Donegal Group Inc. Announces Fourth Quarter and Full Year 2025 Results
Rhea-AI Summary
Donegal Group (NASDAQ:DGICA) reported Q4 2025 and full-year results. Q4 net premiums earned fell 4.1% to $226.9 million and Q4 net income was $17.2 million ($0.47 per diluted Class A share). For full-year 2025, net income rose to $79.3 million ($2.18 per diluted Class A share) and book value per share increased to $17.33.
Full-year combined ratio improved to 95.4% and return on average equity increased to 13.4%.
Positive
- Full-year net income +56.0% to $79.3M
- Return on average equity increased to 13.4%
- Book value per share up 12.8% to $17.33
- Full-year combined ratio improved by 320 bps to 95.4%
Negative
- Q4 net income declined 28.4% to $17.2M
- Personal lines net premiums earned fell 13.9% in Q4
- Q4 expense ratio rose to 34.9%, +210 bps versus prior year
- Q4 large fire losses increased to $14.1M (6.2 pts of loss ratio)
Key Figures
Market Reality Check
Peers on Argus
DGICA was down 1.74% while peers HRTG, UVE, UFCS and ACIC showed declines from -0.98% to -2.43%, and DGICB was flat. Sector peers were generally weaker but scanner data did not flag a coordinated momentum move.
Previous Earnings Reports
| Date | Event | Sentiment | Move | Catalyst |
|---|---|---|---|---|
| Oct 30 | Q3 2025 earnings | Positive | -1.1% | Q3 2025 results with higher net income and improved combined ratio. |
| Oct 06 | Earnings release date | Neutral | +0.8% | Announcement of Q3 2025 results release timing and webcast details. |
| Jul 24 | Q2 2025 earnings | Positive | -6.2% | Q2 2025 results with sharply higher net income and better combined ratio. |
| Jul 02 | Earnings release date | Neutral | -3.2% | Scheduling and format of upcoming Q2 2025 earnings release and webcast. |
| Apr 24 | Q1 2025 earnings | Positive | +5.4% | Q1 2025 results showing higher net income and a stronger combined ratio. |
Earnings-related headlines often produced mixed reactions, with strong fundamental improvements sometimes followed by negative next-day moves.
Across recent 2025 earnings events, Donegal Group reported improving profitability metrics, including better combined ratios and higher net income in Q1, Q2 and Q3. Net premiums earned have been roughly flat to slightly down, with commercial growth offset by personal-lines declines. Despite these improvements, price reactions around earnings were often negative or muted, while dividend and timing-related releases drew smaller moves. Today’s full-year and Q4 2025 results extend the themes of underwriting discipline, investment income growth, and pressure on premium volumes.
Historical Comparison
Over the last five earnings-related headlines, DGICA’s average next-day move was about -0.86%, indicating modest, mixed reactions to results updates.
Through Q1–Q3 2025 earnings, DGICA showed steady profitability improvements and book value growth, driven by underwriting discipline and higher investment income, while managing personal-lines contraction.
Market Pulse Summary
This announcement highlights mixed quarterly but stronger full-year performance, with 2025 net income of $79.3M, an improved combined ratio of 95.4%, and book value of $17.33 per share. Offsetting positives are Q4 softness, including a 96.3% combined ratio and lower net premiums. Past earnings have sometimes seen muted or negative reactions despite better fundamentals, so investors may watch upcoming quarters for premium growth trends, personal-lines stabilization, and further loss-ratio progress.
Key Terms
combined ratio financial
loss ratio financial
GAAP financial
AI-generated analysis. Not financial advice.
MARIETTA, Pa., Feb. 19, 2026 (GLOBE NEWSWIRE) -- Donegal Group Inc. (NASDAQ:DGICA) and (NASDAQ:DGICB) today reported its financial results for the fourth quarter and full year ended December 31, 2025.
Significant items for fourth quarter of 2025 (all comparisons to fourth quarter of 2024):
- Net premiums earned decreased
4.1% to$226.9 million - Combined ratio of
96.3% , compared to92.9% - Net income of
$17.2 million , or 47 cents per diluted Class A share, compared to$24.0 million , or 70 cents per diluted Class A share - Net income included net investment losses (after tax) of
$1.4 million , or 3 cents per diluted Class A share, compared to net investment gains of$0.2 million , or 1 cent per diluted Class A share
Significant items for full year of 2025 (all comparisons to full year of 2024):
- Net premiums earned decreased
1.7% to$921.2 million - Combined ratio of
95.4% , compared to98.6% - Net income of
$79.3 million , or$2.18 per diluted Class A share, compared to$50.9 million , or$1.53 per diluted Class A share - Net income included net investment gains (after tax) of
$0.5 million , or 1 cent per diluted Class A share, compared to$3.9 million , or 12 cents per diluted Class A share - Return on average equity of
13.4% , compared to9.9% - Book value per share of
$17.33 at December 31, 2025, compared to$15.36 at year-end 2024
Financial Summary
| Three Months Ended December 31, | Year Ended December 31, | |||||||||||||||||||||
| 2025 | 2024 | % Change | 2025 | 2024 | % Change | |||||||||||||||||
| (dollars in thousands, except per share amounts) | ||||||||||||||||||||||
| Income Statement Data | ||||||||||||||||||||||
| Net premiums earned | $ | 226,885 | $ | 236,635 | -4.1 | % | $ | 921,184 | $ | 936,651 | -1.7 | % | ||||||||||
| Investment income, net | 14,160 | 12,050 | 17.5 | 52,627 | 44,918 | 17.2 | ||||||||||||||||
| Net investment (losses) gains | (1,726 | ) | 256 | NM2 | 619 | 4,981 | -87.6 | |||||||||||||||
| Total revenues | 240,142 | 249,954 | -3.9 | 978,014 | 989,605 | -1.2 | ||||||||||||||||
| Net income | 17,189 | 24,003 | -28.4 | 79,341 | 50,862 | 56.0 | ||||||||||||||||
| Non-GAAP operating income1 | 18,553 | 23,801 | -22.0 | 78,851 | 46,927 | 68.0 | ||||||||||||||||
| Annualized return on average equity | 10.8 | % | 18.1 | % | -7.3 pts | 13.4 | % | 9.9 | % | 3.5 pts | ||||||||||||
| Per Share Data | ||||||||||||||||||||||
| Net income – Class A (diluted) | $ | 0.47 | $ | 0.70 | -32.9 | % | $ | 2.18 | $ | 1.53 | 42.5 | % | ||||||||||
| Net income – Class B | 0.43 | 0.64 | -32.8 | 2.01 | 1.38 | 45.7 | ||||||||||||||||
| Non-GAAP operating income – Class A (diluted) | 0.50 | 0.69 | -27.5 | 2.17 | 1.41 | 53.9 | ||||||||||||||||
| Non-GAAP operating income – Class B | 0.46 | 0.63 | -27.0 | 1.99 | 1.27 | 56.7 | ||||||||||||||||
| Book value | 17.33 | 15.36 | 12.8 | 17.33 | 15.36 | 12.8 | ||||||||||||||||
1The “Definitions of Non-GAAP Financial Measures” section of this release defines and reconciles data that we prepare on an accounting basis other than U.S. generally accepted accounting principles (“GAAP”).
2Not meaningful.
Management Commentary
Kevin G. Burke, President and Chief Executive Officer of Donegal Group Inc., stated, “We are pleased with our solid operating performance in the fourth quarter and full year of 2025 that reflected the favorable impact of numerous strategic decisions and intentional actions over the past several years. Our focus for 2026 is the pursuit of modest premium growth through our independent agency partners in geographies and classes of business we have identified as attractive. We remain committed to our strategic plan that includes capitalizing on opportunities for profitable growth as a contributor to sustained excellent financial performance.
“In our commercial lines business segment, we achieved solid underlying results for the fourth quarter of 2025, which were masked somewhat by the impact of a few large fires and a late-reported prior-year casualty loss. Due in large part to a refinement in our commercial underwriting appetite, we missed our 2025 business plan target for new business writings. For 2026, we have actively engaged our agents in the development of detailed growth plans and the introduction of new compensation incentives to encourage increased submissions of new quality accounts.
“In our personal lines business segment, we achieved continued excellent profitability and are making good progress on the incremental conversion of remaining legacy policies to our new platform that will be completed in June 2027. We expect the decline in personal lines premiums we experienced during 2025 will subside gradually throughout 2026 as we take measured steps to increase our new business success rate, while striving to maintain a targeted level of profitability in this segment in line with our long-term strategic and financial objectives.
“We believe that we are well positioned as a regional insurance group to provide excellent service to our independent agents and policyholders, as we continue to make prudent investments in talent, systems and capabilities. Building upon the strong foundation laid over the past several years, we are executing strategies that we believe will enhance the value of our stockholders’ investment over time.”
Insurance Operations
Donegal Group is an insurance holding company whose insurance subsidiaries and affiliates offer property and casualty lines of insurance in three Mid-Atlantic states (Delaware, Maryland and Pennsylvania), five Southern states (Georgia, North Carolina, South Carolina, Tennessee and Virginia), eight Midwestern states (Illinois, Indiana, Iowa, Michigan, Nebraska, Ohio, South Dakota and Wisconsin) and five Southwestern states (Arizona, Colorado, New Mexico, Texas and Utah). Donegal Mutual Insurance Company and the insurance subsidiaries of Donegal Group conduct business together as the Donegal Insurance Group.
| Three Months Ended December 31, | Year Ended December 31, | |||||||||||||||||
| 2025 | 2024 | % Change | 2025 | 2024 | % Change | |||||||||||||
| (dollars in thousands) | ||||||||||||||||||
| Net Premiums Earned | ||||||||||||||||||
| Commercial lines | $ | 140,841 | $ | 136,701 | 3.0 | % | $ | 555,873 | $ | 539,683 | 3.0 | % | ||||||
| Personal lines | 86,044 | 99,934 | -13.9 | 365,311 | 396,968 | -8.0 | ||||||||||||
| Total net premiums earned | $ | 226,885 | $ | 236,635 | -4.1 | % | $ | 921,184 | $ | 936,651 | -1.7 | % | ||||||
| Net Premiums Written | ||||||||||||||||||
| Commercial lines: | ||||||||||||||||||
| Automobile | $ | 45,219 | $ | 42,922 | 5.4 | % | $ | 197,949 | $ | 184,989 | 7.0 | % | ||||||
| Workers' compensation | 18,454 | 20,934 | -11.8 | 92,464 | 103,533 | -10.7 | ||||||||||||
| Commercial multi-peril | 52,215 | 50,431 | 3.5 | 221,283 | 213,959 | 3.4 | ||||||||||||
| Other | 12,187 | 9,790 | 24.5 | 52,295 | 45,439 | 15.1 | ||||||||||||
| Total commercial lines | 128,075 | 124,077 | 3.2 | 563,991 | 547,920 | 2.9 | ||||||||||||
| Personal lines: | ||||||||||||||||||
| Automobile | 46,274 | 54,078 | -14.4 | 208,077 | 243,036 | -14.4 | ||||||||||||
| Homeowners | 27,713 | 30,958 | -10.5 | 122,999 | 140,613 | -12.5 | ||||||||||||
| Other | 2,244 | 2,329 | -3.6 | 9,760 | 10,712 | -8.9 | ||||||||||||
| Total personal lines | 76,231 | 87,365 | -12.7 | 340,836 | 394,361 | -13.6 | ||||||||||||
| Total net premiums written | $ | 204,306 | $ | 211,442 | -3.4 | % | $ | 904,827 | $ | 942,281 | -4.0 | % | ||||||
Net Premiums Written
The
- Commercial Lines:
$4.0 million increase that we attribute primarily to solid premium retention and a continuation of renewal premium increases in lines other than workers’ compensation, offset partially by lower new business writings. - Personal Lines:
$11.1 million decrease that we attribute primarily to planned attrition due to lower new business writings, offset partially by a continuation of renewal premium rate increases and solid retention.
The
- Commercial Lines:
$16.0 million increase that we attribute primarily to solid premium retention and a continuation of renewal premium increases in lines other than workers’ compensation, offset partially by lower new business writings. - Personal Lines:
$53.5 million decrease that we attribute primarily to planned attrition due to lower new business writings and strategic non-renewal actions, offset partially by a continuation of renewal premium rate increases and solid retention.
Underwriting Performance
We evaluate the performance of our commercial lines and personal lines segments primarily based upon the underwriting results of our insurance subsidiaries as determined under statutory accounting practices. The following table presents comparative details with respect to the GAAP and statutory combined ratios1 for the three months and full years ended December 31, 2025 and 2024:
| Three Months Ended | Year Ended | |||||||||||
| December 31, | December 31, | |||||||||||
| 2025 | 2024 | 2025 | 2024 | |||||||||
| GAAP Combined Ratios (Total Lines) | ||||||||||||
| Loss ratio - core losses | 50.3 | % | 52.3 | % | 51.4 | % | 54.0 | % | ||||
| Loss ratio - weather-related losses | 3.6 | 3.3 | 6.2 | 7.2 | ||||||||
| Loss ratio - large fire losses | 6.2 | 4.0 | 4.8 | 4.9 | ||||||||
| Loss ratio - net prior-year reserve development | 1.0 | 0.2 | -1.1 | -1.6 | ||||||||
| Loss ratio | 61.1 | 59.8 | 61.3 | 64.5 | ||||||||
| Expense ratio | 34.9 | 32.8 | 33.8 | 33.7 | ||||||||
| Dividend ratio | 0.3 | 0.3 | 0.3 | 0.4 | ||||||||
| Combined ratio | 96.3 | % | 92.9 | % | 95.4 | % | 98.6 | % | ||||
| Statutory Combined Ratios | ||||||||||||
| Commercial lines: | ||||||||||||
| Automobile | 101.8 | % | 115.7 | % | 97.9 | % | 102.6 | % | ||||
| Workers' compensation | 95.7 | 105.6 | 105.5 | 104.4 | ||||||||
| Commercial multi-peril | 97.0 | 79.4 | 94.0 | 95.0 | ||||||||
| Other | 136.6 | 84.7 | 106.3 | 80.0 | ||||||||
| Total commercial lines | 102.2 | 97.3 | 98.5 | 98.2 | ||||||||
| Personal lines: | ||||||||||||
| Automobile | 90.8 | 96.5 | 86.4 | 97.4 | ||||||||
| Homeowners | 87.3 | 76.2 | 96.9 | 99.6 | ||||||||
| Other | 55.6 | 106.3 | 55.0 | 99.5 | ||||||||
| Total personal lines | 88.5 | 89.5 | 89.3 | 98.3 | ||||||||
| Total lines | 97.0 | % | 94.0 | % | 95.0 | % | 98.3 | % | ||||
Loss Ratio – Fourth Quarter
For the fourth quarter of 2025, the loss ratio increased to
Weather-related losses of
Large fire losses, which we define as individual fire losses in excess of
Net development of reserves for losses incurred in prior accident years of
Loss Ratio – Full Year
For the full year of 2025, the loss ratio decreased to
Weather-related losses for the full year of 2025 were
Large fire losses were
Net favorable development of reserves for losses incurred in prior accident years of
Expense Ratio
The expense ratio was
Investment Operations
Donegal Group’s investment strategy is to generate an appropriate amount of after-tax income on its invested assets while minimizing credit risk through investment in high-quality securities. As a result, we had invested
| December 31, 2025 | December 31, 2024 | |||||||||||||
| Amount | % | Amount | % | |||||||||||
| (dollars in thousands) | ||||||||||||||
| Fixed maturities, at carrying value: | ||||||||||||||
| U.S. Treasury securities and obligations of U.S. government corporations and agencies | $ | 103,619 | 6.9 | % | $ | 170,423 | 12.3 | % | ||||||
| Obligations of states and political subdivisions | 485,710 | 32.4 | 409,560 | 29.6 | ||||||||||
| Corporate securities | 383,927 | 25.6 | 440,552 | 31.8 | ||||||||||
| Mortgage-backed securities | 445,227 | 29.7 | 304,459 | 22.0 | ||||||||||
| Allowance for expected credit losses | (1,313 | ) | -0.1 | (1,388 | ) | -0.1 | ||||||||
| Total fixed maturities | 1,417,170 | 94.5 | 1,323,606 | 95.6 | ||||||||||
| Equity securities, at fair value | 44,370 | 3.0 | 36,808 | 2.6 | ||||||||||
| Short-term investments, at cost | 38,713 | 2.5 | 24,558 | 1.8 | ||||||||||
| Total investments | $ | 1,500,253 | 100.0 | % | $ | 1,384,972 | 100.0 | % | ||||||
| Average investment yield | 3.6 | % | 3.3 | % | ||||||||||
| Average tax-equivalent investment yield | 3.7 | % | 3.4 | % | ||||||||||
| Average fixed-maturity duration (years) | 5.5 | 5.2 | ||||||||||||
Net investment income of
Net investment losses were
Net investment gains were
Our book value per share was
Definitions of Non-GAAP Financial Measures
We prepare our consolidated financial statements on the basis of GAAP. Our insurance subsidiaries also prepare financial statements based on statutory accounting principles state insurance regulators prescribe or permit (“SAP”). In addition to using GAAP-based performance measurements, we also utilize certain non-GAAP financial measures that we believe provide value in managing our business and for comparison to the financial results of our peers. These non-GAAP measures are net premiums written, operating income or loss and statutory combined ratio.
Net premiums written and operating income or loss are non-GAAP financial measures investors in insurance companies commonly use. We define net premiums written as the amount of full-term premiums our insurance subsidiaries record for policies effective within a given period less premiums our insurance subsidiaries cede to reinsurers. We define operating income or loss as net income or loss excluding after-tax net investment gains or losses, after-tax restructuring charges and other significant non-recurring items. Because our calculation of operating income or loss may differ from similar measures other companies use, investors should exercise caution when comparing our measure of operating income or loss to the measure of other companies.
The following table provides a reconciliation of net premiums earned to net premiums written for the periods indicated:
| Three Months Ended December 31, | Year Ended December 31, | |||||||||||||||||||
| 2025 | 2024 | % Change | 2025 | 2024 | % Change | |||||||||||||||
| (dollars in thousands) | ||||||||||||||||||||
| Reconciliation of Net Premiums | ||||||||||||||||||||
| Earned to Net Premiums Written | ||||||||||||||||||||
| Net premiums earned | $ | 226,885 | $ | 236,635 | -4.1 | % | $ | 921,184 | $ | 936,651 | -1.7 | % | ||||||||
| Change in net unearned premiums | (22,579 | ) | (25,193 | ) | -10.4 | (16,357 | ) | 5,630 | NM | |||||||||||
| Net premiums written | $ | 204,306 | $ | 211,442 | -3.4 | % | $ | 904,827 | $ | 942,281 | -4.0 | % | ||||||||
The following table provides a reconciliation of net income to operating income for the periods indicated:
| Three Months Ended December 31, | Year Ended December 31, | |||||||||||||||||||
| 2025 | 2024 | % Change | 2025 | 2024 | % Change | |||||||||||||||
| (dollars in thousands, except per share amounts) | ||||||||||||||||||||
| Reconciliation of Net Income to Non-GAAP Operating Income | ||||||||||||||||||||
| Net income | $ | 17,189 | $ | 24,003 | -28.4 | % | $ | 79,341 | $ | 50,862 | 56.0 | % | ||||||||
| Investment losses (gains) (after tax) | 1,364 | (202 | ) | NM | (490 | ) | (3,935 | ) | -87.5 | |||||||||||
| Non-GAAP operating income | $ | 18,553 | $ | 23,801 | -22.0 | % | $ | 78,851 | $ | 46,927 | 68.0 | % | ||||||||
| Per Share Reconciliation of Net Income to Non-GAAP Operating Income | ||||||||||||||||||||
| Net income – Class A (diluted) | $ | 0.47 | $ | 0.70 | -32.9 | % | $ | 2.18 | $ | 1.53 | 42.5 | % | ||||||||
| Investment losses (gains) (after tax) | 0.03 | (0.01 | ) | NM | (0.01 | ) | (0.12 | ) | -91.7 | |||||||||||
| Non-GAAP operating income – Class A | $ | 0.50 | $ | 0.69 | -27.5 | % | $ | 2.17 | $ | 1.41 | 53.9 | % | ||||||||
| Net income – Class B | $ | 0.43 | $ | 0.64 | -32.8 | % | $ | 2.01 | $ | 1.38 | 45.7 | % | ||||||||
| Investment losses (gains) (after tax) | 0.03 | (0.01 | ) | NM | (0.02 | ) | (0.11 | ) | -81.8 | |||||||||||
| Non-GAAP operating income – Class B | $ | 0.46 | $ | 0.63 | -27.0 | % | $ | 1.99 | $ | 1.27 | 56.7 | % | ||||||||
The statutory combined ratio is a standard non-GAAP measurement of underwriting profitability that is based upon amounts determined under SAP. The statutory combined ratio is the sum of:
- the statutory loss ratio, which is the ratio of calendar-year incurred losses and loss expenses, excluding anticipated salvage and subrogation recoveries, to premiums earned;
- the statutory expense ratio, which is the ratio of expenses incurred for net commissions, premium taxes and underwriting expenses to premiums written; and
- the statutory dividend ratio, which is the ratio of dividends to holders of workers’ compensation policies to premiums earned.
The statutory combined ratio does not reflect investment income, federal income taxes or other non-operating income or expense. A statutory combined ratio of less than
Dividend Information
On December 18, 2025, we declared regular quarterly cash dividends of
Pre-Recorded Webcast
At approximately 8:30 am EST on Thursday, February 19, 2026, we will make available in the Investors section of our website a pre-recorded audio webcast featuring management commentary on our quarterly and annual results and general business updates. You may listen to the pre-recorded webcast by accessing the link on our website at http://investors.donegalgroup.com. A supplemental investor presentation is also available via our website.
About the Company
Donegal Group Inc. is an insurance holding company whose insurance subsidiaries and affiliates offer property and casualty lines of insurance in certain Mid-Atlantic, Midwestern, Southern and Southwestern states. Donegal Mutual Insurance Company and the insurance subsidiaries of Donegal Group Inc. conduct business together as the Donegal Insurance Group. The Donegal Insurance Group has an A.M. Best rating of A (Excellent).
The Class A common stock and Class B common stock of Donegal Group Inc. trade on the NASDAQ Global Select Market under the symbols DGICA and DGICB, respectively. We are focused on several primary strategies, including achieving sustained excellent financial performance, advancing our operational and digital capabilities, capitalizing on opportunities to grow profitably and providing superior experiences to our agents, policyholders and employees.
Safe Harbor
We base all statements contained in this release that are not historic facts on our current expectations. Such statements are forward-looking in nature (as defined in the Private Securities Litigation Reform Act of 1995) and necessarily involve risks and uncertainties. Forward-looking statements we make may be identified by our use of words such as “will,” “expect,” “intend,” “plan,” “anticipate,” “believe,” “seek,” “estimate” and similar expressions. Our actual results could vary materially from our forward-looking statements. The factors that could cause our actual results to vary materially from the forward-looking statements we have previously made include, but are not limited to, adverse litigation and other trends that could increase our loss costs (including social inflation, labor shortages and escalating medical, automobile and property repair costs, including due to tariffs), adverse and catastrophic weather events (including from changing climate conditions), our ability to maintain profitable operations (including our ability to underwrite risks effectively and charge adequate premium rates), the adequacy of the loss and loss expense reserves of our insurance subsidiaries, the availability and successful operation of the information technology systems our insurance subsidiaries utilize, the successful development of new information technology systems to allow our insurance subsidiaries to compete effectively, business and economic conditions in the areas in which we and our insurance subsidiaries operate, interest rates, competition from various insurance and other financial businesses, terrorism, the availability and cost of reinsurance, legal and judicial developments, changes in regulatory requirements, our ability to attract and retain independent insurance agents, changes in our A.M. Best rating and the other risks that we describe from time to time in our filings with the Securities and Exchange Commission. We disclaim any obligation to update such statements or to announce publicly the results of any revisions that we may make to any forward-looking statements to reflect the occurrence of anticipated or unanticipated events or circumstances after the date of such statements.
Investor Relations Contacts
Jeremy Hellman, Vice President, The Equity Group Inc.
Phone: (212) 836-9626
E-mail: jhellman@theequitygroup.com
Jeffrey D. Miller, Executive Vice President & Chief Financial Officer
Phone: (717) 426-1931
E-mail: investors@donegalgroup.com
Financial Supplement
| Donegal Group Inc. | |||||||
| Consolidated Statements of Income | |||||||
| (unaudited; in thousands, except share data) | |||||||
| Quarter Ended December 31, | |||||||
| 2025 | 2024 | ||||||
| Net premiums earned | $ | 226,885 | $ | 236,635 | |||
| Investment income, net of expenses | 14,160 | 12,050 | |||||
| Net investment (losses) gains | (1,726 | ) | 256 | ||||
| Lease income | 74 | 77 | |||||
| Installment payment fees | 749 | 936 | |||||
| Total revenues | 240,142 | 249,954 | |||||
| Net losses and loss expenses | 138,667 | 141,435 | |||||
| Amortization of deferred acquisition costs | 36,833 | 39,853 | |||||
| Other underwriting expenses | 42,352 | 37,649 | |||||
| Policyholder dividends | 701 | 826 | |||||
| Interest | 340 | 269 | |||||
| Other expenses, net | 291 | 255 | |||||
| Total expenses | 219,184 | 220,287 | |||||
| Income before income tax expense | 20,958 | 29,667 | |||||
| Income tax expense | 3,769 | 5,664 | |||||
| Net income | $ | 17,189 | $ | 24,003 | |||
| Net income per common share: | |||||||
| Class A - basic | $ | 0.47 | $ | 0.71 | |||
| Class A - diluted | $ | 0.47 | $ | 0.70 | |||
| Class B - basic and diluted | $ | 0.43 | $ | 0.64 | |||
| Supplementary Financial Analysts' Data | |||||||
| Weighted-average number of shares outstanding: | |||||||
| Class A - basic | 31,209,579 | 28,979,432 | |||||
| Class A - diluted | 31,764,729 | 29,229,232 | |||||
| Class B - basic and diluted | 5,576,775 | 5,576,775 | |||||
| Net premiums written | $ | 204,306 | $ | 211,442 | |||
| Book value per common share at end of period | $ | 17.33 | $ | 15.36 | |||
| Donegal Group Inc. | ||||||
| Consolidated Statements of Income | ||||||
| (unaudited; in thousands, except share data) | ||||||
| Year Ended December 31, | ||||||
| 2025 | 2024 | |||||
| Net premiums earned | $ | 921,184 | $ | 936,651 | ||
| Investment income, net of expenses | 52,627 | 44,918 | ||||
| Net investment gains | 619 | 4,981 | ||||
| Lease income | 302 | 314 | ||||
| Installment payment fees | 3,282 | 2,741 | ||||
| Total revenues | 978,014 | 989,605 | ||||
| Net losses and loss expenses | 564,332 | 604,118 | ||||
| Amortization of deferred acquisition costs | 152,783 | 160,311 | ||||
| Other underwriting expenses | 158,385 | 155,254 | ||||
| Policyholder dividends | 3,011 | 4,073 | ||||
| Interest | 1,351 | 946 | ||||
| Other expenses, net | 559 | 2,564 | ||||
| Total expenses | 880,421 | 927,266 | ||||
| Income before income tax expense | 97,593 | 62,339 | ||||
| Income tax expense | 18,252 | 11,477 | ||||
| Net income | $ | 79,341 | $ | 50,862 | ||
| Net income per common share: | ||||||
| Class A - basic | $ | 2.22 | $ | 1.53 | ||
| Class A - diluted | $ | 2.18 | $ | 1.53 | ||
| Class B - basic and diluted | $ | 2.01 | $ | 1.38 | ||
| Supplementary Financial Analysts' Data | ||||||
| Weighted-average number of shares outstanding: | ||||||
| Class A - basic | 30,744,088 | 28,155,276 | ||||
| Class A - diluted | 31,246,149 | 28,246,490 | ||||
| Class B - basic and diluted | 5,576,775 | 5,576,775 | ||||
| Net premiums written | $ | 904,827 | $ | 942,281 | ||
| Book value per common share at end of period | $ | 17.33 | $ | 15.36 | ||
| Donegal Group Inc. | ||||||||
| Consolidated Balance Sheets | ||||||||
| (in thousands) | ||||||||
| December 31, | December 31, | |||||||
| 2025 | 2024 | |||||||
| (unaudited) | ||||||||
| ASSETS | ||||||||
| Investments: | ||||||||
| Fixed maturities: | ||||||||
| Held to maturity, at amortized cost | $ | 776,447 | $ | 705,714 | ||||
| Available for sale, at fair value | 640,723 | 617,892 | ||||||
| Equity securities, at fair value | 44,370 | 36,808 | ||||||
| Short-term investments, at cost | 38,713 | 24,558 | ||||||
| Total investments | 1,500,253 | 1,384,972 | ||||||
| Cash | 26,786 | 52,926 | ||||||
| Premiums receivable | 180,804 | 181,107 | ||||||
| Reinsurance receivable | 398,582 | 420,742 | ||||||
| Deferred policy acquisition costs | 68,670 | 73,347 | ||||||
| Prepaid reinsurance premiums | 171,083 | 176,162 | ||||||
| Other assets | 40,451 | 46,776 | ||||||
| Total assets | $ | 2,386,629 | $ | 2,336,032 | ||||
| LIABILITIES AND STOCKHOLDERS' EQUITY | ||||||||
| Liabilities: | ||||||||
| Losses and loss expenses | $ | 1,100,050 | $ | 1,120,985 | ||||
| Unearned premiums | 591,040 | 612,476 | ||||||
| Borrowings under lines of credit | 35,000 | 35,000 | ||||||
| Other liabilities | 20,121 | 21,795 | ||||||
| Total liabilities | 1,746,211 | 1,790,256 | ||||||
| Stockholders' equity: | ||||||||
| Class A common stock | 344 | 329 | ||||||
| Class B common stock | 56 | 56 | ||||||
| Additional paid-in capital | 391,811 | 369,680 | ||||||
| Accumulated other comprehensive loss | (8,296 | ) | (28,200 | ) | ||||
| Retained earnings | 297,729 | 245,137 | ||||||
| Treasury stock | (41,226 | ) | (41,226 | ) | ||||
| Total stockholders' equity | 640,418 | 545,776 | ||||||
| Total liabilities and stockholders' equity | $ | 2,386,629 | $ | 2,336,032 | ||||
FAQ
What were Donegal Group's Q4 2025 earnings per diluted Class A share (DGICA)?
How did Donegal Group perform for full-year 2025 on net income and ROE (DGICA)?
Why did Donegal Group's personal lines premiums decline in 2025 (DGICA)?
What drove the change in Donegal Group's combined ratio for 2025 (DGICA)?
How did catastrophe and large fire losses affect Donegal Group's Q4 2025 results (DGICA)?
What is Donegal Group's near-term outlook for premium growth and operations (DGICA)?
