Financial Data and Key Metrics Changes - The company reported a net income of $142 million in the second quarter, with a diluted earnings per share of $1.02, an increase from $0.98 in the first quarter [12] - Book value per share increased by 12% year over year to $33.18, reflecting strong financial performance [12] - Return on equity was reported at 12.5%, indicating robust business fundamentals [12] Business Line Data and Key Metrics Changes - The primary mortgage insurance in force reached an all-time high of $277 billion, contributing significantly to future earnings [7] - New insurance written for the quarter was $14.3 billion, marking a 3% increase compared to the same period last year [13] - The persistency rate for the mortgage insurance portfolio remained strong at 84% [13] Market Data and Key Metrics Changes - The housing market faces challenges such as supply constraints and elevated home prices, impacting affordability [7] - Despite these challenges, there is stability in the consumer and labor market, with positive employment trends and wage growth [8] - Demand for housing remains strong, particularly among first-time home buyers, as millennials enter their prime home-buying years [8] Company Strategy and Development Direction - The company emphasizes a disciplined approach to capital management and operational efficiency, leveraging proprietary data and analytics for strategic pricing decisions [10] - The recent passage of the One Big Beautiful Bill Act enhances affordability by making mortgage insurance premiums tax-deductible [10] - The company aims to bridge the gap to affordable homeownership through collaboration with policymakers and maintaining a strong capital position [11] Management's Comments on Operating Environment and Future Outlook - Management expressed a positive outlook for the mortgage insurance business, supported by strong credit performance and capital flexibility [6] - The company remains focused on writing new insurance that generates future earnings while maintaining portfolio health [14] - Management noted that the provision for losses remains positive, with strong cure activity and low claim levels [15] Other Important Information - The company paid a $200 million dividend to Radian Group in the second quarter and expects total distributions of up to $795 million in 2025 [19] - The holding company repurchased approximately 13.5 million shares, enhancing book value [20] - Available liquidity at the holding company was reported at $784 million, with a decline attributed to share repurchases [20] Q&A Session Summary Question: Liquidity at the holding company and capital return in the second half - Management indicated strong liquidity at $784 million, with some liquidity used for opportunistic share repurchases, while maintaining a careful approach to overall liquidity [23][25][26] Question: Sustainability of the $795 million dividend to the holding company - Management noted that the dividend from Radian Guaranty is driven by the statutory net income of the prior year, indicating that future dividends will depend on 2025's statutory net income [29] Question: Marks on loans held for sale affecting earnings - Management explained that the impact of mark-to-market adjustments on loans held for sale was approximately $9 million, primarily affecting the conduit business [35][36] Question: Timeline to breakeven for the title business - Management stated that the title business has shown growth quarter over quarter, while the real estate services segment has been impacted by higher rates [37][39]

Financial Performance - Radian Group's net income for Q2 2025 was $142 million, compared to $145 million in Q1 2025 and $152 million in Q2 2024[9] - The diluted net income per share was $1.02, and the adjusted diluted net operating income per share was $1.01[9] - The book value per share grew by 12% year-over-year to $33.18, compared to $29.66 as of June 30, 2024[9] - The return on equity was 12.5%, and the adjusted net operating return on equity was 12.4%[10] Mortgage Insurance - The primary mortgage insurance in force reached $276.7 billion, compared to $274.2 billion as of March 31, 2025, and $272.8 billion as of June 30, 2024[12] - Net mortgage insurance premiums earned were $234 million, consistent with $234 million in Q1 2025 and $235 million in Q2 2024[12] - New insurance written was $14.3 billion, compared to $9.5 billion in Q1 2025 and $13.9 billion in Q2 2024[14] Investment Portfolio - Total investments amounted to $6.5 billion, compared to $6.1 billion as of March 31, 2025, and $6.6 billion as of June 30, 2024[14] - Net investment income was $73 million, compared to $69 million in Q1 2025 and $74 million in Q2 2024[12] - The investment portfolio is diversified, with 41.2% allocated to corporate bonds and commercial paper, totaling $2.747 billion[36] Capital and Risk Management - Available holding company liquidity was $784 million, compared to $834 million as of March 31, 2025, and $1.2 billion as of June 30, 2024[10] - PMIERs excess available assets were $2.0 billion, compared to $2.1 billion as of March 31, 2025, and $2.2 billion as of June 30, 2024[10] - The holding company debt-to-capital ratio was 19.2%[56]

[Second Quarter 2025 Financial Highlights](index=1&type=section&id=Second%20Quarter%202025%20Financial%20Highlights) Radian Group reported robust financial performance in Q2 2025, driven by strong net income, diluted EPS, and record primary mortgage insurance in force [Consolidated Financial Performance](index=1&type=section&id=1.1%20Consolidated%20Financial%20Performance) Radian Group reported solid financial results in Q2 2025, with net income of $142 million and diluted EPS of $1.02, achieving a 12.5% return on equity and 12% YoY growth in book value per share to $33.18 Consolidated Financial Performance | Metric | Q2 2025 | Q2 2024 | Change (YoY) | | :--------------------------------- | :--------------- | :--------------- | :---------- | | Net Income (Million USD) | $142 | $152 | -6.6% | | Diluted Net Income Per Share | $1.02 | $0.98 | +4.1% | | Consolidated Pre-Tax Income (Million USD) | $175 | $188 | -6.9% | | Adjusted Pre-Tax Operating Income (Million USD) | $173 | $193 | -10.4% | | Adjusted Diluted Net Operating Income Per Share | $1.01 | $1.01 | 0.0% | | Return on Equity | 12.5% | 13.6% | -1.1 pp | | Adjusted Net Operating Return on Equity | 12.4% | 13.9% | -1.5 pp | | Book Value Per Share | $33.18 | $29.66 | +12.0% | | Primary Mortgage Insurance In Force (Billion USD) | $276.7 | $272.8 | +1.4% | - CEO Rick Thornberry highlighted a record **$277 billion** in primary mortgage insurance in force, a key driver for future profitability[7](index=7&type=chunk) [Mortgage Insurance Operational Highlights](index=3&type=section&id=1.2%20Mortgage%20Insurance%20Operational%20Highlights) Q2 2025 saw significant growth in new mortgage insurance written and an increased share of refinancing, alongside a decrease in primary delinquent loans but higher loss provisions and paid claims Mortgage Insurance Operational Highlights | Metric | Q2 2025 | Q1 2025 | Q2 2024 | Change (QoQ) | Change (YoY) | | :--------------------------------- | :--------------- | :--------------- | :--------------- | :--------- | :--------- | | New Insurance Written (NIW) (Million USD) | $14,330 | $9,489 | $13,902 | +51.0% | +3.1% | | Refinance as % of NIW | 5% | 4% | 2% | +1 pp | +3 pp | | Primary Mortgage Insurance In Force (Billion USD) | $276.7 | $274.2 | $272.8 | +0.9% | +1.4% | | Persistency (Last 12 Months) | 84% | 84% | 84% | 0 pp | 0 pp | | Net Premiums Earned - Mortgage Insurance (Million USD) | $234 | $234 | $235 | 0.0% | -0.4% | | Mortgage Insurance Provision for Losses (Million USD) | $12 | $15 | $(2) | -20.0% | N/A | | Favorable Provision Development from Prior Period Defaults (Million USD) | $36 | $38 | $50 | -5.3% | -28.0% | | Primary Delinquent Loans (Number) | 22,258 | 22,758 | 20,276 | -2.2% | +9.8% | | Loss Ratio | 5% | 7% | (1)% | -2 pp | +6 pp | | Mortgage Insurance Claims Paid (Million USD) | $7 | $4 | $6 | +75.0% | +16.7% | | Other Operating Expenses (Million USD) | $89 | $77 | $92 | +15.6% | -3.3% | - Other operating expenses increased quarter-over-quarter, primarily due to the timing of annual equity incentive grants in Q2 2025[8](index=8&type=chunk) [Capital and Liquidity Update](index=4&type=section&id=CAPITAL%20AND%20LIQUIDITY%20UPDATE) Radian Group actively managed capital through share repurchases and dividends, while Radian Guaranty maintained strong liquidity and PMIERs surplus [Radian Group Capital Actions](index=4&type=section&id=2.1%20Radian%20Group%20Capital%20Actions) Radian Group actively repurchased shares and paid common stock dividends in Q2 2025, securing an additional $750 million board authorization for continued capital return to shareholders - The company repurchased **7 million** common shares at a total cost of **$223 million** in Q2 2025[13](index=13&type=chunk) - As of June 30, 2025, the company had two share repurchase authorizations: **$113 million** remaining from the first, and an additional **$750 million** authorized in May 2025[13](index=13&type=chunk) - Common stock dividends of **$0.255 per share** were paid in Q2 2025, totaling **$35 million**[13](index=13&type=chunk) [Radian Guaranty Capital and Liquidity](index=4&type=section&id=2.2%20Radian%20Guaranty%20Capital%20and%20Liquidity) Radian Guaranty distributed $400 million to Radian Group in H1 2025, including a $200 million common dividend in Q2, while maintaining ample PMIERs available asset surplus - As of June 30, 2025, Radian Group held **$784 million** in available liquidity, including a **$275 million** unsecured revolving credit facility, totaling **$1.1 billion** in liquidity[13](index=13&type=chunk) - Radian Guaranty distributed **$400 million** to Radian Group in H1 2025, with **$200 million** as a common dividend in Q2 2025[13](index=13&type=chunk) - As of June 30, 2025, Radian Guaranty's total PMIERs available assets were **$6 billion**, with an excess of **$2 billion**[13](index=13&type=chunk) [Conference Call Information](index=4&type=section&id=CONFERENCE%20CALL) Radian will host a conference call on July 31, 2025, to discuss Q2 2025 financial results, with webcast and Q&A details provided [Conference Call Details](index=4&type=section&id=3.1%20Conference%20Call%20Details) Radian will host a conference call on Thursday, July 31, 2025, at 11:00 AM ET to discuss Q2 2025 financial results, with a webcast available on the company's website and dial-in options for Q&A - The conference call will be held on Thursday, July 31, 2025, at **11:00 AM ET**[10](index=10&type=chunk) - The call will be webcast live via the company's website at https://radian.com/who-we-are/for-investors/webcasts[10](index=10&type=chunk) - Participants interested in the Q&A session must register to receive dial-in numbers and a unique PIN[11](index=11&type=chunk) [Non-GAAP Financial Measures](index=5&type=section&id=NON-GAAP%20FINANCIAL%20MEASURES) Radian uses non-GAAP metrics to assess core financial performance and provide comparable operational results, with recent adjustments to calculation methods [Definition and Use](index=5&type=section&id=4.1%20Definition%20and%20Use) Radian utilizes non-GAAP financial measures like adjusted pre-tax operating income, adjusted diluted net operating income per share, and adjusted net operating return on equity to assess core financial performance and provide comparable operational results for management and the board - Non-GAAP measures are used to assess the company's core financial performance and provide more comparable information to peers[14](index=14&type=chunk) - Adjusted pre-tax operating income (loss) is defined as GAAP consolidated pre-tax income (loss) excluding the net gains or losses from investments and other financial instruments, and other non-operating items[15](index=15&type=chunk) - The calculation methods for adjusted diluted net operating income (loss) per share and adjusted net operating return on equity were revised in Q1 2025, no longer adjusting for differences between the company's statutory and effective tax rates[53](index=53&type=chunk) [About Radian](index=5&type=section&id=ABOUT%20RADIAN) Radian Group Inc. (NYSE: RDN) is a leading provider of mortgage insurance and comprehensive housing market services, facilitating homeownership through innovative solutions [Company Overview](index=5&type=section&id=5.1%20Company%20Overview) Radian Group Inc. (NYSE: RDN) facilitates homeownership by providing services and technology that empower housing and capital market participants to act with confidence, offering industry-leading mortgage insurance and comprehensive mortgage, risk, real estate, and title services - Radian Group Inc. (NYSE: RDN) is dedicated to facilitating homeownership through services and technology[17](index=17&type=chunk) - The company's business includes industry-leading mortgage insurance and comprehensive mortgage, risk, real estate, and title services[17](index=17&type=chunk) [Financial Results and Supplemental Information](index=6&type=section&id=FINANCIAL%20RESULTS%20AND%20SUPPLEMENTAL%20INFORMATION) This section provides detailed condensed consolidated financial statements, including operations, net income per share, and balance sheets for Radian Group Inc [Condensed Consolidated Statements of Operations](index=7&type=section&id=6.1%20Condensed%20Consolidated%20Statements%20of%20Operations) This section presents Radian Group Inc.'s condensed consolidated statements of operations, detailing revenue and expense components for Q2 2025 and prior quarters Condensed Consolidated Statements of Operations | Metric (Thousand USD) | Q2 2025 | Q1 2025 | Q4 2024 | Q3 2024 | Q2 2024 | | :----------------------- | :--------------- | :--------------- | :--------------- | :--------------- | :--------------- | | Total Revenue | $318,004 | $318,114 | $315,861 | $333,857 | $321,147 | | Net Premiums Earned | $237,520 | $236,679 | $238,562 | $239,133 | $237,731 | | Service Revenue | $10,924 | $12,116 | $12,250 | $12,167 | $13,265 | | Net Investment Income | $72,769 | $68,574 | $71,310 | $78,396 | $73,766 | | Provision for Losses | $12,097 | $15,167 | $(624) | $6,889 | $(1,745) | | Other Operating Expenses | $89,397 | $76,849 | $87,703 | $85,919 | $91,648 | | Pre-Tax Income | $175,013 | $188,440 | $189,126 | $195,392 | $188,123 | | Net Income | $141,796 | $144,558 | $148,291 | $151,892 | $151,903 | | Diluted Net Income Per Share | $1.02 | $0.98 | $0.98 | $0.99 | $0.98 | [Net Income Per Share](index=8&type=section&id=6.2%20Net%20Income%20Per%20Share) This section provides details on the calculation of basic and diluted net income per share for Radian Group Inc., including the average number of common shares used in the computation Net Income Per Share | Metric (Thousand USD, except per share amounts) | Q2 2025 | Q1 2025 | Q4 2024 | Q3 2024 | Q2 2024 | | :--------------------------------- | :--------------- | :--------------- | :--------------- | :--------------- | :--------------- | | Basic and Diluted Net Income | $141,796 | $144,558 | $148,291 | $151,892 | $151,903 | | Average Common Shares Outstanding—Basic | 137,376 | 145,618 | 150,302 | 151,846 | 153,110 | | Adjusted Average Common Shares Outstanding—Diluted | 138,360 | 147,727 | 151,912 | 153,073 | 154,399 | | Basic Net Income Per Share | $1.03 | $0.99 | $0.99 | $1.00 | $0.99 | | Diluted Net Income Per Share | $1.02 | $0.98 | $0.98 | $0.99 | $0.98 | [Condensed Consolidated Balance Sheets](index=9&type=section&id=6.3%20Condensed%20Consolidated%20Balance%20Sheets) This section presents Radian Group Inc.'s condensed consolidated balance sheets, outlining assets, liabilities, and shareholders' equity as of June 30, 2025, and prior periods Condensed Consolidated Balance Sheets | Metric (Thousand USD, except per share amounts) | June 30, 2025 | March 31, 2025 | Dec 31, 2024 | Sep 30, 2024 | June 30, 2024 | | :--------------------------------- | :--------------- | :--------------- | :--------------- | :--------------- | :--------------- | | Total Assets | $9,580,657 | $8,765,386 | $8,663,988 | $8,419,771 | $8,129,643 | | Investments | $6,484,692 | $6,113,792 | $6,345,236 | $6,497,180 | $6,588,149 | | Total Liabilities | $5,087,976 | $4,178,560 | $4,040,130 | $3,720,918 | $3,647,324 | | Total Shareholders' Equity | $4,492,681 | $4,586,826 | $4,623,858 | $4,698,853 | $4,482,319 | | Book Value Per Share | $33.18 | $32.48 | $31.33 | $31.37 | $29.66 | | Holding Company Debt-to-Capital Ratio | 19.2% | 18.9% | 18.7% | 18.5% | 25.2% | [Condensed Consolidated Statements of Operations Detail](index=10&type=section&id=Condensed%20Consolidated%20Statements%20of%20Operations%20Detail) This section offers a detailed breakdown of Radian Group Inc.'s operating statement components, including net premiums earned, service revenue, and various expenses [Net Premiums Earned](index=10&type=section&id=7.1%20Net%20Premiums%20Earned) This section detailed Radian Group Inc.'s net premiums earned, including direct mortgage insurance, ceded mortgage insurance, and title insurance premiums Net Premiums Earned | Metric (Thousand USD) | Q2 2025 | Q1 2025 | Q4 2024 | Q3 2024 | Q2 2024 | | :----------------------- | :--------------- | :--------------- | :--------------- | :--------------- | :--------------- | | Direct - Mortgage Insurance | $262,044 | $261,911 | $263,380 | $263,509 | $261,418 | | Ceded - Mortgage Insurance | $(28,518) | $(27,867) | $(28,104) | $(28,365) | $(26,600) | | Net Premiums Earned - Mortgage Insurance | $233,526 | $234,044 | $235,276 | $235,144 | $234,818 | | Net Premiums Earned - Title Insurance | $3,994 | $2,635 | $3,286 | $3,989 | $2,913 | | Total Net Premiums Earned | $237,520 | $236,679 | $238,562 | $239,133 | $237,731 | [Services Revenue](index=10&type=section&id=7.2%20Services%20Revenue) This section provides a breakdown of Radian Group Inc.'s services revenue, encompassing mortgage insurance contract underwriting services and other services like real estate, title, and real estate technology Services Revenue | Metric (Thousand USD) | Q2 2025 | Q1 2025 | Q4 2024 | Q3 2024 | Q2 2024 | | :----------------------- | :--------------- | :--------------- | :--------------- | :--------------- | :--------------- | | Mortgage Insurance - Contract Underwriting Services | $42 | $173 | $261 | $244 | $309 | | Real Estate Services | $6,187 | $8,055 | $7,733 | $7,876 | $8,777 | | Title | $4,013 | $3,261 | $3,645 | $3,427 | $3,540 | | Real Estate Technology | $682 | $627 | $611 | $620 | $639 | | Total Services Revenue | $10,924 | $12,116 | $12,250 | $12,167 | $13,265 | [Net Investment Income](index=10&type=section&id=7.3%20Net%20Investment%20Income) This section detailed Radian Group Inc.'s net investment income sources, including fixed maturity securities, equity securities, residential mortgage loans held for sale, and short-term investments Net Investment Income | Metric (Thousand USD) | Q2 2025 | Q1 2025 | Q4 2024 | Q3 2024 | Q2 2024 | | :----------------------- | :--------------- | :--------------- | :--------------- | :--------------- | :--------------- | | Fixed Maturity Securities | $57,835 | $56,714 | $57,238 | $59,348 | $57,924 | | Equity Securities | $2,634 | $2,145 | $3,350 | $3,047 | $3,067 | | Residential Mortgage Loans Held for Sale | $10,064 | $6,273 | $7,537 | $7,828 | $5,411 | | Short-Term Investments | $3,409 | $4,751 | $4,478 | $9,686 | $8,614 | | Total Net Investment Income | $72,769 | $68,574 | $71,310 | $78,396 | $73,766 | [Provision for Losses](index=11&type=section&id=7.4%20Provision%20for%20Losses) This section provides a breakdown of Radian Group Inc.'s provision for losses, covering current and prior period defaults related to mortgage insurance and title insurance Provision for Losses | Metric (Thousand USD) | Q2 2025 | Q1 2025 | Q4 2024 | Q3 2024 | Q2 2024 | | :----------------------- | :--------------- | :--------------- | :--------------- | :--------------- | :--------------- | | Mortgage Insurance - Current Period Defaults | $47,912 | $53,740 | $55,795 | $57,032 | $47,918 | | Mortgage Insurance - Prior Period Defaults | $(35,958) | $(38,400) | $(55,734) | $(50,686) | $(49,687) | | Total Mortgage Insurance | $11,954 | $15,340 | $61 | $6,346 | $(1,769) | | Title Insurance | $143 | $(173) | $(685) | $543 | $24 | | Total Provision for Losses | $12,097 | $15,167 | $(624) | $6,889 | $(1,745) | [Other Operating Expenses](index=11&type=section&id=7.5%20Other%20Operating%20Expenses) This section detailed Radian Group Inc.'s other operating expenses, including salaries, variable and equity incentive compensation, other general operating expenses, and ceded and title agency commissions Other Operating Expenses | Metric (Thousand USD) | Q2 2025 | Q1 2025 | Q4 2024 | Q3 2024 | Q2 2024 | | :----------------------- | :--------------- | :--------------- | :--------------- | :--------------- | :--------------- | | Salaries and Other Base Employee Costs | $36,025 | $36,038 | $32,561 | $32,851 | $41,431 | | Variable and Equity Incentive Compensation | $30,779 | $18,174 | $20,342 | $17,581 | $23,223 | | Other General Operating Expenses | $28,352 | $28,475 | $40,385 | $39,984 | $31,623 | | Ceded Commissions | $(7,075) | $(6,723) | $(6,620) | $(6,276) | $(5,957) | | Title Agency Commissions | $1,317 | $885 | $1,035 | $1,779 | $1,328 | | Total | $89,398 | $76,849 | $87,703 | $85,919 | $91,648 | [Interest Expense](index=11&type=section&id=7.6%20Interest%20Expense) This section provides a breakdown of Radian Group Inc.'s interest expense, including interest on senior notes, mortgage financing vehicles, FHLB advances, and revolving credit facilities Interest Expense | Metric (Thousand USD) | Q2 2025 | Q1 2025 | Q4 2024 | Q3 2024 | Q2 2024 | | :----------------------- | :--------------- | :--------------- | :--------------- | :--------------- | :--------------- | | Senior Notes | $15,810 | $15,800 | $15,791 | $20,945 | $21,156 | | Mortgage Financing Vehicles | $8,446 | $6,010 | $5,963 | $7,500 | $5,107 | | FHLB Advances | $877 | $425 | $403 | $538 | $544 | | Revolving Credit Facility | $741 | $264 | $356 | $408 | $257 | | Total Interest Expense | $25,874 | $22,499 | $22,513 | $29,391 | $27,064 | [Segment Information](index=12&type=section&id=Segment%20Information) This section presents financial performance and key ratios for Radian's Mortgage Insurance segment and All Other Activities segment, highlighting their respective contributions [Mortgage Insurance Segment](index=12&type=section&id=8.1%20Mortgage%20Insurance%20Segment) The Mortgage Insurance segment achieved **$190 million** in adjusted pre-tax operating income in Q2 2025, with stable net premiums earned despite increased loss provisions Mortgage Insurance Segment | Metric (Thousand USD) | Q2 2025 | Q1 2025 | Q4 2024 | Q3 2024 | Q2 2024 | | :--------------------------------- | :--------------- | :--------------- | :--------------- | :--------------- | :--------------- | | Net Premiums Earned | $233,526 | $234,044 | $235,276 | $235,144 | $234,818 | | Net Investment Income | $53,288 | $48,451 | $51,541 | $50,236 | $50,102 | | Provision for Losses | $11,954 | $15,340 | $61 | $6,346 | $(1,769) | | Adjusted Pre-Tax Operating Income | $189,522 | $194,293 | $215,207 | $203,543 | $198,763 | [All Other Activities Segment](index=12&type=section&id=8.2%20All%20Other%20Activities%20Segment) The All Other Activities segment reported an adjusted pre-tax operating loss of **$16.36 million** in Q2 2025, primarily due to net losses from investments and other financial instruments, alongside decreased service and net investment income All Other Activities Segment | Metric (Thousand USD) | Q2 2025 | Q1 2025 | Q4 2024 | Q3 2024 | Q2 2024 | | :--------------------------------- | :--------------- | :--------------- | :--------------- | :--------------- | :--------------- | | Net Premiums Earned | $3,994 | $2,635 | $3,286 | $3,989 | $2,913 | | Service Revenue | $10,990 | $12,033 | $12,088 | $12,001 | $13,064 | | Net Investment Income | $19,481 | $20,123 | $19,769 | $28,160 | $23,664 | | Net Gains (Losses) on Investments and Other Financial Instruments | $(6,704) | $1,287 | $(1,521) | $(4,611) | $(49) | | Adjusted Pre-Tax Operating Income (Loss) | $(16,361) | $(3,459) | $(6,370) | $(4,875) | $(6,080) | - “All Other Activities” includes income (loss) from holding company assets, unallocated corporate operating expenses, and the operating results of the mortgage conduit, title, real estate services, and real estate technology businesses[42](index=42&type=chunk)[51](index=51&type=chunk) [Selected Mortgage Insurance Key Ratios](index=15&type=section&id=8.3%20Selected%20Mortgage%20Insurance%20Key%20Ratios) This section provides key financial ratios for the Mortgage Insurance segment, including the loss ratio and expense ratio, reflecting its profitability and operational efficiency Selected Mortgage Insurance Key Ratios | Metric | Q2 2025 | Q1 2025 | Q4 2024 | Q3 2024 | Q2 2024 | | :----------------------- | :--------------- | :--------------- | :--------------- | :--------------- | :--------------- | | Loss Ratio | 5.1% | 6.6% | 0.0% | 2.7% | (0.8)% | | Expense Ratio | 29.7% | 24.8% | 24.2% | 23.7% | 28.5% | - The loss ratio is calculated as the provision for losses as a percentage of net premiums earned[50](index=50&type=chunk) - The expense ratio is calculated as operating expenses (including policy acquisition costs, other operating expenses, and allocated corporate operating expenses) as a percentage of net premiums earned[50](index=50&type=chunk) [Mortgage Insurance Supplemental Information](index=20&type=section&id=Mortgage%20Insurance%20Supplemental%20Information) This section provides detailed supplemental data for mortgage insurance, including new insurance written (NIW) and primary insurance in force (IIF) metrics [New Insurance Written (NIW)](index=20&type=section&id=9.1%20New%20Insurance%20Written%20(NIW)) New Insurance Written (NIW) reached **$14.33 billion** in Q2 2025, predominantly comprising direct monthly and other recurring premiums, with **94.6%** of NIW for purchase loans New Insurance Written (NIW) | Metric (Million USD) | Q2 2025 | Q1 2025 | Q4 2024 | Q3 2024 | Q2 2024 | | :--------------------------------- | :--------------- | :--------------- | :--------------- | :--------------- | :--------------- | | NIW | $14,330 | $9,489 | $13,186 | $13,493 | $13,902 | | NIW by Premium Type - Direct Monthly and Other Recurring Premiums | 96.4% | 96.4% | 96.4% | 95.9% | 96.5% | | NIW by Purpose - Purchase | 94.6% | 95.6% | 90.4% | 95.6% | 98.3% | | NIW by Purpose - Refinance | 5.4% | 4.4% | 9.6% | 4.4% | 1.7% | | NIW by FICO Score (>=740) | 68.2% | 68.1% | 71.7% | 69.5% | 69.4% | | NIW by LTV (90.01% to 95.00%) | 44.0% | 41.5% | 37.5% | 37.1% | 37.2% | [Primary Insurance in Force (IIF) and Risk in Force (RIF)](index=21&type=section&id=9.2%20Primary%20Insurance%20in%20Force%20(IIF)%20and%20Risk%20in%20Force%20(RIF)) Primary Insurance in Force (IIF) and Risk in Force (RIF) continued to grow through Q2 2025, with most RIF attributed to loans with higher FICO scores and moderate LTVs Primary Insurance in Force (IIF) and Risk in Force (RIF) | Metric (Million USD) | Q2 2025 | Q1 2025 | Q4 2024 | Q3 2024 | Q2 2024 | | :--------------------------------- | :--------------- | :--------------- | :--------------- | :--------------- | :--------------- | | Primary Insurance in Force (IIF) | $276,745 | $274,159 | $275,126 | $274,721 | $272,827 | | Primary Risk in Force (RIF) | $72,820 | $71,958 | $72,074 | $71,834 | $71,109 | | Primary RIF by Premium Type - Direct Monthly and Other Recurring Premiums | 90.3% | 90.1% | 90.0% | 89.8% | 89.5% | | Primary RIF by FICO Score (>=740) | 60.6% | 60.3% | 60.1% | 59.6% | 59.2% | | Primary RIF by LTV (90.01% to 95.00%) | 48.0% | 47.9% | 47.9% | 48.0% | 48.1% | | Persistency (Last 12 Months) | 83.8% | 83.7% | 83.6% | 84.4% | 84.3% | | Persistency (Quarterly, Annualized) | 83.8% | 85.7% | 82.7% | 84.1% | 83.5% | [Forward-Looking Statements](index=22&type=section&id=FORWARD-LOOKING%20STATEMENTS) This report contains forward-looking statements subject to various risks and uncertainties, and the company disclaims any obligation to update or revise these projections [Nature and Risks of Forward-Looking Statements](index=22&type=section&id=10.1%20Nature%20and%20Risks%20of%20Forward-Looking%20Statements) This report contains forward-looking statements regarding future events, developments, or results, based on management's current views and assumptions, but subject to various risks and uncertainties that could cause actual results to differ materially, with no obligation to update or revise them - Forward-looking statements involve expected future events, developments, or results and are not guarantees of future performance[70](index=70&type=chunk) - Key risks and uncertainties include the health of the U.S. housing market, changes in economic conditions, regulatory and legislative actions, PMIERs compliance, ability to execute capital plans, competition, and information technology system security[70](index=70&type=chunk)[72](index=72&type=chunk) - The company undertakes no obligation to update or revise any forward-looking statements and advises investors to refer to the “Risk Factors” section in its annual report on Form 10-K filed with the SEC[71](index=71&type=chunk)

Company Overview - Radian (RDN) is expected to report a year-over-year decline in earnings, with a projected earnings per share (EPS) of $0.93, reflecting a decrease of 6.1% compared to the previous year [3][12] - Revenue for the quarter is anticipated to be $316.6 million, which represents a 1.4% increase from the same quarter last year [3] Earnings Expectations - The earnings report is scheduled for release on July 30, and the actual results will significantly influence the stock price, depending on whether they meet or exceed expectations [2][12] - The consensus EPS estimate has remained unchanged over the last 30 days, indicating stability in analyst expectations [4] Earnings Surprise Prediction - Radian's Most Accurate Estimate is lower than the Zacks Consensus Estimate, resulting in an Earnings ESP of -4.87%, suggesting a bearish outlook from analysts [12] - The stock currently holds a Zacks Rank of 3 (Hold), complicating predictions of an earnings beat [12] Historical Performance - In the last reported quarter, Radian exceeded the consensus EPS estimate of $0.95 by delivering earnings of $0.99, resulting in a surprise of +4.21% [13] - Over the past four quarters, Radian has successfully beaten consensus EPS estimates each time [14] Industry Context - Another player in the insurance sector, Principal Financial (PFG), is expected to report earnings of $1.98 per share, indicating a year-over-year increase of 21.5%, with revenues projected at $4 billion, down 1.7% from the previous year [18] - Principal Financial's consensus EPS estimate has been revised 0.3% higher in the last 30 days, but a lower Most Accurate Estimate has led to an Earnings ESP of -1.14%, making it difficult to predict an earnings beat [19]

Core Insights - Radian Group Inc. (RDN) shares closed at $36.32, near its 52-week high, indicating strong investor confidence and potential for further price appreciation [1] - The stock is trading above its 50-day and 200-day simple moving averages, suggesting solid upward momentum [1] Company Performance - RDN has gained 14.5% year to date, outperforming its industry and the Finance sector, which grew by 7.7% and 8.9%, respectively [3][4] - The company has outperformed peers such as Old Republic International Corporation (3.7% gain), MetLife, Inc. (2.1% loss), and Assurant, Inc. (10% loss) [4] Market Outlook - The private mortgage insurance market is expected to remain around $300 billion in 2025, with RDN focusing on core, fee-based businesses for growth [7][18] - RDN's revenue for 2025 is estimated at $1.26 billion, reflecting a year-over-year improvement of 0.9% [9] Valuation Metrics - RDN shares are trading at a forward price-to-book value of 1.12X, significantly lower than the industry average of 2.73X and the Finance sector's 4.27X [8] - The average price target for RDN is $36.83, suggesting a potential upside of 0.74% from the last closing price [11] Analyst Sentiment - One of the two analysts covering RDN has raised estimates for 2025 and 2026, leading to a 1.06% and 1.3% increase in consensus estimates, respectively [10] Financial Health - RDN has been strengthening its capital position through capital contributions and reinsurance transactions, allowing for dividend hikes and share buybacks [17] - The company has increased its quarterly dividend by 4.1% in Q1 2025, marking the sixth consecutive year of dividend increases, with a current yield of 2.8% [19] Growth Drivers - New business growth and rising annual persistency rates are expected to expand RDN's insurance-in-force portfolio [7][16] - The company has a solid track record of beating earnings estimates, averaging a 12.45% surprise over the last four quarters [9]

Core Insights - Radian Group Inc. (RDN) shares closed at $34.24, near its 52-week high, indicating strong investor confidence and potential for further price appreciation [1] - The stock is trading above its 50-day and 200-day simple moving averages, suggesting solid upward momentum [1] Company Performance - Radian Group has a market capitalization of $4.6 billion, with an average trading volume of 1.7 million shares over the last three months [2] - Year-to-date, RDN shares have gained 7.9%, outperforming the Finance sector's growth of 4.8% and the Zacks S&P 500 composite's decline of 0.3% [5][6] - Compared to peers, RDN has outperformed Old Republic International Corporation (3.9% gain), while MetLife, Inc. and Assurant, Inc. have seen losses of 3.6% and 6.2%, respectively [7] Valuation Metrics - RDN shares are trading at a forward price-to-book value of 1.05X, significantly lower than the industry average of 2.44X and the Finance sector's 4.06X, indicating a better entry point for investors [10] Growth Projections - The Zacks Consensus Estimate for Radian Group's 2025 revenues is $1.26 billion, reflecting a year-over-year improvement of 0.9% [11] - Earnings per share and revenues for 2026 are projected to increase by 3% and 3.2%, respectively, compared to 2025 estimates [11] - Radian Group has a strong track record of beating earnings estimates, averaging a 12.45% surprise over the last four quarters [11] Analyst Sentiment - One of the two analysts covering RDN has lowered estimates for 2025 and 2026, resulting in a 0.2% decrease in the 2025 earnings estimate and a 0.7% decrease for 2026 [12] Business Strategy - Radian Group is focusing on core business areas with higher growth potential, ensuring a predictable and recurring fee-based revenue stream [15] - The company is experiencing a decline in claim filings, which is expected to strengthen its balance sheet and improve its financial profile [16] Capital Position - Radian Group is enhancing its capital position through capital contributions and reinsurance transactions, allowing for dividend hikes and share buybacks [17] Dividend Performance - The company has increased its quarterly dividend by 4.1% in Q1 2025, marking the sixth consecutive year of dividend increases, with a current yield of 2.9%, surpassing the industry average of 2.6% [22] Market Outlook - The private mortgage insurance market is expected to grow by approximately 10% in 2025 compared to 2024, favoring mortgage insurers in the long term [21]

Core Viewpoint - Radian Group Inc. has authorized a new $750 million share buyback program, reflecting confidence in its financial strength and capital flexibility, while also increasing its quarterly dividend by 4.1% [1][4][3]. Group 1: Share Buyback Program - The board of directors has approved a new share repurchase program of $750 million, which will expire on December 31, 2027, bringing the total repurchase authority to approximately $863 million [1][2]. - Since 2020, Radian Group has repurchased 74 million shares for $1.8 billion, representing over 36% of shares outstanding as of January 1, 2020 [2][3]. - As of March 31, 2025, Radian repurchased shares for $207 million, with $336 million remaining under the current program [3]. Group 2: Dividend Increase - The board has approved a quarterly dividend of 25.5 cents per share, to be paid on June 17, 2025, to stockholders of record as of June 2 [4]. - This marks the sixth consecutive year of dividend increases, with the dividend more than doubling over the past five years and a six-year CAGR of 13% [4]. - Radian's current dividend yield stands at 3.1%, surpassing the industry average of 2.5%, making it attractive for yield-seeking investors [4]. Group 3: Financial Position and Growth - Radian Group maintains a solid balance sheet with sufficient liquidity and strong cash flows, enabling effective capital deployment through share repurchases and dividend hikes [3][5]. - The company is well-positioned to return capital to stockholders while pursuing growth initiatives and delivering innovative products and services [5]. - An improving mortgage insurance portfolio, declining claims, and a solid capital position are expected to contribute to impressive results for the insurer [5]. Group 4: Stock Performance - Radian's stock has gained 4.3% year-to-date, underperforming the industry and sector returns of 5.7%, but outperforming the Zacks S&P 500 composite growth of 0.2% [6][8].

Group 1 - Radian Group (NYSE: RDN) shares have performed well over the past year, with a gain of approximately 12% [1] - After a brief decline in early April, Radian's shares have recovered and are now above "Liberation Day" levels, attributed to the company's lack of tariff exposure [1] - The company has over fifteen years of experience in making contrarian bets based on macro views and stock-specific turnaround stories, aiming for outsized returns with a favorable risk/reward profile [1]

[PART I—FINANCIAL INFORMATION](index=9&type=section&id=PART%20I%E2%80%94FINANCIAL%20INFORMATION) Presents Radian's unaudited condensed consolidated financial statements, management's discussion and analysis, market risk, and control disclosures for Q1 2025 [Item 1. Financial Statements (Unaudited)](index=9&type=section&id=Item%201.%20Financial%20Statements%20(Unaudited)) Presents Radian's unaudited condensed consolidated financial statements for Q1 2025, including balance sheets, income statements, cash flows, and detailed notes [Condensed Consolidated Financial Statements](index=10&type=section&id=Condensed%20Consolidated%20Financial%20Statements) Radian reported Q1 2025 net income of $144.6 million, or $0.98 per diluted share, with total assets increasing to $8.77 billion Key Financial Highlights (Q1 2025 vs Q1 2024) | Financial Metric | Q1 2025 | Q1 2024 | | :--- | :--- | :--- | | Total Revenues | $318.1 million | $319.4 million | | Net Income | $144.6 million | $152.4 million | | Diluted Net Income Per Share | $0.98 | $0.98 | Condensed Consolidated Balance Sheet Summary | Balance Sheet Item | March 31, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Total Investments | $6.11 billion | $6.35 billion | | Total Assets | $8.77 billion | $8.66 billion | | Total Liabilities | $4.18 billion | $4.04 billion | | Total Stockholders' Equity | $4.59 billion | $4.62 billion | [Note 1: Description of Business](index=16&type=section&id=Note%201%3A%20Description%20of%20Business) Radian's primary business is its Mortgage Insurance segment, providing credit-related insurance, with $274.2 billion in force as of March 31, 2025 - The company's primary business is its Mortgage Insurance segment, providing credit-related insurance coverage through its subsidiary, Radian Guaranty[29](index=29&type=chunk)[30](index=30&type=chunk) - Total direct primary mortgage insurance in force (IIF) was **$274.2 billion** and risk in force (RIF) was **$72.0 billion** as of March 31, 2025[32](index=32&type=chunk) [Note 4: Segment Reporting](index=18&type=section&id=Note%204%3A%20Segment%20Reporting) The Mortgage Insurance segment's adjusted pretax operating income decreased in Q1 2025 due to a higher provision for losses, resulting in a 6.6% loss ratio Mortgage Insurance Segment Performance (Q1 2025 vs Q1 2024) | Metric | Q1 2025 | Q1 2024 | | :--- | :--- | :--- | | Adjusted Pretax Operating Income | $194.3 million | $209.9 million | | Total Revenues | $284.3 million | $285.0 million | | Provision for Losses | $15.3 million | ($6.9 million) | | Loss Ratio | 6.6% | (2.9)% | | Expense Ratio | 24.8% | 25.0% | [Note 7: Residential Mortgage Loans](index=29&type=section&id=Note%207%3A%20Residential%20Mortgage%20Loans) Radian's mortgage conduit subsidiary held $279 million in residential mortgage loans for sale and closed its third private label securitization in Q1 2025 - The carrying value of residential mortgage loans held for sale was **$279 million** at March 31, 2025, down from **$520 million** at December 31, 2024[93](index=93&type=chunk) - In Q1 2025, the company closed its third private label securitization transaction (RMCT 2025-J1), issuing **$368 million** of mortgage pass-through certificates, with the special purpose vehicles for these securitizations consolidated as VIEs[104](index=104&type=chunk)[105](index=105&type=chunk) - Total income from consolidated VIEs was **$428,000** for Q1 2025[114](index=114&type=chunk) [Note 8: Reinsurance](index=32&type=section&id=Note%208%3A%20Reinsurance) Radian utilizes Quota Share and Excess-of-Loss reinsurance programs to manage risk, with new QSR agreements for policies written from July 2025 through June 2028 - In April 2025, Radian Guaranty agreed to terms on three new QSR agreements to cede a percentage of NIW over three sequential one-year periods starting July 1, 2025[129](index=129&type=chunk) RIF Ceded under QSR Program (as of March 31, 2025) | Agreement | RIF Ceded (in millions) | | :--- | :--- | | 2024 QSR | $2,181 | | 2023 QSR | $2,453 | | 2022 QSR | $3,954 | | Single Premium QSR (Combined) | $2,986 | Remaining Coverage under XOL Program (as of March 31, 2025) | Agreement | Remaining Coverage (in millions) | | :--- | :--- | | Eagle Re 2023-1 Ltd. | $312 | | Eagle Re 2021-2 Ltd. | $224 | | Eagle Re 2021-1 Ltd. | $136 | | 2023 XOL Agreement | $150 | [Note 11: Losses and LAE](index=38&type=section&id=Note%2011%3A%20Losses%20and%20LAE) The provision for losses increased to $15.2 million in Q1 2025 due to a 6% rise in new primary defaults and less favorable reserve development Provision for Losses (Q1 2025 vs Q1 2024) | Component | Q1 2025 | Q1 2024 | | :--- | :--- | :--- | | Mortgage Insurance | $15.3 million | ($6.9 million) | | Title Insurance | ($0.2 million) | ($0.1 million) | | **Total Provision for Losses** | **$15.2 million** | **($7.0 million)** | - New primary default notices increased by **6%** to **12,505** in Q1 2025 from **11,756** in Q1 2024, attributed to natural portfolio seasoning[163](index=163&type=chunk) - Favorable reserve development on prior year defaults continued to positively impact the provision in Q1 2025, but to a lesser extent than in Q1 2024, primarily due to favorable cure trends[165](index=165&type=chunk) [Note 12: Borrowings and Financing Activities](index=40&type=section&id=Note%2012%3A%20Borrowings%20and%20Financing%20Activities) Radian's total borrowings were $1.34 billion as of March 31, 2025, with interest expense decreasing due to a lower senior notes balance Borrowings as of March 31, 2025 | Debt Type | Carrying Value (in thousands) | | :--- | :--- | | Senior Notes due 2027 | $447,734 | | Senior Notes due 2029 | $618,231 | | **Total Senior Notes** | **$1,065,965** | | Mortgage loan financing facilities | $240,545 | | FHLB advances | $32,122 | | **Total Secured Borrowings** | **$272,667** | [Note 14: Capital Stock](index=42&type=section&id=Note%2014%3A%20Capital%20Stock) In Q1 2025, Radian repurchased 6.5 million shares for $209 million and increased its quarterly dividend to $0.255 per share - The company purchased **6.5 million shares** at an average price of **$32.07 per share** during Q1 2025[187](index=187&type=chunk) - The quarterly dividend was increased by **$0.01** to **$0.255 per share**, effective with the Q1 2025 payment[189](index=189&type=chunk) - At the end of Q1 2025, **$336 million** remained under the **$900 million** share repurchase authorization[187](index=187&type=chunk) [Note 16: Statutory Information](index=44&type=section&id=Note%2016%3A%20Statutory%20Information) Radian's insurance subsidiaries maintained compliance with capital requirements, with Radian Guaranty's PMIERs cushion at $2.1 billion and a 10.2:1 risk-to-capital ratio - Radian Guaranty's risk-to-capital ratio was **10.2:1** as of March 31, 2025, well below the typical 25:1 limit[197](index=197&type=chunk) - The company was in compliance with PMIERs, with Available Assets of **$6.0 billion** exceeding Minimum Required Assets by **$2.1 billion** (a **53% cushion**) as of March 31, 2025[198](index=198&type=chunk)[336](index=336&type=chunk) - Radian Guaranty received approval for and paid a **$200 million** return of capital distribution to Radian Group in Q1 2025[201](index=201&type=chunk) [Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations](index=46&type=section&id=Item%202.%20Management's%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Provides management's analysis of Radian's financial condition and operating results, including mortgage insurance portfolio metrics, consolidated performance, liquidity, and capital resources [Mortgage Insurance Portfolio Metrics](index=47&type=section&id=Mortgage%20Insurance%20Portfolio%20Metrics) New insurance written decreased by 18% in Q1 2025, while primary insurance in force remained stable, and reinsurance programs provided a significant PMIERs benefit New Insurance Written (NIW) | Period | NIW (in billions) | YoY Change | | :--- | :--- | :--- | | Q1 2025 | $9.5 | -18% | | Q1 2024 | $11.5 | N/A | Insurance in Force (IIF) and Persistency | Metric | March 31, 2025 | March 31, 2024 | | :--- | :--- | :--- | | Primary IIF | $274.2 billion | $271.0 billion | | 12-Month Persistency Rate | 83.7% | 84.3% | - Reinsurance programs reduced PMIERs Minimum Required Assets by **$1.43 billion**, or **26.6%** of the gross requirement, as of March 31, 2025[236](index=236&type=chunk) [Results of Operations—Consolidated](index=51&type=section&id=Results%20of%20Operations%E2%80%94Consolidated) Consolidated net income decreased to $144.6 million in Q1 2025 due to an unfavorable swing in the provision for losses, though diluted EPS remained flat Consolidated Results Summary (Q1 2025 vs Q1 2024) | Metric | Q1 2025 | Q1 2024 | | :--- | :--- | :--- | | Net Income | $144.6 million | $152.4 million | | Diluted EPS | $0.98 | $0.98 | | Adjusted Pretax Operating Income | $190.8 million | $202.8 million | | Adjusted Diluted Net Operating EPS | $0.99 | $1.00 | [Results of Operations—Mortgage Insurance](index=55&type=section&id=Results%20of%20Operations%E2%80%94Mortgage%20Insurance) The Mortgage Insurance segment's adjusted pretax operating income declined due to an increased provision for losses, resulting in a 6.6% loss ratio - Net premiums earned were flat YoY at approximately **$234 million**, as growth in the in-force portfolio was offset by higher ceded premiums[267](index=267&type=chunk)[268](index=268&type=chunk) Mortgage Insurance Provision for Losses | Component | Q1 2025 | Q1 2024 | | :--- | :--- | :--- | | Current Period Defaults | $53.7 million | $53.7 million | | Prior Period Defaults (Favorable Development) | ($38.4 million) | ($60.6 million) | | **Total Provision for Losses** | **$15.3 million** | **($6.9 million)** | - The expense ratio was stable at **24.8%** in Q1 2025 compared to **25.0%** in Q1 2024[298](index=298&type=chunk) [Liquidity and Capital Resources](index=61&type=section&id=Liquidity%20and%20Capital%20Resources) Radian Group maintained strong liquidity with $1.1 billion in available funds, while Radian Guaranty's PMIERs cushion remained robust at $2.1 billion - Radian Group (holding company) had available liquidity of **$1.1 billion** as of March 31, 2025, which includes **$834 million** in cash and liquid investments and a **$275 million** undrawn revolving credit facility[310](index=310&type=chunk) - Key uses of cash in Q1 2025 included **$207 million** for share repurchases and **$38 million** for dividends[321](index=321&type=chunk)[315](index=315&type=chunk) Capital Adequacy (Radian Guaranty) | Metric | March 31, 2025 | December 31, 2024 | | :--- | :--- | :--- | | PMIERs Cushion | $2.1 billion (53%) | $2.2 billion (56%) | | Risk-to-Capital Ratio | 10.2:1 | 10.2:1 | [Item 3. Quantitative and Qualitative Disclosures About Market Risk](index=66&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) The company's market risk exposures, primarily related to interest rate and credit risk, have not materially changed from prior disclosures - Market risk exposures at March 31, 2025, have not materially changed from those identified in the 2024 Form 10-K[346](index=346&type=chunk) [Item 4. Controls and Procedures](index=67&type=section&id=Item%204.%20Controls%20and%20Procedures) Management concluded that the company's disclosure controls and procedures were effective as of March 31, 2025, with no material changes to internal controls - The CEO and CFO concluded that as of March 31, 2025, the company's disclosure controls and procedures were effective[349](index=349&type=chunk) - No material changes to internal control over financial reporting occurred in Q1 2025[350](index=350&type=chunk) [PART II—OTHER INFORMATION](index=68&type=section&id=PART%20II%E2%80%94OTHER%20INFORMATION) Covers legal proceedings, risk factors, equity sales, other information, and exhibits for the quarter [Item 1. Legal Proceedings](index=68&type=section&id=Item%201.%20Legal%20Proceedings) The company is routinely involved in legal and regulatory matters, but management expects no material adverse effect on financial condition or operations - The company is involved in routine legal actions and regulatory inquiries, but management does not expect them to have a material adverse effect[352](index=352&type=chunk)[180](index=180&type=chunk) [Item 1A. Risk Factors](index=68&type=section&id=Item%201A.%20Risk%20Factors) No material changes to risk factors were reported, though recent executive actions and trade policies could exacerbate existing risks - No material changes to risk factors were reported, but the company highlighted that recent executive orders and trade policies could exacerbate existing risks[353](index=353&type=chunk) [Item 2. Unregistered Sales of Equity Securities and Use of Proceeds](index=68&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) Radian repurchased 6.5 million shares for $209 million in Q1 2025, with $336 million remaining under the current share repurchase authorization Share Repurchase Activity (Q1 2025) | Month | Shares Purchased | Average Price Paid | | :--- | :--- | :--- | | January 2025 | 2,577,018 | $31.75 | | February 2025 | 2,449,779 | $32.77 | | March 2025 | 1,432,353 | $31.46 | | **Total** | **6,459,150** | **N/A** | [Item 5. Other Information](index=69&type=section&id=Item%205.%20Other%20Information) Two company insiders adopted Rule 10b5-1 trading plans to sell common stock during the quarter - Director Lisa W. Hess and General Counsel Edward J. Hoffman each adopted a Rule 10b5-1 trading plan during Q1 2025[361](index=361&type=chunk) [Item 6. Exhibits](index=70&type=section&id=Item%206.%20Exhibits) This section lists the exhibits filed with the Form 10-Q, including CEO/CFO certifications and XBRL data files

Core Viewpoint - Radian Group reported a first-quarter 2025 adjusted operating income of 99 cents per share, exceeding the Zacks Consensus Estimate by 4.2%, despite a year-over-year decrease of 3.9% in earnings [1] Financial Performance - Operating revenues remained flat year over year at $306 million, missing the Zacks Consensus Estimate by 6.4% [2] - Net premiums earned were $234 million, unchanged from the previous year, while net investment income decreased by 0.9% year over year to $68.6 million [2] - Mortgage insurance new insurance written fell by 17.7% year over year to $9.5 billion [2] - Primary mortgage insurance in force reached an all-time high of $274.2 billion, reflecting a 1.2% increase year over year [2] Persistency and Delinquency - Persistency, defined as the percentage of mortgage insurance in force after 12 months, was 83.7%, down 60 basis points year over year [3] - Primary delinquent loans increased by 9.2% year over year to 22,758, while the default rate improved to 2.3% due to favorable credit trends [3] Expense and Loss Ratios - Total expenses rose by 7.4% year over year to $125.7 million, primarily due to higher provisions for losses [3] - The loss ratio for the first quarter was 7%, compared to 3% in the same quarter last year, while the expense ratio improved by 20 basis points to 24.8 [4] Segment Performance - The Mortgage segment's total revenues were $284.3 million, a decrease of 0.3% year over year, with net premiums earned remaining flat at $234 million [5] - Claims paid in the Mortgage segment increased by 33.3% year over year to $4 million, resulting in a loss ratio of 6.6% compared to -2.9% in the prior year [5] - The All Other segment reported revenues of $36 million, up 4.4% year over year, with net premiums earned increasing by 41.8% to $2.6 million [6] Financial Position - As of March 31, 2025, Radian Group had a cash balance of $28.2 million, down 41% from the end of 2024 [7] - The debt-to-capital ratio increased by 20 basis points to 18.9% from the end of 2024 [7] - Book value per share rose by 11% year over year to $32.48 [7] - The adjusted net operating return on equity was 12.7%, a contraction of 140 basis points [7] Shareholder Returns - In the first quarter of 2025, Radian repurchased 6.5 million shares for $207 million, with remaining purchase authority of up to $336 million [10] - A quarterly dividend of 25.5 cents per share was declared in the first quarter of 2025 [10]