Group 1 - Everest Group's shares have underperformed over the past year, losing over 12% of their value [1] - The decline in share value has persisted since the company added reserves amid a management reshuffle in January [1]

Core Insights - Medidata has been recognized as a Leader in Everest Group's Life Sciences Electronic Clinical Outcome Assessment (eCOA) Products PEAK Matrix® Assessment 2025, highlighting its success in delivering impactful solutions in the life sciences industry [1][4] - The company has maintained its leadership in the eCOA market for over a decade, with its solutions foundational to thousands of global studies across various indications [2][3] - Medidata eCOA significantly reduces study design and startup timelines, with a reduction of up to six weeks compared to the industry standard of 12 or more weeks [2] Company Achievements - Medidata's eCOA has been enhanced through a partnership with Cogstate, focusing on reducing rater burden and improving signal detection in Central Nervous System (CNS) trials [2] - The company has received consistent recognition from Everest Group in 2023 and 2024 for its Decentralized Clinical Trials, reinforcing its leadership in the clinical trial space [4] - Medidata Rave EDC and Medidata Rave CTMS have also been acknowledged, showcasing the company's commitment to improving clinical trial operations and accelerating the delivery of therapies [4] Industry Impact - Medidata has powered over 36,000 trials and 11 million patients, offering industry-leading expertise and one of the largest clinical trial data sets [6] - The company serves approximately 2,300 customers, with more than 1 million registered users relying on its end-to-end platform to enhance patient experiences and expedite clinical breakthroughs [6]

Core Insights - YPrime has been recognized as a Leader in the Everest Group's Life Sciences Electronic Clinical Outcome Assessment (eCOA) Products PEAK Matrix® Assessment 2025, highlighting its capability to deliver advanced technology and operational excellence in complex clinical trials [1][2][3] Company Achievements - The recognition as a Leader reflects YPrime's role as a trusted partner to pharmaceutical companies, biotechs, and CROs, enabling faster study launches with high-quality eCOA solutions [2][3] - YPrime was previously named a Trailblazer in Patient Engagement by Everest Group in 2024, further validating its leadership in developing patient-friendly digital tools [6] Technological Innovations - YPrime's eCOA platform is designed to scale with the complexity of global clinical trials, featuring AI-powered localization tools that automate translation processes, supporting deployments in over 250 languages across 100+ countries [3] - The Automated Data Change Form (DCF) allows site staff to execute protocol-compliant data edits in minutes, improving speed and data integrity [4] - YPrime's glucometer eCOA integration, developed with diabetes patients, enhances real-time glucose monitoring, improving patient adherence and data compliance in metabolic trials [5] Operational Excellence - YPrime's eCOA platform enhances participant compliance through an intuitive app and design, streamlining site workflows and supporting sponsors with decision-making dashboards [7]

Company Overview - Everest Group is a Delaware reinsurance company established in 1999, based in Warren, NJ, and operates as a property and casualty insurer and reinsurer across the U.S., District of Columbia, Puerto Rico, and Guam [11] - As of December 31, 2024, Everest Reinsurance reported a statutory surplus of $5.6 billion [11] - The company's strategy focuses on maintaining leadership in targeted reinsurance and insurance markets, effective management throughout the underwriting cycle, and achieving attractive returns for shareholders [11] Investment Ratings - Everest Group holds a Zacks Rank of 3 (Hold) and has a VGM Score of B, indicating a solid position in the market [12] - The company has a Value Style Score of A, supported by favorable valuation metrics such as a forward P/E ratio of 7.54, making it appealing to value investors [12] Earnings Estimates - In the last 60 days, four analysts have revised their earnings estimates for Everest Group upwards, with the Zacks Consensus Estimate increasing by $0.11 to $45.51 per share for fiscal 2025 [12] - The company has demonstrated an average earnings surprise of +3.4%, indicating a positive trend in earnings performance [12] Investment Consideration - With a strong Zacks Rank and high Value and VGM Style Scores, Everest Group is recommended for investors looking for potential opportunities in the reinsurance sector [13]

Core Viewpoint - Everest Group, Ltd. is currently experiencing a short-term bearish trend as its shares trade below the 50-day simple moving average, indicating potential resistance levels for traders and analysts [1] Price Performance - Shares of Everest Group have declined by 8.4% year-to-date, underperforming the Finance sector's growth of 10.7% and the Zacks S&P 500 Composite's growth of 9.6% [2] - The company has a market capitalization of $13.9 billion, with an average trading volume of 0.4 million shares over the last three months [2] Valuation Metrics - Everest Group's shares are trading at a price-to-book value of 0.93X, which is lower than the industry average of 2.19X, indicating that the shares are affordable [4] Growth Projections - The Zacks Consensus Estimate for Everest Group's 2025 revenues is $17.6 billion, reflecting a year-over-year growth of 2.2% [9] - The consensus estimate for current-year earnings is $45.39 per share, suggesting a significant growth of 52.2% from the previous year [9] - Projections for 2026 indicate earnings per share and revenues will increase by 34.6% and 4.8%, respectively [9] Analyst Sentiment - Analysts have recently lowered their earnings estimates for both 2025 and 2026, with a 1.2% decrease for 2025 and a 0.9% decrease for 2026 [12] Strategic Expansion - Everest Group is expanding its operations globally, reducing risk concentration in North America and enhancing diversification across over 100 countries [8][15] - The company ranks as the 4th largest P&C reinsurer, benefiting from a diversified portfolio and lower catastrophe volatility [8][16] Financial Stability - The company maintains a strong balance sheet with a debt-to-capital ratio of 19.3%, significantly below the industry average of 34.4% [18] - Its times interest earned ratio stands at 447x, far exceeding the industry's 11.5x, indicating robust financial flexibility [18] Investment Income - Net investment income is on the rise, supported by a conservative and diversified portfolio, with over 75% allocated to investment-grade fixed income [17] Shareholder Value - Everest Group has increased its dividend four times in the last five years, with a five-year annualized dividend growth rate of 11.7% [21] - The company has also approved a share buyback program worth $10 million [21] Conclusion - Everest Group benefits from strong organic growth, a conservative investment portfolio, and a solid balance sheet, which support earnings stability and risk-adjusted returns [22] - However, challenges remain due to exposure to catastrophe losses and a return on equity that lags behind the industry average [22]

Company Overview - Everest Group is a Delaware reinsurance company established in 1999, based in Warren, NJ, and operates as a property and casualty insurer and reinsurer across the U.S., District of Columbia, Puerto Rico, and Guam [12] - As of December 31, 2024, Everest Reinsurance reported a statutory surplus of $5.6 billion [12] - The company's business strategy focuses on maintaining leadership in targeted reinsurance and insurance markets, effective management throughout the underwriting cycle, and achieving attractive returns for shareholders [12] Investment Analysis - Everest Group currently holds a Zacks Rank of 3 (Hold) and has a VGM Score of B, indicating a solid position in the market [13] - The company has a Momentum Style Score of B, with shares increasing by 1.5% over the past four weeks [13] - In the last 60 days, four analysts have revised their earnings estimates higher for fiscal 2025, with the Zacks Consensus Estimate rising by $0.24 to $45.95 per share [13] - Everest Group has an average earnings surprise of +3.4%, suggesting positive performance relative to expectations [13] - Given its strong Zacks Rank and favorable Momentum and VGM Style Scores, Everest Group is recommended for investors' consideration [14]

Core Insights - Experis has been recognized as a Leader in Everest Group's U.S. IT Contingent Talent and Strategic Solutions PEAK Matrix® Assessment for the fourth consecutive year, highlighting its strong market position and service offerings [1][5]. Company Overview - Experis is a global leader in technology workforce solutions, part of the ManpowerGroup family, focusing on attracting, assessing, and placing specialized technology talent [6][9]. - The company provides extensive training and development programs through Experis Academy and operates Specialized Centers of Excellence (COEs) to enhance domain expertise [6][8]. Service Offerings - Experis delivers talent across various domains, including application, infrastructure, data, and automation services, serving key industries such as banking, financial services, insurance, manufacturing, wholesale and retail trade, and healthcare [3][4]. - The company emphasizes managed services and specialized practice areas, including tech transformation strategy, enterprise applications, cloud and infrastructure, digital workspace, and cybersecurity [3][4]. Strategic Focus - Experis has a significant focus on leveraging AI, analytics, and automation to improve client and candidate experiences, utilizing proprietary platforms like the Experis PowerSuite™ technology stack [4][7]. - The company has made strategic investments to strengthen its offerings and maintain resilience in a challenging staffing market [4][5]. Recognition and Assessment - The PEAK Matrix® Assessment evaluates contingent staffing providers based on market success, delivery capability, vision and strategy, innovation, investments, and delivery footprint, with Experis being one of only seven companies recognized as a Leader out of 30 assessed [5].

Company Overview - Everest Group is a Delaware reinsurance company established in 1999, based in Warren, NJ, and operates as a property and casualty insurer and reinsurer across the U.S., District of Columbia, Puerto Rico, and Guam [11] - As of December 31, 2024, Everest Reinsurance reported a statutory surplus of $5.6 billion [11] - The company's strategy focuses on maintaining leadership in targeted reinsurance and insurance markets, effective management throughout the underwriting cycle, and achieving attractive returns for shareholders [11] Investment Ratings - Everest Group currently holds a 3 (Hold) rating on the Zacks Rank, with a VGM Score of A [12] - The company has a Value Style Score of A, supported by a forward P/E ratio of 7.19, indicating attractive valuation metrics for value investors [12] - In the last 60 days, four analysts have revised their earnings estimates higher for fiscal 2025, with the Zacks Consensus Estimate increasing by $0.24 to $45.95 per share [12] Performance Indicators - Everest Group has demonstrated an average earnings surprise of +3.4%, suggesting a positive trend in earnings performance [12] - With a solid Zacks Rank and top-tier Value and VGM Style Scores, Everest Group is recommended for investors' consideration [13]

Group 1: Company Overview - Teleperformance (TP) has been ranked 2 in the Everest Group's BPS Top 50™ 2025 list, improving one position from the previous year, highlighting its market leadership and consistent delivery [1] - TP's comprehensive service portfolio includes customer experience management, finance and accounting, and other key industries, reflecting its diversified offerings [3][5] - In 2024, Teleperformance reported consolidated revenue of €10,280 million (approximately US$11 billion) and a net profit of €523 million, indicating strong financial performance [5] Group 2: Industry Insights - The global third-party Business Process Services (BPS) industry is valued at nearly $300 billion, with over 250 providers in the market, showcasing significant market size and competition [3] - The Everest Group BPS Top 50™ list serves as a factual representation of the largest third-party providers, helping enterprises identify scaled-up providers and their functional coverage [2]

[PART I. FINANCIAL INFORMATION](index=3&type=section&id=PART%20I%20FINANCIAL%20INFORMATION) [ITEM 1. FINANCIAL STATEMENTS](index=3&type=section&id=Item%201.%20Financial%20Statements) This section presents the unaudited consolidated financial statements, including balance sheets, statements of operations, changes in shareholders' equity, and cash flows, along with detailed notes explaining accounting policies, investment composition, fair value measurements, loss reserves, segment performance, debt, and equity compensation [Consolidated Balance Sheets](index=5&type=section&id=Consolidated%20Balance%20Sheets) Consolidated Balance Sheet Highlights | Metric | June 30, 2025 (unaudited) | December 31, 2024 | Change (%) | | :--------------------------------- | :------------------------ | :---------------- | :--------- | | Total Assets | $60,519 million | $56,341 million | 7.4% | | Total Liabilities | $45,500 million | $42,466 million | 7.1% | | Total Shareholders' Equity | $15,019 million | $13,875 million | 8.2% | | Reserve for losses and LAE | $32,476 million | $29,889 million | 8.7% | | Total investments and cash | $44,300 million | $41,531 million | 6.7% | [Consolidated Statements of Operations and Comprehensive Income (Loss)](index=7&type=section&id=Consolidated%20Statements%20of%20Operations%20and%20Comprehensive%20Income%20(Loss)) Consolidated Statements of Operations (3 Months Ended June 30) | Metric | 2025 (unaudited) | 2024 (unaudited) | Change (%) | | :------------------------------ | :--------------- | :--------------- | :--------- | | Total Revenues | $4,491 million | $4,227 million | 6.2% | | Premiums Earned | $3,991 million | $3,693 million | 8.1% | | Net Investment Income | $532 million | $528 million | 0.8% | | Net Income (Loss) | $680 million | $724 million | (6.0)% | | Comprehensive Income (Loss) | $1,145 million | $688 million | 66.4% | | Basic EPS | $16.10 | $16.70 | (3.6)% | Consolidated Statements of Operations (6 Months Ended June 30) | Metric | 2025 (unaudited) | 2024 (unaudited) | Change (%) | | :------------------------------ | :--------------- | :--------------- | :--------- | | Total Revenues | $8,754 million | $8,360 million | 4.7% | | Premiums Earned | $7,843 million | $7,345 million | 6.8% | | Net Investment Income | $1,023 million | $985 million | 3.9% | | Net Income (Loss) | $890 million | $1,457 million | (38.9)% | | Comprehensive Income (Loss) | $1,707 million | $1,230 million | 38.8% | | Basic EPS | $20.93 | $33.57 | (37.7)% | [Consolidated Statements of Changes in Shareholders' Equity](index=8&type=section&id=Consolidated%20Statements%20of%20Changes%20in%20Shareholders'%20Equity) Shareholders' Equity Changes (6 Months Ended June 30) | Metric | 2025 (unaudited) | 2024 (unaudited) | | :------------------------------ | :--------------- | :--------------- | | Total Shareholders' Equity | $15,019 million | $14,182 million | | Net Income (Loss) | $890 million | $1,457 million | | Dividends Declared | $(169) million | $(163) million | | Purchase of Treasury Shares | $(400) million | $(100) million | | Accumulated OCI (Loss) | $(321) million | $(1,160) million | - The increase in total shareholders' equity was primarily driven by net income and a significant increase in accumulated other comprehensive income (loss) due to unrealized appreciation of securities, partially offset by treasury share repurchases and dividends[12](index=12&type=chunk) [Consolidated Statements of Cash Flows](index=9&type=section&id=Consolidated%20Statements%20of%20Cash%20Flows) Consolidated Cash Flow Summary (6 Months Ended June 30) | Metric | 2025 (unaudited) | 2024 (unaudited) | Change ($) | | :------------------------------ | :--------------- | :--------------- | :--------- | | Net cash from Operating Activities | $2,007 million | $2,439 million | $(432) million | | Net cash from Investing Activities | $(1,014) million | $(2,016) million | $1,002 million | | Net cash from Financing Activities | $(608) million | $(305) million | $(303) million | | Net Increase in Cash | $352 million | $133 million | $219 million | | Cash, End of Period | $1,902 million | $1,570 million | $332 million | - Net cash provided by operating activities decreased, while net cash used in financing activities increased significantly due to higher treasury share purchases (**$400 million in 2025 vs. $100 million in 2024**)[14](index=14&type=chunk) [Notes to Consolidated Interim Financial Statements](index=11&type=section&id=Notes%20to%20Consolidated%20Interim%20Financial%20Statements) - The notes provide detailed disclosures for the unaudited interim financial statements, covering accounting policies, investment composition, fair value measurements, loss reserves, segment reporting, debt facilities, and equity compensation[18](index=18&type=chunk) - No new material accounting standards were adopted in the current period, but future standards on income tax and income statement expense disclosures are being evaluated[21](index=21&type=chunk)[23](index=23&type=chunk)[24](index=24&type=chunk) [1. GENERAL](index=11&type=section&id=1.%20GENERAL) - Everest Group, Ltd. (Group) provides reinsurance and insurance in the U.S., Bermuda, and international markets through its subsidiaries[17](index=17&type=chunk) [2. BASIS OF PRESENTATION](index=11&type=section&id=2.%20BASIS%20OF%20PRESENTATION) - The unaudited consolidated financial statements include normal recurring accruals and are prepared in accordance with GAAP, with certain annual disclosures omitted for interim reporting[18](index=18&type=chunk) - The Company did not adopt any new accounting standards that had a material impact during the three and six months ended June 30, 2025[21](index=21&type=chunk) - Future accounting standards, such as 'Improvements to Income Tax Disclosures' (effective after Dec 15, 2024) and 'Disaggregation of Income Statement Expenses' (effective after Dec 15, 2026), are being evaluated for their potential impact on financial statement disclosures[23](index=23&type=chunk)[24](index=24&type=chunk)[26](index=26&type=chunk) [3. INVESTMENTS](index=13&type=section&id=3.%20INVESTMENTS) Fixed Maturity Securities - Available for Sale (June 30, 2025) | (Dollars in millions) | Amortized Cost | Allowance for Credit Losses | Unrealized Appreciation | Unrealized Depreciation | Fair Value | | :-------------------------------------------------- | :------------- | :-------------------------- | :---------------------- | :---------------------- | :--------- | | Total fixed maturity securities - available for sale | $33,791 | $(40) | $583 | $(870) | $33,464 | - The aggregate fair value and gross unrealized losses for available-for-sale fixed maturity securities in an unrealized loss position were **$13.1 billion** and **$870 million**, respectively, at June 30, 2025. These losses are primarily due to changes in interest rates and non-issuer-specific credit spreads, not credit-related[33](index=33&type=chunk)[35](index=35&type=chunk) Net Investment Income Components (Six Months Ended June 30) | (Dollars in millions) | 2025 | 2024 | | :-------------------- | :--- | :--- | | Fixed maturities | $782 | $721 | | Limited partnerships | $113 | $148 | | Net investment income | $1,023 | $985 | - The Company has contractual commitments to invest up to an additional **$3.0 billion** in limited partnerships and private placement loan securities, with investment periods expiring through 2035[39](index=39&type=chunk) [4. FAIR VALUE](index=24&type=section&id=4.%20FAIR%20VALUE) - Fair value measurements are categorized into a three-level hierarchy based on input observability: Level 1 (quoted prices in active markets), Level 2 (observable inputs for similar assets/liabilities), and Level 3 (significant unobservable inputs)[51](index=51&type=chunk)[60](index=60&type=chunk) - At June 30, 2025, **$2.3 billion** of fixed maturities were fair valued using unobservable (Level 3) inputs, primarily valued by investment managers' valuation committees and substantiated by independent third parties[55](index=55&type=chunk)[61](index=61&type=chunk) Fair Value Measurement Levels (June 30, 2025) | (Dollars in millions) | Total Fair Value | Level 1 | Level 2 | Level 3 | | :------------------------------------ | :--------------- | :------ | :------ | :------ | | Fixed maturities - available for sale | $33,464 | $0 | $31,153 | $2,312 | | Equity securities, fair value | $177 | $83 | $90 | $5 | [5. RESERVE FOR LOSSES AND LAE](index=30&type=section&id=5.%20RESERVE%20FOR%20LOSSES%20AND%20LAE) Roll Forward of Reserve for Losses and LAE (Six Months Ended June 30) | (Dollars in millions) | 2025 | 2024 | | :---------------------------------- | :--- | :--- | | Gross reserves beginning of period | $29,889 | $24,604 | | Total incurred losses and LAE | $5,366 | $4,548 | | Total paid losses and LAE | $3,728 | $3,213 | | Gross reserves end of period | $32,476 | $25,853 | - Current year incurred losses were **$5.3 billion** in 2025, up from **$4.5 billion** in 2024, reflecting earned premium growth and an increase in current year catastrophe losses[69](index=69&type=chunk) - Net unfavorable development on prior year reserves of **$59 million** was primarily due to **$98 million** in aviation losses from the Russia/Ukraine war, partially offset by **$39 million** in favorable development from property lines[70](index=70&type=chunk)[71](index=71&type=chunk) [6. SEGMENT REPORTING](index=30&type=section&id=6.%20SEGMENT%20REPORTING) - The Company operates through two reportable segments: Reinsurance and Insurance. A new 'Other' segment was formed in Q4 2024 for run-off business, including sports and leisure, asbestos and environmental (A&E) exposures, and discontinued programs[72](index=72&type=chunk)[74](index=74&type=chunk) - Segment performance is primarily evaluated based on underwriting results, measured by loss, commission and brokerage, and other underwriting expense ratios[75](index=75&type=chunk) Underwriting Gain (Loss) by Segment (Six Months Ended June 30, 2025) | (Dollars in millions) | Reinsurance | Insurance | Other | Total | | :-------------------- | :---------- | :-------- | :---- | :---- | | Underwriting gain (loss) | $340 | $(23) | $(36) | $281 | [7. CREDIT FACILITIES](index=33&type=section&id=7.%20CREDIT%20FACILITIES) - As of June 30, 2025, the Company has multiple active committed letter of credit facilities totaling up to **$1.6 billion**, plus additional facilities in British Pound Sterling (**£113 million**) and Euros (**€75 million**)[79](index=79&type=chunk) - Everest Reinsurance Company (Everest Re) is a member of the FHLBNY, providing borrowing capacity of up to approximately **$3.2 billion**, with **$1.0 billion** outstanding as of June 30, 2025[99](index=99&type=chunk) Bermuda Re Wells Fargo Bilateral LOC Facility (June 30, 2025) | Tranche | Commitment | In Use | | :-------------------- | :--------- | :----- | | Secured | $175 | $160 | | Unsecured | $175 | $171 | | Total | $350 | $332 | [8. SENIOR NOTES](index=37&type=section&id=8.%20SENIOR%20NOTES) Outstanding Senior Notes (June 30, 2025) | Interest Rate | Principal Amounts | Consolidated Balance Sheet Amount | Fair Value | | :-------------- | :---------------- | :-------------------------------- | :--------- | | 4.868% | $400 | $398 | $355 | | 3.5% | $1,000 | $982 | $685 | | 3.125% | $1,000 | $971 | $622 | | Total | $2,400 | $2,351 | $1,662 | - Interest expense for Senior Notes was **$43 million** for the six months ended June 30, 2025, consistent with the prior year[103](index=103&type=chunk) [9. LONG-TERM SUBORDINATED NOTES](index=39&type=section&id=9.%20LONG-TERM%20SUBORDINATED%20NOTES) Outstanding Long-Term Subordinated Notes (June 30, 2025) | Original Principal Amount | Consolidated Balance Sheet Amount | Fair Value | | :------------------------ | :-------------------------------- | :--------- | | $400 | $218 | $217 | - Interest on these notes is floating rate, based on 3-month CME Term SOFR plus a spread, with the rate for May 15, 2025 to August 15, 2025, at **6.97%**[105](index=105&type=chunk) - Holdings may redeem these notes on or after May 15, 2017, subject to a replacement capital covenant benefiting Senior Note holders[106](index=106&type=chunk) [10. COLLATERALIZED REINSURANCE, TRUST AGREEMENTS AND OTHER RESTRICTED ASSETS](index=40&type=section&id=10.%20COLLATERALIZED%20REINSURANCE,%20TRUST%20AGREEMENTS%20AND%20OTHER%20RESTRICTED%20ASSETS) Total Restricted Assets (June 30, 2025) | Category | Amount (Millions) | | :------------------------------------------ | :---------------- | | Collateral in trust for non-affiliated agreements | $3,548 | | Collateral for secured letter of credit facilities | $840 | | Collateral for FHLB borrowings | $1,321 | | Securities on deposit with government authorities | $1,450 | | Funds at Lloyd's | $300 | | Funds held by reinsureds | $1,291 | | Total restricted assets | $8,749 | - The Company reinsures catastrophe exposures with Mt. Logan Re, a collateralized insurer, and through various collateralized reinsurance agreements with Kilimanjaro Re Limited, which issues catastrophe bonds to external investors[109](index=109&type=chunk)[112](index=112&type=chunk)[114](index=114&type=chunk) [11. COMMITMENTS AND CONTINGENCIES](index=41&type=section&id=11.%20COMMITMENTS%20AND%20CONTINGENCIES) - The Company is involved in lawsuits, arbitrations, and other dispute resolution procedures related to insurance and reinsurance agreements, which are considered when determining loss and LAE reserves[115](index=115&type=chunk) - No other material litigation or arbitration is currently pending[116](index=116&type=chunk) [12. OTHER COMPREHENSIVE INCOME (LOSS)](index=42&type=section&id=12.%20OTHER%20COMPREHENSIVE%20INCOME%20(LOSS)) Total Other Comprehensive Income (Loss) (Six Months Ended June 30) | (Dollars in millions) | 2025 | 2024 | | :------------------------------------------ | :--- | :--- | | URA(D) of securities | $585 | $(227) | | Foreign currency translation and other adjustments | $228 | $(38) | | Total other comprehensive income (loss) | $817 | $(227) | - The **significant increase** in total other comprehensive income (loss) for the six months ended June 30, 2025, was primarily driven by unrealized appreciation of securities and positive foreign currency translation adjustments[117](index=117&type=chunk) [13. SHARE-BASED COMPENSATION PLANS](index=43&type=section&id=13.%20SHARE-BASED%20COMPENSATION%20PLANS) - For the six months ended June 30, 2025, a total of **245,272** restricted stock awards and **27,204** performance share unit awards were granted[120](index=120&type=chunk) - This compares to **218,959** restricted stock awards and **18,713** performance share unit awards granted in the same period of 2024[121](index=121&type=chunk) [14. EARNINGS PER COMMON SHARE](index=43&type=section&id=14.%20EARNINGS%20PER%20COMMON%20SHARE) Earnings Per Common Share (Six Months Ended June 30) | Metric | 2025 | 2024 | | :------------------------------------------ | :--- | :--- | | Net income (loss) | $890 | $1,457 | | Numerator for basic and diluted EPS | $880 | $1,440 | | Denominator for basic/diluted EPS (millions) | 42.0 | 42.9 | | Basic EPS | $20.93 | $33.57 | | Diluted EPS | $20.93 | $33.57 | - Basic and diluted EPS decreased significantly for the six months ended June 30, 2025, to **$20.93** from **$33.57** in 2024, primarily due to lower net income[124](index=124&type=chunk) [15. INCOME TAXES](index=44&type=section&id=15.%20INCOME%20TAXES) - Bermuda's Corporate Income Tax Act 2023 (effective Jan 1, 2025) applies a **15%** corporate income tax, with an 'Economic Transition Adjustment' providing a deferred tax benefit[125](index=125&type=chunk) - Recent OECD guidance restricts the utilization of deferred tax assets from government tax benefits against Pillar Two Global Minimum Taxes, potentially reducing the Company's Deferred Tax Assets[125](index=125&type=chunk) - The 'One Big Beautiful Bill' was signed into law on July 4, 2025, and the Company is evaluating its effects[127](index=127&type=chunk) [16. SUBSEQUENT EVENTS](index=46&type=section&id=16.%20SUBSEQUENT%20EVENTS) - No material subsequent events or transactions requiring recognition or disclosure have occurred[128](index=128&type=chunk) [ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS](index=47&type=section&id=Item%202.%20Management's%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) This section comprehensively analyzes Everest Group's financial performance and condition for the three and six months ended June 30, 2025, covering key financial metrics, revenue/expense drivers, investment results, segment performance, liquidity, capital resources, and market risk exposures [Overview](index=47&type=section&id=Overview) - Everest is a global underwriting leader in property, casualty, and specialty reinsurance and insurance, listed on the S&P 500 Index[130](index=130&type=chunk) - A new 'Other' segment was established in Q4 2024 for run-off business, including sports and leisure, and asbestos and environmental (A&E) exposures[132](index=132&type=chunk) [Financial Summary](index=48&type=section&id=Financial%20Summary) Financial Summary (3 Months Ended June 30) | Metric | 2025 | 2024 | Change (%) | | :------------------------------ | :--- | :--- | :--------- | | Gross written premiums | $4,680 | $4,725 | (0.9)% | | Net written premiums | $4,119 | $4,084 | 0.8% | | Premiums earned | $3,991 | $3,693 | 8.1% | | Net income (loss) | $680 | $724 | (6.0)% | | Combined ratio | 90.4% | 90.3% | 0.1 pts | Financial Summary (6 Months Ended June 30) | Metric | 2025 | 2024 | Change (%) | | :------------------------------ | :--- | :--- | :--------- | | Gross written premiums | $9,071 | $9,136 | (0.7)% | | Net written premiums | $7,853 | $7,984 | (1.6)% | | Premiums earned | $7,843 | $7,345 | 6.8% | | Net income (loss) | $890 | $1,457 | (38.9)% | | Combined ratio | 96.4% | 89.6% | 6.8 pts | [Revenues](index=48&type=section&id=Revenues) - Gross written premiums decreased by **0.9%** for the three months and **0.7%** for the six months ended June 30, 2025, primarily due to a decrease in insurance business (portfolio actions on specialty casualty) and the 'Other' segment (discontinued lines), partially offset by a **1.1%** and **1.2%** increase in reinsurance business, respectively[136](index=136&type=chunk)[137](index=137&type=chunk)[138](index=138&type=chunk) - Premiums earned increased by **8.1%** to **$4.0 billion** for the three months and **6.8%** to **$7.8 billion** for the six months ended June 30, 2025, mainly due to the earning of higher base premiums written in 2024[140](index=140&type=chunk) - Other income shifted to an expense of **$27 million** for the three months and **$100 million** for the six months ended June 30, 2025, primarily due to foreign currency exchange expense, partially offset by a **$26.7 million** pension plan settlement gain in Q2 2025[141](index=141&type=chunk) [Claims and Expenses](index=51&type=section&id=Claims%20and%20Expenses) Claims and Expenses (3 Months Ended June 30) | Metric | 2025 | 2024 | Change ($) | Change (%) | | :------------------------------ | :--- | :--- | :--------- | :--------- | | Incurred losses and LAE | $2,472 | $2,311 | $161 | 7.0% | | Commission, brokerage, taxes and fees | $880 | $790 | $90 | 11.5% | | Other underwriting expenses | $254 | $234 | $20 | 8.6% | | Corporate expenses | $31 | $22 | $9 | 40.8% | | Interest, fees and bond issue cost amortization expense | $38 | $37 | $1 | 1.2% | Claims and Expenses (6 Months Ended June 30) | Metric | 2025 | 2024 | Change ($) | Change (%) | | :------------------------------ | :--- | :--- | :--------- | :--------- | | Incurred losses and LAE | $5,366 | $4,548 | $817 | 18.0% | | Commission, brokerage, taxes and fees | $1,704 | $1,571 | $133 | 8.4% | | Other underwriting expenses | $492 | $458 | $34 | 7.6% | | Corporate expenses | $52 | $44 | $8 | 18.7% | | Interest, fees and bond issue cost amortization expense | $76 | $75 | $1 | 1.2% | - Unfavorable prior year development of **$59 million** was primarily due to **$98 million** in aviation losses from the Russia/Ukraine war, partially offset by **$39 million** in favorable development from property lines[144](index=144&type=chunk)[147](index=147&type=chunk) - Catastrophe losses contributed **0.5 percentage points** to the combined ratio for Q2 2025 (down from **4.1 pts** in Q2 2024) and **7.1 percentage points** for H1 2025 (up from **3.2 pts** in H1 2024), with significant H1 2025 losses from Southern California wildfires (**$513 million**)[146](index=146&type=chunk)[147](index=147&type=chunk)[148](index=148&type=chunk) [Consolidated Investment Results](index=56&type=section&id=Consolidated%20Investment%20Results) Net Investment Income and Gains (3 Months Ended June 30) | Metric | 2025 | 2024 | Change ($) | Change (%) | | :------------------------------ | :--- | :--- | :--------- | :--------- | | Net Investment Income | $532 | $528 | $4 | 0.8% | | Net Gains (Losses) on Investments | $(5) | $(17) | $12 | (68.6)% | Net Investment Income and Gains (6 Months Ended June 30) | Metric | 2025 | 2024 | Change ($) | Change (%) | | :------------------------------ | :--- | :--- | :--------- | :--------- | | Net Investment Income | $1,023 | $985 | $38 | 3.9% | | Net Gains (Losses) on Investments | $(12) | $(24) | $12 | (48.0)% | - The increase in net investment income was primarily due to a **$61 million** increase from fixed maturity investments for the six months, partially offset by a **$35 million** decline in limited partnership income[163](index=163&type=chunk) [Segment Results](index=58&type=section&id=Segment%20Results) - The Company operates through two reportable segments: Reinsurance and Insurance, with a new 'Other' segment for run-off business[168](index=168&type=chunk) - Segment performance is primarily evaluated based on underwriting results, including loss, commission and brokerage, and other underwriting expense ratios[169](index=169&type=chunk) [Reinsurance](index=58&type=section&id=Reinsurance) Reinsurance Underwriting Results (6 Months Ended June 30) | Metric | 2025 | 2024 | Variance ($) | % Change | | :-------------------- | :--- | :--- | :----------- | :--------- | | Gross written premiums | $6,463 | $6,385 | $78 | 1.2% | | Premiums earned | $5,942 | $5,459 | $483 | 8.8% | | Underwriting gain (loss) | $340 | $650 | $(310) | (47.6)% | | Combined ratio | 94.3% | 88.1% | 6.2 pts | | - Gross written premiums increased due to property pro rata and property catastrophe excess of loss business, partially offset by a decrease in financial lines[171](index=171&type=chunk) - Incurred losses and LAE for the six months increased by **20.2%** to **$4.0 billion**, driven by **$305 million** in current year attritional losses, **$307 million** in current year catastrophe losses (primarily Southern California wildfires), and **$59 million** in unfavorable prior year development (Russia/Ukraine war aviation losses)[176](index=176&type=chunk) [Insurance](index=62&type=section&id=Insurance) Insurance Underwriting Results (6 Months Ended June 30) | Metric | 2025 | 2024 | Variance ($) | % Change | | :-------------------- | :--- | :--- | :----------- | :--------- | | Gross written premiums | $2,559 | $2,618 | $(60) | (2.3)% | | Premiums earned | $1,833 | $1,781 | $52 | 2.9% | | Underwriting gain (loss) | $(23) | $127 | $(151) | NM | | Combined ratio | 101.3% | 92.9% | 8.4 pts | | - Gross written premiums decreased primarily due to portfolio actions on specialty casualty lines, partially offset by growth in other specialty and property/short tail business[180](index=180&type=chunk) - Incurred losses and LAE for the six months increased by **12.7%** to **$1.3 billion**, mainly due to a **$144 million** increase in current year attritional losses (strengthening of loss selections in casualty lines) and a **$1 million** increase in catastrophe losses[185](index=185&type=chunk) [Other](index=65&type=section&id=Other) - The 'Other' segment, comprising run-off business like sports and leisure and A&E exposures, saw significant decreases in gross written premiums (**60.5%** for Q2, **62.4%** for H1 2025) and premiums earned (**33.2%** for Q2, **35.2%** for H1 2025)[189](index=189&type=chunk)[190](index=190&type=chunk)[192](index=192&type=chunk) - Incurred losses and LAE increased by **46.5%** for the three months and **2.3%** for the six months, driven by catastrophe losses and reserve strengthening on current accident year lines[193](index=193&type=chunk) [Financial Condition](index=65&type=section&id=Financial%20Condition) - Total investments increased to **$42.4 billion**, driven by net purchases of fixed maturities, while reinsurance recoverables also rose[194](index=194&type=chunk)[195](index=195&type=chunk)[199](index=199&type=chunk) - Gross loss and LAE reserves reached **$32.5 billion**, with the majority allocated to the Reinsurance segment, and A&E exposures are separately monitored[200](index=200&type=chunk)[201](index=201&type=chunk)[205](index=205&type=chunk) [Investments](index=65&type=section&id=Investments%20(Financial%20Condition)) - Total investments increased by **$2.4 billion** to **$42.4 billion** at June 30, 2025, primarily due to a net purchase of **$3.4 billion** in fixed maturities - available for sale, partially offset by a **$2.3 billion** net sale of short-term investments[194](index=194&type=chunk)[195](index=195&type=chunk) Investment Portfolio Characteristics | Metric | June 30, 2025 | December 31, 2024 | | :------------------------------ | :------------ | :---------------- | | Fixed income portfolio duration (years) | 3.4 | 3.1 | | Fixed income composite credit quality | AA- | AA | [Reinsurance Recoverables](index=67&type=section&id=Reinsurance%20Recoverables) - Reinsurance recoverables for paid and unpaid losses totaled **$3.5 billion** at June 30, 2025, up from **$3.1 billion** at December 31, 2024[199](index=199&type=chunk) - Key recoverables include **$411 million** from Mt. Logan Re, **$341 million** from Munich Reinsurance America, Inc., and **$253 million** from Endurance Assurance Corporation[199](index=199&type=chunk) [Loss and LAE Reserves](index=67&type=section&id=Loss%20and%20LAE%20Reserves) Gross Outstanding Loss and LAE Reserves by Segment (June 30, 2025) | Segment | Case Reserves | IBNR Reserves | Total Reserves | % of Total | | :-------- | :------------ | :------------ | :------------- | :--------- | | Reinsurance | $7,082 | $14,809 | $21,891 | 67.4% | | Insurance | $2,559 | $6,714 | $9,273 | 28.6% | | Other | $373 | $939 | $1,312 | 4.0% | | Total | $10,013 | $22,463 | $32,476 | 100.0% | - Gross loss and LAE reserves increased to **$32.5 billion** at June 30, 2025, from **$29.9 billion** at December 31, 2024[200](index=200&type=chunk) - Reserves are management's best estimate, continuously re-evaluated using actuarial science, business expertise, and management judgment[202](index=202&type=chunk)[203](index=203&type=chunk) [Asbestos and Environmental Exposures](index=69&type=section&id=Asbestos%20and%20Environmental%20Exposures) A&E Loss Reserves (June 30, 2025) | Metric | Amount (Millions) | | :------------- | :---------------- | | Gross reserves | $241 | | Ceded reserves | $(18) | | Net reserves | $223 | - Net asbestos loss reserves were **$198 million** (**88.8%** of total net A&E reserves) at June 30, 2025, all for assumed business[206](index=206&type=chunk) - The net three-year asbestos survival ratio was **6.7 years** at June 30, 2025[208](index=208&type=chunk) [Liquidity and Capital Resources](index=69&type=section&id=Liquidity%20and%20Capital%20Resources) - Shareholders' equity increased to **$15.0 billion**, exceeding regulatory and rating agency requirements, but the projected net economic loss from the largest 100-year event increased to **12.2%** of shareholders' equity[162](index=162&type=chunk)[209](index=209&type=chunk)[213](index=213&type=chunk) - Liquidity is primarily met by positive operating cash flow (**$2.0 billion** for H1 2025) and a diversified investment portfolio, including **$4.4 billion** in cash and short-term investments[218](index=218&type=chunk)[220](index=220&type=chunk) - The Company repurchased **$400 million** of common shares and paid **$169 million** in dividends during the first half of 2025[215](index=215&type=chunk)[216](index=216&type=chunk) [ITEM 3. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK](index=77&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) This section refers to the detailed discussion on market risk instruments, including interest rate and foreign currency risk, provided in the 'Liquidity and Capital Resources - Market Sensitive Instruments' section of Item 2 - Quantitative and qualitative disclosures about market risk are detailed in the 'Liquidity and Capital Resources - Market Sensitive Instruments' section[234](index=234&type=chunk) [ITEM 4. CONTROLS AND PROCEDURES](index=77&type=section&id=Item%204.%20Controls%20and%20Procedures) Management, including the CEO and CFO, evaluated and concluded on the effectiveness of disclosure controls and procedures, with no material changes to internal control over financial reporting during the quarter - Disclosure controls and procedures were evaluated and deemed effective as of June 30, 2025[235](index=235&type=chunk) - No material changes to internal control over financial reporting occurred during the quarter[235](index=235&type=chunk) [PART II. OTHER INFORMATION](index=78&type=section&id=PART%20II%20OTHER%20INFORMATION) [ITEM 1. LEGAL PROCEEDINGS](index=78&type=section&id=Item%201.%20Legal%20Proceedings) The Company routinely handles legal disputes related to insurance and reinsurance agreements, factored into loss and LAE reserves, with no other material litigation currently pending - The Company is involved in routine lawsuits, arbitrations, and dispute resolution procedures related to insurance and reinsurance agreements, which are considered in loss and LAE reserves[237](index=237&type=chunk) - No other material litigation or arbitration is currently pending[238](index=238&type=chunk) [ITEM 1A. RISK FACTORS](index=78&type=section&id=Item%201A.%20Risk%20Factors) There have been no material changes to the risk factors previously disclosed in the Company's Annual Report on Form 10-K for the year ended December 31, 2024 - No material changes to risk factors from the most recent Form 10-K filing[239](index=239&type=chunk) [ITEM 2. UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS](index=78&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) During Q2 2025, the Company repurchased 582,029 shares, with 580,883 under publicly announced plans, following a November 2024 Board authorization for an additional 10 million shares, bringing the total authorized to 42 million shares, of which 32.5 million have been repurchased Issuer Purchases of Equity Securities (Q2 2025) | Period | Total Number of Shares Purchased | Average Price Paid per Share | Shares Purchased as Part of Publicly Announced Plans | Maximum Number of Shares that May Yet Be Purchased Under Programs | | :----------------- | :------------------------------- | :--------------------------- | :--------------------------------------------------- | :---------------------------------------------------------------- | | April 1 - 30, 2025 | 69 | $344.81 | — | 10,118,439 | | May 1 - 31, 2025 | 509,392 | $343.97 | 508,763 | 9,609,676 | | June 1 - 30, 2025 | 72,568 | $346.69 | 72,120 | 9,537,556 | | Total | 582,029 | — | 580,883 | 9,537,556 | - On November 7, 2024, the Board increased the share repurchase authorization by **10 million** shares, bringing the total to **42 million** shares, with **32.5 million** repurchased as of June 30, 2025[240](index=240&type=chunk) [ITEM 3. DEFAULTS UPON SENIOR SECURITIES](index=78&type=section&id=Item%203.%20Defaults%20Upon%20Senior%20Securities) There were no defaults upon senior securities during the reported period - No defaults upon senior securities occurred[242](index=242&type=chunk) [ITEM 4. MINE SAFETY DISCLOSURES](index=78&type=section&id=Item%204.%20Mine%20Safety%20Disclosures) This item is not applicable to the Company - Mine safety disclosures are not applicable to the Company[243](index=243&type=chunk) [ITEM 5. OTHER INFORMATION](index=78&type=section&id=Item%205.%20Other%20Information) No directors or officers adopted, modified, or terminated Rule 10b5-1 or non-Rule 10b5-1 trading arrangements during the fiscal quarter ended June 30, 2025 - No directors or officers adopted, modified, or terminated Rule 10b5-1 or non-Rule 10b5-1 trading arrangements during the quarter[244](index=244&type=chunk) [ITEM 6. EXHIBITS](index=79&type=section&id=Item%206.%20Exhibits) This section lists the exhibits filed with the Form 10-Q, including bye-laws, credit facility amendments, Section 302 and 906 certifications, and XBRL interactive data files - Exhibits include amended bye-laws, credit facility amendments, Section 302 and 906 certifications, and XBRL interactive data files[245](index=245&type=chunk)