Key Takeaways RNR posted Q4 operating income of $13.34 per share, beating estimates by 26% with a 65.5% YoY surge.Lower claims cut total expenses 28.1%, lifting underwriting income and improving the combined ratio.Premiums fell across Property and Casualty & Specialty, but net investment income rose 4.2%. RenaissanceRe Holdings Ltd. (RNR) reported fourth-quarter 2025 operating income of $13.34 per share, which surpassed the Zacks Consensus Estimate by 26%. The bottom line surged 65.5% year over year. Total ...

Financial Data and Key Metrics Changes - Operating income for 2025 was reported at $1.9 billion, with an operating return on equity (ROE) of 18% and tangible book value per share plus accumulated dividends growing by 30% [4][5][16] - The company repurchased $650 million of its shares during the fourth quarter, representing 13% of its shares over the course of 2025 [5][6] - The cumulative return on shares since the Validus acquisition has been around 30% [6] Business Line Data and Key Metrics Changes - Underwriting income for the year was $1.3 billion, with a combined ratio of 85% [16][17] - Fee income reached $329 million for the year, with management fees at $207 million and performance fees at $121 million [21][22] - Retained net investment income for the year was $1.2 billion, up 4% from the previous year [23] Market Data and Key Metrics Changes - Property CAT rates were down in the low teens percentage, but the company found opportunities to grow, keeping top-line premium and property CAT down only in the mid-single digits [10][11] - The underwriting portfolio is roughly one-third larger compared to the previous year, with retained net investment income tripling and fee income more than doubling [11] Company Strategy and Development Direction - The company aims to maintain or grow its property business, focus on preserving underwriting margins, and continue to grow fees in its Capital Partners business [12] - The strategy for 2026 includes executing a gross-to-net strategy to arbitrage competitive CAT-bond markets and retro markets [12] - The company is upgrading its underwriting system to be more customer-centric and leveraging artificial intelligence [7] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's ability to deliver consistent, superior returns to shareholders, citing the diversified sources of income as a key strength [11][40] - The company anticipates that each of its three drivers of profit will remain robust sources of income in 2026 [40] Other Important Information - The company incurred a 15% corporate income tax in Bermuda for the first time in 2025, but still managed to produce excellent returns [24][25] - The Bermuda government introduced substance-based tax credits that will positively impact the company's results [25][26] Q&A Session Summary Question: Property CAT premiums expectation for 2026 - Management confirmed that they expect premiums to be down mid-single digits for the year, with continued rate reductions anticipated during mid-year renewals [42] Question: Expense ratio guidance - The expense ratio guidance for 2026 is expected to be between 5%-5.5%, including the benefit of Bermuda tax credits [43][44] Question: Gold investment and its impact - Management indicated that the gold position serves as a hedge against underwriting and interest rate risks, and they do not have a specific exit price target [48][49] Question: Capital deployment in property risk for 2026 - Management plans to hold risk relatively flat for the Southeast Hurricane, with potential adjustments based on market opportunities [51] Question: Expected returns and rate adequacy in property CAT - Management stated that rate adequacy remains strong despite recent rate declines, and they will focus on selecting the best opportunities for portfolio construction [55][56]

RenaissanceRe (NYSE:RNR) Q4 2025 Earnings call February 04, 2026 11:00 AM ET Company ParticipantsBob Qutub - EVP and CFODavid Marra - EVP and Group Chief Underwriting OfficerElyse Greenspan - Managing DirectorKeith McCue - SVP of Finance and Investor RelationsKevin J. O'Donnell - President and CEOMatthew Heimermann - Managing DirectorMeyer Shields - Managing DirectorRobert Cox - VP in Equity ResearchRyan Tunis - Managing DirectorConference Call ParticipantsJoshua Shanker - US Insurance Equity Research Analy ...

RenaissanceRe (NYSE:RNR) Q4 2025 Earnings call February 04, 2026 11:00 AM ET Speaker2Good morning. My name is Nikki, and I will be your conference operator today. At this time, I would like to welcome everyone to the RenaissanceRe fourth quarter and year-end 2025 earnings conference call and webcast. After the prepared remarks, we will open the call for your questions. Instructions will be given at that time. Lastly, if you should need operator assistance, please press star zero. Thank you. I will now turn ...

RenaissanceRe Holdings Ltd. Contents | | Page | | --- | --- | | Basis of Presentation | i | | Financial Highlights | 1 | | Summary Consolidated Financial Statements | | | a. Consolidated Statements of Operations | 3 | | b. Consolidated Balance Sheets | 4 | | Underwriting and Reserves | | | a. Segment Underwriting Results | 5 | | b. Segment Underwriting Results - Five Quarter Trend | 7 | | c. Property Segment - Catastrophe and Other Property Underwriting Results | 10 | | d. Gross Premiums Written | 12 | | e. ...

RenaissanceRe Holdings Ltd. (NYSE:RNR) is one of the most undervalued quality stocks to buy right now. On January 14, Cantor Fitzgerald increased its price target for RenaissanceRe to $282 from $252 with a Neutral rating. The firm suggested that the initial positive outlook for insurance brokers may have been premature and noted that near-term fundamentals are likely to decline before they improve. Although the firm continues to find the subgroup interesting, it anticipates negative revisions to consensus ...

Core Insights - RenaissanceRe reported a revenue of $2.78 billion for the quarter ended December 2025, reflecting a 6% decrease year-over-year, and an EPS of $13.34, up from $8.06 in the same quarter last year [1] - The revenue fell short of the Zacks Consensus Estimate of $2.95 billion, resulting in a surprise of -5.65%, while the EPS exceeded the consensus estimate of $10.59 by 25.97% [1] Financial Performance Metrics - The Underwriting Expense Ratio for Casualty and Specialty was 32.4%, better than the average estimate of 34.2% from three analysts [4] - The Underwriting Expense Ratio for Property was reported at 27.9%, compared to the average estimate of 28.7% [4] - The Combined Ratio for Property was significantly lower at 21.8%, against the average estimate of 63.5% [4] - The Net Claims and Claim Expense Ratio for Casualty and Specialty stood at 71.1%, higher than the average estimate of 67.1% [4] - The overall Combined Ratio was 71.4%, compared to the average estimate of 86% [4] - The Combined Ratio for Casualty and Specialty was 103.5%, slightly above the average estimate of 101.4% [4] - The Underwriting Expense Ratio overall was 30.7%, compared to the average estimate of 32% [4] Premiums and Investment Income - Net premiums earned in Casualty and Specialty were $1.42 billion, below the average estimate of $1.49 billion, marking a 10.9% decline year-over-year [4] - Net premiums earned in Property were $918.78 million, also below the average estimate of $1.01 billion, reflecting a 2.1% decrease compared to the previous year [4] - Net investment income was reported at $446.66 million, slightly above the average estimate of $439.41 million, showing a year-over-year increase of 4.2% [4] - Equity in earnings (losses) of other ventures was $20.62 million, exceeding the average estimate of $10.01 million, representing a significant year-over-year increase of 40.7% [4] - Total net premiums earned were $2.33 billion, lower than the average estimate of $2.5 billion, indicating a 7.6% decline compared to the year-ago quarter [4] Stock Performance - RenaissanceRe shares have returned +2.5% over the past month, outperforming the Zacks S&P 500 composite's +1.8% change [3] - The stock currently holds a Zacks Rank 3 (Hold), suggesting it may perform in line with the broader market in the near term [3]

RenaissanceRe (RNR) came out with quarterly earnings of $13.34 per share, beating the Zacks Consensus Estimate of $10.59 per share. This compares to earnings of $8.06 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of +25.97%. A quarter ago, it was expected that this insurance company would post earnings of $9.49 per share when it actually produced earnings of $15.62, delivering a surprise of +64.59%.Over the last four quarters, ...

Financial Performance - Net income available to RenaissanceRe common shareholders for Q4 2025 was $751,638, compared to a loss of $198,503 in Q4 2024, representing a significant turnaround[11]. - Net income attributable to RenaissanceRe for Q4 2025 was $760,482, compared to a loss of $189,659 in Q4 2024[17]. - Net income available to RenaissanceRe common shareholders for the year ended December 31, 2025, was $2,646,959, compared to $1,834,985 for 2024, representing a year-over-year increase of 44.3%[103]. - Basic earnings per share for the year ended December 31, 2025, was $56.23, up from $35.31 in 2024, reflecting a growth of 59.5%[103]. - The company reported a net income (loss) allocated to RenaissanceRe common shareholders of $738,988 for the three months ended December 31, 2025, compared to a loss of $(199,015) in the same period of 2024[103]. Premiums and Underwriting - Gross premiums written for the year ended December 31, 2025, reached $11,738,420, slightly up from $11,733,066 in 2024[11]. - Gross premiums written for Q4 2025 were $1,838,111, a decrease of 4.1% from $1,916,751 in Q4 2024[17]. - Net premiums earned for the year ended December 31, 2025, were $9,901,182, down 1.9% from $10,095,760 in 2024[17]. - The combined ratio improved to 71.4% in Q4 2025 from 91.7% in Q4 2024, indicating better underwriting performance[11]. - The combined ratio for the year ended December 31, 2025, improved to 87.2% from 83.9% in 2024[24]. Investment Performance - Net investment income for the year ended December 31, 2025, was $1,703,475, compared to $1,654,289 in 2024, reflecting strong investment performance[11]. - The total investment result for the year ended December 31, 2025, was $2,956,075, significantly higher than $1,673,536 in 2024, highlighting effective investment strategies[11]. - The total investment result for the year ended December 31, 2025, is $2.370 billion, significantly higher than $1.143 billion in 2024[136]. - The company reported a net realized and unrealized gains on investments of $1.115 billion for 2025, compared to a loss of $41.863 million in 2024[136]. - The average invested assets for the year ended December 31, 2025, were $34.52 billion, up from $31.01 billion in 2024, reflecting a growth of 8.1%[84]. Claims and Expenses - Net claims and claim expense ratio for the current accident year was 51.3% in Q4 2025, down from 72.7% in Q4 2024[11]. - Net claims and claim expenses incurred for the year were $5,615,839, an increase from $5,332,981 in 2024[24]. - The net claims and claim expense ratio for the current accident year was 63.3% for the year ended December 31, 2025, compared to 50.9% in 2024, highlighting increased claims costs[37]. - The company incurred claims and claim expenses for the year ended December 31, 2025, totaled $6,154,570, compared to $5,629,756 in 2024[54]. - The reserve for claims and claim expenses rose to $22,302,345 in 2025, up from $21,303,491 in 2024[19]. Shareholder Equity - Book value per common share increased to $247.00 in 2025 from $195.77 in 2024, indicating strong growth in shareholder equity[14]. - The company reported a year-to-date change in tangible book value per common share plus accumulated dividends of 30.8% in 2025[14]. - Tangible book value per common share increased to $230.10 as of December 31, 2025, representing a year-to-date change of 30.8%[120]. Operational Efficiency - The operating return on average common equity for the year was 25.9% in 2025, up from 19.3% in 2024, showcasing improved profitability[14]. - The acquisition expense ratio for the year ended December 31, 2025, was 18.0%, a decrease from 19.6% in 2024, showing improved cost efficiency[37]. - The operational expenses for the three months ended December 31, 2025, were $75,067, compared to $95,623 in 2024, reflecting a reduction of 21.5%[34]. - The adjusted combined ratio for the total segment in 2025 is 85.4%, improved from 81.5% in 2024[127]. Segment Performance - Gross premiums written in the Property segment for Q4 2025 were $346,099, down from $733,274 in Q3 2025[29]. - The Casualty and Specialty segment reported gross premiums written of $1,492,012 in Q4 2025, a decrease from $1,590,352 in Q3 2025[32]. - The net claims and claim expense ratio for the Casualty and Specialty segment in Q4 2025 was 71.1%, up from 67.6% in Q3 2025, indicating increased claims costs[32]. - Underwriting loss in the Casualty and Specialty segment for Q4 2025 was $(50,094), worsening from $(21,322) in Q3 2025, highlighting ongoing profitability challenges[32]. Fee Income - Total fee income increased to $101,628 in Q4 2025 from $77,104 in Q4 2024, driven by higher management and performance fees[11]. - Total fee income for the year ended December 31, 2025, was $328,852, a slight increase from $326,796 in 2024[58]. - Performance fee income for the three months ended December 31, 2025, was $49,626, compared to $23,568 in the same period of 2024[58]. - Management fee income for Q4 2025 was $52,002 million, slightly down from $53,536 million in Q4 2024, while performance fee income surged to $49,626 million from a loss of $15,604 million in the same period last year[64].

RenaissanceRe (RNR) is expected to deliver a year-over-year increase in earnings on lower revenues when it reports results for the quarter ended December 2025. This widely-known consensus outlook gives a good sense of the company's earnings picture, but how the actual results compare to these estimates is a powerful factor that could impact its near-term stock price.The stock might move higher if these key numbers top expectations in the upcoming earnings report, which is expected to be released on February ...