The Finance group has plenty of great stocks, but investors should always be looking for companies that are outperforming their peers. Is Kinsale Capital Group, Inc. (KNSL) one of those stocks right now? By taking a look at the stock's year-to-date performance in comparison to its Finance peers, we might be able to answer that question.Kinsale Capital Group, Inc. is one of 872 individual stocks in the Finance sector. Collectively, these companies sit at #1 in the Zacks Sector Rank. The Zacks Sector Rank con ...

This insurer has delivered incredible returns since its 2016 initial public offering (IPO). Can it keep winning for investors? When building long-term wealth through the stock market, it's important to find high-quality companies capable of sustained growth regardless of what the economy throws at them. Kinsale Capital (KNSL -5.29%) is one such company that has consistently delivered remarkable returns to its shareholders. The company may not be a household name, but its stock has steadily climbed since its ...

Core Insights - Kinsale Capital reported a 50% growth in earnings per share for Q3, but shares fell 8% due to slower gross written premium growth of 19% amid increasing competition [1][2] - The company maintained a strong combined ratio of 75.7%, indicating profitability, despite exposure to Hurricanes Francine and Helene [2] - CEO Michael Kehoe anticipates long-term growth rates of 10% to 20%, making the Q3 growth of 18% acceptable [2][3] Financial Performance - Q3 earnings per share increased by 50% [1] - Gross written premium growth slowed from 34% to 26%, then to 21%, and now to 19% over the last four quarters [2] - Kinsale's combined ratio of 75.7% is among the best in its peer group [2] Market Reaction - Shares of Kinsale Capital dropped 8% following the earnings report, reflecting market expectations for near-perfect results [1] - The market is tempering growth expectations due to the deceleration in gross written premium growth [2] Future Outlook - Losses from Hurricane Milton in Q4 are expected to be under $10 million, which is manageable for the company valued at $11 billion [3] - Despite temporary slowdowns in growth rates, Kinsale's profitability remains strong [3]

Financial Data and Key Metrics Changes - In Q3 2024, the company's operating earnings per share increased by 27% and gross written premium grew by 19% compared to Q3 2023 [3] - Net income and net operating earnings rose by 50.1% and 26.8%, respectively, with a combined ratio of 75.7% for the quarter [8] - The nine-month annualized operating return on equity was reported at 28.2% [3] Business Line Data and Key Metrics Changes - Premium growth was 19% in Q3, down from 21% in Q2 and 26% in Q1, attributed to increased competition in commercial property and certain liability lines [10] - The casualty business showed steady growth, particularly in general and excess casualty divisions, while the commercial property division experienced a slowdown [10][11] - New business submission growth was strong at around 23% for the quarter, indicating positive future growth prospects [12] Market Data and Key Metrics Changes - The overall E&S market remained steady with increased competition, leading to varied rate changes and growth rates across different underwriting divisions [5] - Rates increased by approximately 3% on a nominal basis, down from around 6% in the previous quarter [13] - The company noted strong growth in the transportation divisions, especially in commercial auto and high-value homeowners segments [12] Company Strategy and Development Direction - The company's strategy focuses on controlling underwriting, providing superior customer service, and leveraging technology for cost efficiency [4] - The management expressed confidence in the company's ability to generate strong returns and grow in various market environments [4] - A $100 million share buyback program was approved, reflecting confidence in the business strategy and long-term growth potential [7] Management's Comments on Operating Environment and Future Outlook - Management acknowledged the modest natural catastrophe losses in the quarter and emphasized a cautious risk management strategy [6] - The competitive landscape is expected to evolve post-hurricanes, with potential impacts on pricing and competition levels [18] - Management remains optimistic about growth prospects, citing strong margins and a durable competitive advantage [13][29] Other Important Information - The expense ratio improved to 19.6% from 20.9% year-over-year, benefiting from seating commissions and expense management [8] - The company is not pursuing M&A or extraordinary dividends in the near term, focusing instead on capital allocation through share buybacks [9] Q&A Session Summary Question: Clarification on the share repurchase program - Management indicated that the $100 million buyback is modest and will not offset dilution from restricted shares but will minimize it [16] Question: Impact of hurricanes on competition - Management stated it is too early to determine the impact of hurricane losses on competition, with estimates ranging significantly [18] Question: Migration of business between E&S and standard markets - Management noted that the E&S market continues to grow, although competition has increased, affecting growth rates [20] Question: Pricing trends and loss ratios - Management confirmed that some divisions are experiencing double-digit rate increases, while others are below trend, but overall pricing remains strong [22] Question: Exposure to Hurricane Milton - Management estimated total after-tax losses from Hurricane Milton to be under $10 million, with a competitive market expected to evolve [6][25] Question: Future growth expectations - Management reiterated a long-term growth expectation of 10% to 20%, with the potential for variability based on market conditions [57] Question: Retention rates in the book - Management indicated that Kinsale retains about two-thirds of its policies year-over-year, consistent with industry norms [58] Question: Share buybacks versus dividends - Management explained the preference for share buybacks over special dividends, citing confidence in the business model and long-term growth [62]

Kinsale Capital Group (KNSL) delivered third-quarter 2024 net operating earnings of $4.20 per share, which outpaced the Zacks Consensus Estimate by 13.5%. The bottom line increased 26.9% year over year. The results reflect the continued execution of its strategy of disciplined underwriting and technology-enabled low costs. Shares gained 2.3% in the after-market trading session to reflect the outperformance. Stay up-to-date with all quarterly releases: See Zacks Earnings Calendar. Operational Update Operatin ...

Kinsale Capital Group, Inc. (KNSL) reported $418.06 million in revenue for the quarter ended September 2024, representing a year-over-year increase of 33%. EPS of $4.20 for the same period compares to $3.31 a year ago.The reported revenue compares to the Zacks Consensus Estimate of $401.22 million, representing a surprise of +4.20%. The company delivered an EPS surprise of +13.51%, with the consensus EPS estimate being $3.70.While investors closely watch year-over-year changes in headline numbers -- revenue ...

Kinsale Capital Group, Inc. (KNSL) came out with quarterly earnings of $4.20 per share, beating the Zacks Consensus Estimate of $3.70 per share. This compares to earnings of $3.31 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of 13.51%. A quarter ago, it was expected that this company would post earnings of $3.52 per share when it actually produced earnings of $3.75, delivering a surprise of 6.53%.Over the last four quarters, t ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 10-Q ☒ Quarterly report pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 For the quarterly period ended September 30, 2024 ☐ 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: 001-37848 KINSALE CAPITAL GROUP, INC. (Exact name of registrant as specified in its charter) Delaware 98-0664337 (State or ot ...

[Kinsale Capital Group Third Quarter 2024 Results](index=1&type=section&id=Kinsale%20Capital%20Group%20Third%20Quarter%202024%20Results) Kinsale Capital Group reported strong Q3 2024 financial performance with significant growth in earnings, premiums, and investment income [Financial Highlights](index=1&type=section&id=Financial%20Highlights) Kinsale Capital Group achieved substantial Q3 2024 growth in diluted EPS, premiums, and investment income despite higher catastrophe losses Q3 2024 vs Q3 2023 Performance Summary | Metric | Q3 2024 | Q3 2023 | % Change | | :--- | :--- | :--- | :--- | | Diluted EPS | $4.90 | $3.26 | +50.3% | | Diluted Operating EPS | $4.20 | $3.31 | +26.9% | | Gross Written Premiums | $448.6 million | $377.8 million | +18.8% | | Net Investment Income | $39.6 million | $27.1 million | +46.4% | | Underwriting Income | $86.9 million | $72.4 million | +20.0% | | Combined Ratio | 75.7% | 74.8% | +0.9 pts | Net Income and Catastrophe Losses (After-Tax) | Period | Net Income | Catastrophe Losses | | :--- | :--- | :--- | | **Q3 2024** | $114.2 million | $10.8 million | | **Q3 2023** | $76.1 million | $0.9 million | | **Nine Months 2024** | $305.7 million | $13.9 million | | **Nine Months 2023** | $204.7 million | $3.3 million | - The company's strategy focuses on disciplined underwriting and technology-enabled low costs, contributing to a strong combined ratio of **75.7%** despite **3.8 points** of net catastrophe losses in the quarter[2](index=2&type=chunk) [Results of Operations](index=1&type=section&id=Results%20of%20Operations) Operational results demonstrated strong underwriting, significant investment income growth, and improved financial metrics [Underwriting Results](index=1&type=section&id=Underwriting%20Results) Underwriting results showed strong premium growth and an improved expense ratio, with a combined ratio of **75.7%** impacted by catastrophe losses Gross Written Premiums Growth | Period | 2024 | 2023 | % Change | | :--- | :--- | :--- | :--- | | **Third Quarter** | $448.6 million | $377.8 million | +18.8% | | **First Nine Months** | $1.4 billion | $1.2 billion | +21.6% | Underwriting Ratios (Q3) | Ratio | Q3 2024 | Q3 2023 | | :--- | :--- | :--- | | **Loss Ratio** | 56.1% | 53.9% | | **Expense Ratio** | 19.6% | 20.9% | | **Combined Ratio** | 75.7% | 74.8% | - The Q3 2024 loss ratio included **3.8 points** of net catastrophe losses, primarily from Hurricanes Helene, Francine, and Beryl, and Midwest tornadoes, compared to negligible catastrophe losses in Q3 2023[5](index=5&type=chunk) - Results for Q3 2024 included **$10.1 million (2.8 points)** of net favorable development of loss reserves from prior accident years, compared to **$9.1 million (3.2 points)** in Q3 2023[5](index=5&type=chunk)[10](index=10&type=chunk) [Investment Results](index=4&type=section&id=Investment%20Results) Investment results significantly improved in Q3 2024, with net investment income growing **46.4%** due to strong cash flows and higher rates Net Investment Income Growth | Period | 2024 | 2023 | % Change | | :--- | :--- | :--- | :--- | | **Third Quarter** | $39.6 million | $27.1 million | +46.4% | | **First Nine Months** | $108.4 million | $72.0 million | +50.7% | - The investment portfolio grew to **$4.0 billion** as of September 30, 2024, up from **$3.1 billion** at year-end 2023, fueled by a **17.7%** increase in net operating cash flows for the first nine months of 2024[13](index=13&type=chunk) - The annualized gross investment return for the first nine months of 2024 was **4.3%**, compared to **3.9%** for the same period in 2023[13](index=13&type=chunk) [Other Financial Information](index=4&type=section&id=Other%20Financial%20Information) The effective tax rate decreased, while stockholders' equity grew to **$1.4 billion** and book value per share increased to **$61.62** Stockholders' Equity and Book Value | Metric | Sept 30, 2024 | Dec 31, 2023 | | :--- | :--- | :--- | | **Stockholders' Equity** | $1.4 billion | $1.1 billion | | **Book Value Per Share** | $61.62 | $46.88 | - The annualized operating return on equity was **28.2%** for the first nine months of 2024, a decrease from **32.1%** in the prior year period, mainly due to higher average stockholders' equity[14](index=14&type=chunk) [Corporate Developments](index=4&type=section&id=Corporate%20Developments) The Board of Directors authorized a new share repurchase program of up to **$100.0 million** of common stock in October 2024 - The company's Board of Directors authorized a share repurchase program for up to **$100.0 million** of its common stock[15](index=15&type=chunk) [Non-GAAP Financial Measures](index=4&type=section&id=Non-GAAP%20Financial%20Measures) The company uses non-GAAP measures like Net Operating Earnings and Underwriting Income to clarify business performance, with detailed reconciliations Reconciliation of Net Income to Net Operating Earnings (Q3) | (in thousands) | Q3 2024 | Q3 2023 | | :--- | :--- | :--- | | **Net Income** | **$114,229** | **$76,115** | | Adjustments, after taxes | ($16,318) | $1,108 | | **Net Operating Earnings** | **$97,911** | **$77,223** | Reconciliation of Net Income to Underwriting Income (Q3) | (in thousands) | Q3 2024 | Q3 2023 | | :--- | :--- | :--- | | **Net Income** | **$114,229** | **$76,115** | | Less: Investment results, taxes, other | ($27,367) | ($3,672) | | **Underwriting Income** | **$86,862** | **$72,443** | [Financial Statements](index=8&type=section&id=Financial%20Statements) The financial statements provide detailed unaudited consolidated income statements and balance sheets, reflecting the company's financial position [Consolidated Statements of Income](index=8&type=section&id=Consolidated%20Statements%20of%20Income) The unaudited consolidated income statement details Q3 2024 revenues and expenses, showing total revenues of **$418.1 million** and net income of **$114.2 million** Q3 2024 Income Statement Highlights (in thousands) | Line Item | Q3 2024 | Q3 2023 | | :--- | :--- | :--- | | Net Earned Premiums | $348,752 | $281,502 | | Total Revenues | $418,058 | $314,367 | | Total Expenses | $273,660 | $218,874 | | Income Before Taxes | $144,398 | $95,493 | | **Net Income** | **$114,229** | **$76,115** | | **Diluted EPS** | **$4.90** | **$3.26** | [Consolidated Balance Sheets](index=9&type=section&id=Consolidated%20Balance%20Sheets) The unaudited consolidated balance sheet shows significant growth in total assets to **$4.73 billion** and stockholders' equity to **$1.43 billion** Balance Sheet Highlights (in thousands) | Line Item | Sept 30, 2024 | Dec 31, 2023 | | :--- | :--- | :--- | | Total Investments | $3,847,709 | $2,966,952 | | **Total Assets** | **$4,732,243** | **$3,772,974** | | Total Liabilities | $3,297,294 | $2,686,142 | | **Total Stockholders' Equity** | **$1,434,949** | **$1,086,832** |

Wall Street analysts expect Kinsale Capital Group, Inc. (KNSL) to post quarterly earnings of $3.70 per share in its upcoming report, which indicates a year-over-year increase of 11.8%. Revenues are expected to be $401.22 million, up 27.6% from the year-ago quarter.Over the past 30 days, the consensus EPS estimate for the quarter has remained unchanged. This demonstrates the covering analysts' collective reassessment of their initial projections during this period.Before a company announces its earnings, it ...