Presurance Holdings Reports 2026 First Quarter Financial Results
Rhea-AI Summary
Presurance Holdings (Nasdaq: PRHI) reported first quarter 2026 net income of $2.6 million ($0.15 per share), up from $522,000 ($0.04 per share) a year earlier. Gross written premiums fell 29.1% to $11.5 million as the company exited commercial lines.
The consolidated combined ratio improved to 105.7% from 140.5%, while personal lines achieved a 97.9% combined ratio and now account for 100% of gross written premium. Net earned premiums declined 42.6% to $5.9 million, and adjusted operating loss was $2.8 million ($0.16 per share).
AI-generated analysis. Not financial advice.
Positive
- Net income rose to $2.6 million from $522,000 year over year
- Consolidated loss ratio improved to 56.2% from 89.7%
- Consolidated combined ratio improved to 105.7% from 140.5%
- Personal lines combined ratio improved to 97.9% from 140.9%
- Personal lines now represent 100% of gross written premium
- Change in fair value of equity investments swung to a $30,000 gain from a $192,000 loss
Negative
- Gross written premiums declined 29.1% to $11.5 million
- Net earned premiums declined 42.6% to $5.9 million
- Net investment income decreased 13.9% to $1.1 million
- Consolidated combined ratio of 105.7% still indicates an underwriting loss
- Adjusted operating loss was $2.8 million, or $0.16 per share
- Book value per share fell to $0.96 from $2.09
News Market Reaction – PRHI
On the day this news was published, PRHI gained 0.03%, reflecting a mild positive market reaction. Argus tracked a peak move of +20.8% during that session. Our momentum scanner triggered 5 alerts that day, indicating moderate trading interest and price volatility. This price movement added approximately $5K to the company's valuation, bringing the market cap to $17.04M at that time.
Data tracked by StockTitan Argus on the day of publication.
Key Figures
Market Reality Check
Peers on Argus
No peer stocks from the Property & Casualty insurance group appeared in the momentum scan, suggesting trading was driven more by PRHI-specific factors than a sector-wide move.
Previous Earnings Reports
| Date | Event | Sentiment | Move | Catalyst |
|---|---|---|---|---|
| Mar 27 | Quarterly earnings | Negative | -11.1% | Reported Q4 2025 net loss and adjusted operating loss with lower premiums. |
| Nov 12 | Quarterly earnings | Negative | -4.3% | Q3 2025 net loss, high combined ratio and continued commercial runoff. |
Recent earnings releases have been followed by negative share price reactions despite a strategic shift toward personal lines and underwriting remediation.
Over the last few quarters, Presurance has reported sizable losses while aggressively shrinking and exiting legacy commercial lines. The Q3 2025 and Q4 2025 earnings both showed net losses and high combined ratios, with 24-hour moves of -4.27% and -11.07%. Those results emphasized runoff of commercial lines and a pivot to personal lines underwriting. Today’s Q1 2026 report continues that narrative with improved profitability metrics while the portfolio remains concentrated in personal lines.
Historical Comparison
Past earnings releases (2 events) saw an average move of -7.67%, as the market reacted negatively to losses and runoff actions. This Q1 2026 report adds improved profitability metrics within the same restructuring story.
Earnings updates show a progression from large losses and high combined ratios toward improved underwriting performance as commercial lines run off and personal lines become the core portfolio.
Market Pulse Summary
This announcement highlights a return to net profitability in Q1 2026 with net income of $2.6M and EPS of $0.15, alongside a markedly better loss ratio of 56.2%. Yet adjusted operating results remain a $2.8M loss and book value per share fell to $0.96. Historically, earnings updates followed sizable stock moves, so investors may watch upcoming quarters for continued combined ratio improvement and stability in personal lines premiums.
Key Terms
combined ratio financial
loss ratio financial
expense ratio financial
accident year combined ratio financial
AI-generated analysis. Not financial advice.
TROY, Mich., May 13, 2026 (GLOBE NEWSWIRE) -- Presurance Holdings, Inc. (Nasdaq: PRHI) (“Presurance” or the “Company”) today announced results for the first quarter ended March 31, 2026.
First Quarter 2026 Financial Highlights
- Net income of
$2.6 million , or$0.15 per share, compared to net income of$522,000 , or$0.04 per share, in the prior year period - Personal lines profitable: Combined ratio in the first quarter of 2026 improved to
97.9% , compared to140.9% in the first quarter of 2025 - Overall loss ratio improved significantly to
56.2% , compared to89.7% in the prior year period
Results for the quarter reflected meaningful improvement in underwriting performance and continued progress in the Company’s strategic repositioning toward areas that have shown a strong track record of performance.
Management Comments
Brian Roney, CEO of Presurance, commented, "Our first quarter results demonstrate the meaningful progress we are making as we continue repositioning the Company around a more focused and disciplined underwriting strategy. While gross written premiums declined as expected due to our exit from commercial lines business, the quality and profitability of our remaining portfolio improved significantly. Our focus remains on building a profitable operating platform capable of generating sustainable long-term results.”
2026 First Quarter Financial Results Overview
| At and for the Three Months Ended March 31, | |||||||||||
| 2026 | 2025 | % Change | |||||||||
| (dollars in thousands, except share and per share amounts) | |||||||||||
| Gross written premiums | $ | 11,469 | $ | 16,173 | -29.1 | % | |||||
| Net written premiums | 6,075 | 10,840 | -44.0 | % | |||||||
| Net earned premiums | 5,925 | 10,315 | -42.6 | % | |||||||
| Net investment income | 1,110 | 1,289 | -13.9 | % | |||||||
| Net realized investment gains (losses) | (14 | ) | 3 | ** | |||||||
| Change in fair value of equity investments | 30 | (192 | ) | ** | |||||||
| Net income (loss) | 2,622 | 522 | ** | ||||||||
| Earnings (loss) per common share, basic and diluted | $ | 0.15 | $ | 0.04 | ** | ||||||
| Adjusted operating income (loss)* | (2,830 | ) | (3,684 | ) | ** | ||||||
| Adjusted operating income (loss) per share, diluted* | $ | (0.16 | ) | $ | (0.30 | ) | |||||
| Book value per common share outstanding | $ | 0.96 | $ | 2.09 | |||||||
| Weighted average shares outstanding, basic and diluted | 17,200,659 | 12,222,881 | |||||||||
| Underwriting ratios: | |||||||||||
| Loss ratio (1) | 56.2 | % | 89.7 | % | |||||||
| Expense ratio (2) | 49.5 | % | 50.8 | % | |||||||
| Combined ratio (3) | 105.7 | % | 140.5 | % | |||||||
| * The "Definitions of Non-GAAP Measures" section of this release defines and reconciles data that are not based on generally accepted accounting principles. | |||||||||||
| ** Percentage is not meaningful | |||||||||||
| (1) The loss ratio is the ratio, expressed as a percentage, of net losses and loss adjustment expenses to net earned premiums and other income from underwriting operations. | |||||||||||
| (2) The expense ratio is the ratio, expressed as a percentage, of policy acquisition costs and other underwriting expenses to net earned premiums and other income from underwriting operations. | |||||||||||
| (3) The combined ratio is the sum of the loss ratio and the expense ratio. A combined ratio under | |||||||||||
2026 First Quarter Gross Written Premium
Gross written premiums decreased
Personal Lines Financial and Operational Review
| Three Months Ended March 31, | |||||||||||
| 2026 | 2025 | % Change | |||||||||
| (dollars in thousands) | |||||||||||
| Gross written premiums | $ | 11,487 | $ | 14,126 | -18.7 | % | |||||
| Net written premiums | 6,091 | 12,444 | -51.1 | % | |||||||
| Net earned premiums | 5,792 | 8,984 | -35.5 | % | |||||||
| Underwriting ratios: | |||||||||||
| Loss ratio | 62.2 | % | 86.3 | % | |||||||
| Expense ratio | 35.7 | % | 54.6 | % | |||||||
| Combined ratio | 97.9 | % | 140.9 | % | |||||||
| Contribution to combined ratio from net | |||||||||||
| (favorable) adverse prior year development | 2.1 | % | 8.6 | % | |||||||
| Accident year combined ratio | 95.8 | % | 132.3 | % | |||||||
Profitability in personal lines for the first quarter of 2026 reflects the Company’s strategic decision to prioritize quality of earnings over scale—focusing on business that offers more attractive risk-adjusted returns and greater consistency over time. Personal lines premium represented
Commercial Lines Financial and Operational Review
| Three Months Ended March 31, | ||||||||||
| 2026 | 2025 | % Change | ||||||||
| (dollars in thousands) | ||||||||||
| Gross written premiums | $ | (18 | ) | $ | 2,047 | * | ||||
| Net written premiums | (16 | ) | (1,604 | ) | * | |||||
| Net earned premiums | 133 | 1,331 | * | |||||||
| Underwriting ratios: | ||||||||||
| Loss ratio | * | 113.1 | % | |||||||
| Expense ratio | * | 25.3 | % | |||||||
| Combined ratio | * | 138.4 | % | |||||||
| Contribution to combined ratio from net | ||||||||||
| (favorable) adverse prior year development | * | -46.6 | % | |||||||
| Accident year combined ratio (1) | * | 185.0 | % | |||||||
| (1) The accident year combined ratio is the sum of the loss ratio and the expense ratio, less changes in net ultimate loss estimates from prior accident year loss reserves. The accident year combined ratio provides management with an assessment of the specific policy year's profitability and assists management in their evaluation of product pricing levels and quality of business written. | ||||||||||
| * Percentage not meaningful | ||||||||||
The Company’s commercial lines of business represented
Combined Ratio Analysis
| Three Months Ended March 31, | ||||||
| 2026 | 2025 | |||||
| Underwriting ratios: | ||||||
| Loss ratio | 56.2 | % | 89.7 | % | ||
| Expense ratio | 49.5 | % | 50.8 | % | ||
| Combined ratio | 105.7 | % | 140.5 | % | ||
| Contribution to combined ratio from net (favorable) | ||||||
| adverse prior year development | -3.0 | % | 1.4 | % | ||
| Accident year combined ratio | 108.7 | % | 139.1 | % | ||
The Company reported a significantly improved overall loss ratio of
Net Investment Income
Net investment income was
Change in Fair Value of Equity Securities
During the quarter, the Company reported a gain of
Net Income (Loss) allocable to common shareholders
The Company reported net income allocable to common shareholders of
Adjusted Operating Income (Loss)
The Company reported an adjusted operating loss of
About Presurance Holdings
Presurance Holdings, Inc. is a Michigan-based property and casualty holding company. Through its subsidiaries, the Company provides specialty insurance coverage with a focus on disciplined growth and long-term value creation. The Company trades on the Nasdaq Capital Market under the symbol PRHI. Additional information can be found on the Company’s website at IR.PREHLD.com.
Definitions of Non-GAAP Measures
Presurance prepares its public financial statements in conformity with accounting principles generally accepted in the United States of America (GAAP). Statutory data is prepared in accordance with statutory accounting rules as defined by the National Association of Insurance Commissioners' (NAIC) Accounting Practices and Procedures Manual and therefore is not reconciled to GAAP data.
We believe that investors’ understanding of the Company’s performance is enhanced by our disclosure of adjusted operating income. Our method of calculating this measure may differ from that used by other companies and therefore comparability may be limited. We define adjusted operating income (loss), a non-GAAP measure, as net income (loss) excluding: 1) net realized investment gains (losses), 2) change in fair value of equity securities, 3) Change in fair value of contingent considerations and 4) Additional accretion of Warrants from Series B Preferred Stock payoff. We use adjusted operating income as an internal performance measure in the management of our operations because we believe it gives our management and other users of our financial information useful insight into the results of our operations and underlying business performance.
Forward-Looking Statement
This press release contains forward-looking statements made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements give current expectations or forecasts of future events or our future financial or operating performance, and include the Company’s expectations regarding premiums, earnings, its capital position, expansion, and growth strategies. The forward-looking statements contained in this press release are based on management’s good-faith belief and reasonable judgment based on current information. The forward-looking statements are qualified by important factors, risks and uncertainties, many of which are beyond our control, that could cause our actual results to differ materially from those in the forward-looking statements, including those described in our form 10-K (“Item 1A Risk Factors”) filed with the SEC on March 27, 2026, and subsequent reports filed with or furnished to the SEC. Any forward-looking statement made by us in this report speaks only as of the date hereof or as of the date specified herein. We undertake no obligation to publicly update any forward-looking statement, whether as a result of new information, future developments or otherwise, except as may be required by any applicable laws or regulations.
Reconciliations of adjusted operating income (loss) and adjusted operating income (loss) per share:
| Three Months Ended March 31, | ||||||||
| 2026 | 2025 | |||||||
| (dollar in thousands, except share and per share amounts) | ||||||||
| Net income (loss) | $ | 2,622 | $ | 522 | ||||
| Less: | ||||||||
| Net realized investment gains (losses) | (14 | ) | 3 | |||||
| Change in fair value of equity securities | 30 | (192 | ) | |||||
| Change in fair value of contingent considerations | 4,490 | 4,395 | ||||||
| Additional accretion of Warrants from Series B Preferred Stock payoff | 946 | - | ||||||
| Impact of income tax expense (benefit) from adjustments * | - | - | ||||||
| Adjusted operating income (loss) | $ | (2,830 | ) | $ | (3,684 | ) | ||
| Weighted average common shares, diluted | 17,200,659 | 12,222,881 | ||||||
| Diluted income (loss) per common share: | ||||||||
| Net income (loss) | $ | 0.15 | $ | 0.04 | ||||
| Less: | ||||||||
| Net realized investment gains (losses) | - | - | ||||||
| Change in fair value of equity securities | - | (0.02 | ) | |||||
| Change in fair value of contingent considerations | 0.26 | 0.36 | ||||||
| Additional accretion of Warrants from Series B Preferred Stock payoff | 0.05 | - | ||||||
| Impact of income tax expense (benefit) from adjustments * | - | - | ||||||
| Adjusted operating income (loss), per share | $ | (0.16 | ) | $ | (0.30 | ) | ||
* The Company has recorded a full valuation allowance against its deferred tax assets as of March 31, 2026 and March 31, 2025, respectively. As a result, there were no taxable impacts to adjusted operating income (loss) from the adjustments to net income (loss) in the table above after taking into account the use of net operating losses and the change in the valuation allowance.
| Presurance Holdings, Inc. and Subsidiaries | |||||||||||
| Condensed Consolidated Balance Sheets | |||||||||||
| (dollars in thousands) | |||||||||||
| March 31 | December 31, | ||||||||||
| 2026 | 2025 | ||||||||||
| Assets | (Unaudited) | ||||||||||
| Investment securities: | |||||||||||
| Debt securities, at fair value (amortized cost of | $ | 80,314 | $ | 88,305 | |||||||
| Equity securities, at fair value (cost of | 1,288 | 1,277 | |||||||||
| Short-term investments, at fair value | 32,464 | 24,725 | |||||||||
| Total investments | 114,066 | 114,307 | |||||||||
| Cash and cash equivalents | 25,469 | 27,362 | |||||||||
| Premiums and agents' balances receivable, net | 6,540 | 5,521 | |||||||||
| Reinsurance recoverables on unpaid losses | 62,014 | 63,909 | |||||||||
| Reinsurance recoverables on paid losses | 3,617 | 5,929 | |||||||||
| Prepaid reinsurance premiums | 9,629 | 12,024 | |||||||||
| Deferred policy acquisition costs | 2,825 | 2,696 | |||||||||
| Receivable from contingent considerations at fair value | 8,780 | 4,290 | |||||||||
| Other assets | 3,670 | 3,245 | |||||||||
| Total assets | $ | 236,610 | $ | 239,283 | |||||||
| Liabilities and Shareholders' Equity | |||||||||||
| Liabilities: | |||||||||||
| Unpaid losses and loss adjustment expenses | $ | 137,501 | $ | 146,262 | |||||||
| Unearned premiums | 23,457 | 25,703 | |||||||||
| Reinsurance premiums payable | 4,547 | 2,501 | |||||||||
| Debt | 12,250 | 12,187 | |||||||||
| Mandatorily redeemable preferred stock | 8,000 | 14,380 | |||||||||
| Funds held under reinsurance agreements | 20,549 | 24,233 | |||||||||
| Accounts payable and other liabilities | 5,116 | 5,051 | |||||||||
| Total liabilities | 211,420 | 230,317 | |||||||||
| Commitments and contingencies | - | - | |||||||||
| Shareholders' equity: | |||||||||||
| Common stock, no par value (100,000,000 shares authorized; 26,222,881 and | |||||||||||
| 12,222,881 issued and outstanding, respectively) | 113,919 | 100,158 | |||||||||
| Accumulated deficit | (78,969 | ) | (81,591 | ) | |||||||
| Accumulated other comprehensive income (loss) | (9,760 | ) | (9,601 | ) | |||||||
| Total shareholders' equity | 25,190 | 8,966 | |||||||||
| Total liabilities and shareholders' equity | $ | 236,610 | $ | 239,283 | |||||||
| Presurance Holdings, Inc. and Subsidiaries | |||||||||||
| Condensed Consolidated Statements of Operations (Unaudited) | |||||||||||
| (dollars in thousands, except share and per share data) | |||||||||||
| Three Months Ended | |||||||||||
| March 31, | |||||||||||
| 2026 | 2025 | ||||||||||
| Revenue and Other Income | |||||||||||
| Premiums | |||||||||||
| Gross earned premiums | $ | 13,714 | $ | 16,118 | |||||||
| Ceded earned premiums | (7,789 | ) | (5,803 | ) | |||||||
| Net earned premiums | 5,925 | 10,315 | |||||||||
| Net investment income | 1,110 | 1,289 | |||||||||
| Net realized investment gains (losses) | (14 | ) | 3 | ||||||||
| Change in fair value of equity securities | 30 | (192 | ) | ||||||||
| Other income | 6 | 65 | |||||||||
| Change in fair value of contingent considerations | 4,490 | 4,395 | |||||||||
| Total revenue and other income | 11,547 | 15,875 | |||||||||
| Expenses | |||||||||||
| Losses and loss adjustment expenses, net | 3,329 | 9,274 | |||||||||
| Policy acquisition costs | 1,558 | 2,677 | |||||||||
| Operating expenses | 2,100 | 2,861 | |||||||||
| Interest expense | 1,976 | 541 | |||||||||
| Total expenses | 8,963 | 15,353 | |||||||||
| Income (loss) before income taxes | 2,584 | 522 | |||||||||
| Income tax expense (benefit) | (38 | ) | - | ||||||||
| Net income (loss) | $ | 2,622 | $ | 522 | |||||||
| Earnings (loss) per common share, basic and diluted | $ | 0.15 | $ | 0.04 | |||||||
| Weighted average common shares outstanding, | |||||||||||
| basic and diluted | 17,200,659 | 12,222,881 | |||||||||
For Further Information:
Jessica Gulis, 248.509.9202
ir@prehld.com
