James River Group Holdings, Inc. Common Stock 2026 Q2 Earnings Call
Review the key takeaways and the transcript of this earnings call.
- James River Group reported a 92.8% combined ratio for its U.S. segment in Q2 2026, improving from 96.5% in the prior quarter.
- The group's overall gross written premium decreased due to intentional downsizing of the specialty admitted segment, while gross to net premium retention increased to 55% from 47% year over year.
- Net income available to common shareholders was $4.4 million in Q2 2026, a 59% increase from $2.8 million in Q2 2025.
- Operating earnings were $10 million or $0.20 per diluted share, compared to $11.7 million or $0.23 per share in the prior year quarter.
- The consolidated combined ratio was 100.2%, with a 66.3% loss ratio and 33.9% expense ratio.
- General and administrative expenses declined 7% compared to the prior year quarter and 9% year to date, driven primarily by specialty admitted and corporate segments.
- Net investment income was $20.3 million for the quarter, consistent with the prior year period, supported by a high-quality fixed income portfolio.
- Net adverse reserve development was under $1 million compared to $3 million in the prior year quarter, primarily related to product liability from accident years 2020 through 2022.
- The company completed the third renewal of its ENS reinsurance treaty with modest changes and similar terms and partners.
STOCKNOW INSIGHTS
Continue with outlook and guidance.
Log in to unlock executive comments and Q&A highlights.
Log in for the full summaryStockNow uses AI to translate and summarize earnings calls. Accuracy and completeness are not guaranteed.
Transcript
Preview the first five paragraphs, organized by speaker.
Hello, and thank you for standing by. My name is Lacey, and I will be your conference operator today. At this time, I would like to welcome everyone to the James River Group second quarter earnings call. All lines have been placed on mute to prevent any background noise. After the speaker's remarks, there will be a question and answer session. If you would like to ask a question during this time, simply press star followed by the number one on your telephone keypad. If you would like to withdraw your question, press star one again. Thank you. I would now like to turn the call over to Bob DeMartino, Senior Vice President, Investments and Investments Relations.
Please go ahead. Thank you, operator, and good morning, everybody.
Welcome to James River Group's second quarter 2026 earnings conference call. A reminder that during the call, we will be making forward-looking statements that are based on current beliefs, intentions, expectations, and assumptions that are subject to various risks and uncertainties, which may cause actual results to differ materially. Such risks and uncertainties are detailed in the cautionary language regarding forward-looking statements in yesterday's earnings release and the risk factors of our most recent Form 10-K, Form 10-Q, and other reports and filings we have made with the SEC. We do not undertake any duty to update any forward-looking statements. In addition, during this presentation, we may reference non-GAAP financial measures. Please refer to our earnings press release for a reconciliation of these numbers to GAAP, a copy of which can be found on our website.
Lastly, unless otherwise specified, for the reasons described in our earnings press release, all underwriting performance ratios referred to are for our continuing operations and business that is not subject to retroactive reinsurance accounting for loss portfolio transfers. I will now turn the call over to Frank D'Orazio, James River's Chief Executive Officer.
Thank you for that introduction, Bob. Good morning, everyone, and thank you for joining us today. I would like to pick up today's call with the very same theme we have emphasized over the last several quarters. Organizationally, profitability remains our primary focus, and we saw that evidence in the 92.8% combined ratio we achieved for our E&S segment, a meaningful improvement from the 96.5% we recorded last quarter, which was largely impacted by some unique legacy reinsurance dynamics. As you have heard from other competitors this quarter, the property and casualty market continues to transition. As conditions shift, our objectives remain the same, to direct underwriting capacity and capital towards areas offering the most attractive risk-adjusted returns while maintaining the discipline to walk away from opportunities that do not meet our profitability expectations.
FULL TRANSCRIPT
Continue the full translated transcript in StockNow.
Log in to unlock every statement, the English original, and speaker-by-speaker history.
Log in for the full transcriptCall participants
6 people spoke on this call — only 2 are shown here.
PARTICIPANT LIST
View participant details in StockNow.
Log in to see executives and analysts, their roles, and complete speaking history.
Log in to view all participantsKeep exploring