Value investors also use the P/S ratio. The P/S ratio is calculated as price divided by sales. This is a preferred metric because revenue can't really be manipulated, so sales are often a truer performance indicator. ORI has a P/S ratio of 1.03. This compares to its industry's average P/S of 1.06. Finally, our model also underscores that ORI has a P/CF ratio of 10.13. This data point considers a firm's operating cash flow and is frequently used to find companies that are undervalued when considering their s ...

Core Insights - Old Republic International Corporation (ORI) has a strong business model that has delivered market-beating returns for decades, operating for over a century in niche commercial insurance offerings [1] Group 1: Company Overview - ORI has maintained a unique position within the commercial insurance sector, which contributes to its strong performance [1] - The company has consistently outperformed the S&P 500 index since 2020, indicating robust portfolio management [1] Group 2: Investment Philosophy - The investment approach focuses on evaluating companies as businesses rather than mere stock tickers, seeking opportunities where the market has significantly mispriced them [1] - The insights gained from renowned investors such as Warren Buffet and Charlie Munger have influenced the investment strategy [1]

Financial Data and Key Metrics Changes - The company reported consolidated pretax operating income of $267.5 million for Q2 2025, an increase from $253.8 million in Q2 2024, reflecting strong growth and profitability [5] - Net operating income for the quarter was $209 million, up from $202 million year-over-year, with a per share increase of 9% from $0.76 to $0.83 [10] - The consolidated combined ratio was 93.6%, slightly up from 93.5% in the same quarter last year [6] Business Line Data and Key Metrics Changes - Specialty insurance net premiums earned grew by 14.6% in Q2 2025, with pretax operating income rising to $253.7 million from $202.5 million in Q2 2024 [6] - Title insurance premiums and fees earned increased by 5.2% year-over-year, but pretax operating income decreased to $24.2 million from $46 million [7][17] - The combined ratio for title insurance rose to 99% from 95.4% in the previous year, primarily due to increased legal settlement costs [18] Market Data and Key Metrics Changes - The title insurance segment faced challenges due to higher mortgage interest rates and a slow real estate market, impacting overall performance [6][17] - The company noted that commercial premiums in title insurance increased to 23% of earned premiums, up from 21% in the previous year [17] Company Strategy and Development Direction - The company continues to invest in new specialty underwriting subsidiaries, technology, and talent to enhance its competitive edge [8] - Management emphasized a focus on profitability in the title insurance segment despite challenging market conditions, aiming to improve the combined ratio [19][62] Management Comments on Operating Environment and Future Outlook - Management expressed confidence in the continued growth and profitability of the specialty insurance segment, supported by strong renewal retention ratios and rate increases [13][15] - The company is actively exploring AI tools and data analytics to improve decision-making and operational efficiency [58][60] Other Important Information - The company paid $71 million in regular cash dividends during the quarter and has over $200 million remaining in its current share repurchase program [12] - The annualized operating return on beginning equity improved to 14.6% from 12.1% year-over-year, reflecting effective capital management [19] Q&A Session Summary Question: Can you provide more detail about retention across different lines of business? - Management reported strong renewal retention ratios above 85% across all lines of business, attributing this to their value proposition focused on service rather than price [25] Question: How is the competition affecting the larger account business? - Management acknowledged increased competition but noted their focus on non-catastrophic property, which differentiates them from peers heavily involved in large catastrophic exposures [28] Question: What are your views on the title insurance rate decrease in Texas? - Management indicated that the rate decrease has not yet taken effect due to legal challenges and that they believe their rates remain adequate [38] Question: Why was there no stock repurchase in the last quarter? - Management explained that they had recently issued a special dividend and are mindful of market prices relative to book value when considering share repurchases [42][44] Question: What is the investment outlook given current cash flow and yields? - Management expects no dramatic improvements in new money rates compared to existing yields, indicating a tightening trend [46][47] Question: Can you discuss the specialty insurance segment's combined ratios? - Management expects the combined ratio to remain in the 90% to 95% range, primarily due to their focus on casualty business and conservative loss reserving [52][55] Question: How is the company implementing AI in its operations? - Management is exploring various AI tools and has hired an AI leader to enhance decision-making and efficiency through data analytics [58][60] Question: Will mortgage rates need to fall for combined ratios to improve in title insurance? - Management is actively looking for internal efficiencies to improve margins, regardless of market conditions, while aiming to bring the combined ratio below 95% [61][62]

Financial Data and Key Metrics Changes - The company reported consolidated pretax operating income of $267.5 million for Q2 2025, an increase from $253.8 million in Q2 2024, reflecting strong growth and profitability [5] - Net operating income for the quarter was $209 million, up from $202 million year-over-year, with a per-share increase of 9% from $0.76 to $0.83 [10] - The consolidated combined ratio was 93.6%, slightly up from 93.5% in the same quarter last year [6] Business Line Data and Key Metrics Changes - Specialty insurance net premiums earned grew by 14.6% in Q2 2025, with pretax operating income rising to $253.7 million from $202.5 million in the previous year [6] - Title insurance premiums and fees earned increased by 5.2% year-over-year, but pretax operating income decreased to $24.2 million from $46 million [7][18] - The combined ratio for title insurance rose to 99% from 95.4% in Q2 2024, primarily due to increased legal settlement costs [19] Market Data and Key Metrics Changes - The title insurance segment faced challenges due to higher mortgage interest rates and a slow real estate market, impacting overall performance [6][18] - Despite the challenging environment, the company reported a 5% increase in premium revenue from title insurance operations [16] Company Strategy and Development Direction - The company continues to invest in new specialty underwriting subsidiaries and technology to enhance operational efficiency and maintain competitive advantages [7][21] - There is a focus on maintaining strong renewal retention ratios across all lines of business, with retention rates exceeding 85% [24][26] - The company is exploring AI and data analytics to improve decision-making and operational efficiency, with ongoing investments in technology [57][60] Management's Comments on Operating Environment and Future Outlook - Management acknowledged the competitive landscape, particularly in larger accounts, but emphasized the company's unique value proposition and long-term client relationships [27][30] - The outlook for the title insurance market remains cautious, with expectations that combined ratios may improve only if market conditions change [61][62] Other Important Information - The company paid $71 million in regular cash dividends during the quarter and has over $200 million remaining in its current share repurchase program [12] - The annualized operating return on beginning equity improved to 14.6% from 12.1% year-over-year, reflecting effective capital management [21] Q&A Session Summary Question: Can you provide more detail about retention across your specialty property casualty business? - Management reported strong renewal retention metrics across all lines of business, with rates above 85% attributed to their service-oriented value proposition [24][26] Question: How is the competition affecting your business, particularly in larger accounts? - Management noted a slight uptick in property rates and emphasized their focus on non-catastrophic property, which differentiates them from competitors [28][30] Question: What are your views on the title insurance rates in Texas? - Management indicated that the rate decrease in Texas has not yet taken effect due to ongoing legal challenges, and they believe the current rates remain adequate [34][38] Question: Why was there no stock repurchase in the last quarter? - Management explained that a special dividend was paid in the first quarter, and they are cautious about share repurchases relative to market prices [42][44] Question: What is the investment outlook for the company? - Management expects no dramatic improvements in new money yields, with a tightening yield environment anticipated [46][47] Question: Can you discuss the specialty insurance segment's combined ratios? - Management expects the combined ratio to remain in the 90% to 95% range, primarily due to their focus on casualty lines and conservative reserving practices [52][54] Question: How is the company implementing AI in its operations? - Management is actively exploring AI tools and has hired an AI leader to enhance decision-making and efficiency through data analytics [57][60] Question: Do you need to see mortgage rates fall to improve combined ratios in title insurance? - Management is working to bring down combined ratios through internal efficiencies, regardless of market conditions [61][62]

Financial Performance & Returns - The company's total market return per share for the past 10 years is 16.7%[9] - Since December 31, 2016, the company has distributed $6 billion in dividends and share repurchases[10] - The annualized operating Return on Equity (ROE) is 14.6%[12] - The regular dividend is $1.16, yielding 3.0%[12] - The company repurchased $25 million (740 thousand shares) in 2025[74] - Book value per share increased 12.6% from year-end 2024, adding back dividends[27] Business Segments & Highlights - Net premiums and fees earned increased by 11% in the second quarter of 2025, totaling $1.99 billion, driven by Specialty Insurance (up 15%) and Title Insurance (up 5%)[28] - Operating EPS increased by 9% to $0.83 in the second quarter of 2025, compared to $0.76 in the same quarter of 2024, influenced by a 25% increase in pretax operating income in Specialty Insurance, offset by a 47% decrease in Title Insurance[27] - The combined ratio is 93.6, up 0.1 points from last year's 93.5, with Specialty Insurance at 90.7 (vs 92.4) and Title Insurance at 99.0 (vs 95.4)[29] - Old Republic's Title Insurance business holds a 14.4% market share, ranking it as the 3rd largest in the industry[57]

[Executive Summary](index=1&type=section&id=Executive%20Summary) Old Republic reported significant Q2 2025 net income growth driven by investments, alongside increased net operating income, per share metrics, and shareholder returns, with management emphasizing net operating income for core performance evaluation [Overall Financial Performance](index=1&type=section&id=Overall%20Results%20Attributable%20to%20Shareholders) Old Republic reported a significant increase in net income for Q2 2025, driven by improved investment results, while net operating income also saw a modest increase of 3.3%. Consolidated net premiums and fees earned grew by 11.0%, and the combined ratio remained stable at 93.6% Key Financial Metrics | Metric | Q2 2025 ($M) | Q2 2024 ($M) | % Change | 6M 2025 ($M) | 6M 2024 ($M) | % Change | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Net income | 204.4 | 91.8 | - | 449.5 | 408.6 | - | | Net income excluding investment gains (losses) | 209.2 | 202.4 | 3.3% | 410.9 | 387.2 | 6.1% | | Combined ratio | 93.6 % | 93.5 % | - | 93.7 % | 93.8 % | - | - Consolidated net premiums and fees earned were nearly **$2 billion**, an increase of **11.0%**[4](index=4&type=chunk) - Net investment income was **$171.5 million**, an increase of **2.4%**[4](index=4&type=chunk) [Per Share Metrics & Shareholder Returns](index=1&type=section&id=PER%20DILUTED%20SHARE%20ATTRIBUTABLE%20TO%20SHAREHOLDERS) Diluted net operating income per share increased by 9.2% for the quarter and 14.7% for the first six months of 2025. Book value per share grew 10.1% since year-end 2024, reaching $25.14, and the company returned $71.8 million in capital to shareholders during the quarter Per Diluted Share Attributable to Shareholders | Metric | Q2 2025 ($) | Q2 2024 ($) | % Change | 6M 2025 ($) | 6M 2024 ($) | % Change | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Net income | 0.81 | 0.35 | - | 1.79 | 1.51 | - | | Net income excluding investment gains (losses) | 0.83 | 0.76 | 9.2% | 1.64 | 1.43 | 14.7% | Shareholders' Equity | Metric | June 30, 2025 ($M) | Dec. 31, 2024 ($M) | % Change | | :--- | :--- | :--- | :--- | | Total Shareholders' Equity | 6,185.6 | 5,618.9 | 10.1 % | | Per common share | 25.14 | 22.84 | 10.1 % | - Book value per share of **$25.14**, inclusive of cash dividends declared, up **12.6%** since year-end 2024. Annualized operating return on equity was **14.6%**[4](index=4&type=chunk) - Total capital returned to shareholders was **$71.8 million** for the quarter[4](index=4&type=chunk) [Management's Financial Reporting Philosophy](index=2&type=section&id=Old%20Republic%20International%20Corporation%20-%20Management's%20Perspective) Management emphasizes net income excluding investment gains/losses (net operating income) as a key measure for evaluating insurance operations, believing it provides a clearer view of underlying performance by isolating discretionary and volatile investment results - Management uses **net income excluding net investments gains (losses) (net operating income)**, a non-GAAP financial measure, in its evaluation of periodic and long-term results to better analyze and establish accountability for insurance operations, as realized investment gains/losses can mask operating trends[5](index=5&type=chunk)[6](index=6&type=chunk) [Detailed Financial Performance](index=2&type=section&id=Detailed%20Financial%20Performance) Consolidated operating revenues and net premiums grew significantly, with strong performance in Specialty Insurance, while Title Insurance underwriting income declined and Corporate & Other reported an operating loss [Consolidated Income Statement Analysis](index=2&type=section&id=FINANCIAL%20HIGHLIGHTS%20-%20SUMMARY%20INCOME%20STATEMENTS) Total operating revenues increased by 10.1% for the quarter and 10.7% for the first six months, primarily driven by higher net premiums and fees earned. Pretax income saw a substantial increase, while net investment gains/losses fluctuated significantly Consolidated Income Statement Highlights | Metric | Q2 2025 ($M) | Q2 2024 ($M) | % Change | 6M 2025 ($M) | 6M 2024 ($M) | % Change | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Net premiums and fees earned | 1,994.6 | 1,797.4 | 11.0 % | 3,835.7 | 3,440.1 | 11.5 % | | Total operating revenues | 2,215.8 | 2,012.2 | 10.1 % | 4,274.9 | 3,861.0 | 10.7 % | | Total net investment gains (losses) | (7.3) | (140.5) | - | 47.7 | 26.6 | - | | Pretax income | 260.1 | 113.3 | - | 567.9 | 512.1 | - | | Net income to shareholders | 204.4 | 91.8 | - | 449.5 | 408.6 | - | Diluted Per Share Financials | Metric | Q2 2025 ($) | Q2 2024 ($) | % Change | 6M 2025 ($) | 6M 2024 ($) | % Change | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Diluted net income excluding investment gains (losses) | 0.83 | 0.76 | 9.2% | 1.64 | 1.43 | 14.7% | | Diluted net income | 0.81 | 0.35 | - | 1.79 | 1.51 | - | | Cash dividends declared on common stock | 0.290 | 0.265 | 9.4% | 0.580 | 0.530 | 9.4% | [Segment Performance Overview](index=4&type=section&id=Sources%20of%20Consolidated%20Income) The Specialty Insurance segment demonstrated strong growth in premiums and underwriting income, while the Title Insurance segment experienced a decline in underwriting income despite revenue growth. The Corporate & Other segment reported an operating loss due to reduced investment income Net Premiums and Fees Earned by Segment | Segment | Q2 2025 Net Premiums & Fees Earned ($M) | Q2 2024 Net Premiums & Fees Earned ($M) | % Change | | :--- | :--- | :--- | :--- | | Specialty Insurance | 1,294.5 | 1,129.6 | 14.6 % | | Title Insurance | 697.8 | 663.4 | 5.2 % | | Corporate & Other | 2.3 | 4.3 | (46.6)% | | **Consolidated** | **1,994.6** | **1,797.4** | **11.0 %** | Underwriting Income by Segment | Segment | Q2 2025 Underwriting Income (Loss) ($M) | Q2 2024 Underwriting Income (Loss) ($M) | % Change | | :--- | :--- | :--- | :--- | | Specialty Insurance | 119.9 | 85.1 | 40.9 % | | Title Insurance | 6.9 | 30.2 | (76.9)% | | Corporate & Other | (13.3) | (6.6) | (98.9)% | | **Consolidated** | **113.6** | **108.6** | **4.6 %** | [Specialty Insurance Segment](index=6&type=section&id=Specialty%20Insurance%20Segment%20Operating%20Results) Specialty Insurance Segment Performance | Metric | Q2 2025 ($M) | Q2 2024 ($M) | % Change | 6M 2025 ($M) | 6M 2024 ($M) | % Change | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Net premiums earned | 1,294.5 | 1,129.6 | **14.6 %** | 2,528.1 | 2,221.3 | **13.8 %** | | Net investment income | 149.9 | 132.9 | **12.8 %** | 299.9 | 264.0 | **13.6 %** | | Segment pretax operating income | 253.7 | 202.5 | **25.3 %** | 513.9 | 422.9 | **21.5 %** | | Combined ratio | **90.7 %** | **92.4 %** | - | **90.2 %** | **91.4 %** | - | - Premium growth was driven by rate increases, high renewal retention, and new business production, with commercial auto showing the most pronounced growth[12](index=12&type=chunk) - The 2025 loss ratios reflect slightly higher levels of favorable prior year loss reserve development and improved current year loss ratios, primarily from workers' compensation and short-tailed lines[14](index=14&type=chunk) [Title Insurance Segment](index=7&type=section&id=Title%20Insurance%20Segment%20Operating%20Results) Title Insurance Segment Performance | Metric | Q2 2025 ($M) | Q2 2024 ($M) | % Change | 6M 2025 ($M) | 6M 2024 ($M) | % Change | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Net premiums and fees earned | 697.8 | 663.4 | **5.2 %** | 1,302.9 | 1,208.8 | **7.8 %** | | Net investment income | 17.3 | 15.5 | **11.8 %** | 34.0 | 31.2 | **9.2 %** | | Segment pretax operating income | 24.2 | 46.0 | **(47.2)%** | 28.6 | 48.4 | **(40.8)%** | | Combined ratio | **99.0 %** | **95.4 %** | - | **100.4 %** | **98.6 %** | - | - Agency-produced revenues grew **7%**, and commercial premiums represented **23%** of net premiums earned, up from **21%** in Q2 2024[16](index=16&type=chunk) - The loss ratio increased due to a lower level of favorable prior year loss reserve development, and expense ratios included approximately **$15 million** in litigation settlement expenses and higher agent commissions[17](index=17&type=chunk) [Corporate & Other Segment](index=8&type=section&id=Corporate%20%26%20Other%20Operating%20Results) Corporate & Other Segment Performance | Metric | Q2 2025 ($M) | Q2 2024 ($M) | % Change | 6M 2025 ($M) | 6M 2024 ($M) | % Change | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Net premiums earned | 2.3 | 4.3 | **(46.6)%** | 4.6 | 9.9 | **(53.5)%** | | Net investment income | 4.2 | 19.0 | **(77.5)%** | 8.2 | 36.4 | **(77.4)%** | | Corporate & Other pretax operating income (loss) | (10.5) | 5.2 | N/M | (22.3) | 14.0 | N/M | - Net investment income was significantly impacted by a lower invested asset base due to the return of capital to shareholders (including a special cash dividend) and the sale of the RFIG Run-off business[20](index=20&type=chunk) [Financial Position & Capital Management](index=8&type=section&id=Financial%20Position%20%26%20Capital%20Management) Total assets and shareholders' equity increased, supported by a conservative investment portfolio, while the company returned significant capital to shareholders [Consolidated Balance Sheet](index=8&type=section&id=Consolidated%20Balance%20Sheets) Total assets increased to $29.26 billion as of June 30, 2025, with a corresponding increase in total liabilities and shareholders' equity, reflecting growth in loss and loss adjustment expense reserves and unearned premiums Consolidated Balance Sheet Highlights | Metric | June 30, 2025 ($M) | December 31, 2024 ($M) | | :--- | :--- | :--- | | Total assets | 29,255.7 | 27,843.1 | | Loss and loss adjustment expense reserves | 14,356.4 | 13,727.7 | | Unearned premiums | 4,018.5 | 3,505.4 | | Total liabilities | 23,052.1 | 22,224.1 | | Total shareholders' equity | 6,185.6 | 5,618.9 | [Investment Portfolio Strategy](index=9&type=section&id=Investments) The investment portfolio is primarily allocated to fixed income securities (84%) and equity securities (16%), focusing on quality investments that generate consistent income and ensure the funding of insurance obligations, with limited exposure to high-risk or illiquid assets - The consolidated investment portfolio is allocated approximately **84%** to fixed income securities and short-term investments, and **16%** to equity securities[22](index=22&type=chunk) - The investment management process focuses on retaining quality investments for consistent income and ensuring solid funding of insurance obligations, with extremely limited exposure to high-risk or illiquid asset classes[22](index=22&type=chunk)[23](index=23&type=chunk) [Shareholders' Equity and Capital Actions](index=9&type=section&id=Shareholders'%20Equity%20Per%20Share) Shareholders' equity per share increased by 10.1% for the first six months of 2025, driven by net operating income and net investment gains, partially offset by cash dividends declared. The company returned $165.4 million in capital to shareholders during the first half Shareholders' Equity Per Share Movement | Metric | Q2 2025 ($) | 6M 2025 ($) | 6M 2024 ($) | FY 2024 ($) | | :--- | :--- | :--- | :--- | :--- | | Beginning balance | 24.19 | 22.84 | 23.31 | 23.31 | | Net income excluding net investment gains (losses) | 0.85 | 1.68 | 1.45 | 3.09 | | Total net of tax realized and unrealized investment gains | 0.27 | 0.91 | (0.14) | 0.33 | | Cash dividends declared | (0.29) | (0.58) | (0.53) | (3.06) | | Ending balance | 25.14 | 25.14 | 23.59 | 22.84 | | Change for the period, inclusive of cash dividends declared | 5.1 % | 12.6 % | 3.5 % | 11.1 % | - Total capital returned to shareholders during the quarter was **$71.8 million** in dividends. For the first six months, total capital returned was **$165.4 million**, comprised of **$140.2 million** in dividends and **$25.2 million** in share repurchases[25](index=25&type=chunk) [Corporate Information & Outlook](index=10&type=section&id=Corporate%20Information%20%26%20Outlook) Old Republic, a Fortune 500 insurer, provided Q2 2025 conference call details and outlined forward-looking statements and key risk factors [Company Profile](index=10&type=section&id=About%20Old%20Republic) Old Republic International Corporation, founded in 1923, is a Fortune 500 specialty insurer operating diverse property & casualty and title insurance companies, providing underwriting and risk management services across the US and Canada - Old Republic is a leading specialty insurer, founded in **1923** and a member of the **Fortune 500**, operating diverse property & casualty and title insurance companies across the United States and Canada[26](index=26&type=chunk) [Conference Call Details](index=10&type=section&id=Conference%20Call%20Information) Old Republic scheduled a conference call on July 24, 2025, at 3:00 p.m. ET to discuss Q2 2025 performance, with live access and replay available via their website or dial-in - A conference call was scheduled for July 24, 2025, at 3:00 p.m. ET to discuss second quarter 2025 performance and review major operating trends and business developments[27](index=27&type=chunk) [Forward-Looking Statements & Risk Factors](index=11&type=section&id=Forward-Looking%20Statements) The report contains forward-looking statements subject to assumptions, uncertainties, and risks, including market competition, economic conditions, claim patterns, and technology breaches, which may affect future performance across its Specialty, Title, and Life & Accident insurance segments - Statements in the report may constitute "forward-looking statements" involving assumptions, uncertainties, and risks that may affect the Company's future performance[29](index=29&type=chunk) - Key risk factors include market competition, general economic conditions, changes in claim frequency and severity patterns, adequacy of reinsurance, and technology and security breaches, particularly for Specialty and Title Insurance segments[31](index=31&type=chunk)

Core Viewpoint - Old Republic International (ORI) reported quarterly earnings of $0.83 per share, exceeding the Zacks Consensus Estimate of $0.79 per share, and showing an increase from $0.76 per share a year ago, indicating a positive earnings surprise of +5.06% [1] Financial Performance - The company achieved revenues of $2.22 billion for the quarter ended June 2025, surpassing the Zacks Consensus Estimate by 1.74% and up from $2.01 billion year-over-year [2] - Over the last four quarters, Old Republic has consistently surpassed consensus EPS estimates and revenue estimates [2] Stock Performance and Outlook - Old Republic shares have increased by approximately 1.2% since the beginning of the year, while the S&P 500 has gained 8.1%, indicating underperformance relative to the broader market [3] - The company's future stock performance will largely depend on management's commentary during the earnings call and the trends in earnings estimate revisions [3][4] Earnings Estimates - The current consensus EPS estimate for the upcoming quarter is $0.73, with expected revenues of $2.28 billion, and for the current fiscal year, the EPS estimate is $3.20 on revenues of $8.83 billion [7] Industry Context - The Insurance - Multi line industry, to which Old Republic belongs, is currently ranked in the bottom 34% of over 250 Zacks industries, suggesting potential challenges ahead [8] - The performance of Old Republic's stock may be influenced by the overall outlook for the industry [8]

Overall Results - Old Republic International Corporation reported a net income of $204.4 million for Q2 2025, a significant increase from $91.8 million in Q2 2024 [6][7] - Net income excluding investment gains (losses) was $209.2 million, reflecting a 3.3% increase year-over-year [6][7] - The combined ratio for the quarter was 93.6%, slightly improved from 93.5% in the previous year [6][9] Earnings Per Share - Diluted net income per share was $0.81, compared to $0.35 in the same quarter last year, marking a substantial increase [2][6] - Net income excluding investment gains (losses) per diluted share rose to $0.83, a 9.2% increase from $0.76 in Q2 2024 [2][6] Shareholders' Equity - Total shareholders' equity reached $6,185.6 million as of June 30, 2025, up 10.1% from $5,618.9 million at the end of 2024 [3][20] - Book value per share increased to $25.14, reflecting a 10.1% rise from $22.84 [3][20] Financial Highlights - Total operating revenues for Q2 2025 were $2,215.8 million, an increase of 10.1% from $2,012.2 million in Q2 2024 [7] - Net premiums and fees earned were $1,994.6 million, up 11.0% year-over-year [5][8] - Net investment income increased by 2.4% to $171.5 million [5][9] Specialty Insurance Segment - Specialty Insurance net premiums earned increased by 14.6% for Q2 2025, driven by premium rate increases and high renewal retention [11][14] - The segment's underwriting income rose by 40.9% to $119.9 million compared to the previous year [11][12] - The combined ratio for Specialty Insurance improved to 90.7% from 92.4% in Q2 2024 [11][15] Title Insurance Segment - Title Insurance net premiums and fees earned grew by 5.2% for the quarter, with agency-produced revenues increasing by 7% [16][17] - The segment's combined ratio increased to 99.0%, up from 95.4% in the same quarter last year [16][18] Corporate & Other Segment - Corporate & Other reported a significant decline in net premiums earned, down 46.6% to $2.3 million [19] - The segment's pretax operating loss was $10.5 million, compared to a profit of $5.2 million in Q2 2024 [19] Investment Portfolio - As of June 30, 2025, the investment portfolio consisted of approximately 84% fixed income securities and 16% equity securities [21][22] - The investment management strategy focuses on quality investments to ensure the stability of the insurance underwriting subsidiaries' obligations [21][22]

Core Insights - Analysts project Old Republic International (ORI) will announce quarterly earnings of $0.79 per share, a 4% increase year over year, with revenues expected to reach $2.17 billion, reflecting a 7.6% increase from the same quarter last year [1] Earnings Projections - Revisions to earnings projections are crucial for predicting investor behavior, with empirical studies showing a strong correlation between earnings estimate revisions and short-term stock performance [2] Key Metrics Estimates - Analysts estimate 'Operating Revenue- Specialty Insurance Segment- Net premiums earned' at $1.27 billion, indicating a 12.7% year-over-year increase [4] - 'Operating Revenue- Specialty Insurance Segment- Net investment income' is projected to be $149.75 million, also reflecting a 12.7% increase year over year [4] - 'Operating Revenue- Specialty Insurance Segment- Other income' is expected to reach $47.05 million, showing a slight increase of 0.1% [5] - 'Operating Revenue- Corporate & Other' is estimated at $15.07 million, suggesting a significant decline of 35.3% year over year [5] Title Insurance Segment Estimates - 'Operating Revenue- Title Insurance Segment- Net investment income' is forecasted at $16.44 million, a 6% increase from the prior year [6] - 'Operating Revenue- Title Insurance Segment' is expected to be $693.19 million, indicating a 2.1% year-over-year increase [7] Ratios and Performance Metrics - The 'Specialty Insurance Segment - Loss Ratio' is predicted to be 65.0%, up from 64.3% in the same quarter last year [7] - The 'Specialty Insurance Segment - Expense Ratio' is estimated at 28.6%, compared to 28.1% a year ago [7] - The 'Title Insurance Segment - Combined Ratio' is expected to be 96.8%, up from 95.4% in the previous year [8] - The 'Title Insurance Segment - Expense Ratio' is projected at 94.5%, compared to 93.1% last year [8] - The 'Specialty Insurance Segment - Combined Ratio' is estimated at 93.6%, compared to 92.4% a year ago [9] Stock Performance - Over the past month, Old Republic shares have recorded a return of -1.3%, while the Zacks S&P 500 composite has increased by 5.4% [10]

Management Changes - Old Republic Surety Company has appointed Steve Denault as President and Alan Pavlic as CEO, effective immediately [1] - Craig R. Smiddy, President and CEO of Old Republic International, praised Alan Pavlic for his contributions to the growth of Old Republic Surety and expressed optimism for continued profitable growth under Steve Denault's leadership [2] Leadership Background - Steve Denault joined Old Republic in January 2025, previously serving 33 years at COUNTRY Financial in various executive roles, including EVP and COO [2] - Alan Pavlic has been with Old Republic since 2005, initially as SVP, Claims General Counsel, and was promoted to President in 2013 [3] Company Overview - Old Republic is a leading specialty insurer, operating in property & casualty and title insurance sectors, and is a member of the Fortune 500 [4] - The company focuses on underwriting and risk management services across the United States and Canada, providing tailored solutions through its specialized operating companies [4]