCU, ARe Chief Strategy Officer 954-804-8874 asoleimani@universalproperty.com