ST. PETERSBURG, Fla., March 17, 2026 (GLOBE NEWSWIRE) -- American Coastal Insurance Corporation (Nasdaq Ticker: ACIC) (“the Company”, “American Coastal” or “ACIC”) the insurance holding company of American Coastal Insurance Company (“AmCoastal”), announced today the completion of $5 million in common stock share repurchases. Raymond James & Associates, Inc. acted as the broker for these repurchases, which took place in the open market and were completed on March 11, 2026. In total, the Company repurchased 4 ...

Financial Performance - The company's combined ratio is a key measure of underwriting profitability, with a ratio under 100% indicating an underwriting profit[26]. - The company's risk-based capital (RBC) ratio was reported at 1,757% as of December 31, 2025, exceeding minimum requirements[41]. - The company was fined $400,000 in 2025 related to findings from a statutory financial examination conducted by the Florida Office of Insurance Regulation[38]. Revenue Sources - 100% of the company's condominium revenue is generated through AmRisc, which manages independent agencies in Florida[27]. - The company's apartment and assisted living facility policies are exclusively marketed through Skyway Underwriters, representing 100% of that revenue[28]. Employee and Management Diversity - As of December 31, 2025, the company employed 68 individuals, with 11 in the Claims Department and 10 in Sales and Underwriting[61]. - The management team has seen a 5.7 percentage point increase in gender diversity from December 31, 2024, reaching 44.6%[65]. - As of December 31, 2025, three of the seven members of the executive leadership team are from underrepresented groups, demonstrating a commitment to ESG goals[67]. - In 2021, a female leader was appointed as General Counsel, and in January 2024, a new female Chief Financial Officer was appointed from outside the organization[67]. - Voluntary attrition rate for the year ended December 31, 2025, was 3.0%, indicating effective employee retention strategies[70]. Corporate Governance and Operations - The company changed its name from United Insurance Holdings Corp. to American Coastal Insurance Corporation on July 10, 2023[71]. - The company operates under one reportable operating segment, with the President and CEO as the chief operating decision maker[72]. - There were no related party transactions for the years ended December 31, 2025, 2024, and 2023[277]. Employee Benefits and Environment - Employee benefits include competitive salaries, bonuses, tuition reimbursement, and a robust health care package[73]. - The Human Resources Department focuses on creating an inclusive environment and managing employee-related matters[68]. - The company has made a commitment to achieve net-zero carbon emissions by no later than 2030, although it acknowledges that this timeline may need to be recalibrated[56]. Compliance and Reporting - The company is subject to extensive state-level regulations designed to protect insurance policyholders, impacting various aspects of its operations[35]. - Goodwill is tested for impairment at least annually, with a quantitative assessment performed to determine fair value[275]. - The company provides free access to its Annual Reports and other filings through its website and the SEC's website[75][76]. - The company relies on wholesale partners for new business, compensating them primarily with fixed-rate commissions consistent with market standards[30].

Core Viewpoint - American Coastal Insurance Corporation has appointed Troy Crawford as Chief Underwriting Officer, expanding his responsibilities to include the underwriting functions of the company [1][2]. Company Overview - American Coastal Insurance Corporation is the holding company for American Coastal Insurance Company, which was established in 2007 to insure condominium and homeowner association properties, as well as apartments in Florida [3]. - The company has a partnership with AmRisc Group, a major Managing General Agent specializing in hurricane-exposed properties in Florida [3]. - American Coastal Insurance Company has received a Financial Stability Rating of "A, Exceptional" from Demotech and an "A-" insurance financial strength rating with a Positive outlook from Kroll [3]. - The issuer rating for ACIC is 'BBB-' with a Positive outlook from Kroll [3]. Leadership and Experience - Troy Crawford has over 30 years of experience in leading property and casualty P&L portfolios at major national and regional insurance carriers, including Nationwide Insurance, The Hartford, and Westfield [2]. - Crawford holds both a Bachelor of Arts and a Master of Business Administration from Ohio University, along with the Chartered Property Casualty Underwriter and Chartered Life Underwriter designations [2]. - Since January 2025, Crawford has been overseeing underwriting strategy, risk selection, and portfolio performance for AmCoastal's commercial insurance operations [2].

Core Insights - American Coastal Insurance (ACIC) reported a revenue of $86.38 million for the quarter ended December 2025, reflecting a 9% increase year-over-year and a surprise of +3.56% over the Zacks Consensus Estimate of $83.41 million [1] - The earnings per share (EPS) for the quarter was $0.51, significantly higher than $0.12 in the same quarter last year, resulting in an EPS surprise of +21.43% compared to the consensus estimate of $0.42 [1] Financial Performance Metrics - Loss Ratio for the quarter was reported at 12.5%, which is significantly lower than the average estimate of 23.8% based on two analysts [4] - Expense Ratio stood at 46.1%, slightly above the average estimate of 45% from two analysts [4] - Combined Ratio was reported at 58.6%, compared to the estimated average of 68.8% by two analysts [4] - Net premiums earned were $79.32 million, exceeding the average estimate of $76.91 million, with a year-over-year increase of +7.9% [4] - Net investment income was $5.49 million, slightly below the average estimate of $5.8 million, with a year-over-year change of +3.1% [4] Stock Performance - Over the past month, shares of American Coastal have returned -2.1%, while the Zacks S&P 500 composite experienced a -0.8% change [3] - The stock currently holds a Zacks Rank 3 (Hold), indicating potential performance in line with the broader market in the near term [3]

Financial Performance - For the full year, the company reported a net income of $106.8 million and a core income of $103.7 million, reflecting an increase of $26.8 million [1] - The combined ratio was 60.1% for the full year, with a non-GAAP underlying combined ratio of 61.5%, which is below the target of 65% [1][4] - In Q4 2025, net income was $26.6 million and core income was $25.8 million, primarily due to a $20.5 million decrease in incurred losses from the previous year [2] Premium Trends - Written premiums fell approximately 19% year-over-year due to rate decreases but rebounded about 59% sequentially in Q4 2025 [6][7] - Net premiums earned for the full year were $306.8 million, exceeding the midpoint of the company's guidance range of $290 million to $320 million [7] Underwriting and Market Conditions - The company maintained underwriting discipline amid a competitive commercial property market, which contributed to lower catastrophe losses compared to the prior year [4] - The rate environment is characterized as falling, linked to Florida legislative reforms that have reduced reinsurance costs and incurred losses [7][8] Expense Management - Operating expenses for Q4 decreased by $1.3 million, or 3.4%, while total expenses for the full year remained flat year-over-year [10] - The company experienced an increase in operating costs by $22.6 million, largely due to reduced ceding commissions, offset by retention related to Hurricane Milton [10] Balance Sheet and Capital Actions - Cash and investments grew by 19.8% in 2025 to $647.7 million, and stockholders' equity increased by 34.8% to $317.6 million [13] - The company declared a special dividend of $0.75 per share in Q4, totaling $36.6 million [13] Growth Initiatives - The company is pursuing growth in the excess and surplus (E&S) market through its ACES unit, which is expected to contribute ≤5% of 2026 revenue [5][15] - A partnership with AmRisc is expected to generate approximately $100 million in premiums, with premium recognition starting in March [16] Reinsurance Strategy - Reinsurance costs have been trending lower, with successful placements of catastrophe programs leading to reduced pricing on a risk-adjusted basis [11] - The company aims to align loss costs and reinsurance costs with premium rate changes to protect margins [11]

Financial Data and Key Metrics Changes - In Q4 2025, American Coastal Insurance reported a net income of $26.6 million, with core income at $25.8 million, an increase of $19.8 million year-over-year due to a decrease in incurred losses from Hurricane Milton [9][10] - For the full year, net income reached $106.8 million, exceeding the initial guidance of $70 million to $90 million, and core income was $103.7 million, an increase of $26.8 million [4][10] - The combined ratio was 58.6% for the quarter and 60.1% for the full year, with a non-GAAP underlying combined ratio of 58.9% for the quarter, a decrease of 7 points from the prior year [10][11] - Cash and investments grew by 19.8% in 2025 to $647.7 million, and stockholders' equity increased by 34.8% to $317.6 million [11][12] Business Line Data and Key Metrics Changes - Premiums written increased approximately 59% compared to Q3 2025 but declined 19% year-over-year due to rate decreases influenced by Florida's legislative reforms [5][10] - Net premiums earned for the full year were $306.8 million, above the midpoint of the 2025 guidance of $290 million to $320 million [5][10] Market Data and Key Metrics Changes - The company noted that softer market conditions in commercial property insurance are expected to continue, impacting premium production [6] - The company is focusing on underwriting new profitable commercial residential property insurance business in various states, leveraging its technical expertise [7] Company Strategy and Development Direction - The company aims to improve its business profile by introducing new revenue and earnings growth pathways in the E&S market, while not aggressively pursuing growth in commercial property exposure in the short term [7] - The strategic transformation of the company has been described as spectacular, with a focus on maintaining underwriting discipline despite a competitive environment [4][5] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's ability to manage exposures and achieve revenue guidance for 2026, despite challenges in the current market environment [18][20] - The company is monitoring its stock price and considers share repurchases as an option, although it prioritizes special dividends based on loss results [35][48] Other Important Information - The company declared a special dividend of $0.75 per share in Q4, totaling $36.6 million [12] - The debt to total capital ratio was reported at 32%, with a long-term target of around 25% [34] Q&A Session Summary Question: Comments on gross premium results and premium orders - Management noted a 19% drop in gross premiums but highlighted a 60% rebound quarter-over-quarter, emphasizing the importance of managing exposures [16][18] Question: Expectations for revenue numbers - Management indicated confidence in achieving revenue guidance for 2026, despite potential volatility in written premiums [21][22] Question: Underwriting margins and catastrophe profiles in new markets - Management stated that underwriting margins in South Carolina and Texas are expected to be slightly higher than in Florida, with a focus on similar classes of commercial residential property [30][31] Question: Prioritization of deleveraging and capital return - Management confirmed that earning an underwriting profit and increasing shareholder equity are priorities, with plans to reduce financial leverage over time [34] Question: Update on ACES and market share expectations - Management indicated that ACES is expected to contribute a small percentage of total revenue in 2026, with a long-term goal of achieving market leadership [40][41] Question: Share repurchases - Management acknowledged the stock's undervaluation and indicated that share repurchases may be considered, but special dividends remain a priority [46][48]

Financial Data and Key Metrics Changes - In Q4 2025, American Coastal Insurance reported a net income of $26.6 million, with core income at $25.8 million, reflecting a year-over-year increase of $19.8 million due to a decrease in incurred losses from Hurricane Milton [9][10] - For the full year, net income reached $106.8 million, exceeding the initial guidance of $70 million to $90 million, and core income was $103.7 million, an increase of $26.8 million [4][10] - The combined ratio was 58.6% for the quarter and 60.1% for the full year, with the non-GAAP underlying combined ratio at 58.9% for the quarter, a decrease of 7 points from the prior year [10][11] Business Line Data and Key Metrics Changes - Premiums written increased approximately 59% compared to Q3 2025 but declined 19% year-over-year due to rate decreases influenced by Florida's legislative reforms [5][10] - Net premiums earned for the full year were $306.8 million, above the midpoint of the 2025 guidance of $290 million to $320 million [5][10] Market Data and Key Metrics Changes - The company noted that softer market conditions in commercial property insurance are expected to persist, impacting premium production [6] - The company is focusing on underwriting new profitable commercial residential property insurance business in various states, leveraging its technical expertise [7] Company Strategy and Development Direction - American Coastal is undergoing a strategic transformation aimed at improving its business profile by introducing new revenue and earnings growth pathways in the E&S market [7] - The company is not looking to grow commercial property exposure in the short term but is identifying opportunities for profitable underwriting [7] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's ability to produce strong returns on capital and maintain profitability despite a challenging market environment [4][6] - The company plans to manage expenses in line with revenue changes and is focused on maintaining a strong reserve position [10][22] Other Important Information - Cash and investments grew by 19.8% in 2025 to $647.7 million, and stockholders' equity increased by 34.8% to $317.6 million [11][12] - A special dividend of $0.75 per share was declared in Q4, totaling $36.6 million [12] Q&A Session Summary Question: Comments on gross premium results and premium orders - Management noted a 19% drop in gross premiums but highlighted a 60% rebound quarter-over-quarter, emphasizing the importance of managing exposures [16][18] Question: Expectations for revenue numbers - Management is not worried about revenue numbers for the upcoming year and is focused on maintaining a disciplined approach to underwriting [21][22] Question: Differences in underwriting margins and catastrophe profiles in new markets - Management indicated that underwriting margins in South Carolina and Texas are expected to be slightly higher than in Florida, with a focus on similar classes of commercial residential property [30][31] Question: Prioritization of deleveraging and capital return - Management stated that there is no immediate need to address debt maturing in 2027, focusing instead on earning underwriting profits and increasing shareholder equity [34] Question: Update on the E&S opportunity and market share - Management confirmed that the new entity ACES is pending regulatory approval and that initial premium ambitions for 2026 are relatively small, with a focus on long-term market leadership [40][42] Question: Share repurchases - Management acknowledged the stock's undervaluation but indicated that share repurchases have not been a top priority, with a focus on special dividends and monitoring excess capital [47][49]

Financial Data and Key Metrics Changes - In Q4 2025, American Coastal Insurance reported a net income of $26.6 million, with core income at $25.8 million, reflecting a year-over-year increase of $19.8 million due to a decrease in incurred losses from Hurricane Milton [8][9] - For the full year, net income reached $106.8 million, exceeding initial guidance of $70 million to $90 million, while core income was $103.7 million, an increase of $26.8 million [4][8] - The combined ratio was 58.6% for the quarter and 60.1% for the full year, with the underlying combined ratio at 58.9% for the quarter, a decrease of 7 points from the prior year [9][10] Business Line Data and Key Metrics Changes - Premiums written increased approximately 59% compared to Q3 2025 but declined 19% year-over-year due to rate decreases influenced by Florida's legislative reforms [5][6] - Net premiums earned for the full year were $306.8 million, above the midpoint of the 2025 guidance of $290 million to $320 million [5][10] Market Data and Key Metrics Changes - The company noted that softer market conditions in commercial property insurance are expected to persist, impacting premium production [6] - The company is focusing on underwriting new, profitable commercial residential property insurance business in Florida and other states, leveraging its technical expertise [6] Company Strategy and Development Direction - The company is undergoing a strategic transformation aimed at improving its business profile by introducing new revenue and earnings growth pathways in the Excess and Surplus (E&S) market [6] - There are plans for expansion into South Carolina, Texas, and broader nationwide E&S markets through partnerships, with a focus on maintaining underwriting discipline [6][28] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's ability to produce strong returns on capital despite a challenging market environment, emphasizing the importance of maintaining underwriting discipline [4][6] - The company is monitoring its stock price closely and considers share repurchases as an option if the stock remains undervalued [33][49] Other Important Information - Cash and investments grew 19.8% in 2025 to $647.7 million, reflecting a strong liquidity position, while stockholders' equity increased 34.8% to $317.6 million [10][11] - A special dividend of $0.75 per share was declared in Q4, totaling $36.6 million [11] Q&A Session Summary Question: Comments on gross premium results and rate environment - Management noted a 19% drop in gross premiums year-over-year but highlighted a 60% rebound quarter-over-quarter, indicating a disciplined approach to managing exposures [14][17] Question: Expectations for revenue numbers and earned premiums - Management expressed confidence in achieving solid revenue guidance for 2026 despite potential volatility in written premiums [20][21] Question: Underwriting margins and catastrophe profiles in new markets - Management indicated that underwriting margins in South Carolina and Texas are expected to be slightly higher than in Florida, with a focus on similar classes of commercial residential property [28][30] Question: Prioritization of deleveraging and capital return - Management stated that while reducing financial leverage is a goal, the immediate focus is on earning underwriting profits and increasing shareholder equity [32][33] Question: Update on the new entity ACES and market share expectations - Management confirmed that ACES is pending regulatory approval and expects it to contribute modestly to revenue in 2026, with a long-term goal of achieving market leadership [38][42] Question: Share repurchase considerations - Management acknowledged the stock's undervaluation and indicated that share repurchases may be considered, but special dividends remain a priority [47][49]

Earnings Presentation SKU is an MGA focused on producing & underwriting commercial property insurance on behalf of our risk bearing entities. Specialty Commercial Property Managing General Agency 4 th Quarter 2025 February 19, 2026 Company Overview ACIC is a specialty underwriter of catastrophe exposed commercial property insurance. American Coastal Insurance Corp. (Nasdaq: ACIC) is the insurance holding company for American Coastal Insurance Company (AmCoastal), a Florida domiciled P&C carrier, and Skyway ...

Core Insights - American Coastal Insurance Corporation (ACIC) reported a net income of $26.6 million for Q4 2025, significantly up from $4.9 million in Q4 2024, resulting in earnings of $0.53 per diluted share compared to $0.10 per diluted share in the previous year [17][23] - For the full year 2025, net income reached $106.8 million, or $2.15 per diluted share, compared to $75.7 million, or $1.54 per diluted share, in 2024, driven by increased gross premiums earned and decreased losses [23][24] - The company’s total gross written premium decreased by $35.3 million, or 5.4%, to $612.5 million for the year ended December 31, 2025, while gross premiums earned increased by $9.7 million, or 1.5%, to $648.3 million [24][25] Financial Performance - Gross premiums written for Q4 2025 were $114.5 million, down 18.6% from $140.7 million in Q4 2024, while gross premiums earned decreased by 2.9% to $157.9 million [18][19] - Net premiums earned increased by 7.9% to $79.3 million in Q4 2025, compared to $73.5 million in Q4 2024 [19] - Losses and loss adjustment expenses (LAE) decreased by 66.8% to $9.9 million in Q4 2025, with the loss ratio dropping to 12.5% from 40.5% in Q4 2024 [20][21] Operational Efficiency - The combined ratio for Q4 2025 improved to 58.6%, down from 91.9% in Q4 2024, indicating better operational efficiency [11][12] - The underlying combined ratio also improved to 58.9% from 65.9% year-over-year, reflecting strong underwriting results [11][12] - Policy acquisition costs decreased by 6.8% to $24.7 million in Q4 2025, while general and administrative expenses increased slightly by 5.3% to $11.9 million [21][22] Investment and Book Value - The company’s cash and investment holdings increased from $540.8 million at the end of 2024 to $647.7 million at the end of 2025, primarily due to cash flows from operations [29] - Book value per common share rose by 33.2% from $4.89 at December 31, 2024, to $6.51 at December 31, 2025, driven by retained earnings from net income [30][31] - Underlying book value per common share also increased by 27.8% to $6.66, excluding the impact of accumulated other comprehensive income [30][32]