(Mark One) x QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended June 30, 2025 OR o TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission file number 001-42111 _________________________ UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q (I.R.S. Employer Identification No.) (212) 970-0269 Registrant's telephone number, including area ...

For the quarter ended June 2025, Bowhead Specialty Holdings Inc. (BOW) reported revenue of $133.26 million, up 34.8% over the same period last year. EPS came in at $0.37, compared to $0.28 in the year-ago quarter.The reported revenue compares to the Zacks Consensus Estimate of $130.63 million, representing a surprise of +2.02%. The company delivered an EPS surprise of +2.78%, with the consensus EPS estimate being $0.36.While investors scrutinize revenue and earnings changes year-over-year and how they compa ...

Bowhead Specialty Holdings (BOW) Q2 2025 Earnings Call August 05, 2025 08:30 AM ET Speaker0Hello, and welcome to Bowhead Specialty's Q2 twenty twenty five Earnings Call. With that, I would like to turn the call over to Shirley Yap, Head of Investor Relations. Shirley, you may begin.Speaker1Thanks, Stefan. Good morning, and welcome to Bowhead's second quarter twenty twenty five earnings conference call. I'm Shirley Yap, Bowhead's Chief Accounting Officer and Head of Investor Relations. Joining me today are S ...

Investor Presentation August 2025 Forward Looking Statements This presentation has been prepared by Bowhead Specialty Holdings Inc. ("we," "us," "our," "Bowhead" or the "Company") on a confidential basis for the exclusive use of the party to whom Bowhead delivers this presentation. This presentation has been prepared by Bowhead for informational purposes only and not for any other purpose. Nothing contained in this presentation is, or should be construed as, a recommendation, promise or representation by th ...

Bowhead Specialty Holdings Inc. Reports Second Quarter 2025 Results The 32.4% increase in gross written premiums to $232.4 million in the second quarter of 2025 was driven by our increasing renewal book and continued growth in our platform across all divisions: Our loss ratio of 66.2% in the second quarter of 2025 increased 0.7 points compared to 65.5% in the second quarter of 2024, due to a 0.6 point increase in our current accident year and a 0.1 point increase in our prior accident year loss ratio. The 0 ...

PART I. FINANCIAL INFORMATION [Financial Statements (unaudited)](index=4&type=section&id=Item%201.%20Financial%20Statements%20%28unaudited%29) The unaudited condensed consolidated financial statements for the quarter ended March 31, 2025, show growth in total assets to **$1.75 billion** and an increase in total stockholders' equity to **$391.0 million**, with net income of **$11.4 million** and strong operating cash flow of **$47.7 million** [Condensed Consolidated Balance Sheets](index=4&type=section&id=Condensed%20Consolidated%20Balance%20Sheets) As of March 31, 2025, total assets increased to **$1.75 billion** from **$1.65 billion** at year-end 2024, primarily due to growth in the investment portfolio, while total liabilities rose to **$1.36 billion** and total stockholders' equity grew to **$391.0 million** Condensed Consolidated Balance Sheet Highlights (in thousands) | Account | March 31, 2025 | December 31, 2024 | | :--- | :--- | :--- | | **Total investments** | $1,044,836 | $889,986 | | **Total assets** | $1,753,072 | $1,654,242 | | **Reserve for losses and loss adjustment expenses** | $845,224 | $756,859 | | **Total liabilities** | $1,361,709 | $1,283,800 | | **Total stockholders' equity** | $390,954 | $370,177 | [Condensed Consolidated Statements of Income and Comprehensive Income](index=5&type=section&id=Condensed%20Consolidated%20Statements%20of%20Income%20and%20Comprehensive%20Income) For the three months ended March 31, 2025, the company achieved significant top-line growth, with gross written premiums increasing 26.3% to **$174.8 million**, and net income rising 62.9% to **$11.4 million** Q1 2025 vs Q1 2024 Performance (in thousands, except per share data) | Metric | Q1 2025 | Q1 2024 | | :--- | :--- | :--- | | Gross written premiums | $174,848 | $138,433 | | Net earned premiums | $109,816 | $82,981 | | Total revenues | $122,716 | $90,672 | | Net income | $11,425 | $7,012 | | Diluted EPS | $0.34 | $0.29 | [Condensed Consolidated Statements of Changes in Mezzanine Equity and Stockholders' Equity](index=6&type=section&id=Condensed%20Consolidated%20Statements%20of%20Changes%20in%20Mezzanine%20Equity%20and%20Stockholders%27%20Equity) Total mezzanine equity and stockholders' equity increased from **$370.4 million** at the end of 2024 to **$391.4 million** as of March 31, 2025, driven by net income and other comprehensive income - Key drivers for the increase in equity during Q1 2025 were net income of **$11.4 million**, other comprehensive income of **$7.4 million**, and stock-based compensation and warrant expenses totaling **$2.1 million**[12](index=12&type=chunk) [Condensed Consolidated Statements of Cash Flows](index=7&type=section&id=Condensed%20Consolidated%20Statements%20of%20Cash%20Flows) Net cash provided by operating activities was **$47.7 million** for the first quarter of 2025, an increase from **$41.9 million** in the prior-year period, while net cash used in investing activities was significantly higher at **$146.3 million** Cash Flow Summary (in thousands) | Cash Flow Activity | Q1 2025 | Q1 2024 | | :--- | :--- | :--- | | Net cash provided by operating activities | $47,722 | $41,910 | | Net cash used in investing activities | ($146,329) | ($79,122) | | Net cash provided by financing activities | $0 | $2,839 | | **Net change in cash** | **($98,607)** | **($34,373)** | [Notes to Condensed Consolidated Financial Statements](index=8&type=section&id=Notes%20to%20Condensed%20Consolidated%20Financial%20Statements) The notes detail the company's business model as a specialty P&C insurer operating primarily on an E&S basis through a strategic partnership with AmFam, with a **$1.04 billion** investment portfolio and a single reportable segment - The company operates as a specialty property and casualty insurer in the U.S., focusing on Casualty, Professional Liability, and Healthcare risks, primarily on an excess and surplus (E&S) basis[16](index=16&type=chunk) - A key operational structure involves writing policies on AmFam Issuing Carriers' paper, with the company's subsidiary, BICI, assuming 100% of the premium through a Quota Share Agreement with AmFam[18](index=18&type=chunk) - The company operates as a single operating and reportable segment, with the Chief Executive Officer acting as the chief operating decision maker (CODM)[100](index=100&type=chunk) [Management's Discussion and Analysis of Financial Condition and Results of Operations](index=24&type=section&id=Item%202.%20Management%27s%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management attributes the 26.3% growth in gross written premiums in Q1 2025 to strong renewals and platform expansion, with the combined ratio improving to 97.3% and net investment income growing 64.0% to **$12.6 million** [Results of Operations](index=29&type=section&id=Results%20of%20Operations) In Q1 2025, gross written premiums increased by 26.3% to **$174.8 million**, led by 33.7% growth in the Casualty division, while the combined ratio decreased by 0.8 points to 97.3% due to an improved expense ratio Key Operating Metrics | Metric | Q1 2025 | Q1 2024 | | :--- | :--- | :--- | | Loss ratio | 66.9% | 65.5% | | Expense ratio | 30.4% | 32.6% | | **Combined ratio** | **97.3%** | **98.1%** | - Gross written premiums grew **26.3%** to **$174.8 million**, driven by renewals and growth across all four divisions, particularly the Casualty division which grew **33.7%**[139](index=139&type=chunk)[141](index=141&type=chunk) - The **1.4 point** increase in the loss ratio was driven by a **1.0 point** increase in the current accident year loss ratio due to a portfolio mix shift towards the Casualty division and a **0.4 point** impact from prior accident year reserve development[145](index=145&type=chunk)[146](index=146&type=chunk) - The expense ratio decreased by **2.2 points**, primarily due to a **2.9 point** improvement in the operating expense ratio as net earned premiums grew faster than expenses[147](index=147&type=chunk)[148](index=148&type=chunk) [Reconciliation of Non-GAAP Financial Measures](index=33&type=section&id=Reconciliation%20of%20Non-GAAP%20Financial%20Measures) The company provides reconciliations for several non-GAAP measures, reporting Underwriting Income of **$2.7 million** and Adjusted Net Income of **$11.5 million** for Q1 2025 Non-GAAP Financial Measures (Q1 2025, in thousands) | Non-GAAP Measure | Value | Comparable GAAP Measure | GAAP Value | | :--- | :--- | :--- | :--- | | Underwriting Income | $2,656 | Income before income taxes | $14,470 | | Adjusted Net Income | $11,479 | Net Income | $11,425 | [Liquidity and Capital Resources](index=35&type=section&id=Liquidity%20and%20Capital%20Resources) The company's primary sources of liquidity are premiums received and investment income, which are sufficient to cover operating needs, with **$20.8 million** in cash and investments at the holding company level and an undrawn **$75 million** credit facility - The company believes it has sufficient liquidity to meet operating needs for at least the next 12 months, with **$20.8 million** in cash and investments at the holding company level as of March 31, 2025[169](index=169&type=chunk) - The company has a **$75 million** revolving credit facility maturing in April 2027, which was undrawn as of March 31, 2025[170](index=170&type=chunk)[171](index=171&type=chunk) [Critical Accounting Policies and Estimates](index=41&type=section&id=Critical%20Accounting%20Policies%20and%20Estimates) Management identifies the reserve for losses and loss adjustment expenses as a critical accounting estimate, with total gross reserves of **$845.2 million** as of March 31, 2025, and reliance on actuarial methods for reserving due to less mature loss experience - Critical accounting estimates include reserves for losses and loss adjustment expenses, reinsurance recoverable, fair value measurements, and deferred income tax[200](index=200&type=chunk) - Reserves for losses and loss adjustment expenses represent the estimated ultimate cost of all reported and unreported losses, with IBNR reserves accounting for **89.0%** of net reserves as of March 31, 2025[202](index=202&type=chunk)[205](index=205&type=chunk) - Due to less mature loss experience, the company primarily relies on a weighting of the initial expected loss ratio and actuarial methods such as the Reported Bornhuetter-Ferguson and Cape Cod Methods for reserving[207](index=207&type=chunk) [Quantitative and Qualitative Disclosures about Market Risk](index=45&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20about%20Market%20Risk) The company's primary market risk is interest rate risk associated with its **$1.09 billion** fixed maturity securities portfolio, where a hypothetical 100 basis point increase in interest rates would decrease the portfolio's fair value by an estimated **$29.9 million** - The primary market risk is interest rate risk, with no material exposure to equity, foreign currency, or commodity risk[222](index=222&type=chunk) Interest Rate Sensitivity Analysis (as of March 31, 2025) | Change in Interest Rates | Estimated Change in Fair Value ($ in thousands) | Estimated % Change in Fair Value | | :--- | :--- | :--- | | +200 basis points | $(58,969) | (5.4)% | | +100 basis points | $(29,921) | (2.7)% | | -100 basis points | $29,375 | 2.7% | | -200 basis points | $57,440 | 5.3% | - Credit risk from the investment portfolio is managed by investing in high-quality securities, with the fixed maturity portfolio having an average rating of 'AA' and **90.6%** rated 'A' or better[227](index=227&type=chunk) - Reinsurance credit risk is mitigated by selecting reinsurers with an A.M. Best rating of 'A' (Excellent) or better; **100%** of reinsurance recoverables were with such reinsurers[228](index=228&type=chunk) [Controls and Procedures](index=47&type=section&id=Item%204.%20Controls%20and%20Procedures) The company's Chief Executive Officer and Chief Financial Officer concluded that the disclosure controls and procedures were effective as of the end of the quarter, with no material changes in internal control over financial reporting - Management, including the CEO and CFO, evaluated the company's disclosure controls and procedures and concluded they were effective as of March 31, 2025[230](index=230&type=chunk) - No changes occurred during the quarter that have materially affected, or are reasonably likely to materially affect, the company's internal control over financial reporting[231](index=231&type=chunk) PART II. OTHER INFORMATION [Legal Proceedings](index=48&type=section&id=Item%201.%20Legal%20Proceedings) The company is subject to routine legal proceedings in the normal course of business but is not currently a party to any litigation expected to have a material adverse effect on its financial condition or results of operations - The company is not currently party to any legal proceedings that are expected to have a material adverse effect on its business, results of operations, or financial condition[235](index=235&type=chunk) [Risk Factors](index=48&type=section&id=Item%201A.%20Risk%20Factors) A new risk factor has been added concerning the potential adverse effects of evolving trade relations between the United States and other countries, including tariffs, which could create economic volatility and negatively impact the company's insureds and financial results - A new risk factor was disclosed regarding uncertainty in trade policies, treaties, and tariffs between the United States and other countries, which could adversely affect the company's insureds and financial results[236](index=236&type=chunk) [Unregistered Sales of Equity Securities and Use of Proceeds](index=48&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) This item is not applicable for the reporting period - Not applicable[237](index=237&type=chunk) [Other Information](index=48&type=section&id=Item%205.%20Other%20Information) During the first quarter of 2025, none of the company's directors or executive officers adopted, terminated, or modified a Rule 10b5-1 trading arrangement or a non-Rule 10b5-1 trading arrangement - No directors or officers adopted, terminated, or modified a Rule 10b5-1 trading plan during the three months ended March 31, 2025[240](index=240&type=chunk) [Exhibits](index=49&type=section&id=Item%206.%20Exhibits) This section lists the exhibits filed with the Form 10-Q, including certifications by the principal executive and financial officers pursuant to the Sarbanes-Oxley Act of 2002 and Interactive Data Files (Inline XBRL)

Bowhead Specialty Holdings (BOW) Q1 2025 Earnings Call May 06, 2025 08:30 AM ET Company Participants Shirley Yap - Head of IR & CAOStephen Sills - Founder, President, CEO & DirectorBrad Mulcahey - CFOMatt Carletti - Managing DirectorMeyer Shields - Managing DirectorPablo Singzon - Executive Director Conference Call Participants Paul Newsome - MD & Senior Research AnalystJian Huang - Analyst Operator Hello, and welcome to Bowhead Specialties q one twenty twenty five earnings call. After the prepared remarks, ...

Bowhead Specialty Holdings (BOW) Q1 2025 Earnings Call May 06, 2025 08:30 AM ET Speaker0 Hello, and welcome to Bowhead Specialties q one twenty twenty five earnings call. After the prepared remarks, we will hold a question and answer session. For those in the q and a room, please click the raise hand button found on the black bar at the bottom of your screen to join the question queue. Also, as a reminder, this conference is being recorded. If you have any objections, please disconnect at this time. With th ...

Investor Presentation May 2025 Forward Looking Statements This presentation has been prepared by Bowhead Specialty Holdings Inc. ("we," "us," "our," "Bowhead" or the "Company") on a confidential basis for the exclusive use of the party to whom Bowhead delivers this presentation. This presentation has been prepared by Bowhead for informational purposes only and not for any other purpose. Nothing contained in this presentation is, or should be construed as, a recommendation, promise or representation by the p ...

Financial Performance - Gross written premiums increased by 26.3% year-over-year to $174.8 million in Q1 2025, driven by strong growth in the Casualty division[15] - Net income rose by 62.9% to $11.4 million, or $0.34 per diluted share, compared to $7.0 million in Q1 2024[12] - Total revenues for Q1 2025 increased by 35.3% to $122.7 million, up from $90.7 million in Q1 2024[12] - Adjusted net income for the three months ended March 31, 2025, was $14,538,000, compared to $10,547,000 in 2024, indicating a year-over-year increase of approximately 37.5%[22] - Diluted adjusted earnings per share remained stable at $0.34 for both the three months ended March 31, 2025, and 2024, despite changes in net income[24] Division Performance - The Casualty division led growth with a 33.7% increase in gross written premiums to $122.3 million[8] - Baleen Specialty, a new division launched in Q2 2024, generated $2.7 million in gross written premiums, marking a sequential growth of 131.1%[8] Investment Income - Net investment income surged by 64.0% to $12.6 million, attributed to a higher balance of investments and improved yields[10] - Net investment income for the three months ended March 31, 2025, was $12,559,000, an increase from $7,660,000 in 2024, reflecting a significant growth in investment income sources[18] - Gross investment income for the three months ended March 31, 2025, was $12,819,000, significantly higher than $7,824,000 in 2024, showcasing improved investment performance[18] Expense Management - The loss ratio for Q1 2025 was 66.9%, an increase of 1.4 points from 65.5% in Q1 2024, influenced by changes in portfolio mix[2] - The expense ratio decreased to 30.4% from 32.6% in the prior year, reflecting better expense management and scaling of operations[5] - For the three months ended March 31, 2025, total expenses amounted to $33,388,000, representing 30.4% of net earned premium, compared to $27,012,000 or 32.6% in 2024[17] - Operating expenses increased to $23,937,000 in the first quarter of 2025, accounting for 21.8% of net earned premium, compared to $20,522,000 or 24.7% in 2024[17] - The company reported net acquisition costs of $9,796,000 for the three months ended March 31, 2025, which is 8.9% of net earned premium, up from 7.9% in 2024[17] - The company incurred non-operating expenses of $110,000 in 2025, compared to $219,000 in 2024, indicating a reduction in such costs[22] - The strategic initiatives costs for the three months ended March 31, 2024, amounted to $1,238,000, related to the setup of the Baleen Specialty division[22] Shareholder Metrics - Book value per share was reported at $11.98, with diluted book value per share at $11.61[7] - Adjusted return on equity for the three months ended March 31, 2025, was 12.1%, down from 16.7% in 2024, reflecting changes in equity performance[23] Future Outlook - The company aims to grow premiums by approximately 20% annually despite market uncertainties[1]