Everest second-quarter net income falls 17% to $559m
Everest Group recorded second-quarter net income of $559 million, down more than 17 per cent from the same period last year.
The Bermudian-based re/insurer’s profit broke down to $14.22 per diluted share, compared with $680 million, or $16.10 per share, in the prior-year quarter.
The group’s core businesses — reinsurance treaty and global wholesale and specialty — generated $317 million of underwriting income on a combined ratio of 90 per cent, while the overall group reported underwriting income of $281 million and a combined ratio of 92 per cent. A combined ratio below 100 per cent indicates an underwriting profit.
Annualised return on equity was 14.2 per cent, while operating return on equity reached 14.9 per cent.
Jim Williamson, president and chief executive, said the results demonstrated the benefits of the company's underwriting discipline and capital management.
“Everest delivered a strong quarter driven by meaningful contributions from both underwriting income across our core businesses and investments,” he said. “The results this quarter show the strength of the franchise we have built and the benefits of our actions to strengthen underwriting performance as well as optimise the balance sheet.
Mr Williamson added: “As we look ahead, our focus is on profitably developing our core businesses while effectively deploying capital, where share repurchases remain a top priority.”
Book value per share increased to $398.83 at June 30 from $379.83 at the end of 2025, while annualised total shareholder return reached 16.8 per cent. During the quarter, Everest repurchased $395 million of its common shares.
Net investment income was $523 million, down slightly from $532 million reported a year earlier, reflecting lower returns from alternative investments.
Gross written premiums across the company's core businesses declined 7.1 per cent on a comparable basis to $3.7 billion as Everest said it maintained underwriting discipline in a moderating market. Reinsurance treaty premiums fell 9.1 per cent, while global wholesale and specialty premiums slipped 1 per cent.
The reinsurance treaty business produced a combined ratio of 88.5 per cent despite $75 million of catastrophe losses, primarily from the Iran war and several mid-sized global catastrophe events.
Global wholesale and specialty recorded a combined ratio of 95.2 per cent, unchanged from a year earlier, while continuing to reshape its portfolio towards higher-quality specialty lines and targeted international markets. Its attritional loss ratio improved by 3.9 percentage points to 60.6 per cent.
• This story was generated by machine and edited by The Royal Gazette newsroom
• See the full earnings press release under Related Media
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