HCI Reports Fourth Quarter and Full Year 2025 Results
Rhea-AI Summary
HCI Group (NYSE:HCI) reported strong 2025 results: pre-tax income $429M, net income $320M and diluted EPS $22.72 for the year. Q4 pre-tax income was $144M and diluted EPS $7.25. Gross premiums were $1,236M in 2025; gross loss ratio was 19.6% for the full year.
Management announced plans to pursue growth and a forthcoming share buyback program and will host a conference call on February 25, 2026.
AI-generated analysis. Not financial advice.
Positive
- Pre-tax income of $429 million in 2025
- Diluted EPS of $22.72 for full year 2025
- Gross premiums earned of $1,236 million in 2025
Negative
- Gross loss ratio of 19.6% for full year 2025
- Policy acquisition expenses rose to $122 million in 2025
- General and administrative personnel expenses increased to $72 million in 2025
News Market Reaction – HCI
On the day this news was published, HCI gained 4.41%, reflecting a moderate positive market reaction. Argus tracked a peak move of +5.2% during that session. Our momentum scanner triggered 2 alerts that day, indicating moderate trading interest and price volatility. This price movement added approximately $98M to the company's valuation, bringing the market cap to $2.32B at that time.
Data tracked by StockTitan Argus on the day of publication.
Key Figures
Market Reality Check
Peers on Argus
HCI was up 2.07% pre‑earnings while key peers showed mixed but generally positive moves (e.g., STC +1.31%, KMPR +1.76%, MCY +2.72%, LMND
Previous Earnings Reports
| Date | Event | Sentiment | Move | Catalyst |
|---|---|---|---|---|
| Feb 04 | Earnings call scheduling | Neutral | +2.7% | Announcement of date and access details for Q4 and full‑year 2025 call. |
| Nov 06 | Quarterly earnings results | Positive | -4.2% | Strong Q3 2025 earnings with higher income, premiums, and better loss ratios. |
| Oct 27 | Earnings call scheduling | Neutral | -1.2% | Set timing and access for upcoming Q3 2025 earnings discussion. |
| Aug 07 | Quarterly earnings results | Positive | +1.8% | Q2 2025 results with higher pre‑tax income and improved gross loss ratio. |
| Jul 14 | Earnings call scheduling | Neutral | -0.1% | Scheduling of Q2 2025 earnings call and replay information for investors. |
Earnings-related headlines often bring modest stock moves, with one notable divergence on strong results.
Over the past few quarters, HCI has repeatedly highlighted stronger earnings, rising premiums, and improving loss ratios. Q2 and Q3 2025 results showed higher pre‑tax income and lower gross loss ratios, while multiple earnings‑call announcements framed these releases. The current fourth quarter and full‑year 2025 report extends that trend with record earnings and low catastrophe losses, building directly on the prior quarters’ momentum and the Exzeo separation story.
Historical Comparison
In the past year, HCI earnings‑tagged headlines produced an average move of -0.2%, with mixed reactions to strong results and call notices. This full‑year 2025 report fits the pattern of solid fundamentals but varied price follow‑through.
Earnings updates across 2025 showed rising pre‑tax income, stronger loss ratios, and the Exzeo separation. This release caps that progression with record full‑year 2025 results and commentary on future growth and a planned buyback program.
Market Pulse Summary
This announcement presents record fourth quarter and full‑year 2025 results, with pre‑tax income of $144M in Q4 and $429M for the year, diluted EPS of $22.72, and a gross loss ratio of 19.6%. The company also emphasized the completed Exzeo IPO and signaled a forthcoming share buyback program. Investors may watch future loss ratios, premium growth, and execution on acquisitions and organic expansion plans.
Key Terms
diluted eps financial
gross loss ratio financial
loss adjustment expenses financial
noncontrolling interests financial
convertible notes financial
AI-generated analysis. Not financial advice.
Fourth Quarter Pre-Tax Income of
Full Year 2025 Pre-Tax Income of
Gross Loss Ratio of
TAMPA, Fla., Feb. 25, 2026 (GLOBE NEWSWIRE) -- HCI Group, Inc. (NYSE:HCI), reported pre-tax income of
Management Commentary
“2025 was a very successful year for HCI, delivering record earnings and shareholder returns. In addition to our operating performance, HCI successfully executed the IPO of Exzeo, a leading technology platform,” said HCI Group Chairman and Chief Executive Officer Paresh Patel. “Looking forward to 2026, we are exploring new areas of growth, both organically and through acquisition. In the meantime, we plan to invest in ourselves through a soon-to-be announced share buyback program.”
Fourth Quarter 2025 Results
Gross premiums earned in the fourth quarter of 2025 were
Premiums ceded for reinsurance in the fourth quarter of 2025 were
Losses and loss adjustment expenses in the fourth quarter of 2025 were
Policy acquisition and other underwriting expenses in the fourth quarter of 2025 were
Interest expense in the fourth quarter of 2025 was
Full Year 2025 Results
Pre-tax income was
Gross premiums earned in 2025 were
Premiums ceded for reinsurance in 2025 were
Losses and loss adjustment expenses in 2025 were
Policy acquisition and other underwriting expenses in 2025 were
General and administrative personnel expenses in 2025 were
Interest expense in 2025 was
Conference Call
HCI Group will hold a conference call later today, February 25, 2026, to discuss these financial results. Chairman and Chief Executive Officer Paresh Patel, Chief Operating Officer Karin Coleman and Chief Financial Officer Mark Harmsworth will host the call starting at 4:45 p.m. Eastern Time.
Interested parties can listen to the live presentation by dialing the listen-only number below or by clicking the webcast link available on the Investor Information section of the company's website at www.hcigroup.com.
Listen-only toll-free number: (888) 506-0062
Listen-only international number: (973) 528-0011
Entry Code: 935522
Please call the conference telephone number 10 minutes before the start time. An operator will register your name and organization. If you have any difficulty connecting with the conference call, please contact Gateway Investor Relations at (949) 574-3860.
A replay of the call will be available by telephone after 8:00 p.m. Eastern Time on the same day as the call and via the Investor Information section of the HCI Group website at www.hcigroup.com through February 25, 2027.
Toll-free replay number: (877) 481-4010
International replay number: (919) 882-2331
Replay ID: 53584
About HCI Group, Inc.
HCI Group, Inc. is a diversified holding company engaged in insurance, reinsurance, real estate, claims services, and insurance technology. The HCI Group portfolio of companies includes multiple P&C underwriters and exchanges, a captive reinsurer, a claims management business, a commercial real estate investment company, and leading insurance technology company Exzeo. HCI was founded in 2006 and operates in 13 states.
HCI's common shares trade on the New York Stock Exchange under the ticker symbol "HCI" and are included in the Russell 2000 and S&P SmallCap 600 Index. HCI Group, Inc. regularly publishes financial and other information in the Investor Information section of the company’s website. For more information about HCI Group and its subsidiaries, visit www.hcigroup.com. Exzeo’s common shares trade on the New York Stock Exchange under the ticker symbol “XZO.” For more information about Exzeo, visit www.exzeo.com.
Forward-Looking Statements
This news release may contain forward-looking statements made pursuant to the Private Securities Litigation Reform Act of 1995. Words such as "anticipate," "estimate," "expect," "intend," "plan," "confident," "prospects" and "project" and other similar words and expressions are intended to signify forward-looking statements. Forward-looking statements are not guarantees of future results and conditions, but rather are subject to various risks and uncertainties. For example, the estimation of reserves for losses and loss adjustment expenses is an inherently imprecise process involving many assumptions and considerable management judgment. Some of these risks and uncertainties are identified in the company's filings with the Securities and Exchange Commission. Should any risks or uncertainties develop into actual events, these developments could have material adverse effects on the company's business, financial condition and results of operations. HCI Group, Inc. disclaims all obligations to update any forward-looking statements.
Company Contact:
Nat Otis
Investor Relations
HCI Group, Inc.
Tel (813) 405-5341
notis@hcigroup.com
Investor Relations Contact:
Matt Glover
Gateway Group, Inc.
Tel (949) 574-3860
HCI@gateway-grp.com
| HCI GROUP, INC. AND SUBSIDIARIES Selected Financial Metrics (Unaudited) (In thousands, except share and per share amounts) | ||||||||||||
| Three Months Ended | Years Ended | |||||||||||
| December 31, | December 31, | |||||||||||
| 2025 | 2024 | 2025 | 2024 | |||||||||
| Gross Written Premiums: | ||||||||||||
| Homeowners Choice | $ | 125,483 | $ | 145,085 | $ | 652,569 | $ | 593,943 | ||||
| TypTap Insurance Company | 140,901 | 174,980 | 503,672 | 491,413 | ||||||||
| Condo Owners Reciprocal Exchange | 3,060 | 14,435 | 31,001 | 81,411 | ||||||||
| Tailrow Reciprocal Exchange | 64,364 | - | 107,528 | - | ||||||||
| Total Gross Written Premiums | $ | 333,808 | $ | 334,500 | $ | 1,294,770 | $ | 1,166,767 | ||||
| Gross Premiums Earned: | ||||||||||||
| Homeowners Choice | $ | 167,795 | $ | 156,342 | $ | 637,741 | $ | 589,137 | ||||
| TypTap Insurance Company | 129,259 | 123,807 | 502,756 | 442,876 | ||||||||
| Condo Owners Reciprocal Exchange | 9,054 | 17,348 | 47,688 | 51,207 | ||||||||
| Tailrow Insurance Exchange | 25,947 | - | 47,960 | - | ||||||||
| Total Gross Premiums Earned | $ | 332,055 | $ | 297,497 | $ | 1,236,145 | $ | 1,083,220 | ||||
| Gross loss ratio | 15.6 | % | 37.2 | % | 19.6 | % | 34.6 | % | ||||
| Per Share Metrics | ||||||||||||
| Diluted earnings per share | $ | 7.25 | $ | 0.23 | $ | 22.72 | $ | 8.89 | ||||
| Dividends per share | $ | 0.40 | $ | 0.40 | $ | 1.60 | $ | 1.60 | ||||
| Book value per share at the end of period | $ | 80.13 | $ | 42.10 | $ | 80.13 | $ | 42.10 | ||||
| Shares outstanding at the end of period | 12,992,147 | 10,767,184 | 12,992,147 | 10,767,184 | ||||||||
| HCI GROUP, INC. AND SUBSIDIARIES Consolidated Balance Sheets (In thousands, except share amounts) | |||||||
| December 31, 2025 | December 31, 2024 | ||||||
| (Unaudited) | |||||||
| Assets | |||||||
| Fixed-maturity securities, available for sale, at fair value (amortized cost: | $ | 597,329 | $ | 718,537 | |||
| Equity securities, at fair value (cost: | 65,890 | 56,200 | |||||
| Limited partnership investments | 17,690 | 20,802 | |||||
| Real estate investments | 103,746 | 79,120 | |||||
| Other investments | 5,000 | - | |||||
| Total investments | 789,655 | 874,659 | |||||
| Cash and cash equivalents | 1,210,126 | 532,471 | |||||
| Restricted cash | 3,748 | 3,714 | |||||
| Income taxes receivable | 1,332 | 463 | |||||
| Deferred income tax assets, net | 2,237 | 72 | |||||
| Premiums receivable, net (allowance: | 57,494 | 50,582 | |||||
| Prepaid reinsurance premiums | 50,127 | 92,060 | |||||
| Reinsurance recoverable, net of allowance for credit losses: | |||||||
| Paid losses and loss adjustment expenses (allowance: | 27,855 | 36,062 | |||||
| Unpaid losses and loss adjustment expenses (allowance: | 262,041 | 522,379 | |||||
| Deferred policy acquisition costs | 59,722 | 54,303 | |||||
| Property and equipment, net | 28,939 | 29,544 | |||||
| Intangible assets, net | 2,683 | 5,206 | |||||
| Funds withheld for assumed business | 5,254 | 11,690 | |||||
| Other assets | 27,715 | 17,008 | |||||
| Total assets | $ | 2,528,928 | $ | 2,230,213 | |||
| Liabilities, Redeemable Noncontrolling Interests and Equity | |||||||
| Losses and loss adjustment expenses | $ | 576,495 | $ | 845,900 | |||
| Unearned premiums | 643,328 | 584,703 | |||||
| Advance premiums | 19,302 | 18,867 | |||||
| Reinsurance payable on paid losses and loss adjustment expenses | — | 2,496 | |||||
| Ceded reinsurance premiums payable | 27,591 | 18,313 | |||||
| Assumed premiums payable | 1,744 | 2,176 | |||||
| Income taxes payable | 12,782 | 5,451 | |||||
| Deferred income tax liabilities, net | 3,814 | 2,830 | |||||
| Revolving credit facility | 36,000 | 44,000 | |||||
| Long-term debt | 31,877 | 185,254 | |||||
| Accrued expenses and other liabilities | 61,351 | 51,182 | |||||
| Total liabilities | 1,414,284 | 1,761,172 | |||||
| Commitments and contingencies | |||||||
| Redeemable noncontrolling interests | 3,359 | 1,691 | |||||
| Equity: | |||||||
| Common stock, (no par value, 40,000,000 shares authorized, 12,992,147 and 10,767,184 shares issued and outstanding, respectively) | — | — | |||||
| Additional paid-in capital | 428,109 | 122,289 | |||||
| Retained earnings | 611,509 | 331,793 | |||||
| Accumulated other comprehensive income (loss) | 1,459 | (749 | ) | ||||
| Total stockholders' equity | 1,041,077 | 453,333 | |||||
| Noncontrolling interests | 70,208 | 14,017 | |||||
| Total equity | 1,111,285 | 467,350 | |||||
| Total liabilities, redeemable noncontrolling interests and equity | $ | 2,528,928 | $ | 2,230,213 | |||
| HCI GROUP, INC. AND SUBSIDIARIES Consolidated Statements of Income (Unaudited) (In thousands, except per share data) | |||||||||||||||
| Three Months Ended | Years Ended | ||||||||||||||
| December 31, | December 31, | ||||||||||||||
| 2025 | 2024 | 2025 | 2024 | ||||||||||||
| Revenue | |||||||||||||||
| Gross premiums earned | $ | 332,055 | $ | 297,497 | $ | 1,236,145 | $ | 1,083,220 | |||||||
| Premiums ceded | (106,234 | ) | (151,146 | ) | (414,479 | ) | (405,659 | ) | |||||||
| Net premiums earned | 225,821 | 146,351 | 821,666 | 677,561 | |||||||||||
| Net investment income | 17,686 | 14,486 | 65,411 | 59,148 | |||||||||||
| Net realized investment gains | 813 | 326 | 2,753 | 3,384 | |||||||||||
| Net unrealized investment (losses) gains | (365 | ) | (1,181 | ) | 123 | 2,644 | |||||||||
| Policy fee income | 1,593 | 1,302 | 6,858 | 4,639 | |||||||||||
| Other | 695 | 591 | 4,135 | 2,675 | |||||||||||
| Total revenue | 246,243 | 161,875 | 900,946 | 750,051 | |||||||||||
| Expenses | |||||||||||||||
| Losses and loss adjustment expenses | 51,926 | 110,727 | 241,827 | 374,708 | |||||||||||
| Policy acquisition and other underwriting expenses | 32,936 | 27,707 | 122,426 | 99,402 | |||||||||||
| General and administrative personnel expenses | 10,851 | 10,231 | 72,125 | 63,152 | |||||||||||
| Interest expense | 1,009 | 3,322 | 9,156 | 13,344 | |||||||||||
| Other operating expenses | 5,521 | 3,997 | 26,082 | 26,018 | |||||||||||
| Total expenses | 102,243 | 155,984 | 471,616 | 576,624 | |||||||||||
| Income before income taxes | 144,000 | 5,891 | 429,330 | 173,427 | |||||||||||
| Income tax expense | 36,002 | 1,757 | 108,935 | 45,846 | |||||||||||
| Net income | $ | 107,998 | $ | 4,134 | $ | 320,395 | $ | 127,581 | |||||||
| Net income attributable to redeemable noncontrolling interests | — | — | — | (10,149 | ) | ||||||||||
| Net income attributable to noncontrolling interests | (10,344 | ) | (1,550 | ) | (21,390 | ) | (7,479 | ) | |||||||
| Net income after noncontrolling interests | $ | 97,654 | $ | 2,584 | $ | 299,005 | $ | 109,953 | |||||||
| Basic earnings per share | $ | 7.50 | $ | 0.24 | $ | 24.58 | $ | 10.59 | |||||||
| Diluted earnings per share | $ | 7.25 | $ | 0.23 | $ | 22.72 | $ | 8.89 | |||||||
| Dividends per share | $ | 0.40 | $ | 0.40 | $ | 1.60 | $ | 1.60 | |||||||
| HCI GROUP, INC. AND SUBSIDIARIES (Unaudited) (In thousands, except per share amount) | |||||||||||||||||||||||
| The computations of basic and diluted earnings per share for the periods presented were as follows: | |||||||||||||||||||||||
| Three Months Ended | Year Ended | ||||||||||||||||||||||
| December 31, 2025 | December 31, 2025 | ||||||||||||||||||||||
| Income | Shares | Per Share | Income | Shares | Per Share | ||||||||||||||||||
| (Numerator) | (Denominator) | Amount | (Numerator) | (Denominator) | Amount | ||||||||||||||||||
| Net income | $ | 107,998 | $ | 320,395 | |||||||||||||||||||
| Less: Net income attributable to noncontrolling interests | (10,344 | ) | (21,390 | ) | |||||||||||||||||||
| Net income after noncontrolling interests | 97,654 | 299,005 | |||||||||||||||||||||
| Less: Income attributable to participating securities | (3,961 | ) | (12,041 | ) | |||||||||||||||||||
| Basic Earnings Per Share: | |||||||||||||||||||||||
| Income attributable to common stockholders | 93,693 | 12,495 | $ | 7.50 | 286,964 | 11,675 | $ | 24.58 | |||||||||||||||
| Effect of Dilutive Securities: | |||||||||||||||||||||||
| Stock options | — | 429 | — | 397 | |||||||||||||||||||
| Convertible senior notes | — | — | 4,879 | 799 | |||||||||||||||||||
| Warrants | — | 8 | — | 7 | |||||||||||||||||||
| Net impact from reallocation of undistributed earnings to participating securities | 108 | — | 803 | — | |||||||||||||||||||
| Diluted Earnings Per Share: | |||||||||||||||||||||||
| Income attributable to common stockholders | $ | 93,801 | 12,932 | $ | 7.25 | $ | 292,646 | 12,878 | $ | 22.72 | |||||||||||||
