News Release For Further Information: Jessica Gulis, 248.509.9202 ir@prehld.com Presurance Holdings Reports 2025 Fourth Quarter Financial Results Troy, MI, March 27, 2026 – Presurance Holdings, Inc. (Nasdaq: PRHI) ("Presurance" or the "Company") today announced results for the fourth quarter ended December 31, 2025. Year-end 2025 Financial Highlights While gross written premiums declined in the fourth quarter, as the Company continued its disciplined shift away from previously written commercial lines, on t ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION ☑ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Washington, D.C. 20549 For the Fiscal Year Ended December 31, 2025 FORM 10-K OR ☐ 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 001-37536 Presurance Holdings, Inc. (Exact name of registrant as specified in its charter) Michigan 27-1298795 (State or other jurisdiction of incor ...

Table of Contents As filed with the Securities and Exchange Commission on February 3, 2026 Registration No. 333-292735 UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 Amendment No. 1 to FORM S-1 REGISTRATION STATEMENT UNDER THE SECURITIES ACT OF 1933 PRESURANCE HOLDINGS, INC. (Exact name of registrant as specified in its charter) (State or other jurisdiction of incorporation or organization) Michigan 6331 27-1298795 (Primary Standard Industrial Classification Code Number) (I.R.S. Emp ...

Table of Contents As filed with the Securities and Exchange Commission on January 14, 2026 Registration No. 333- UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM S-1 REGISTRATION STATEMENT UNDER THE SECURITIES ACT OF 1933 PRESURANCE HOLDINGS, INC. (Exact name of registrant as specified in its charter) (State or other jurisdiction of incorporation or organization) Michigan 6331 27-1298795 (Primary Standard Industrial Classification Code Number) (I.R.S. Employer Identification Numb ...

Premiums and Revenue - Gross written premiums for Q3 2025 decreased to $14.6 million, down 2.9% from $15.1 million in Q3 2024[9] - Net written premiums fell significantly by 51.4% to $5.4 million in Q3 2025, compared to $11.2 million in Q3 2024[5] - Net earned premiums also declined by 53.3% to $6.8 million in Q3 2025, down from $14.6 million in the same period last year[5] - Gross earned premiums for Q3 2025 were $17,015 thousand, down from $23,278 thousand in Q3 2024, reflecting a decline of approximately 27.0%[34] - Net earned premiums for Q3 2025 were $6,821 thousand, compared to $14,601 thousand in Q3 2024, representing a decrease of about 53.3%[34] - Total revenue and other income for Q3 2025 was $6,679 thousand, down from $16,017 thousand in Q3 2024, a decline of approximately 58.3%[34] Financial Performance - The company reported a net loss allocable to common shareholders of $4.0 million, or $0.32 per share, for Q3 2025[22] - Adjusted operating loss for Q3 2025 was $2.7 million, translating to a loss of $0.22 per share[23] - Net income for Q3 2025 was $(3,970) thousand, a significant decrease from $53,290 thousand in Q3 2024[30] - The company reported a net loss from continuing operations of $(3,970) thousand for Q3 2025, compared to a loss of $(6,886) thousand in Q3 2024[34] - Adjusted operating income for Q3 2025 was $(2,706) thousand, compared to $(6,850) thousand in Q3 2024, indicating an improvement[30] Underwriting Performance - The personal lines business achieved a combined ratio of 95.2%, indicating improved underwriting performance compared to 100.7% in Q3 2024[19] - The combined ratio for the nine months ended September 30, 2025, was 133.7%, compared to 120.0% for the same period in 2024, indicating ongoing challenges in underwriting[19] Investment and Assets - Net investment income for Q3 2025 was $1.3 million, a decrease of 6.5% from $1.4 million in Q3 2024[20] - Total assets as of September 30, 2025, were $284,995 thousand, a slight increase from $281,656 thousand as of December 31, 2024[32] - Total liabilities decreased to $259,692 thousand as of September 30, 2025, from $260,131 thousand as of December 31, 2024[32] Shareholder Information - The book value per common share outstanding remained at $2.07, unchanged from the previous year[5] - The weighted average common shares outstanding remained constant at 12,222,881 for both Q3 2025 and Q3 2024[34] Future Outlook - The company has indicated expectations regarding future premiums and earnings, although specific forecasts were not detailed in the provided content[29] - The company is focusing on personal lines, which represented 76.2% of total gross written premiums in Q3 2025, with a slight increase from the prior year[18]

Financial Performance - Net earned premiums for the three months ended September 30, 2025, were $6,821,000, a decrease of 53.3% from $14,601,000 in the same period of 2024[10]. - Total revenue and other income for the nine months ended September 30, 2025, was $38,688,000, down 26.4% from $52,545,000 in the prior year[10]. - Net income (loss) from continuing operations for the three months ended September 30, 2025, was $(3,970,000), compared to $(6,886,000) in the same period of 2024[10]. - The company reported a net loss allocable to common shareholders of $(3,970,000) for the three months ended September 30, 2025, compared to a net income of $52,788,000 in the same period of 2024[10]. - For the nine months ended September 30, 2025, the net loss from continuing operations was $1,397,000 compared to a loss of $9,044,000 for the same period in 2024[16]. - Total comprehensive income for the nine months ended September 30, 2025, was $1,811,000, a decrease from $52,917,000 in the same period of 2024[12]. - The company reported a net cash used in operating activities of $18,697,000 for the nine months ended September 30, 2025, compared to $12,678,000 in 2024[16]. - The company reported a net loss from continuing operations of $3,970,000 compared to a loss of $6,886,000 for the same period in 2024[97]. Assets and Liabilities - Total assets increased to $284,995,000 as of September 30, 2025, compared to $281,656,000 on December 31, 2024, reflecting a growth of 1.3%[8]. - Total liabilities decreased slightly to $259,692,000 as of September 30, 2025, from $260,131,000 at the end of 2024[8]. - The company’s accumulated deficit increased to $(64,550,000) as of September 30, 2025, from $(63,153,000) at the end of 2024[8]. - Shareholders' equity increased to $25,303,000 as of September 30, 2025, compared to $21,525,000 at the end of 2024, representing a 17.5% increase[8]. - As of September 30, 2025, total assets measured at fair value amounted to $157,152,000, with total liabilities at $21,297,000[56]. - Total debt securities available for sale amounted to $94.576 million as of September 30, 2025, down from $105.665 million as of December 31, 2024[41]. Cash and Investments - The company’s cash and cash equivalents decreased to $7,414,000 as of September 30, 2025, from $27,654,000 at the end of 2024, a decline of 73.3%[8]. - Cash at the end of the period on September 30, 2025, was $7,414,000, down from $32,389,000 at the end of the same period in 2024[16]. - The company purchased investments totaling $237,667,000 during the nine months ended September 30, 2025, compared to $139,736,000 in 2024[16]. - Proceeds from sales of investments were $208,112,000 for the nine months ended September 30, 2025, compared to $142,989,000 in 2024[16]. - The company recognized stock-based compensation expenses of $43,000 for the nine months ended September 30, 2025, compared to $62,000 in 2024[16]. - The gross unrealized losses related to equity investments were $9,130,000 as of September 30, 2025, primarily due to market conditions[40]. Reinsurance and Losses - The Company ceded 50% of written premiums on substantially all homeowners business under a new quota share reinsurance agreement effective June 1, 2025, generating $4.1 million of ceded written premiums for the quarter[73]. - Losses and loss adjustment expenses, net, for the three months ended September 30, 2025, were $6,389,000, down 57.8% from $15,152,000 in the same period of 2024[10]. - The Company ceded an aggregate of $18.4 million of losses to the loss portfolio transfer (LPT) reinsurance agreement as of September 30, 2025[77]. - Net losses and LAE decreased by $8.8 million, or 57.8%, to $6.4 million during Q3 2025 compared to $15.2 million in Q3 2024[71]. Regulatory and Compliance - The company contributed an additional $16.0 million to TIC in late 2024 and early 2025 to maintain its Risk Based Capital (RBC) above the Regulatory Action Level[33]. - TIC's RBC ratio was 156% as of December 31, 2024, and improved to approximately 261% by September 30, 2025, following a $6.5 million contribution in June 2025[35]. - Regulatory monitoring requirements have increased due to TIC not being above the minimum required RBC levels as of December 31, 2024[36]. - The Company is currently evaluating the impact of new accounting guidance (ASU 2023-09) on its disclosures, effective for fiscal years beginning after December 15, 2024[29]. Stock and Shareholder Information - Basic and diluted earnings per common share for the three months ended September 30, 2025, were $(0.32), while for the same period in 2024, it was $4.32[97]. - The Series B Preferred Stock issued totaled $7.5 million, with a quarterly dividend rate equating to an annualized rate of 13.5% as of September 30, 2025[91]. - The Company has $16.9 million of senior unsecured notes outstanding as of September 30, 2025, with an interest rate of 9.75% per annum[83]. - The company issued options to purchase 630,000 shares of common stock to two executive officers, with a strike price of $4.53 per share[98].

Group 1: Company Overview - Conifer Holdings, Inc. (NASDAQ:CNFR) is a specialty insurance company focused on niche markets, currently facing a challenging situation with a target price set at -$0.01, which is over 100% below its current stock price of $1.48, indicating a pessimistic outlook from analysts [1][5] - Wilhelmina International, Inc. (WHLM) has a current stock price of $2.93 and a target price of $3.43, resulting in a price percentage difference of 16.83%, suggesting a positive outlook [2][4] - Kingstone Companies, Inc. (KINS) has a current stock price of $14.53 and a target price of $16.33, leading to a price percentage difference of 12.40%, indicating a favorable scenario compared to CNFR [3][5] Group 2: Market Performance - WHLM shows the highest growth potential among peers with a price percentage difference of 16.83%, contrasting sharply with CNFR's negative target price [4][5] - KINS presents a solid price percentage difference of 12.40% and has a low PE ratio of 9.50, further enhancing its favorable market position [3][5]

Core Viewpoint - Conifer Holdings, Inc. will rebrand as Presurance Holdings, Inc. effective September 30, 2025, marking a significant milestone in the company's evolution and future direction [1][2]. Company Overview - Conifer Holdings, Inc. is a Michigan-based insurance holding company that provides specialty insurance coverage aimed at protecting individuals, businesses, and communities, focusing on disciplined growth and long-term value creation [4]. Rebranding Details - The company's common stock will begin trading under the new ticker symbol "PRHI" on Nasdaq, while its 9.75% Senior Notes due 2028 will trade under the new ticker symbol "PRHIZ" starting September 30, 2025 [2][4]. - The CUSIP number for both the common stock and senior notes will remain unchanged despite the rebranding [2]. Commitment to Stakeholders - The company emphasizes that the rebranding signifies a new beginning, while its subsidiaries will continue to serve policyholders with dedication and reliability [3].

Core Viewpoint - Premarket trading is showing notable activity with significant price movements indicating potential investment opportunities before the market opens [1] Premarket Gainers - FGI Industries Ltd. (FGI) is up 278% at $15.02 [3] - Senmiao Technology Limited (AIHS) is up 96% at $4.22 [3] - Conifer Holdings, Inc. (CNFR) is up 86% at $2.11 [3] - WEBTOON Entertainment Inc. (WBTN) is up 39% at $20.81 [3] - Nukkleus Inc. (NUKK) is up 18% at $6.08 [3] - Tantech Holdings Ltd (TANH) is up 12% at $2.13 [3] - Check-Cap Ltd. (CHEK) is up 9% at $2.33 [3] - Ivanhoe Electric Inc. (IE) is up 8% at $9.71 [3] - Wolfspeed, Inc. (WOLF) is up 8% at $3.21 [3] - Bolt Projects Holdings, Inc. (BSLK) is up 5% at $3.95 [3] Premarket Losers - Envirotech Vehicles, Inc. (EVTV) is down 17% at $2.27 [4] - Dave & Buster's Entertainment, Inc. (PLAY) is down 15% at $20.40 [4] - NanoVibronix, Inc. (NAOV) is down 12% at $9.37 [4] - ADTRAN Holdings, Inc. (ADTN) is down 10% at $9.37 [4] - Rain Enhancement Technologies Holdco, Inc. (RAIN) is down 10% at $6.00 [4] - CNS Pharmaceuticals, Inc. (CNSP) is down 7% at $8.50 [4] - AVITA Medical, Inc. (RCEL) is down 7% at $6.22 [4] - Vince Holding Corp. (VNCE) is down 7% at $2.60 [4] - Monte Rosa Therapeutics, Inc. (GLUE) is down 6% at $6.50 [4] - Meiwu Technology Company Limited (WNW) is down 6% at $2.06 [4]

[Executive Summary](index=1&type=section&id=Executive%20Summary) Conifer Holdings reported positive Q2 2025 financial results, driven by net income, an earnout valuation gain, and increased book value per share [Second Quarter 2025 Financial Highlights](index=1&type=section&id=Second%20Quarter%202025%20Financial%20Highlights) Q2 2025 saw positive net income, earnings per share, and book value per share, significantly boosted by an earnout valuation Second Quarter 2025 Financial Highlights | Metric | Q2 2025 Value | | :----------------------------------- | :------------ | | Net income allocable to common shareholders | **$2.1 million** | | Net income per share | **$0.17** | | Net investment income | **$1.3 million** | | Book value per common share outstanding | **$2.31** | - Gains in the quarter were largely due to the valuation recognition of an earnout related to the CIS sale from last year[2](index=2&type=chunk)[3](index=3&type=chunk) [Management Comments](index=1&type=section&id=Management%20Comments) CEO Brian Roney highlighted organizational streamlining, core line focus, double-digit gross written premium growth, and the positive impact of an earnout - The Company is streamlining its organization and focusing on core lines, with Commercial Lines production largely running off[2](index=2&type=chunk) - Gross written premium increased **double digits** for the period, primarily driven by the Personal Lines business, which is recovering after a challenging first quarter[2](index=2&type=chunk) - Quarterly results were positively impacted by the partial recognition of an earnout from the CIS sale[2](index=2&type=chunk) [Consolidated Financial Performance Overview](index=2&type=section&id=Consolidated%20Financial%20Performance%20Overview) The company achieved significant net income and book value improvements in Q2 2025, with gross written premiums increasing despite declines in net written and earned premiums [Key Financial Metrics](index=3&type=section&id=2025%20Second%20Quarter%20Financial%20Results%20Overview_Key%20Financial%20Metrics) Q2 2025 showed improved net income and book value per share year-over-year, alongside an 11.1% increase in gross written premiums Consolidated Key Financial Metrics (Q2 and Six Months Ended June 30, in thousands) | Metric | Q2 2025 | Q2 2024 | % Change (QoQ) | YTD 2025 | YTD 2024 | % Change (YTD) | | :----------------------------------- | :------ | :------ | :------------- | :------- | :------- | :------------- | | Gross written premiums | $21,079 | $18,971 | **11.1%** | $37,252 | $43,284 | -13.9% | | Net written premiums | $1,383 | $13,247 | -89.6% | $12,223 | $28,638 | -57.3% | | Net earned premiums | $9,564 | $16,666 | -42.6% | $19,879 | $33,553 | -40.8% | | Net investment income | $1,298 | $1,473 | -11.9% | $2,587 | $3,019 | -14.3% | | Net income (loss) allocable to common shareholders | **$2,051** | $(3,950) | ** | **$2,573** | $(3,876) | ** | | Net income (loss) per share, diluted | **$0.17** | $(0.32) | ** | **$0.21** | $(0.32) | ** | | Book value per common share outstanding | **$2.31** | $(0.10) | ** | **$2.31** | $(0.10) | ** | [Gross Written Premium Analysis](index=3&type=section&id=2025%20Second%20Quarter%20Gross%20Written%20Premium) Consolidated gross written premiums rose 11.1% in Q2 2025, primarily due to disciplined underwriting in homeowners' lines in Texas and the Midwest Consolidated Gross Written Premiums (in thousands) | Metric | Q2 2025 | Q2 2024 | % Change | | :--------------------- | :--------------------- | :--------------------- | :------- | | Gross written premiums | **$21,079** | $18,971 | **11.1%** | - The increase was largely due to a renewed focus on disciplined underwriting in homeowners' lines of business in Texas and the Midwest[9](index=9&type=chunk) - Performance in these lines improved substantially compared to Q1 2025, which was impacted by storm activity[10](index=10&type=chunk) [Consolidated Underwriting Ratios Analysis](index=3&type=section&id=Combined%20Ratio%20Analysis) The consolidated combined ratio improved slightly in Q2 2025 to 121.1% from 123.6% in Q2 2024, driven by a lower loss ratio, despite an increased expense ratio Consolidated Underwriting Ratios (Q2 and Six Months Ended June 30) | Underwriting Ratios | Q2 2025 | Q2 2024 | YTD 2025 | YTD 2024 | | :------------------------------------------------ | :------ | :------ | :------- | :------- | | Loss ratio | **68.8%** | 91.5% | 79.7% | 76.6% | | Expense ratio | **52.3%** | 32.1% | 51.5% | 33.4% | | Combined ratio | **121.1%** | 123.6% | 131.2% | 110.0% | | Contribution to combined ratio from net adverse prior year development | 5.8% | 16.8% | 3.5% | 6.9% | | Accident year combined ratio | **115.3%** | 106.8% | 127.7% | 103.1% | - A combined ratio under **100%** indicates an underwriting profit, while over **100%** indicates an underwriting loss[7](index=7&type=chunk) [Segment Performance Review](index=5&type=section&id=Segment%20Performance%20Review) This section reviews the financial and operational performance of the Commercial and Personal Lines segments, highlighting strategic shifts and premium trends [Commercial Lines Financial and Operational Review](index=5&type=section&id=Commercial%20Lines%20Financial%20and%20Operational%20Review) Commercial Lines gross written premiums decreased significantly in Q2 2025, reflecting a strategic shift towards Personal Lines Commercial Lines Key Financial Metrics (Q2 and Six Months Ended June 30, in thousands) | Metric | Q2 2025 | Q2 2024 | % Change (QoQ) | YTD 2025 | YTD 2024 | % Change (YTD) | | :--------------------- | :--------------------- | :--------------------- | :------------- | :---------------------- | :---------------------- | :------------- | | Gross written premiums | **$3,190** | $6,782 | **-53.0%** | $5,237 | $19,544 | -73.2% | | Net written premiums | $(433) | $4,285 | ** | $(2,036) | $12,572 | ** | | Net earned premiums | $468 | $8,681 | -94.6% | $1,799 | $17,478 | -89.7% | | Loss ratio | **79.4%** | 216.4% | | 140.0% | 77.9% | | | Expense ratio | **25.3%** | 40.9% | | 29.5% | 29.1% | | | Combined ratio | **104.7%** | 257.3% | | 169.5% | 107.0% | | - Commercial lines accounted for **15.1%** of total gross written premium in Q2 2025[14](index=14&type=chunk) - Premiums decreased considerably year over year as Conifer focused underwriting efforts on Personal Lines, particularly homeowners' insurance in Texas and the Midwest[14](index=14&type=chunk) [Personal Lines Financial and Operational Review](index=5&type=section&id=Personal%20Lines%20Financial%20and%20Operational%20Review) Personal Lines gross written premiums increased substantially in Q2 2025, driven by homeowners' insurance in Texas and the Midwest, though the expense ratio rose Personal Lines Key Financial Metrics (Q2 and Six Months Ended June 30, in thousands) | Metric | Q2 2025 | Q2 2024 | % Change (QoQ) | YTD 2025 | YTD 2024 | % Change (YTD) | | :--------------------- | :--------------------- | :--------------------- | :------------- | :---------------------- | :---------------------- | :------------- | | Gross written premiums | **$17,889** | $12,189 | **46.8%** | $32,015 | $23,740 | 34.9% | | Net written premiums | $1,816 | $8,962 | -79.7% | $14,259 | $16,066 | -11.2% | | Net earned premiums | $9,096 | $7,985 | 13.9% | $18,080 | $16,075 | 12.5% | | Loss ratio | **61.2%** | 104.6% | | 73.7% | 75.2% | | | Expense ratio | **53.0%** | 39.5% | | 53.8% | 38.1% | | | Combined ratio | **114.2%** | 144.1% | | 127.5% | 113.3% | | - Personal lines represented **84.9%** of total gross written premium for the quarter, primarily consisting of low-value dwelling homeowners' insurance in Texas and the Midwest[16](index=16&type=chunk) - The expense ratio increased partly due to a quota share treaty effective June 1, 2025, which reduced net earned premium[17](index=17&type=chunk) [Detailed Financial Components](index=7&type=section&id=Detailed%20Financial%20Components) This section provides a detailed breakdown of key financial components including net investment income, equity securities fair value changes, net income, and adjusted operating income [Net Investment Income](index=7&type=section&id=Net%20Investment%20Income) Net investment income for Q2 2025 decreased to $1.3 million from $1.5 million in the prior year Net Investment Income (in millions) | Period | 2025 | 2024 | | :----- | :--- | :--- | | Q2 | **$1.3** | $1.5 | [Change in Fair Value of Equity Securities](index=7&type=section&id=Change%20in%20Fair%20Value%20of%20Equity%20Securities) The company reported a reduced loss of $65,000 from equity securities fair value changes in Q2 2025 compared to the prior year Change in Fair Value of Equity Securities (in thousands) | Period | 2025 | 2024 | | :----- | :--- | :--- | | Q2 | **$(65)** | $(196) | [Net Income (Loss) Allocable to Common Shareholders](index=7&type=section&id=Net%20Income%20(Loss)%20allocable%20to%20common%20shareholders) Conifer Holdings reported net income allocable to common shareholders of $2.1 million, or $0.17 per share, for Q2 2025 Net Income Allocable to Common Shareholders (Q2 2025) | Metric | Value | | :----------------------------------- | :---- | | Net income allocable to common shareholders | **$2.1 million** | | Net income per share | **$0.17** | [Adjusted Operating Income (Loss)](index=7&type=section&id=Adjusted%20Operating%20Income%20(Loss)) The company reported an adjusted operating loss of $2.1 million, or $0.17 per share, for Q2 2025 Adjusted Operating Income (Loss) (Q2 2025) | Metric | Value | | :-------------------------- | :---- | | Adjusted operating loss | **$(2.1) million** | | Adjusted operating loss per share | **$(0.17)** | [Company Information and Disclosures](index=7&type=section&id=Company%20Information%20and%20Disclosures) This section provides information about Conifer Holdings, definitions of non-GAAP measures, and a forward-looking statement disclaimer [About Conifer Holdings](index=7&type=section&id=About%20Conifer%20Holdings) Conifer Holdings, Inc. is a Michigan-based property and casualty holding company offering specialty insurance through independent agents and trading on Nasdaq - Conifer Holdings, Inc. is a Michigan-based property and casualty holding company[23](index=23&type=chunk) - Through its subsidiaries, Conifer offers specialty insurance coverage for both commercial and personal lines, marketed through independent agents[23](index=23&type=chunk) - The Company trades on the Nasdaq Capital Market under the symbol **CNFR**[23](index=23&type=chunk) [Definitions of Non-GAAP Measures](index=7&type=section&id=Definitions%20of%20Non-GAAP%20Measures) This section defines adjusted operating income (loss) as a non-GAAP measure used by management to assess operational performance - Conifer prepares financial statements in conformity with GAAP, while statutory data follows NAIC rules and is not reconciled to GAAP[24](index=24&type=chunk) - Adjusted operating income (loss) is a non-GAAP measure defined as net income (loss) excluding net realized investment gains/losses, change in fair value of equity securities, change in fair value of contingent considerations, contingent consideration bonus expense, and net income/loss from discontinued operations[25](index=25&type=chunk) - This measure is used internally to provide useful insight into the results of operations and underlying business performance[25](index=25&type=chunk) [Forward-Looking Statement](index=7&type=section&id=Forward-Looking%20Statement) The press release includes forward-looking statements based on management's expectations, subject to risks and uncertainties - The press release contains forward-looking statements regarding future events or financial/operating performance, including expectations for premiums, earnings, capital position, expansion, and growth strategies[27](index=27&type=chunk) - These statements are based on management's good-faith belief and reasonable judgment but are qualified by important factors, risks, and uncertainties beyond the Company's control[27](index=27&type=chunk) - The Company undertakes no obligation to publicly update any forward-looking statement, except as required by applicable laws or regulations[27](index=27&type=chunk) [Financial Statements and Reconciliations](index=9&type=section&id=Financial%20Statements%20and%20Reconciliations) This section presents reconciliations of non-GAAP measures and condensed consolidated financial statements for balance sheets and statements of operations [Reconciliations of Adjusted Operating Income (Loss)](index=9&type=section&id=Reconciliations%20of%20adjusted%20operating%20income%20(loss)%20and%20adjusted%20operating%20income%20(loss)%20per%20share) This section details the reconciliation of net income (loss) to adjusted operating income (loss) for Q2 and YTD 2025 and 2024 Reconciliation of Net Income (Loss) to Adjusted Operating Income (Loss) (in thousands, except per share) | Metric | Q2 2025 | Q2 2024 | YTD 2025 | YTD 2024 | | :------------------------------------------ | :------ | :------ | :------- | :------- | | Net income (loss) | **$2,051** | $(3,792) | **$2,573** | $(3,561) | | Less: Net realized investment gains (losses) | $(28) | $(118) | $(25) | $(118) | | Less: Change in fair value of equity securities | $(65) | $(196) | $(257) | $(153) | | Less: Change in fair value of contingent considerations | $5,355 | - | $9,750 | - | | Less: Contingent consideration bonus expense | $(1,141) | - | $(1,141) | - | | Less: Net income (loss) from discontinued operations | - | $(64) | - | $(1,402) | | Adjusted operating income (loss) | **$(2,070)** | $(3,414) | **$(5,754)** | $(1,888) | | Diluted income (loss) per common share: Net income (loss) | **$0.17** | $(0.31) | **$0.21** | $(0.29) | | Diluted income (loss) per common share: Adjusted operating income (loss) | **$(0.17)** | $(0.28) | **$(0.47)** | $(0.15) | - The Company recorded a full valuation allowance against its deferred tax assets, resulting in no taxable impacts to adjusted operating income from the adjustments[29](index=29&type=chunk) [Condensed Consolidated Balance Sheets](index=10&type=section&id=Condensed%20Consolidated%20Balance%20Sheets) The balance sheet shows increased total assets and shareholders' equity, with decreased total liabilities, as of June 30, 2025 Condensed Consolidated Balance Sheet Highlights (in thousands) | Metric | June 30, 2025 | December 31, 2024 | | :-------------------------- | :------------ | :---------------- | | Total investments | **$135,628** | $128,419 | | Cash and cash equivalents | $21,953 | $27,654 | | Total assets | **$283,262** | $281,656 | | Unpaid losses and loss adjustment expenses | $164,644 | $189,285 | | Total liabilities | **$255,054** | $260,131 | | Total shareholders' equity | **$28,208** | $21,525 | [Condensed Consolidated Statements of Operations](index=11&type=section&id=Condensed%20Consolidated%20Statements%20of%20Operations%20(Unaudited)) The statements of operations show a net income of $2.1 million for Q2 2025, a significant improvement from the prior year's net loss Condensed Consolidated Statements of Operations Highlights (in thousands, except per share) | Metric | Q2 2025 | Q2 2024 | YTD 2025 | YTD 2024 | | :------------------------------------------ | :------ | :------ | :------- | :------- | | Net earned premiums | $9,564 | $16,666 | $19,879 | $33,553 | | Total revenue and other income | $16,134 | $17,902 | $32,009 | $36,527 | | Total expenses | $14,083 | $21,963 | $29,436 | $39,170 | | Net income (loss) | **$2,051** | $(3,792) | **$2,573** | $(3,561) | | Net income (loss) allocable to common shareholders | **$2,051** | $(3,950) | **$2,573** | $(3,876) | | Earnings (loss) per common share, basic and diluted | **$0.17** | $(0.32) | **$0.21** | $(0.32) |