NMI Holdings, Inc. Reports Third Quarter 2026 Financial Results

Claims and claim expenses increased 57% year over year, while the insured portfolio grew 5%.

Rhea-AI Summary

NMI Holdings (Nasdaq: NMIH) reported third-quarter 2026 net income of $93.5 million, down from both comparison quarters. Diluted earnings per share were $1.23, versus $1.38 in the second quarter and $1.22 a year earlier. Revenue was $187.6 million, versus $187.9 million and $178.7 million, respectively.

Primary insurance-in-force reached $229.7 billion, up 5% year over year. New insurance written was $13.6 billion, down 15% sequentially but up 4% annually. Claims and claim expenses rose to $29.1 million, taking the loss ratio—the share of earned premiums consumed by claims—to 18.7%, versus 8.3% sequentially and 12.3% annually.

Quarter-end shareholders' equity was $2.7 billion, with book value of $36.13 per share. Repurchases totaled $27.1 million during the quarter. Annualized return on equity fell to 13.8%, from 15.9% sequentially and 15.6% a year earlier.

12 points · 0 major

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Positive

• Moderate pointPrimary insurance-in-force reached $229.7 billion, up 1% sequentially and 5% year over year.
• Moderate pointQuarterly revenue of $187.6 million exceeded $178.7 million a year earlier, but trailed $187.9 million sequentially.
• Moderate pointBook value excluding net unrealized investment gains and losses reached $38.13 per share, up 3% sequentially and 14% annually.
• Moderate pointNine-month net income rose to $298.590 million from $294.709 million; diluted earnings rose to $3.89 from $3.72.
• Minor pointNet premiums earned reached $155.5 million, up 3% annually but down 1% sequentially.

7 minor points

• Minor pointNet investment income reached $32.2 million, up 6% sequentially and 20% year over year.
• Minor pointQuarterly repurchases returned $27.1 million through purchases of 626,383 shares.
• Minor pointNine-month revenue rose to $558.916 million from $525.704 million a year earlier.
• Minor pointNine-month expense ratio improved to 19.6% from 19.8% a year earlier.
• Minor pointShareholders' equity increased to $2.703 billion from $2.592 billion at December 31, 2025.
• Minor pointCash and cash equivalents increased to $72.326 million from $43.937 million at December 31, 2025.
• Minor pointMortgage-insurer eligibility assets of $3.8 billion exceeded net risk-based required assets of $2.2 billion at quarter-end.

Negative

• Moderate pointQuarterly net income fell to $93.5 million, from $105.8 million sequentially and $96.0 million annually.
• Moderate pointClaims and claim expenses reached $29.1 million, up 121% sequentially and 57% year over year.
• Moderate pointUnderwriting and operating expenses reached $30.8 million, up 1% sequentially and 6% year over year.
• Moderate pointNew insurance written totaled $13.6 billion, down 15% sequentially but up 4% year over year.
• Moderate pointAnnualized return on equity fell to 13.8%, from 15.9% sequentially and 15.6% a year earlier.
• Moderate pointAccumulated other comprehensive loss, net of tax, widened to $149.873 million from $46.083 million at December 31, 2025.

7 minor points

• Minor pointDiluted earnings of $1.23 per share fell from $1.38 sequentially, but exceeded $1.22 a year earlier.
• Minor pointQuarterly loss ratio rose to 18.7%, from 8.3% sequentially and 12.3% a year earlier.
• Minor pointQuarterly expense ratio rose to 19.8%, from 19.4% sequentially and 19.3% a year earlier.
• Minor pointNine-month claims and claim expenses rose to $62.922 million from $36.477 million a year earlier.
• Minor pointNine-month loss ratio increased to 13.5% from 8.1% a year earlier.
• Minor pointNine-month underwriting and operating expenses rose to $91.907 million from $88.839 million a year earlier.
• Minor pointDebt increased to $418.528 million from $417.031 million at December 31, 2025.

News Explained

At September 30, 2026, NMI Holdings reported $3.8 billion of total PMIERs available assets and $2.2 billion of net risk-based required assets.

Key Figures

Net income: $93.5 million Diluted EPS: $1.23 Adjusted net income: $93.7 million +5 more

Net income

$93.5 million

Q3 2026; compared with $105.8 million in Q2 2026 and $96.0 million in Q3 2025

Diluted EPS

$1.23

Q3 2026; compared with $1.38 in Q2 2026 and $1.22 in Q3 2025

Adjusted net income

$93.7 million

Q3 2026; compared with $106.0 million in Q2 2026 and $95.7 million in Q3 2025

New insurance written

$13.6 billion

Q3 2026; down 15% Q/Q and up 4% Y/Y

Primary insurance-in-force

$229.7 billion

At Q3 2026 quarter-end; up 1% Q/Q and 5% Y/Y

Loss ratio

18.7%

Q3 2026; compared with 8.3% in Q2 2026 and 12.3% in Q3 2025

Book value per share, excluding net unrealized gains and losses

$38.13

At Q3 2026 quarter-end; up 3% Q/Q and 14% Y/Y

Share repurchases

$27.1 million

During Q3 2026; 626,383 shares repurchased

Previous Earnings Reports

1 past event · Latest: Jul 30

Same Type 1 event

1. Jul 30

   Earnings report

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   Record Q2 results provide a sequential benchmark for current-quarter earnings and operating metrics.

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Key Terms

non-gaap, gaap, available-for-sale, anti-dilutive

4 terms

non-gaap financial

"Non-GAAP Financial Measure Reconciliations"

Non-GAAP refers to financial measures that companies use to show their earnings or performance without including certain expenses or income that are often added back to give a different picture. It matters because it can make a company's results look better or more favorable, but it may also hide important costs, so investors need to look at both GAAP (official rules) and non-GAAP numbers to get a full understanding.

View in glossary

gaap financial

"Adjusted income before tax is defined as GAAP income before tax"

GAAP, or Generally Accepted Accounting Principles, are a set of standardized rules and guidelines that companies follow when preparing their financial statements. They ensure consistency, transparency, and comparability across different companies, making it easier for investors to understand and compare financial information accurately. This helps investors make informed decisions based on trustworthy and uniform financial reports.

View in glossary

available-for-sale financial

"Fixed maturities, available-for-sale, at fair value"

A classification for bonds, stocks or other investments that a company plans to keep but might sell before they reach full term. Think of it like items a shop keeps on a shelf for potential sale: their market value can go up or down while the company holds them, and those unrealized gains or losses are shown separately from operating profit until they are sold. Investors watch this because large swings can change a company’s reported net worth and signal how much flexibility it has to raise cash quickly.

anti-dilutive financial

"non-vested shares are anti-dilutive under GAAP"

A claim, security feature, or action described as anti-dilutive prevents or does not cause a reduction in existing shareholders’ per-share values when additional shares could be issued. For example, certain convertible securities or corporate actions are treated as anti-dilutive for earnings-per-share calculations if including them would raise EPS rather than lower it; investors watch this because it affects reported per-share metrics, ownership percentages, and valuation comparisons, like keeping pie slices the same size instead of making them smaller.

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EMERYVILLE, Calif., Nov. 05, 2026 (GLOBE NEWSWIRE) -- NMI Holdings, Inc. (Nasdaq: NMIH) today reported net income of $93.5 million, or $1.23 per diluted share, for the third quarter ended September 30, 2026, compared to $105.8 million, or $1.38 per diluted share, for the second quarter ended June 30, 2026 and $96.0 million, or $1.22 per diluted share, for the third quarter ended September 30, 2025. Adjusted net income for the quarter was $93.7 million, or $1.23 per diluted share, compared to $106.0 million, or $1.38 per diluted share, for the second quarter ended June 30, 2026 and $95.7 million, or $1.21 per diluted share, for the third quarter ended September 30, 2025.

Adam Pollitzer, President and Chief Executive Officer of National MI, said, “In the third quarter, we again delivered standout operating performance, consistent growth in our high-quality insured portfolio, and strong financial results. During the period, we helped more than 53,000 borrowers, writing nearly $13.6 billion of new coverage in support of hard-working families across the country. At National MI, we’re proud to provide a low-cost, high-value solution that helps borrowers dramatically reduce the cash they need at the closing table and buy a home years earlier than they otherwise could, with private capital that serves to insulate the GSEs and taxpayers from risk and loss. Looking ahead, we’re well positioned to continue to serve our lenders and their borrowers, support the long-term safety and soundness of the mortgage market, and deliver through-the-cycle growth, returns and value for our shareholders.”

Selected third quarter 2026 highlights include:

• Primary insurance-in-force at quarter end was $229.7 billion, compared to $227.1 billion at the end of the second quarter and $218.4 billion at the end of the third quarter of 2025.
• Net premiums earned were $155.5 million, compared to $157.5 million in the second quarter and $151.3 million in the third quarter of 2025.
• Total revenue was $187.6 million, compared to $187.9 million in the second quarter and $178.7 million in the third quarter of 2025.
• Insurance claims and claim expenses were $29.1 million, compared to $13.1 million in the second quarter and $18.6 million in the third quarter of 2025. Loss ratio was 18.7%, compared to 8.3% in the second quarter and 12.3% in the third quarter of 2025.
• Underwriting and operating expenses were $30.8 million, compared to $30.5 million in the second quarter and $29.2 million in the third quarter of 2025. Expense ratio was 19.8%, compared to 19.4% in the second quarter and 19.3% in the third quarter of 2025.
• Net income was $93.5 million, compared to $105.8 million in the second quarter and $96.0 million in the third quarter of 2025. Diluted EPS was $1.23, compared to $1.38 in the second quarter and $1.22 in the third quarter of 2025.
• Adjusted net income was $93.7 million, compared to $106.0 million in the second quarter and $95.7 million in the third quarter of 2025. Adjusted diluted EPS was $1.23, compared to $1.38 in the second quarter and $1.21 in the third quarter of 2025.
• Shareholders' equity was $2.7 billion at quarter end and book value per share was $36.13. Book value per share excluding the impact of net unrealized gains and losses in the investment portfolio was $38.13, up 3% compared to $36.88 in the second quarter and up 14% compared to $33.32 in the third quarter of 2025.
• Share repurchases totaled 626,383 shares or $27.1 million during the quarter, bringing total repurchase activity to 14.3 million shares or $435 million since inception of the program.
  
• Annualized return on equity for the quarter was 13.8%, compared to 15.9% in the second quarter and 15.6% in the third quarter of 2025. Annualized adjusted return on equity was 13.9%, compared to 15.9% in the second quarter and 15.5% in the third quarter of 2025.
  
• At quarter-end, total PMIERs available assets were $3.8 billion and net risk-based required assets were $2.2 billion.
  
  

	Quarter Ended				Quarter Ended				Quarter Ended				Change (1)			Change (1)
	9/30/2026				6/30/2026				9/30/2025				Q/Q			Y/Y
INSURANCE METRICS ($billions)
Primary Insurance-in-Force	$	229.7			$	227.1			$	218.4			1	%		5	%
New Insurance Written - NIW		13.6				16.1				13.0			(15	)%		4	%
FINANCIAL HIGHLIGHTS (Unaudited, $millions, except per share amounts)
Net Premiums Earned	$	155.5			$	157.5			$	151.3			(1	)%		3	%
Net Investment Income		32.2				30.3				26.8			6	%		20	%
Insurance Claims and Claim Expenses		29.1				13.1				18.6			121	%		57	%
Underwriting and Operating Expenses		30.8				30.5				29.2			1	%		6	%
Adjusted Net Income		93.7				106.0				95.7			(12	)%		(2	)%
Adjusted Diluted EPS	$	1.23			$	1.38			$	1.21			(11	)%		1	%
Book Value per Share (excluding net unrealized gains and losses) (2)	$	38.13			$	36.88			$	33.32			3	%		14	%
Loss Ratio		18.7	%			8.3	%			12.3	%
Expense Ratio		19.8	%			19.4	%			19.3	%

(1) Percentages may not be replicated based on the rounded figures presented in the table.
(2) Book value per share (excluding net unrealized gains and losses) is defined as total shareholders' equity, excluding the after-tax effects of unrealized gains and losses on our investment portfolio, divided by shares outstanding.

Conference Call and Webcast Details

The company will hold a conference call, which will be webcast live today, November 5, 2026, at 2:00 p.m. Pacific Time / 5:00 p.m. Eastern Time. The webcast will be available on the company's website, www.nationalmi.com, in the “Investor Relations” section. The conference call can also be accessed by dialing (844) 481-2708 in the U.S. or (412) 317-0664 internationally and referencing NMI Holdings, Inc.

About NMI Holdings, Inc.

NMI Holdings, Inc. (NASDAQ: NMIH), is the parent company of National Mortgage Insurance Corporation (National MI), a U.S.-based, private mortgage insurance company enabling low down payment borrowers to realize homeownership while protecting lenders and investors against losses related to a borrower's default. To learn more, please visit www.nationalmi.com.

Cautionary Note Regarding Forward-Looking Statements

Certain statements contained in this press release or any other written or oral statements made by or on behalf of the Company in connection therewith may constitute forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, Section 21E of the Securities Exchange Act of 1934, as amended, and the U.S. Private Securities Litigation Reform Act of 1995 (the “PSLRA”). The PSLRA provides a “safe harbor” for any forward-looking statements. All statements other than statements of historical fact included in or incorporated by reference in this release are forward-looking statements, including any statements about our expectations, outlook, beliefs, plans, predictions, forecasts, objectives, assumptions or future events or performance. These statements are often, but not always, made through the use of words or phrases such as “anticipate,” “believe,” “can,” “could,” “may,” “predict,” “assume,” “potential,” “should,” “will,” “estimate,” “perceive,” “plan,” “project,” “continuing,” “ongoing,” “expect,” “intend” and similar words or phrases. All forward-looking statements are only predictions and involve estimates, known and unknown risks, assumptions and uncertainties that may turn out to be inaccurate and could cause actual results to differ materially from those expressed in them. Many risks and uncertainties are inherent in our industry and markets. Others are more specific to our business and operations. Important factors that could cause actual events or results to differ materially from those indicated in such statements include, but are not limited to: changes in general economic, market and political conditions and policies (including changes in interest rates and inflation) and investment results or other conditions that affect the U.S. housing market or the U.S. markets for home mortgages, mortgage insurance, reinsurance and credit risk transfer markets, including the risk related to geopolitical instability, inflation, an economic downturn (including any decline in home prices) or recession, international trade policies in areas such as tariffs or other trade restrictions, and their impacts on our business, operations and personnel; changes in the charters, business practices, policies, pricing or priorities of Fannie Mae and Freddie Mac (collectively, the GSEs), which may include decisions that have the impact of decreasing or discontinuing the use of mortgage insurance as credit enhancement generally, or with first-time homebuyers or on very high loan-to-value mortgages; or changes in the direction of housing policy objectives of the Federal Housing Finance Agency (“FHFA”), such as the FHFA’s priority to increase the accessibility to and affordability of homeownership for low- and moderate-income borrowers and underrepresented communities; our ability to remain an eligible mortgage insurer under the private mortgage insurer eligibility requirements (“PMIERs”) and other requirements imposed by the GSEs, which they may change at any time; retention of our existing certificates of authority in each state and the District of Columbia (“D.C.”) and our ability to remain a mortgage insurer in good standing in each state and D.C.; our future profitability, liquidity and capital resources; actions of existing competitors, including other private mortgage insurers and government mortgage insurers such as the Federal Housing Administration, the U.S. Department of Agriculture’s Rural Housing Service and the U.S. Department of Veterans Affairs, and potential market entry by new competitors or consolidation of existing competitors; adoption of new or changes to existing laws, rules and regulations that impact our business or financial condition directly or the mortgage insurance industry generally or their enforcement and implementation by regulators, including the implementation of the final rules defining and/or concerning “Qualified Mortgage” and “Qualified Residential Mortgage”; U.S. federal tax reform and other potential changes in tax law and their impact on us and our operations; legislative or regulatory changes to the GSEs’ role in the secondary mortgage market or other changes that could affect the residential mortgage industry generally or mortgage insurance industry in particular; potential legal and regulatory claims, investigations, actions, audits or inquiries that could result in adverse judgments, settlements, fines or other relief that could require significant expenditures or have other negative effects on our business; our ability to successfully execute and implement our capital plans, including our ability to access the equity, credit and reinsurance markets and to enter into, and receive approval of, reinsurance arrangements on terms and conditions that are acceptable to us, the GSEs and our regulators; lenders, the GSEs, or other market participants seeking alternatives to private mortgage insurance; our ability to implement our business strategy, including our ability to write mortgage insurance on high-quality low down payment residential mortgage loans, successfully and timely implement complex infrastructure, systems, procedures, and internal controls to support our business and regulatory and reporting requirements of the insurance industry; our ability to attract and retain a diverse customer base, including the largest mortgage originators; failure of risk management or pricing or investment strategies; decrease in the length of time our insurance policies are in force; emergence of unexpected claim and coverage issues, including claims exceeding our reserves or amounts we had expected to experience; potential adverse impacts arising from natural disasters including, with respect to affected areas, a decline in new business, adverse effects on home prices, and an increase in notices of default on insured mortgages; climate risk and efforts to manage or regulate climate risk by government agencies could affect our business and operations; potential adverse impacts arising from the occurrence of any man-made disasters or public health emergencies, including pandemics; the inability of our counterparties, including third-party reinsurers, to meet their obligations to us; failure to maintain, improve and continue to develop necessary information technology systems or the failure of technology providers to perform; effectiveness and security of our information technology systems and digital products and services, including the risks these systems, products or services may fail to operate as expected or planned, or expose us to cybersecurity or third-party risks (including the exposure of our confidential customer and other information); and our ability to recruit, train and retain key personnel. These risks and uncertainties also include, but are not limited to, those set forth under the heading “Risk Factors” detailed in Item 1A of Part I of our Annual Report on Form 10-K for the year ended December 31, 2025, as subsequently updated through other reports we file with the SEC. All subsequent written and oral forward-looking statements attributable to the Company or persons acting on its behalf are expressly qualified in their entirety by these cautionary statements. We caution you not to place undue reliance on any forward-looking statement, which speaks only as of the date on which it is made, and we undertake no obligation to publicly update or revise any forward-looking statement to reflect new information, future events or circumstances that occur after the date on which the statement is made or to reflect the occurrence of unanticipated events except as required by law.

Use of Non-GAAP Financial Measures

We believe the use of the non-GAAP measures of adjusted income before tax, adjusted net income, adjusted diluted EPS, adjusted return-on-equity, adjusted expense ratio, adjusted combined ratio and book value per share (excluding net unrealized gains and losses) enhance the comparability of our fundamental financial performance between periods and provide relevant information to investors. These non-GAAP financial measures align with the way the company's business performance is evaluated by management. These measures are not prepared in accordance with GAAP and should not be viewed as alternatives to GAAP measures of performance. These measures have been presented to increase transparency and enhance the comparability of our fundamental operating trends across periods. Other companies may calculate these measures differently; their measures may not be comparable to those we calculate and present.

Adjusted income before tax is defined as GAAP income before tax, excluding the pre-tax effects of net realized gains or losses from our investment portfolio, periodic costs incurred in connection with capital markets transactions, and other infrequent, unusual or non-operating items in the periods in which such items are incurred.

Adjusted net income is defined as GAAP net income, excluding the after-tax effects of net realized gains or losses from our investment portfolio, periodic costs incurred in connection with capital markets transactions, and other infrequent, unusual or non-operating items in the periods in which such items are incurred. Adjustments to components of pre-tax income are tax effected using the applicable federal statutory tax rate for the respective periods.

Adjusted diluted EPS is defined as adjusted net income divided by adjusted weighted average diluted shares outstanding. Adjusted weighted average diluted shares outstanding is defined as weighted average diluted shares outstanding, adjusted for changes in the dilutive effect of non-vested shares that would otherwise have occurred had GAAP net income been calculated in accordance with adjusted net income. There will be no adjustment to weighted average diluted shares outstanding in the periods that non-vested shares are anti-dilutive under GAAP.

Adjusted return on equity is calculated by dividing adjusted net income on an annualized basis by the average shareholders' equity for the period.

Adjusted expense ratio is defined as GAAP underwriting and operating expenses, excluding the pre-tax effects of periodic costs incurred in connection with capital markets transactions, divided by net premiums earned.

Adjusted combined ratio is defined as the total of GAAP underwriting and operating expenses, excluding the pre-tax effects of periodic costs incurred in connection with capital markets transactions and insurance claims and claims expenses, divided by net premiums earned.

Book value per share (excluding net unrealized gains and losses) is defined as total shareholders' equity, excluding the after-tax effects of unrealized gains and losses on investments, divided by shares outstanding.

Although adjusted income before tax, adjusted net income, adjusted diluted EPS, adjusted return-on-equity, adjusted expense ratio, adjusted combined ratio and book value per share (excluding net unrealized gains and losses) exclude certain items that have occurred in the past and are expected to occur in the future, the excluded items: (1) are not viewed as part of the operating performance of our primary activities; or (2) are impacted by market, economic or regulatory factors and are not necessarily indicative of operating trends, or both. These adjustments, and the reasons for their treatment, are described below.

(1) Net realized investment gains and losses. The recognition of net realized investment gains or losses can vary significantly across periods as the timing is highly discretionary and is influenced by factors such as market opportunities, tax and capital profile, and overall market cycles that do not reflect our current period operating results.

(2) Capital markets transaction costs. Capital markets transaction costs result from activities that are undertaken to improve our debt profile or enhance our capital position through activities such as debt refinancing and capital markets reinsurance transactions that may vary in their size and timing due to factors such as market opportunities, tax and capital profile, and overall market cycles.

(3) Other infrequent, unusual or non-operating items. Items that are the result of unforeseen or uncommon events, and are not expected to recur with frequency in the future. Identification and exclusion of these items provide clarity about the impact special or rare occurrences may have on our current financial performance. Past adjustments under this category include infrequent, unusual or non-operating adjustments related to severance, restricted stock modification and other expenses incurred in connection with the CEO transition announced in September 2021 and the effects of the release of the valuation allowance recorded against our net federal and certain state net deferred tax assets in 2016 and the re-measurement of our net deferred tax assets in connection with tax reform in 2017. We believe such items are infrequent or non-recurring in nature, and are not indicative of the performance of, or ongoing trends in, our primary operating activities or business.

(4) Net unrealized gains and losses on investments. The recognition of net unrealized gains or losses on investment can vary significantly across periods and is influenced by factors such as interest rate movement, overall market and economic conditions, and tax and capital profiles. These valuation adjustments may not necessarily result in economic gains or losses and are not reflective of ongoing operations.

Investor Contact
John M. Swenson
Vice President, Investor Relations & Treasury
John.Swenson@nationalmi.com

Consolidated statements of operations and comprehensive income (unaudited)	For the three months ended September 30,								For the nine months ended September 30,
	2026				2025				2026				2025
	(In Thousands, except for per share data)
Revenues
Net premiums earned	$	155,453			$	151,323			$	467,783			$	449,755
Net investment income		32,197				26,773				91,132				75,408
Net realized investment (losses) gains		(346	)			321				(722	)			(55	)
Other revenues		246				262				723				596
Total revenues		187,550				178,679				558,916				525,704
Expenses
Insurance claims and claim expenses		29,114				18,554				62,922				36,477
Underwriting and operating expenses		30,792				29,156				91,907				88,839
Service expenses		214				162				543				388
Interest expense		7,125				7,124				21,350				21,345
Total expenses		67,245				54,996				176,722				147,049
Income before income taxes		120,305				123,683				382,194				378,655
Income tax expense		26,833				27,684				83,604				83,946
Net income	$	93,472			$	95,999			$	298,590			$	294,709
Earnings per share
Basic	$	1.25			$	1.24			$	3.95			$	3.78
Diluted	$	1.23			$	1.22			$	3.89			$	3.72
Weighted average common shares outstanding
Basic		75,077				77,410				75,677				77,935
Diluted		76,117				78,830				76,712				79,315
Loss ratio (1)		18.7	%			12.3	%			13.5	%			8.1	%
Expense ratio (2)		19.8	%			19.3	%			19.6	%			19.8	%
Combined ratio (3)		38.5	%			31.5	%			33.1	%			27.9	%

(1) Loss ratio is calculated by dividing insurance claims and claim expenses by net premiums earned.
(2) Expense ratio is calculated by dividing underwriting and operating expenses by net premiums earned.
(3) Combined ratio may not foot due to rounding.

Consolidated balance sheets (unaudited)	September 30, 2026				December 31, 2025
Assets	(In Thousands, except for share data)
Fixed maturities, available-for-sale, at fair value (amortized cost of $3,427,996 and $3,190,174)	$	3,243,464			$	3,137,023
Cash and cash equivalents		72,326				43,937
Premiums receivable, net		100,082				86,259
Accrued investment income		32,373				27,253
Deferred policy acquisition costs, net		64,404				64,372
Software and equipment, net		21,196				21,727
Intangible assets and goodwill		3,634				3,634
Reinsurance recoverable		44,377				38,577
Prepaid federal income taxes		400,258				400,258
Other assets		20,124				18,058
Total assets	$	4,002,238			$	3,841,098
Liabilities
Debt	$	418,528			$	417,031
Unearned premiums		39,779				46,660
Accounts payable and accrued expenses		96,549				101,595
Reserve for insurance claims and claim expenses		234,242				196,429
Deferred tax liability, net		502,839				478,890
Other liabilities		7,633				8,507
Total liabilities		1,299,570				1,249,112
Shareholders' equity
Common stock: 74,805,855 and 76,285,242 shares outstanding		891				884
Additional paid-in capital		1,019,435				1,016,772
Treasury stock, at cost: 14,254,876 and 12,086,223 common shares		(438,560	)			(351,772	)
Accumulated other comprehensive loss, net of tax		(149,873	)			(46,083	)
Retained earnings		2,270,775				1,972,185
Total shareholders' equity		2,702,668				2,591,986
Total liabilities and shareholders' equity	$	4,002,238			$	3,841,098

Non-GAAP Financial Measure Reconciliations (unaudited)
	As of and for the three months ended												For the nine months ended
	9/30/2026				6/30/2026				9/30/2025				9/30/2026				9/30/2025
As Reported	(In Thousands, except for per share data)
Revenues
Net premiums earned	$	155,453			$	157,524			$	151,323			$	467,783			$	449,755
Net investment income		32,197				30,331				26,773				91,132				75,408
Net realized investment (losses) gains		(346	)			(229	)			321				(722	)			(55	)
Other revenues		246				265				262				723				596
Total revenues		187,550				187,891				178,679				558,916				525,704
Expenses
Insurance claims and claim expenses		29,114				13,147				18,554				62,922				36,477
Underwriting and operating expenses		30,792				30,492				29,156				91,907				88,839
Service expenses		214				190				162				543				388
Interest expense		7,125				7,116				7,124				21,350				21,345
Total expenses		67,245				50,945				54,996				176,722				147,049
Income before income taxes		120,305				136,946				123,683				382,194				378,655
Income tax expense		26,833				31,158				27,684				83,604				83,946
Net income	$	93,472			$	105,788			$	95,999			$	298,590			$	294,709
Adjustments:
Net realized investment losses (gains)		346				229				(321	)			722				55
Adjusted income before taxes		120,651				137,175				123,362				382,916				378,710
Income tax expense (benefit) on adjustments (1)		73				48				(67	)			152				12
Adjusted net income	$	93,745			$	105,969			$	95,745			$	299,160			$	294,752
Weighted average diluted shares outstanding		76,117				76,585				78,830				76,712				79,315
Diluted EPS	$	1.23			$	1.38			$	1.22			$	3.89			$	3.72
Adjusted diluted EPS	$	1.23			$	1.38			$	1.21			$	3.90			$	3.72
Return on equity		13.8	%			15.9	%			15.6	%			15.0	%			16.6	%
Adjusted return on equity		13.9	%			15.9	%			15.5	%			15.1	%			16.6	%
Expense ratio (2)		19.8	%			19.4	%			19.3	%			19.6	%			19.8	%
Adjusted expense ratio (3)		19.8	%			19.4	%			19.3	%			19.6	%			19.8	%
Combined ratio (4)		38.5	%			27.7	%			31.5	%			33.1	%			27.9	%
Adjusted combined ratio (5)		38.5	%			27.7	%			31.5	%			33.1	%			27.9	%
Book value per share (6)	$	36.13			$	35.89			$	32.62
Book value per share (excluding net unrealized gains and losses) (7)	$	38.13			$	36.88			$	33.32

(1) Marginal tax impact of non-GAAP adjustments is calculated based on our statutory U.S. federal corporate income tax rate of 21%, except for those items that are not eligible for an income tax deduction.
(2) Expense ratio is calculated by dividing underwriting and operating expenses by net premiums earned.
(3) Adjusted expense ratio is calculated by dividing adjusted underwriting and operating expense (underwriting and operating expenses excluding costs related to capital markets reinsurance transactions) by net premiums earned.
(4) Combined ratio is calculated by dividing the total of underwriting and operating expenses and insurance claims and claim expenses by net premiums earned.
(5) Adjusted combined ratio is calculated by dividing the total of adjusted underwriting and operating expenses (underwriting and operating expenses excluding costs related to capital market reinsurance transactions) and insurance claims and claim expenses by net premiums earned.
(6) Book value per share is calculated by dividing total shareholders' equity by shares outstanding.
(7) Book value per share (excluding net unrealized gains and losses) is defined as total shareholders' equity, excluding the after-tax effects of unrealized gains and losses on our investment portfolio, divided by shares outstanding.

Historical Quarterly Data	2026												2025
	September 30				June 30				March 31				December 31				September 30
	(In Thousands, except for per share data)
Revenues
Net premiums earned	$	155,453			$	157,524			$	154,806			$	152,457			$	151,323
Net investment income		32,197				30,331				28,604				27,529				26,773
Net realized investment (losses) gains		(346	)			(229	)			(147	)			487				321
Other revenues		246				265				212				263				262
Total revenues		187,550				187,891				183,475				180,736				178,679
Expenses
Insurance claims and claim expenses		29,114				13,147				20,661				21,172				18,554
Underwriting and operating expenses		30,792				30,492				30,623				31,069				29,156
Service expenses		214				190				139				213				162
Interest expense		7,125				7,116				7,109				7,133				7,124
Total expenses		67,245				50,945				58,532				59,587				54,996
Income before income taxes		120,305				136,946				124,943				121,149				123,683
Income tax expense		26,833				31,158				25,613				26,932				27,684
Net income	$	93,472			$	105,788			$	99,330			$	94,217			$	95,999
Earnings per share
Basic	$	1.25			$	1.40			$	1.30			$	1.23			$	1.24
Diluted	$	1.23			$	1.38			$	1.28			$	1.20			$	1.22
Weighted average common shares outstanding
Basic		75,077				75,779				76,175				76,700				77,410
Diluted		76,117				76,585				77,435				78,208				78,830
Other data
Loss ratio (1)		18.7	%			8.3	%			13.3	%			13.9	%			12.3	%
Expense ratio (2)		19.8	%			19.4	%			19.8	%			20.4	%			19.3	%
Combined ratio (3)		38.5	%			27.7	%			33.1	%			34.3	%			31.5	%

(1) Loss ratio is calculated by dividing insurance claims and claim expenses by net premiums earned.
(2) Expense ratio is calculated by dividing underwriting and operating expenses by net premiums earned.
(3) Combined ratio may not foot due to rounding.

Portfolio Statistics

The table below highlights trends in our primary portfolio as of the date and for the periods indicated.

Primary portfolio trends	As of and for the three months ended
	September 30, 2026				June 30, 2026				March 31, 2026				December 31, 2025				September 30, 2025
	($ Values In Millions, except as noted below)
New insurance written (NIW)	$	13,575			$	16,050			$	12,259			$	14,203			$	13,012
New risk written		3,635				4,236				3,124				3,631				3,399
Insurance-in-force (IIF) (1)		229,652				227,095				222,318				221,448				218,376
Risk-in-force (RIF) (1)		61,597				60,825				59,517				59,313				58,538
Policies in force (count) (1)		697,361				694,273				684,977				684,058				677,010
Average loan size ($ value in thousands) (1)	$	329			$	327			$	325			$	324			$	323
Coverage percentage (2)		26.8	%			26.8	%			26.8	%			26.8	%			26.8	%
Loans in default (count) (1)		8,571				8,020				8,044				7,661				7,093
Default rate (1)		1.23	%			1.16	%			1.17	%			1.12	%			1.05	%
Risk-in-force on defaulted loans (1)	$	761			$	708			$	701			$	656			$	600
Average net premium yield (3)		0.27	%			0.28	%			0.28	%			0.28	%			0.28	%
Earnings from cancellations	$	0.5			$	0.8			$	0.6			$	0.8			$	0.7
Annual persistency (4)		80.8	%			81.4	%			82.2	%			83.4	%			83.9	%
Quarterly run-off (5)		4.9	%			5.1	%			5.1	%			5.1	%			4.3	%

(1) Reported as of the end of the period.
(2) Calculated as end of period RIF divided by end of period IIF.
(3) Calculated as net premiums earned, divided by average primary IIF for the period, annualized.
(4) Defined as the percentage of IIF that remains on our books after a given twelve-month period.
(5) Defined as the percentage of IIF that is no longer on our books after a given three-month period.

NIW, IIF and Premiums

 The tables below present NIW and primary IIF, as of the dates and for the periods indicated.

NIW	For the three months ended
	September 30, 2026				June 30, 2026				March 31, 2026				December 31, 2025				September 30, 2025
	(In Millions)
Monthly	$	13,214			$	15,661			$	11,935			$	13,841			$	12,727
Single		361				389				324				362				285
Total	$	13,575			$	16,050			$	12,259			$	14,203			$	13,012

Primary IIF	As of
	September 30, 2026				June 30, 2026				March 31, 2026				December 31, 2025				September 30, 2025
	(In Millions)
Monthly	$	214,034			$	211,055			$	206,025			$	204,925			$	201,671
Single		15,618				16,040				16,293				16,523				16,705
Total	$	229,652			$	227,095			$	222,318			$	221,448			$	218,376

 The following table presents the amounts related to the company's quota-share reinsurance (QSR) transactions, traditional reinsurance (XOL) transactions, and insurance-linked note (ILN) transactions for the periods indicated.

	For the three months ended
	September 30, 2026				June 30, 2026				March 31, 2026				December 31, 2025				September 30, 2025
	(In Thousands)
The QSR Transactions
Ceded risk-in-force	$	12,938,907			$	12,637,648			$	12,189,562			$	12,805,761			$	12,699,082
Ceded premiums earned		(39,328	)			(38,505	)			(37,930	)			(40,131	)			(39,847	)
Ceded claims and claim expenses		7,094				3,127				4,890				4,682				4,123
Ceding commission earned		10,144				10,172				10,205				10,182				10,246
Profit commission		16,080				19,400				17,131				18,310				19,083
The XOL Transactions
Ceded premiums	$	(11,258	)		$	(11,210	)		$	(10,998	)		$	(11,037	)		$	(10,656	)
The ILN Transactions
Ceded premiums	$	(1,347	)		$	(1,549	)		$	(2,383	)		$	(3,007	)		$	(3,036	)

The tables below present our total NIW by credit score, loan-to-value (LTV) ratio, and purchase/refinance mix for the periods indicated.

NIW by credit score (1)	For the three months ended												For the nine months ended
	September 30, 2026				June 30, 2026				September 30, 2025				September 30, 2026				September 30, 2025
	(In Millions)
>= 760	$	7,328			$	9,039			$	6,789			$	23,604			$	18,283
740-759		2,503				2,870				2,395				7,534				6,429
720-739		1,722				2,029				1,626				5,203				4,388
700-719		984				1,069				1,094				2,772				2,820
680-699		590				602				617				1,571				1,620
<=679		448				441				491				1,200				1,157
Total	$	13,575			$	16,050			$	13,012			$	41,884			$	34,697
Weighted average credit score		758				760				756				760				756

(1) Includes immaterial amounts related to loans with VantageScore 4.0 credit scores for the three and nine months ended September 30, 2026.

NIW by LTV	For the three months ended												For the nine months ended
	September 30, 2026				June 30, 2026				September 30, 2025				September 30, 2026				September 30, 2025
	(In Millions)
95.01% and above	$	1,941			$	2,095			$	1,566			$	5,542			$	4,257
90.01% to 95.00%		6,244				7,382				5,809				18,608				15,569
85.01% to 90.00%		3,940				4,611				4,062				12,391				10,700
85.00% and below		1,450				1,962				1,575				5,343				4,171
Total	$	13,575			$	16,050			$	13,012			$	41,884			$	34,697
Weighted average LTV		92.3	%			92.1	%			92.1	%			92.0	%			92.1	%

NIW by purchase/refinance mix	For the three months ended												For the nine months ended
	September 30, 2026				June 30, 2026				September 30, 2025				September 30, 2026				September 30, 2025
	(In Millions)
Purchase	$	12,941			$	14,291			$	12,416			$	36,599			$	33,051
Refinance		634				1,759				596				5,285				1,646
Total	$	13,575			$	16,050			$	13,012			$	41,884			$	34,697

The table below presents a summary of our primary IIF and RIF by book year as of September 30, 2026.

Primary IIF and RIF	As of September 30, 2026
	IIF				RIF
Book Year	(In Millions)
2026	$	40,205			$	10,550
2025		41,048				10,706
2024		32,366				8,633
2023		24,516				6,510
2022		36,861				10,048
2021 and before		54,656				15,150
Total	$	229,652			$	61,597

 The tables below present our total primary IIF and RIF by credit score and LTV, and total primary RIF by loan type as of the dates indicated.

Primary IIF by credit score (1)	As of
	September 30, 2026				June 30, 2026				September 30, 2025
	(In Millions)
>= 760	$	116,170			$	114,963			$	109,470
740-759		41,942				41,243				39,273
720-739		31,425				31,119				30,275
700-719		20,606				20,493				20,355
680-699		13,299				13,273				13,447
<=679		6,210				6,004				5,556
Total	$	229,652			$	227,095			$	218,376

(1) Includes immaterial amounts related to loans with VantageScore 4.0 credit scores as of September 30, 2026.

Primary RIF by credit score (1)	As of
	September 30, 2026				June 30, 2026				September 30, 2025
	(In Millions)
>= 760	$	30,801			$	30,454			$	29,084
740-759		11,328				11,118				10,589
720-739		8,556				8,455				8,211
700-719		5,689				5,641				5,575
680-699		3,653				3,635				3,662
<=679		1,570				1,522				1,417
Total	$	61,597			$	60,825			$	58,538

(1) Includes immaterial amounts related to loans with VantageScore 4.0 credit scores as of September 30, 2026.

Primary IIF by LTV	As of
	September 30, 2026				June 30, 2026				September 30, 2025
	(In Millions)
95.01% and above	$	29,881			$	28,683			$	25,978
90.01% to 95.00%		114,149				112,196				107,914
85.01% to 90.00%		64,739				65,799				65,815
85.00% and below		20,883				20,417				18,669
Total	$	229,652			$	227,095			$	218,376

Primary RIF by LTV	As of
	September 30, 2026				June 30, 2026				September 30, 2025
	(In Millions)
95.01% and above	$	9,471			$	9,057			$	8,151
90.01% to 95.00%		33,669				33,093				31,850
85.01% to 90.00%		15,994				16,266				16,318
85.00% and below		2,463				2,409				2,219
Total	$	61,597			$	60,825			$	58,538

Primary RIF by Loan Type	As of
	September 30, 2026			June 30, 2026			September 30, 2025
Fixed	97	%		98	%		98	%
Adjustable rate mortgages:
Less than five years	—			—			—
Five years and longer	3			2			2
Total	100	%		100	%		100	%

The table below presents a summary of the change in total primary IIF for the dates and periods indicated.

Primary IIF	As of and for the three months ended
	September 30, 2026				June 30, 2026				September 30, 2025
	(In Millions)
IIF, beginning of period	$	227,095			$	222,318			$	214,653
NIW		13,575				16,050				13,012
Cancellations, principal repayments and other reductions		(11,018	)			(11,273	)			(9,289	)
IIF, end of period	$	229,652			$	227,095			$	218,376

Geographic Dispersion

 The following table shows the distribution by state of our primary RIF as of the periods indicated.

Top 10 primary RIF by state	As of
	September 30, 2026			June 30, 2026			September 30, 2025
California	9.9	%		10.0	%		10.1	%
Texas	7.9			8.1			8.3
Florida	7.0			7.1			7.2
Illinois	4.1			4.1			4.0
Georgia	4.0			4.0			4.0
Pennsylvania	3.7			3.6			3.5
Ohio	3.7			3.6			3.4
Virginia	3.6			3.7			3.7
Washington	3.5			3.5			3.7
New York	3.5			3.4			3.3
Total	50.9	%		51.1	%		51.2	%

 The table below presents selected primary portfolio statistics, by book year, as of September 30, 2026.

	As of September 30, 2026
Book Year	Original Insurance Written			Remaining Insurance-in-Force			% Remaining of Original Insurance			Policies Ever in Force		Number of Policies in Force		Number of Loans in Default		# of Claims Paid (1)		Incurred Loss Ratio (Inception to Date) (1)(2)			Cumulative Default Rate (3)			Current default rate (4)
	($ Values In Millions)
2017 and prior	$	58,804		$	2,668		5	%		237,512		14,529		321		644		2.0	%		0.4	%		2.2	%
2018		27,295			1,603		6	%		104,043		8,853		310		236		2.3	%		0.5	%		3.5	%
2019		45,141			3,745		8	%		148,423		17,413		377		155		2.2	%		0.4	%		2.2	%
2020		62,702			11,843		19	%		186,174		45,009		522		104		1.4	%		0.3	%		1.2	%
2021		85,574			34,797		41	%		257,972		122,101		1,636		280		3.4	%		0.7	%		1.3	%
2022		58,734			36,861		63	%		163,281		111,588		2,278		488		17.8	%		1.7	%		2.0	%
2023		40,473			24,516		61	%		111,994		74,074		1,300		192		17.3	%		1.3	%		1.8	%
2024		46,044			32,366		70	%		120,747		91,454		1,200		70		16.7	%		1.1	%		1.3	%
2025		48,900			41,048		84	%		125,570		110,143		579		6		10.8	%		0.5	%		0.5	%
2026		41,884			40,205		96	%		105,224		102,197		48		—		2.0	%		—	%		—	%
Total	$	515,551		$	229,652					1,560,940		697,361		8,571		2,175

(1) Includes delinquent loans removed from default inventory upon commutation of coverage.
(2) Calculated as total claims incurred divided by cumulative premiums earned, net of reinsurance.
(3) Calculated as the sum of the number of claims paid ever to date and number of loans in default divided by policies ever in force.
(4) Calculated as the number of loans in default divided by number of policies in force.

The following table provides a reconciliation of the beginning and ending reserve balances for insurance claims and claim expenses:

	For the three months ended September 30,								For the nine months ended September 30,
	2026				2025				2026				2025
	(In Thousands)
Beginning balance	$	214,583			$	163,033			$	196,429			$	152,071
Less reinsurance recoverables (1)		(40,434	)			(32,705	)			(38,577	)			(32,260	)
Beginning balance, net of reinsurance recoverables		174,149				130,328				157,852				119,811
Add claims incurred:
Claims and claim expenses incurred:
Current year (2)		31,489				27,228				105,942				88,584
Prior years (3)		(2,375	)			(8,674	)			(43,020	)			(52,440	)
Total claims and claim expenses incurred (4)		29,114				18,554				62,922				36,144
Less claims paid:
Claims and claim expenses paid:
Current year (2)		193				170				232				280
Prior years (3)(5)		13,205				4,138				32,347				12,607
Reinsurance terminations (6)		—				(458	)			(1,670	)			(1,964	)
Total claims and claim expenses paid		13,398				3,850				30,909				10,923
Reserve at end of period, net of reinsurance recoverables		189,865				145,032				189,865				145,032
Add reinsurance recoverables (1)		44,377				35,315				44,377				35,315
Ending balance	$	234,242			$	180,347			$	234,242			$	180,347

(1) Related to ceded losses recoverable under the QSR Transactions.
(2) Related to insured loans with their most recent defaults occurring in the current year. For example, if a loan defaulted in a prior year and subsequently cured and later re-defaulted in the current year, the default would be included in the current year. Amounts are presented net of reinsurance and included $91.3 million attributed to net case reserves and $12.9 million attributed to net IBNR reserves for the nine months ended September 30, 2026 and $77.2 million attributed to net case reserves and $9.8 million attributed to net IBNR reserves for the nine months ended September 30, 2025.
(3) Related to insured loans with defaults occurring in prior years, which have been continuously in default before the start of the current year. Amounts are presented net of reinsurance and included $30.8 million attributed to net case reserves and $10.8 million attributed to net IBNR reserves for the nine months ended September 30, 2026 and $43.2 million attributed to net case reserves and $8.1 million attributed to net IBNR reserves for the nine months ended September 30, 2025.
(4) Excludes aggregate termination fees of $0.3 million for the nine months ended September 30, 2025 incurred in connection with the amendment of certain QSR Transactions.
(5) Includes $1.0 million, net of reinsurance, paid in connection with the commutation of coverage on delinquent loans during the three and nine months ended September 30, 2026.
(6) Represents the settlement of reinsurance recoverables in conjunction with the termination or amendment of certain QSR transactions.

The following table provides a reconciliation of the beginning and ending count of loans in default:

	For the three months ended September 30,						For the nine months ended September 30,
	2026			2025			2026			2025
Beginning default inventory	8,020			6,709			7,661			6,642
Plus: new defaults	2,943			2,529			8,180			7,119
Less: cures	(2,066	)		(2,044	)		(6,582	)		(6,353	)
Less: claims paid	(216	)		(93	)		(569	)		(281	)
Less: commutations and settlements (1)	(98	)		—			(98	)		—
Less: rescission and claims denied	(12	)		(8	)		(21	)		(34	)
Ending default inventory	8,571			7,093			8,571			7,093

(1) Represents loans removed from default inventory upon commutation of coverage.

 The following table provides details of our claims paid, excluding commutations and settlements, before giving effect to claims ceded under the QSR Transactions, for the periods indicated:

	For the three months ended September 30,								For the nine months ended September 30,
	2026				2025				2026				2025
	($ Values In Thousands)
Number of claims paid (1)		216				93				569				281
Total amount paid for claims	$	15,286			$	5,364			$	38,958			$	16,101
Average amount paid per claim	$	71			$	58			$	68			$	57
Severity (2)		87	%			73	%			88	%			74	%

(1) Count includes 19 and 46 claims settled without payment during the three and nine months ended September 30, 2026, respectively, and 14 and 50 claims settled without payment during the three and nine months ended September 30, 2025, respectively.
(2) Severity represents the total amount of claims paid including claim expenses divided by the related RIF on the loan at the time the claim is perfected, and is calculated including claims settled without payment.

 The following table shows our average reserve per default, before giving effect to reserves ceded under the QSR Transactions, as of the dates indicated:

	As of September 30,
Average reserve per default:	2026				2025
	(In Thousands)
Case (1)	$	25.1			$	23.3
IBNR (1)(2)		2.2				2.1
Total	$	27.3			$	25.4

(1) Defined as the gross reserve per insured loan in default.
(2) Amount includes claims adjustment expenses.

 The following table provides a comparison of the PMIERs available assets and net risk-based required asset amount as reported by NMIC as of the dates indicated:

	As of
	September 30, 2026				June 30, 2026				September 30, 2025
	(In Thousands)
Available assets	$	3,773,543			$	3,656,115			$	3,369,950
Net risk-based required assets		2,181,639				2,105,409				2,003,410

FAQ

AI-generated questions and answers. How Rhea-AI works. Not financial advice.

What were NMI Holdings' third-quarter 2026 earnings?

NMI Holdings earned $93.5 million, or $1.23 per diluted share, in the quarter ended September 30, 2026. Net income compared with $105.8 million in the preceding quarter and $96.0 million a year earlier. Diluted earnings compared with $1.38 and $1.22, respectively.

Why did NMI Holdings' third-quarter 2026 loss ratio increase?

Claims and claim expenses increased to $29.1 million, while the loss ratio reached 18.7%. Claims and claim expenses were $13.1 million in the second quarter and $18.6 million a year earlier. The loss ratio measures those expenses as a share of net premiums earned.

How much has NMI Holdings repurchased since its buyback program began?

NMI Holdings' cumulative repurchases totaled 14.3 million shares for $435 million since the program began. Third-quarter 2026 activity included 626,383 shares purchased for $27.1 million.