Employers Holdings, Inc. Reports Second Quarter 2025 Results and Declares Regular Quarterly Dividend of $0.32 per Share
Employers Holdings (NYSE:EIG) reported mixed Q2 2025 financial results and declared a quarterly dividend of $0.32 per share. Key metrics show net income per diluted share decreased 2% to $1.23, while adjusted net income per diluted share fell 56% to $0.48. The company achieved a record number of policies in-force at 134,421, up 5% year-over-year.
Notable performance indicators include a 2% decrease in gross premiums written to $203.3 million, a 6% increase in net premiums earned to $198.3 million, and a 1% rise in net investment income to $27.1 million. The GAAP combined ratio increased to 105.6% from 94.2%. The company returned $31.4 million to stockholders through share repurchases and dividends.
[ "Record number of policies in-force at 134,421, up 5% year-over-year", "Net premiums earned increased 6% to $198.3 million", "Net investment income grew 1% to $27.1 million", "Net realized and unrealized gains on investments increased significantly to $20.9 million from $2.2 million", "Book value per share increased 12.8% year-over-year to $49.44", "Returned $31.4 million to stockholders through dividends and share repurchases" ]Employers Holdings (NYSE:EIG) ha riportato risultati finanziari misti per il secondo trimestre del 2025 e ha dichiarato un dividendo trimestrale di 0,32 $ per azione. I principali indicatori mostrano che l'utile netto per azione diluita è diminuito del 2% a 1,23 $, mentre l'utile netto rettificato per azione diluita è calato del 56% a 0,48 $. L'azienda ha raggiunto un numero record di polizze in vigore pari a 134.421, con un aumento del 5% rispetto all'anno precedente.
Tra gli indicatori di performance più rilevanti si evidenziano una riduzione del 2% dei premi lordi sottoscritti a 203,3 milioni di dollari, un aumento del 6% dei premi netti guadagnati a 198,3 milioni di dollari e un incremento dell'1% del reddito netto da investimenti a 27,1 milioni di dollari. Il rapporto combinato GAAP è salito al 105,6% rispetto al 94,2%. L'azienda ha restituito 31,4 milioni di dollari agli azionisti tramite riacquisti di azioni e dividendi.
- Numero record di polizze in vigore a 134.421, in aumento del 5% su base annua
- Premi netti guadagnati aumentati del 6% a 198,3 milioni di dollari
- Reddito netto da investimenti cresciuto dell'1% a 27,1 milioni di dollari
- Guadagni realizzati e non realizzati su investimenti aumentati significativamente a 20,9 milioni di dollari da 2,2 milioni
- Valore contabile per azione aumentato del 12,8% su base annua a 49,44 dollari
- Restituiti 31,4 milioni di dollari agli azionisti tramite dividendi e riacquisti di azioni
Employers Holdings (NYSE:EIG) reportó resultados financieros mixtos en el segundo trimestre de 2025 y declaró un dividendo trimestral de
Entre los indicadores de desempeño destacados se incluyen una disminución del 2% en primas brutas emitidas a 203.3 millones de dólares, un aumento del 6% en primas netas devengadas a 198.3 millones de dólares y un incremento del 1% en ingresos netos por inversiones a 27.1 millones de dólares. El índice combinado GAAP aumentó a 105.6% desde 94.2%. La empresa devolvió 31.4 millones de dólares a los accionistas mediante recompra de acciones y dividendos.
- Número récord de pólizas vigentes en 134,421, un aumento del 5% interanual
- Primas netas devengadas aumentaron un 6% a 198.3 millones de dólares
- Ingresos netos por inversiones crecieron un 1% a 27.1 millones de dólares
- Ganancias realizadas y no realizadas en inversiones aumentaron significativamente a 20.9 millones de dólares desde 2.2 millones
- Valor en libros por acción aumentó un 12.8% interanual a 49.44 dólares
- Se devolvieron 31.4 millones de dólares a los accionistas mediante dividendos y recompra de acciones
Employers Holdings (NYSE:EIG)는 2025년 2분기 혼합된 재무 실적을 보고하고 분기별 배당금으로 주당 0.32달러를 선언했습니다. 주요 지표에 따르면 희석 주당 순이익은 2% 감소한 1.23달러였으며, 조정 희석 주당 순이익은 56% 감소한 0.48달러였습니다. 회사는 전년 대비 5% 증가한 134,421건의 기록적인 보험 계약 수를 달성했습니다.
주요 성과 지표로는 총 보험료 수입이 2% 감소하여 2억 333만 달러, 순 보험료 수익이 6% 증가하여 1억 9830만 달러, 순 투자 수익이 1% 상승하여 2710만 달러를 기록했습니다. GAAP 결합 비율은 94.2%에서 105.6%로 상승했습니다. 회사는 주식 재매입과 배당을 통해 주주들에게 3,140만 달러를 환원했습니다.
- 기록적인 134,421건의 보험 계약 수, 전년 대비 5% 증가
- 순 보험료 수익 6% 증가하여 1억 9830만 달러
- 순 투자 수익 1% 증가하여 2710만 달러
- 투자에서 실현 및 미실현 이익이 220만 달러에서 2,090만 달러로 크게 증가
- 주당 장부가치가 전년 대비 12.8% 증가하여 49.44달러 기록
- 배당금 및 주식 재매입을 통해 주주들에게 3,140만 달러 환원
Employers Holdings (NYSE:EIG) a publié des résultats financiers mitigés pour le deuxième trimestre 2025 et a déclaré un dividende trimestriel de 0,32 $ par action. Les indicateurs clés montrent que le bénéfice net par action diluée a diminué de 2 % pour atteindre 1,23 $, tandis que le bénéfice net ajusté par action diluée a chuté de 56 % à 0,48 $. La société a atteint un nombre record de polices en vigueur à 134 421, en hausse de 5 % sur un an.
Parmi les indicateurs de performance notables figurent une baisse de 2 % des primes brutes émises à 203,3 millions de dollars, une augmentation de 6 % des primes nettes acquises à 198,3 millions de dollars et une hausse de 1 % des revenus nets d'investissement à 27,1 millions de dollars. Le ratio combiné GAAP est passé de 94,2 % à 105,6 %. La société a reversé 31,4 millions de dollars aux actionnaires par le biais de rachats d'actions et de dividendes.
- Nombre record de polices en vigueur à 134 421, en hausse de 5 % sur un an
- Primes nettes acquises en hausse de 6 % à 198,3 millions de dollars
- Revenus nets d'investissement en hausse de 1 % à 27,1 millions de dollars
- Gains réalisés et non réalisés sur investissements en forte hausse à 20,9 millions de dollars contre 2,2 millions
- Valeur comptable par action en hausse de 12,8 % sur un an à 49,44 dollars
- 31,4 millions de dollars reversés aux actionnaires via dividendes et rachats d'actions
Employers Holdings (NYSE:EIG) meldete gemischte Finanzergebnisse für das zweite Quartal 2025 und erklärte eine vierteljährliche Dividende von 0,32 $ pro Aktie. Wichtige Kennzahlen zeigen, dass der Gewinn je verwässerter Aktie um 2 % auf 1,23 $ sank, während der bereinigte Gewinn je verwässerter Aktie um 56 % auf 0,48 $ zurückging. Das Unternehmen erreichte eine rekordverdächtige Anzahl von 134.421 aktiven Policen, ein Anstieg von 5 % im Jahresvergleich.
Bemerkenswerte Leistungsindikatoren umfassen einen 2%igen Rückgang der gebuchten Bruttobeiträge auf 203,3 Millionen US-Dollar, einen 6%igen Anstieg der verdienten Nettobeiträge auf 198,3 Millionen US-Dollar und einen 1%igen Anstieg der Nettoanlageerträge auf 27,1 Millionen US-Dollar. Die GAAP-Kombinationsquote stieg von 94,2 % auf 105,6 %. Das Unternehmen gab 31,4 Millionen US-Dollar an die Aktionäre zurück durch Aktienrückkäufe und Dividenden.
- Rekordzahl aktiver Policen bei 134.421, 5 % mehr im Jahresvergleich
- Verdiente Nettobeiträge stiegen um 6 % auf 198,3 Millionen US-Dollar
- Nettoanlageerträge wuchsen um 1 % auf 27,1 Millionen US-Dollar
- Realisierte und unrealisierte Gewinne aus Investitionen stiegen deutlich von 2,2 Millionen auf 20,9 Millionen US-Dollar
- Buchwert je Aktie stieg im Jahresvergleich um 12,8 % auf 49,44 US-Dollar
- 31,4 Millionen US-Dollar wurden durch Dividenden und Aktienrückkäufe an die Aktionäre zurückgegeben
- None.
- Net income per diluted share decreased 2% to $1.23
- Adjusted net income per diluted share fell 56% to $0.48
- Gross premiums written decreased 2% to $203.3 million
- Loss and loss adjustment expenses ratio increased significantly from 57.9% to 70.7%
- GAAP combined ratio deteriorated to 105.6% from 94.2%
- Rapid rise in cumulative trauma claims in California led to increased loss ratios
Company to Host Conference Call on Thursday, July 31, 2025, at 11:00 a.m. Eastern Daylight Time
RENO, Nev., July 30, 2025 (GLOBE NEWSWIRE) -- Employers Holdings, Inc. (the “Company”) (NYSE:EIG), a holding company with subsidiaries that are specialty providers of workers’ compensation insurance and services focused on small and mid-sized businesses engaged in low-to-medium hazard industries, today reported financial results for its second quarter ended June 30, 2025.
Financial Highlights:
(All comparisons vs. the second quarter of 2024).
- Net income per diluted share decreased by
2% , from$1.25 t o$1.23 ; - Adjusted net income per diluted share decreased
56% , from$1.10 t o$0.48 ; - Gross premiums written decreased
2% , from$207.9 million to$203.3 million ; - Net premiums earned increased
6% , from$187.8 million to$198.3 million ; - Loss and loss adjustment expenses ratio increased from
57.9% to70.7% ; - Commission expense ratio improved from
13.9% to13.2% ; - Underwriting expense ratio improved from
22.4% to21.7% ; - GAAP combined ratio increased from
94.2% (95.4% excluding LPT) to105.6% (106.4% excluding LPT); - Net investment income increased
1% , from$26.9 million to$27.1 million ; - Net realized and unrealized gains on investments increased from
$2.2 million to$20.9 million ; - Record number of ending policies in-force of 134,421, a
5% increase; and - Returned
$31.4 million to stockholders through a combination of share repurchases and regular quarterly dividends.
Management Commentary
Chief Executive Officer Katherine Antonello commented: “Second quarter gross premiums written decreased slightly, with growth in smaller policy size bands offset by decreases within the middle market. Our focus on profitability over growth led to targeted underwriting actions and improved risk selection which impacted our ability and desire to grow at the same pace in certain classes and jurisdictions. Despite the reduction in gross premiums written, net premiums earned increased by
In response to the rapid rise in cumulative trauma claims in California, we increased the accident year 2025 loss and LAE ratio on voluntary business from
Our commission expense ratio was
Lastly, we declared a regular quarterly dividend of
Summary of Second Quarter 2025 Results
(All comparisons vs. the second quarter of 2024, unless otherwise noted).
Gross premiums written were
Losses and loss adjustment expenses were
Commission expense was flat at
Underwriting expenses were
Net investment income was
Net realized and unrealized gains on investments reflected on the income statement were
Income tax expense was
The Company’s book value per share including the deferred gain and computed after considering dividends declared was
Third Quarter 2025 Dividend Declaration
On July 30, 2025, the Company’s Board of Directors declared a regular quarterly dividend of
Stock Repurchases
During the second quarter of 2025, the Company repurchased 482,000 shares of its common stock at an average price of
Earnings Conference Call and Webcast
The Company will host a conference call on Thursday, July 31, 2025 at 11:00 a.m. Eastern Daylight Time / 8:00 a.m. Pacific Daylight Time.
To participate in the live conference call, you must first register here. Once registered you will receive dial-in numbers and a unique PIN number.
The webcast will be accessible on the Company’s website at www.employers.com through the “Investors” link.
Reconciliation of Non-GAAP Financial Measures to GAAP
The information in this press release should be read in conjunction with the Financial Supplement that is attached to this press release and available on our website.
Within this earnings release we present various financial measures, some of which are “non-GAAP financial measures” as defined in Regulation G pursuant to Section 401 of the Sarbanes - Oxley Act of 2002. A description of these non-GAAP financial measures, as well as a reconciliation of such non-GAAP measures to our most directly comparable GAAP financial measures is included in the attached Financial Supplement. Management believes that these non-GAAP measures are important to the Company's investors, analysts and other interested parties who benefit from having an objective and consistent basis for comparison with other companies within our industry. Management further believes that these measures are more relevant than comparable GAAP measures in evaluating our financial performance.
Forward-Looking Statements
In this press release, the Company and its management discuss and make statements based on currently available information regarding their intentions, beliefs, current expectations, and projections of, among other things, the Company's future performance, economic or market conditions, including current or future levels of inflation, potential implications of increased tariffs, changes in interest rates, labor market expectations, catastrophic events or geo-political conditions, legislative or regulatory actions or court decisions, business growth, retention rates, loss costs, claim trends and the impact of key business initiatives, future technologies and planned investments. Certain of these statements may constitute “forward-looking” statements as that term is defined in the Private Securities Litigation Reform Act of 1995. Forward-looking statements can be identified by the fact that they do not relate strictly to historical or current facts and are often identified by words such as “may,” “will,” “could,” “would,” “should,” “expect,” “plan,” “anticipate,” “target,” “project,” “intend,” “believe,” “estimate,” “predict,” “potential,” “pro forma,” “seek,” “likely,” or “continue,” or other comparable terminology and their negatives. The Company and its management caution investors that such forward-looking statements are not guarantees of future performance. Risks and uncertainties are inherent in the Company’s future performance. Factors that could cause the Company's actual results to differ materially from those indicated by such forward-looking statements include, among other things, those discussed or identified from time to time in the Company’s public filings with the Securities and Exchange Commission (SEC), including the risks detailed in the Company's Quarterly Reports on Form 10-Q and the Company's Annual Reports on Form 10-K. Except as required by applicable securities laws, the Company undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise.
Filings with the SEC
The Company’s filings with the SEC and its quarterly investor presentations can be accessed through the “Investors” link on the Company's website, www.employers.com. The Company's filings with the SEC can also be accessed through the SEC's EDGAR Database at www.sec.gov (EDGAR CIK No. 0001379041).
About Employers Holdings, Inc.
Employers Holdings, Inc. (NYSE: EIG), is a holding company with subsidiaries that are specialty providers of workers’ compensation insurance and services (collectively “EMPLOYERS®”) focused on small and mid-sized businesses engaged in low-to-medium hazard industries. EMPLOYERS leverages over a century of experience to deliver comprehensive coverage solutions that meet the unique needs of its customers. Drawing from its long history and extensive knowledge, EMPLOYERS empowers businesses by protecting their most valuable asset – their employees – through exceptional claims management, loss control, and risk management services, creating safer work environments.
EMPLOYERS is also proud to offer Cerity®, which is focused on providing digital-first, direct-to-consumer workers’ compensation insurance solutions with fast, and affordable coverage options through a user-friendly online platform.
EMPLOYERS operates throughout the United States, apart from four states that are served exclusively by their state funds. Insurance is offered through Employers Insurance Company of Nevada, Employers Compensation Insurance Company, Employers Preferred Insurance Company, Employers Assurance Company and Cerity Insurance Company, all rated A (Excellent) by AM Best. Not all companies do business in all jurisdictions. EIG Services, Inc., and Cerity Services, Inc., are subsidiaries of Employers Holdings, Inc. EMPLOYERS® is a registered trademark of EIG Services, Inc., and Cerity® is a registered trademark of Cerity Services, Inc. For more information, please visit www.employers.com and www.cerity.com.
Contact Information
Michael Pedraja (775) 327-2706 or mpedraja@employers.com
EMPLOYERS HOLDINGS, INC.
Table of Contents
| Page | |||
| 1 | Consolidated Financial Highlights | ||
| 2 | Summary Consolidated Balance Sheets | ||
| 3 | Summary Consolidated Income Statements | ||
| 4 | Return on Equity | ||
| 5 | Combined Ratios | ||
| 6 | Roll-forward of Unpaid Losses and LAE | ||
| 7 | Consolidated Investment Portfolio | ||
| 8 | Book Value Per Share | ||
| 9 | Earnings Per Share | ||
| 10 | Non-GAAP Financial Measures |
| EMPLOYERS HOLDINGS, INC. Consolidated Financial Highlights (unaudited) $ in millions, except per share amounts | ||||||||||||||||||||||||
| Three Months Ended | Six Months Ended | |||||||||||||||||||||||
| June 30, | June 30, | |||||||||||||||||||||||
| 2025 | 2024 | % change | 2025 | 2024 | % change | |||||||||||||||||||
| Selected financial highlights: | ||||||||||||||||||||||||
| Gross premiums written | $ | 203.3 | $ | 207.9 | (2 | ) | % | $ | 415.4 | $ | 418.7 | (1 | ) | % | ||||||||||
| Net premiums written | 201.5 | 206.1 | (2 | ) | 411.8 | 415.2 | (1 | ) | ||||||||||||||||
| Net premiums earned | 198.3 | 187.8 | 6 | 381.3 | 372.6 | 2 | ||||||||||||||||||
| Net investment income | 27.1 | 26.9 | 1 | 59.2 | 53.8 | 10 | ||||||||||||||||||
| Net income excluding LPT(1) | 28.0 | 29.6 | (5 | ) | 39.2 | 55.8 | (30 | ) | ||||||||||||||||
| Adjusted net income(1) | 11.5 | 27.9 | (59 | ) | 32.8 | 45.1 | (27 | ) | ||||||||||||||||
| Net Income before income taxes | 37.0 | 40.0 | (8 | ) | 52.9 | 75.3 | (30 | ) | ||||||||||||||||
| Net Income | 29.7 | 31.7 | (6 | ) | 42.5 | 60.0 | (29 | ) | ||||||||||||||||
| Comprehensive income | 37.2 | 29.6 | 26 | 71.8 | 47.0 | 53 | ||||||||||||||||||
| Total assets | 3,543.3 | 3,550.0 | — | |||||||||||||||||||||
| Stockholders' equity | 1,083.1 | 1,022.9 | 6 | |||||||||||||||||||||
| Stockholders' equity including the Deferred Gain(2) | 1,173.8 | 1,118.2 | 5 | |||||||||||||||||||||
| Adjusted stockholders' equity(2) | 1,227.0 | 1,217.2 | 1 | |||||||||||||||||||||
| Annualized adjusted return on stockholders' equity(3) | 3.7 | % | 9.2 | % | (60 | ) | % | 5.3 | % | 7.5 | % | (29 | ) | % | ||||||||||
| Amounts per share: | ||||||||||||||||||||||||
| Cash dividends declared per share | $ | 0.32 | $ | 0.30 | 7 | % | $ | 0.62 | $ | 0.58 | 7 | % | ||||||||||||
| Earnings per diluted share(4) | 1.23 | 1.25 | (2 | ) | 1.74 | 2.36 | (26 | ) | ||||||||||||||||
| Earnings per diluted share excluding LPT(4) | 1.16 | 1.17 | (1 | ) | 1.61 | 2.19 | (26 | ) | ||||||||||||||||
| Adjusted earnings per diluted share(4) | 0.48 | 1.10 | (56 | ) | 1.35 | 1.77 | (24 | ) | ||||||||||||||||
| Book value per share(2) | 45.62 | 41.09 | 11 | |||||||||||||||||||||
| Book value per share including the Deferred Gain(2) | 49.44 | 44.91 | 10 | |||||||||||||||||||||
| Adjusted book value per share(2) | 51.68 | 48.89 | 6 | |||||||||||||||||||||
| Combined ratio excluding LPT:(5): | ||||||||||||||||||||||||
| Loss and loss adjustment expense ratio: | ||||||||||||||||||||||||
| Current Year | 71.4 | % | 63.9 | % | 68.8 | % | 64.1 | % | ||||||||||||||||
| Prior Year | 0.1 | (4.8 | ) | 0.5 | (2.5 | ) | ||||||||||||||||||
| Loss and loss adjustment expense ratio | 71.5 | % | 59.1 | % | 69.3 | % | 61.6 | % | ||||||||||||||||
| Commission expense ratio | 13.2 | % | 13.9 | % | 12.9 | % | 13.7 | % | ||||||||||||||||
| Underwriting expense ratio | 21.7 | % | 22.4 | % | 22.6 | % | 23.7 | % | ||||||||||||||||
| Combined ratio excluding LPT | 106.4 | % | 95.4 | % | 104.8 | % | 99.0 | % | ||||||||||||||||
| (1) See Page 3 for calculations and Page 10 for information regarding our use of Non-GAAP Financial Measures. | ||||||||||||||||||||||||
| (2) See Page 8 for calculations and Page 10 for information regarding our use of Non-GAAP Financial Measures. | ||||||||||||||||||||||||
| (3) See Page 4 for calculations and Page 10 for information regarding our use of Non-GAAP Financial Measures. | ||||||||||||||||||||||||
| (4) See Page 9 for description and calculations and Page 10 for information regarding our use of Non-GAAP Financial Measures. | ||||||||||||||||||||||||
| (5) See Pages 5 for details and Page 10 for information regarding our use of Non-GAAP Financial Measures. | ||||||||||||||||||||||||
| EMPLOYERS HOLDINGS, INC. Summary Consolidated Balance Sheets (unaudited) $ in millions, except per share amounts | ||||||||
| June 30, 2025 | December 31, 2024 | |||||||
| ASSETS | ||||||||
| Investments, cash and cash equivalents | $ | 2,529.5 | $ | 2,532.4 | ||||
| Accrued investment income | 15.7 | 15.7 | ||||||
| Premiums receivable, net | 382.0 | 361.3 | ||||||
| Reinsurance recoverable, net of allowance, on paid and unpaid losses and LAE | 407.3 | 417.8 | ||||||
| Deferred policy acquisition costs | 64.0 | 59.6 | ||||||
| Deferred income tax asset, net | 29.4 | 38.3 | ||||||
| Other assets | 115.4 | 116.2 | ||||||
| Total assets | $ | 3,543.3 | $ | 3,541.3 | ||||
| LIABILITIES | ||||||||
| Unpaid losses and LAE | $ | 1,786.8 | $ | 1,808.2 | ||||
| Unearned premiums | 429.6 | 402.2 | ||||||
| Commissions and premium taxes payable | 62.8 | 65.8 | ||||||
| Deferred Gain | 90.7 | 94.0 | ||||||
| Other liabilities | 90.3 | 102.4 | ||||||
| Total liabilities | $ | 2,460.2 | $ | 2,472.6 | ||||
| STOCKHOLDERS' EQUITY | ||||||||
| Common stock and additional paid-in capital | $ | 426.3 | $ | 424.8 | ||||
| Retained earnings | 1,500.2 | 1,472.9 | ||||||
| Accumulated other comprehensive loss | (53.2 | ) | (82.5 | ) | ||||
| Treasury stock, at cost | (790.2 | ) | (746.5 | ) | ||||
| Total stockholders’ equity | 1,083.1 | 1,068.7 | ||||||
| Total liabilities and stockholders’ equity | $ | 3,543.3 | $ | 3,541.3 | ||||
| Stockholders' equity including the Deferred Gain (1) | $ | 1,173.8 | $ | 1,162.7 | ||||
| Adjusted stockholders' equity (1) | 1,227.0 | 1,245.2 | ||||||
| Book value per share (1) | $ | 45.62 | $ | 43.52 | ||||
| Book value per share including the Deferred Gain(1) | 49.44 | 47.35 | ||||||
| Adjusted book value per share (1) | 51.68 | 50.71 | ||||||
| (1) See Page 8 for calculations and Page 10 for information regarding our use of Non-GAAP Financial Measures. | ||||||||
| EMPLOYERS HOLDINGS, INC. Summary Consolidated Income Statements (unaudited) $ in millions | |||||||||||||||
| Three Months Ended | Six Months Ended | ||||||||||||||
| June 30, | June 30, | ||||||||||||||
| 2025 | 2024 | 2025 | 2024 | ||||||||||||
| Revenues: | |||||||||||||||
| Net premiums earned | $ | 198.3 | $ | 187.8 | $ | 381.3 | $ | 372.6 | |||||||
| Net investment income | 27.1 | 26.9 | 59.2 | 53.8 | |||||||||||
| Net realized and unrealized gains on investments(1) | 20.9 | 2.2 | 8.1 | 13.6 | |||||||||||
| Other income | — | 0.1 | 0.3 | 0.1 | |||||||||||
| Total revenues | 246.3 | 217.0 | 448.9 | 440.1 | |||||||||||
| Expenses: | |||||||||||||||
| Losses and LAE incurred | (140.1 | ) | (108.8 | ) | (260.8 | ) | (225.3 | ) | |||||||
| Commission expense | (26.1 | ) | (26.0 | ) | (49.1 | ) | (51.1 | ) | |||||||
| Underwriting expenses | (43.1 | ) | (42.2 | ) | (86.0 | ) | (88.4 | ) | |||||||
| Interest and financing expenses | — | — | (0.1 | ) | — | ||||||||||
| Total expenses | (209.3 | ) | (177.0 | ) | (396.0 | ) | (364.8 | ) | |||||||
| Net income before income taxes | 37.0 | 40.0 | 52.9 | 75.3 | |||||||||||
| Income tax expense | (7.3 | ) | (8.3 | ) | (10.4 | ) | (15.3 | ) | |||||||
| Net Income | 29.7 | 31.7 | 42.5 | 60.0 | |||||||||||
| Unrealized AFS investment gains (losses) arising during the period, net of tax(2) | 7.4 | (4.9 | ) | 28.5 | (16.5 | ) | |||||||||
| Reclassification adjustment for net realized AFS investment losses in net income, net of tax(2) | 0.1 | 2.8 | 0.8 | 3.5 | |||||||||||
| Total comprehensive income | $ | 37.2 | $ | 29.6 | $ | 71.8 | $ | 47.0 | |||||||
| Net Income | $ | 29.7 | $ | 31.7 | $ | 42.5 | $ | 60.0 | |||||||
| Amortization of the Deferred Gain - losses | (1.7 | ) | (1.5 | ) | (3.3 | ) | (3.0 | ) | |||||||
| Amortization of the Deferred Gain - contingent commission | — | (0.4 | ) | — | (0.8 | ) | |||||||||
| LPT contingent commission adjustments | — | (0.2 | ) | — | (0.4 | ) | |||||||||
| Net income excluding LPT Agreement (3) | 28.0 | 29.6 | 39.2 | 55.8 | |||||||||||
| Net realized and unrealized gains on investments | (20.9 | ) | (2.2 | ) | (8.1 | ) | (13.6 | ) | |||||||
| Income tax expense related to items excluded from Net income | 4.4 | 0.5 | 1.7 | 2.9 | |||||||||||
| Adjusted net income | $ | 11.5 | $ | 27.9 | $ | 32.8 | $ | 45.1 | |||||||
| (1) Includes unrealized gains on equity securities and other investments of | |||||||||||||||
| (2) AFS = Available for Sale securities. | |||||||||||||||
| (3) See Page 10 regarding our use of Non-GAAP Financial Measures. | |||||||||||||||
| EMPLOYERS HOLDINGS, INC. Return on Equity (unaudited) $ in millions | ||||||||||||||||
| Three Months Ended | Six Months Ended | |||||||||||||||
| June 30, | June 30, | |||||||||||||||
| 2025 | 2024 | 2025 | 2024 | |||||||||||||
| Net income | A | $ | 29.7 | $ | 31.7 | $ | 42.5 | $ | 60.0 | |||||||
| Impact of the LPT Agreement | (1.7 | ) | (2.1 | ) | (3.3 | ) | (4.2 | ) | ||||||||
| Net realized and unrealized gains on investments | (20.9 | ) | (2.2 | ) | (8.1 | ) | (13.6 | ) | ||||||||
| Income tax expense related to items excluded from Net income | 4.4 | 0.5 | 1.7 | 2.9 | ||||||||||||
| Adjusted net income (1) | B | 11.5 | 27.9 | 32.8 | 45.1 | |||||||||||
| Stockholders' equity - end of period | $ | 1,083.1 | $ | 1,022.9 | $ | 1,083.1 | $ | 1,022.9 | ||||||||
| Stockholders' equity - beginning of period | 1,075.7 | 1,018.9 | 1,068.7 | 1,013.9 | ||||||||||||
| Average stockholders' equity | C | 1,079.4 | 1,020.9 | 1,075.9 | 1,018.4 | |||||||||||
| Stockholders' equity - end of period | $ | 1,083.1 | $ | 1,022.9 | $ | 1,083.1 | $ | 1,022.9 | ||||||||
| Deferred Gain - end of period | 90.7 | 95.3 | 90.7 | 95.3 | ||||||||||||
| Accumulated other comprehensive loss - end of period | 67.3 | 125.3 | 67.3 | 125.3 | ||||||||||||
| Income taxes related to accumulated other comprehensive loss - end of period | (14.1 | ) | (26.3 | ) | (14.1 | ) | (26.3 | ) | ||||||||
| Adjusted stockholders' equity - end of period | 1,227.0 | 1,217.2 | 1,227.0 | 1,217.2 | ||||||||||||
| Adjusted stockholders' equity - beginning of period | 1,228.8 | 1,213.0 | 1,245.2 | 1,199.1 | ||||||||||||
| Average adjusted stockholders' equity (1) | D | 1,227.9 | 1,215.1 | 1,236.1 | 1,208.2 | |||||||||||
| Return on stockholders' equity | A / C | 2.8 | % | 3.1 | % | 4.0 | % | 5.9 | % | |||||||
| Annualized return on stockholders' equity | 11.0 | 12.4 | 7.9 | 11.8 | ||||||||||||
| Adjusted return on stockholders' equity (1) | B / D | 0.9 | % | 2.3 | % | 2.7 | % | 3.7 | % | |||||||
| Annualized adjusted return on stockholders' equity (1) | 3.7 | 9.2 | 5.3 | 7.5 | ||||||||||||
| (1) See Page 10 for information regarding our use of Non-GAAP Financial Measures. | ||||||||||||||||
| EMPLOYERS HOLDINGS, INC. Combined Ratios (unaudited) $ in millions, except per share amounts | ||||||||||||||||
| Three Months Ended | Six Months Ended | |||||||||||||||
| June 30, | June 30, | |||||||||||||||
| 2025 | 2024 | 2025 | 2024 | |||||||||||||
| Net premiums earned | A | $ | 198.3 | $ | 187.8 | $ | 381.3 | $ | 372.6 | |||||||
| Losses and LAE incurred | B | 140.1 | 108.8 | 260.8 | 225.3 | |||||||||||
| Amortization of deferred reinsurance gain - losses | 1.7 | 1.5 | 3.3 | 3.0 | ||||||||||||
| Amortization of deferred reinsurance gain - contingent commission | — | 0.4 | — | 0.8 | ||||||||||||
| LPT contingent commission adjustments | — | 0.2 | — | 0.4 | ||||||||||||
| Losses and LAE excluding LPT(1) | C | $ | 141.8 | $ | 110.9 | 264.1 | 229.5 | |||||||||
| Prior year loss reserve development | 0.3 | (9.1 | ) | 1.6 | (9.2 | ) | ||||||||||
| Losses and LAE excluding LPT - current accident year | D | $ | 141.5 | $ | 120.0 | $ | 262.5 | $ | 238.7 | |||||||
| Commission expense | E | $ | 26.1 | $ | 26.0 | $ | 49.1 | $ | 51.1 | |||||||
| Underwriting expenses | F | $ | 43.1 | $ | 42.2 | $ | 86.0 | $ | 88.4 | |||||||
| GAAP combined ratio: | ||||||||||||||||
| Loss and LAE ratio | B/A | 70.7 | % | 57.9 | % | 68.4 | % | 60.5 | % | |||||||
| Commission expense ratio | E/A | 13.2 | 13.9 | 12.9 | 13.7 | |||||||||||
| Underwriting expense ratio | F/A | 21.7 | 22.4 | 22.6 | 23.7 | |||||||||||
| GAAP combined ratio | 105.6 | % | 94.2 | % | 103.9 | % | 97.9 | % | ||||||||
| Combined ratio excluding LPT:(1) | ||||||||||||||||
| Loss and LAE ratio excluding LPT | C/A | 71.5 | % | 59.1 | % | 69.3 | % | 61.6 | % | |||||||
| Commission expense ratio | E/A | 13.2 | 13.9 | 12.9 | 13.7 | |||||||||||
| Underwriting expense ratio | F/A | 21.7 | 22.4 | 22.6 | 23.7 | |||||||||||
| Combined ratio excluding LPT | 106.4 | % | 95.4 | % | 104.8 | % | 99.0 | % | ||||||||
| Combined ratio excluding LPT: current accident year:(1) | ||||||||||||||||
| Loss and LAE ratio excluding LPT | D/A | 71.4 | % | 63.9 | % | 68.8 | % | 64.1 | % | |||||||
| Commission expense ratio | E/A | 13.2 | 13.9 | 12.9 | 13.7 | |||||||||||
| Underwriting expense ratio | F/A | 21.7 | 22.4 | 22.6 | 23.7 | |||||||||||
| Combined ratio excluding LPT: current accident year | 106.3 | % | 100.2 | % | 104.3 | % | 101.5 | % | ||||||||
| (1) See Page 10 for information regarding our use of Non-GAAP Financial Measures. | ||||||||||||||||
| EMPLOYERS HOLDINGS, INC. Roll-forward of Unpaid Losses and LAE (unaudited) $ in millions | |||||||||||||
| Three Months Ended | Six Months Ended | ||||||||||||
| June 30, | June 30, | ||||||||||||
| 2025 | 2024 | 2025 | 2024 | ||||||||||
| Unpaid losses and LAE at beginning of period | $ | 1,792.6 | $ | 1,874.5 | $ | 1,808.2 | $ | 1,884.5 | |||||
| Reinsurance recoverable, excluding CECL allowance, on unpaid losses and LAE | 407.1 | 424.0 | 412.4 | 428.4 | |||||||||
| Net unpaid losses and LAE at beginning of period | 1,385.5 | 1,450.5 | 1,395.8 | 1,456.1 | |||||||||
| Losses and LAE incurred: | |||||||||||||
| Current year losses | 141.5 | 120.0 | 262.5 | 238.7 | |||||||||
| Prior year losses on voluntary business | — | (9.3 | ) | 0.7 | (9.3 | ) | |||||||
| Prior year losses on involuntary business | 0.3 | 0.2 | 0.9 | 0.1 | |||||||||
| Total losses incurred | 141.8 | 110.9 | 264.1 | 229.5 | |||||||||
| Losses and LAE paid: | |||||||||||||
| Current year losses | 26.0 | 24.1 | 34.0 | 30.9 | |||||||||
| Prior year losses | 115.5 | 104.7 | 240.1 | 222.1 | |||||||||
| Total paid losses | 141.5 | 128.8 | 274.1 | 253.0 | |||||||||
| Net unpaid losses and LAE at end of period | 1,385.8 | 1,432.6 | 1,385.8 | 1,432.6 | |||||||||
| Reinsurance recoverable, excluding CECL allowance, on unpaid losses and LAE | 401.0 | 418.3 | 401.0 | 418.3 | |||||||||
| Unpaid losses and LAE at end of period | $ | 1,786.8 | $ | 1,850.9 | $ | 1,786.8 | $ | 1,850.9 | |||||
Total losses and LAE shown in the above table exclude amortization of the Deferred Gain and LPT contingent commission adjustments, which totaled
| EMPLOYERS HOLDINGS, INC. Consolidated Investment Portfolio (unaudited) $ in millions | |||||||||||||||||||
| June 30, 2025 | December 31, 2024 | ||||||||||||||||||
| Investment Positions: | Cost or Amortized Cost (1) | Net Unrealized Gain (Loss) | Fair Value | % | Fair Value | % | |||||||||||||
| Fixed maturity securities | $ | 2,145.5 | $ | (67.4 | ) | $ | 2,077.0 | 82 | % | $ | 2,097.4 | 83 | % | ||||||
| Equity securities | 155.5 | 120.1 | 275.6 | 11 | 259.8 | 10 | |||||||||||||
| Short-term investments | 9.0 | — | 9.0 | — | 0.1 | — | |||||||||||||
| Other invested assets | 85.9 | 12.7 | 98.6 | 4 | 106.6 | 4 | |||||||||||||
| Cash and cash equivalents | 69.1 | — | 69.1 | 3 | 68.3 | 3 | |||||||||||||
| Restricted cash and cash equivalents | 0.2 | — | 0.2 | — | 0.2 | — | |||||||||||||
| Total investments and cash | $ | 2,465.2 | $ | 65.4 | $ | 2,529.5 | 100 | % | $ | 2,532.4 | 100 | % | |||||||
| Breakout of Fixed Maturity Securities: | |||||||||||||||||||
| U.S. Treasuries and agencies | $ | 68.0 | $ | (0.5 | ) | $ | 67.5 | 3 | % | $ | 59.3 | 3 | % | ||||||
| States and municipalities | 169.9 | (2.0 | ) | 167.9 | 8 | 159.3 | 8 | ||||||||||||
| Corporate securities | 822.2 | (24.8 | ) | 797.2 | 38 | 803.0 | 38 | ||||||||||||
| Mortgage-backed securities | 713.5 | (37.3 | ) | 675.9 | 33 | 684.9 | 33 | ||||||||||||
| Asset-backed securities | 195.9 | (0.1 | ) | 195.8 | 9 | 214.0 | 10 | ||||||||||||
| Collateralized loan obligations | 26.0 | (0.1 | ) | 25.9 | 1 | 35.3 | 2 | ||||||||||||
| Bank loans and other | 150.0 | (2.6 | ) | 146.8 | 7 | 141.6 | 7 | ||||||||||||
| Total fixed maturity securities | $ | 2,145.5 | $ | (67.4 | ) | $ | 2,077.0 | 100 | % | $ | 2,097.4 | 100 | % | ||||||
| Weighted average book yield | |||
| Average credit quality (S&P) | A+ | A+ | |
| Duration(2) | 4.3 | 4.5 | |
| (1) Amortized cost excludes allowance for current expected credit losses of | |||
| (2) Duration is measured by the sensitivity to changes in interest rates |
| EMPLOYERS HOLDINGS, INC. Book Value Per Share (unaudited) $ in millions, except per share amounts | ||||||||||||||||
| June 30, 2025 | March 31, 2025 | December 31, 2024 | June 30, 2024 | |||||||||||||
| Numerators: | ||||||||||||||||
| Stockholders' equity | A | $ | 1,083.1 | $ | 1,075.7 | $ | 1,068.7 | $ | 1,022.9 | |||||||
| Plus: Deferred Gain | 90.7 | 92.4 | 94.0 | 95.3 | ||||||||||||
| Stockholders' equity including the Deferred Gain (1) | B | 1,173.8 | 1,168.1 | 1,162.7 | 1,118.2 | |||||||||||
| Accumulated other comprehensive loss | 67.3 | 76.8 | 104.5 | 125.3 | ||||||||||||
| Income taxes related to accumulated other comprehensive loss | (14.1 | ) | (16.1 | ) | (22.0 | ) | (26.3 | ) | ||||||||
| Adjusted stockholders' equity (1) | C | $ | 1,227.0 | $ | 1,228.8 | $ | 1,245.2 | $ | 1,217.2 | |||||||
| Denominator (shares outstanding) | D | 23,740,953 | 24,210,602 | 24,556,706 | 24,896,116 | |||||||||||
| Book value per share (1) | A / D | $ | 45.62 | $ | 44.43 | $ | 43.52 | $ | 41.09 | |||||||
| Book value per share including the Deferred Gain(1) | B / D | 49.44 | 48.25 | 47.35 | 44.91 | |||||||||||
| Adjusted book value per share (1) | C / D | 51.68 | 50.75 | 50.71 | 48.89 | |||||||||||
| Year-over-year change in: (2) | ||||||||||||||||
| Book value per share | 14.0 | % | 13.5 | % | 11.9 | % | 15.7 | % | ||||||||
| Book value per share including the Deferred Gain | 12.8 | 12.3 | 10.6 | 14.0 | ||||||||||||
| Adjusted book value per share | 8.2 | 8.5 | 9.8 | 10.2 | ||||||||||||
| (1) See Page 10 for information regarding our use of Non-GAAP Financial Measures. | ||||||||||||||||
| (2) Reflects the twelve month change in book value per share after taking into account dividends declared of | ||||||||||||||||
| EMPLOYERS HOLDINGS, INC. Earnings Per Share (unaudited) $ in millions, except per share amounts | ||||||||||||||||
| Three Months Ended | Six Months Ended | |||||||||||||||
| June 30, | June 30, | |||||||||||||||
| 2025 | 2024 | 2025 | 2024 | |||||||||||||
| Numerators: | ||||||||||||||||
| Net income | A | $ | 29.7 | $ | 31.7 | $ | 42.5 | $ | 60.0 | |||||||
| Impact of the LPT Agreement | (1.7 | ) | (2.1 | ) | (3.3 | ) | (4.2 | ) | ||||||||
| Net income excluding LPT (1) | B | 28.0 | 29.6 | 39.2 | 55.8 | |||||||||||
| Net realized and unrealized gains on investments | (20.9 | ) | (2.2 | ) | (8.1 | ) | (13.6 | ) | ||||||||
| Income tax expense related to items excluded from Net income | 4.4 | 0.5 | 1.7 | 2.9 | ||||||||||||
| Adjusted net income (1) | C | $ | 11.5 | $ | 27.9 | $ | 32.8 | $ | 45.1 | |||||||
| Denominators: | ||||||||||||||||
| Average common shares outstanding (basic) | D | 24,005,881 | 25,278,473 | 24,201,160 | 25,312,208 | |||||||||||
| Average common shares outstanding (diluted) | E | 24,136,221 | 25,363,941 | 24,370,311 | 25,449,957 | |||||||||||
| Earnings per share: | ||||||||||||||||
| Basic | A / D | $ | 1.24 | $ | 1.25 | $ | 1.76 | $ | 2.37 | |||||||
| Diluted | A / E | 1.23 | 1.25 | 1.74 | 2.36 | |||||||||||
| Earnings per share excluding LPT: (1) | ||||||||||||||||
| Basic | B / D | $ | 1.17 | $ | 1.17 | $ | 1.62 | $ | 2.20 | |||||||
| Diluted | B / E | 1.16 | 1.17 | 1.61 | 2.19 | |||||||||||
| Adjusted earnings per share: (1) | ||||||||||||||||
| Basic | C / D | $ | 0.48 | $ | 1.10 | $ | 1.36 | $ | 1.78 | |||||||
| Diluted | C / E | 0.48 | 1.10 | 1.35 | 1.77 | |||||||||||
| (1) See Page 10 for information regarding our use of Non-GAAP Financial Measures. | ||||||||||||||||
Non-GAAP Financial Measures
Within this earnings release we present the following measures, each of which are "non-GAAP financial measures." A reconciliation of these measures to the Company's most directly comparable GAAP financial measures is included herein. Management believes that these non-GAAP measures are important to the Company's investors, analysts and other interested parties who benefit from having an objective and consistent basis for comparison with other companies within our industry. Management further believes that these measures are more relevant than comparable GAAP measures in evaluating our financial performance.
The LPT Agreement is a non-recurring transaction that no longer provides any ongoing cash benefits to the Company. Management believes that providing non-GAAP measures that exclude the effects of the LPT Agreement (amortization of deferred reinsurance gain, adjustments to LPT Agreement ceded reserves and adjustments to the contingent commission receivable) is useful in providing investors, analysts and other interested parties a meaningful understanding of the Company's ongoing underwriting performance.
Deferred reinsurance gain (Deferred Gain) reflects the unamortized gain from the LPT Agreement. This gain has been deferred and is being amortized using the recovery method, whereby the amortization is determined by the proportion of actual reinsurance recoveries to total estimated recoveries, except for the contingent profit commission, which was amortized through June 30, 2024, the date of its final determination. Amortization is reflected in losses and LAE incurred.
Adjusted net income (see Page 3 for calculations) is net income excluding the effects of the LPT Agreement, and net realized and unrealized gains and losses on investments (net of tax), and any miscellaneous non-recurring transactions (net of tax). Management believes that providing this non-GAAP measures is helpful to investors, analysts and other interested parties in identifying trends in the Company's operating performance because such items have limited significance to its ongoing operations or can be impacted by both discretionary and other economic factors and may not represent operating trends.
Stockholders' equity including the Deferred Gain (see Page 8 for calculations) is stockholders' equity including the Deferred Gain. Management believes that providing this non-GAAP measure is useful in providing investors, analysts and other interested parties a meaningful measure of the Company's total underwriting capital.
Adjusted stockholders' equity (see Page 8 for calculations) is stockholders' equity including the Deferred Gain, less accumulated other comprehensive income (net of tax). Management believes that providing this non-GAAP measure is useful to investors, analysts and other interested parties since it serves as the denominator to the Company's adjusted return on stockholders' equity metric.
Return on stockholders' equity and Adjusted return on stockholders' equity (see Page 4 for calculations). Management believes that these profitability measures are widely used by our investors, analysts and other interested parties.
Book value per share, Book value per share including the Deferred Gain, and Adjusted book value per share (see Page 8 for calculations). Management believes that these valuation measures are widely used by our investors, analysts and other interested parties.
Net income excluding LPT (see Page 3 for calculations). Management believes that these performance and underwriting measures are widely used by our investors, analysts and other interested parties.
FAQ
What were Employers Holdings (EIG) key financial results for Q2 2025?
How much dividend did EIG declare for Q3 2025?
What caused the increase in EIG's loss ratio during Q2 2025?
How much capital did EIG return to shareholders in Q2 2025?
What was EIG's book value per share growth in Q2 2025?
