Core Viewpoint - Slide Insurance Holdings, Inc. has authorized a stock repurchase program of up to $75 million, reflecting confidence in its strategic direction and financial health [1][2]. Company Overview - Slide is a technology-enabled insurance company focused on optimizing the insurance process for homeowners using artificial intelligence and big data [5]. Financial Position - The company has a robust balance sheet following its recent IPO and has reported better than expected net margins, indicating a strong capital position [2]. - The stock repurchase program is intended to enhance return on equity and build long-term value for shareholders [2]. Stock Repurchase Program Details - The repurchase may occur in the open market or through privately negotiated transactions, with management determining the timing and amount based on various factors [2]. - The program is flexible, allowing for modifications or suspension at any time without prior notice [2].

Financial Data and Key Metrics Changes - For Q2 2025, gross premiums written were $435.4 million, a 25% increase from $348.3 million in the prior year period [20] - Total revenue increased to $261.6 million, up 25% from $209.1 million in the prior year [21] - Net income grew by 30.5% to $70.1 million compared to $53.7 million in the prior year [23] - The loss ratio improved by 850 basis points to 37.4% from 45.9% in the prior year [22] - The combined ratio improved by 250 basis points to 67.4% from 69.9% in the prior year [22] Business Line Data and Key Metrics Changes - The company had approximately 348,400 policies in force, up 27% from one year ago [20] - Policy acquisition and other underwriting expenses increased to $32.1 million from $17.8 million in the prior year [22] - General and administrative expenses rose to $37.9 million from $26.8 million in the prior year, primarily due to increased staffing [22] Market Data and Key Metrics Changes - The company has been expanding significantly in South Carolina, achieving more written premium in Q2 than in the last year and a half [26] - The Florida insurance market has stabilized post-tort reform, transitioning from a volatile environment to a more attractive one for insurers [10][11] Company Strategy and Development Direction - The company focuses on underserved coastal markets, utilizing big data and AI for underwriting [5][12] - Plans to expand into New York, New Jersey, and Rhode Island in the first quarter of 2026, with potential growth in California [27][28] - The company aims to maintain a long-term mindset, prioritizing sustainable profitability over short-term growth [13][18] Management's Comments on Operating Environment and Future Outlook - Management remains optimistic about growth opportunities in Florida and other coastal markets, despite competition from new entrants with limited capital [31][32] - The company expects to maintain a target combined ratio in the low to mid-70s, indicating confidence in long-term profitability [33] Other Important Information - The company has cash and cash equivalents of $936.2 million and additional restricted cash of $478.9 million as of June 30, 2025 [23] - The company received approval to assume approximately 175,000 policies from Citizens in the fourth quarter, which is expected to be accretive to net income [17] Q&A Session Summary Question: Update on growth strategy moving up the East Coast - Management reported significant growth in South Carolina and plans to launch in New York and New Jersey in Q1 2026, with California also being considered [26][27][28] Question: Competitive environment in Florida - Management noted a fragmented market with new entrants but emphasized that larger national carriers are pulling back from coastal markets, maintaining a bullish outlook on profitability [31][32][33] Question: Citizens takeouts and assumptions - Management indicated that the ratio of ultimate assumptions versus approvals varies, with historical averages around 55% [38] Question: Organic distribution efforts - The company is actively adding new agents and forming national partnerships, with a focus on growing its direct-to-consumer channel [40][41]

Financial Data and Key Metrics Changes - Gross premiums written for Q2 2025 were $435.4 million, a 25% increase from $348.3 million in the prior year period [18] - Total revenue increased by 25% to $261.6 million compared to $209.1 million in the prior year [19] - Net income grew by 30.5% to $70.1 million compared to $53.7 million in the prior year [21] - The combined ratio improved by 2.5 percentage points to 67.4% from 69.9% in the prior year [20] Business Line Data and Key Metrics Changes - The company had approximately 348,400 policies in force, up 27% from one year ago [18] - Losses and loss adjustment expenses incurred were $91.4 million, with a loss ratio improving to 37.4% from 45.9% in the prior year [19][20] Market Data and Key Metrics Changes - The company has seen significant growth in South Carolina, writing more premium in Q2 than in the last year and a half [26] - The Florida insurance market has stabilized post-tort reform, transitioning from a volatile environment to a more attractive one for insurers [9][10] Company Strategy and Development Direction - The company focuses on underserved coastal markets, utilizing big data and AI for underwriting [5][6] - Plans to expand into New York, New Jersey, and Rhode Island in the first quarter of 2026, with potential growth in California [26][28] - The company aims to maintain a long-term mindset, prioritizing sustainable profitability over short-term growth [12][16] Management's Comments on Operating Environment and Future Outlook - Management remains optimistic about growth opportunities in new states and believes the Florida market will continue to stabilize [32] - The company expects to maintain a target combined ratio in the low to mid-70s, indicating confidence in long-term profitability [32] Other Important Information - The company has a strong balance sheet with cash and cash equivalents of $936.2 million and outstanding long-term debt of $36.3 million [21] - The company has received approval to assume approximately 175,000 policies from Citizens in the fourth quarter, which is expected to be accretive to net income [15] Q&A Session Summary Question: Update on growth strategy moving up the East Coast - Management reported significant growth in South Carolina and plans to launch in New York and New Jersey in Q1 2026, with California also being considered [26][28] Question: Competitive environment in Florida - The market remains fragmented with new entrants lacking sufficient capital, and national carriers are pulling back from coastal zones [30][32] Question: Citizens takeouts and assumptions - Management indicated that historical assumptions have varied, but they remain optimistic about opportunities in the fourth quarter [37][38] Question: Organic distribution efforts - The company is actively adding new agents and forming national partnerships to enhance distribution as they enter new markets [39][40]

[PART I. FINANCIAL INFORMATION](index=3&type=section&id=PART%20I.%20FINANCIAL%20INFORMATION) This section presents the company's financial statements, management's analysis, market risk, and internal controls [Item 1. Financial Statements](index=3&type=section&id=Item%201.%20Financial%20Statements) This section presents the unaudited condensed consolidated financial statements, including balance sheets, operations, comprehensive income, equity, and cash flows [Condensed Consolidated Balance Sheets](index=3&type=section&id=Condensed%20Consolidated%20Balance%20Sheets) This section details the company's financial position, including assets, liabilities, and shareholders' equity at specific dates Condensed Consolidated Balance Sheets Data | Metric | June 30, 2025 (in thousands) | December 31, 2024 (in thousands) | |:---|:---|:---| | Total assets | $2,814,029 | $1,931,927 | | Total liabilities | $1,945,969 | $1,498,768 | | Total shareholders' equity | $868,060 | $433,159 | - Total assets increased by approximately **$882 million**, driven by significant increases in cash and cash equivalents, restricted cash, and prepaid reinsurance premiums[8](index=8&type=chunk) - Shareholders' equity more than doubled, primarily due to the Initial Public Offering (IPO) proceeds and retained earnings[8](index=8&type=chunk) [Condensed Consolidated Statements of Operations](index=4&type=section&id=Condensed%20Consolidated%20Statements%20of%20Operations) This section presents the company's revenues, expenses, and net income for the reported periods Condensed Consolidated Statements of Operations Data | Metric | Three Months Ended June 30, 2025 (in thousands) | Three Months Ended June 30, 2024 (in thousands) | Six Months Ended June 30, 2025 (in thousands) | Six Months Ended June 30, 2024 (in thousands) | |:---|:---|:---|:---|:---| | Gross premiums written | $435,384 | $348,336 | $713,633 | $592,964 | | Net premiums earned | $243,859 | $194,966 | $509,900 | $383,074 | | Total revenue | $261,607 | $209,131 | $543,200 | $408,257 | | Net income | $70,072 | $53,742 | $162,575 | $108,455 | | Basic income earnings per share | $1.05 | $0.96 | $2.63 | $1.93 | | Diluted income earnings per share | $0.56 | $0.45 | $1.30 | $0.90 | - Net income increased by **30.4%** for the three months ended June 30, 2025, and by **49.9%** for the six months ended June 30, 2025, compared to the respective prior-year periods[10](index=10&type=chunk) - Gross premiums written saw a **25.0%** increase for the three-month period and a **20.4%** increase for the six-month period year-over-year[10](index=10&type=chunk) [Condensed Consolidated Statements of Comprehensive Income](index=5&type=section&id=Condensed%20Consolidated%20Statements%20of%20Comprehensive%20Income) This section outlines the company's net income and other comprehensive income components for the periods Condensed Consolidated Statements of Comprehensive Income Data | Metric | Three Months Ended June 30, 2025 (in thousands) | Three Months Ended June 30, 2024 (in thousands) | Six Months Ended June 30, 2025 (in thousands) | Six Months Ended June 30, 2024 (in thousands) | |:---|:---|:---|:---|:---| | Net income | $70,072 | $53,742 | $162,575 | $108,455 | | Other comprehensive gain (loss) | $1,551 | $(1,322) | $5,026 | $(2,909) | | Comprehensive income | $71,623 | $52,420 | $167,601 | $105,546 | - The company reported a significant shift from other comprehensive loss in **2024** to a gain in **2025**, primarily due to unrealized gains on securities[12](index=12&type=chunk) [Condensed Consolidated Statements of Shareholders' Equity](index=6&type=section&id=Condensed%20Consolidated%20Statements%20of%20Shareholders'%20Equity) This section details changes in the company's shareholders' equity, including common stock, preferred stock, and retained earnings Condensed Consolidated Statements of Shareholders' Equity Data | Metric | June 30, 2025 (in thousands) | December 31, 2024 (in thousands) | |:---|:---|:---| | Common Stock | $1,252 | $562 | | Preferred Stock | $0 | $514 | | Additional Paid-in Capital | $389,731 | $122,607 | | Retained Earnings | $471,766 | $309,191 | | Accumulated Other Comprehensive Income | $5,311 | $285 | | Total Shareholders' Equity | $868,060 | $433,159 | - Total shareholders' equity increased significantly from **$433.2 million** at December 31, 2024, to **$868.1 million** at June 30, 2025, primarily driven by the Initial Public Offering (IPO) and retained earnings[15](index=15&type=chunk)[17](index=17&type=chunk) - All preferred stock was converted to common stock upon the completion of the IPO, leading to a substantial increase in common stock shares and additional paid-in capital[15](index=15&type=chunk)[17](index=17&type=chunk) [Condensed Consolidated Statements of Cash Flows](index=8&type=section&id=Condensed%20Consolidated%20Statements%20of%20Cash%20Flows) This section presents the company's cash inflows and outflows from operating, investing, and financing activities Condensed Consolidated Statements of Cash Flows Data | Cash Flow Activity | Six Months Ended June 30, 2025 (in thousands) | Six Months Ended June 30, 2024 (in thousands) | |:---|:---|:---| | Net cash provided by operating activities | $350,429 | $275,336 | | Net cash provided by (used in) investing activities | $17,488 | $(146,356) | | Net cash provided by financing activities | $257,989 | $7,227 | | Net increase in cash | $625,906 | $136,207 | | Cash, cash equivalents and restricted cash, end of period | $1,415,748 | $578,569 | - Net cash provided by operating activities increased by **$75.1 million**, driven by higher net income and increased reinsurance premiums payable[20](index=20&type=chunk) - Investing activities shifted from a net outflow of **$146.4 million** in **2024** to a net inflow of **$17.5 million** in **2025**, primarily due to reduced purchases of fixed-maturity securities[20](index=20&type=chunk) - Financing activities saw a substantial increase in cash provided, from **$7.2 million** to **$258.0 million**, largely due to proceeds from the Initial Public Offering (IPO)[20](index=20&type=chunk) [Notes to Unaudited Condensed Consolidated Financial Statements](index=9&type=section&id=Notes%20to%20Unaudited%20Condensed%20Consolidated%20Financial%20Statements) This section provides detailed explanations of the company's accounting policies, business operations, and financial instrument valuations [1. Nature of Business and Significant Accounting Policies](index=9&type=section&id=1.%20Nature%20of%20Business%20and%20Significant%20Accounting%20Policies) This section describes the company's core business, its property and casualty insurance focus, and key accounting principles - Slide Insurance Holdings, Inc (SIH) is a Delaware holding company focused on property and casualty insurance, primarily homeowners insurance in Florida and South Carolina through its subsidiary, Slide Insurance Company (SIC)[23](index=23&type=chunk)[31](index=31&type=chunk) - The company completed its Initial Public Offering (IPO) on June 18, 2025, selling **16.7 million shares** and receiving net proceeds of approximately **$263.5 million**. All preferred stock was converted to common stock upon IPO completion[36](index=36&type=chunk) - SIH participates in Florida's 'take-out program,' assuming policies from Citizens Property Insurance Corporation. For the six months ended June 30, 2025, the company assumed approximately **26,400 policies**, representing **$104.8 million** in annualized gross premiums[38](index=38&type=chunk) [2. Basic and Diluted Earnings Per Share](index=14&type=section&id=2.%20Basic%20and%20Diluted%20Earnings%20Per%20Share) This section details the calculation and presentation of basic and diluted earnings per share for the reporting periods 2. Basic and Diluted Earnings Per Share Data | Metric | Three Months Ended June 30, 2025 | Three Months Ended June 30, 2024 | Six Months Ended June 30, 2025 | Six Months Ended June 30, 2024 | |:---|:---|:---|:---|:---| | Basic earnings per share | $1.05 | $0.96 | $2.63 | $1.93 | | Diluted earnings per share | $0.56 | $0.45 | $1.30 | $0.90 | | Weighted average shares outstanding (basic, in thousands) | 66,773 | 56,224 | 61,715 | 56,224 | | Diluted weighted average common shares outstanding (in thousands) | 125,979 | 120,457 | 124,792 | 120,580 | - Basic EPS increased by **9.4%** for the three-month period and **36.3%** for the six-month period year-over-year[48](index=48&type=chunk) - Diluted EPS increased by **24.4%** for the three-month period and **44.4%** for the six-month period year-over-year[48](index=48&type=chunk) [3. Fixed-Maturity Securities Available-For-Sale](index=14&type=section&id=3.%20Fixed-Maturity%20Securities%20Available-For-Sale) This section provides information on the company's fixed-maturity securities portfolio, including fair values and investment income 3. Fixed-Maturity Securities Available-For-Sale Data | Category | June 30, 2025 Fair Value (in thousands) | December 31, 2024 Fair Value (in thousands) | |:---|:---|:---| | U.S. government and agencies | $156,766 | $166,283 | | States, municipalities and political subdivisions | $165,728 | $146,905 | | Corporate Bonds | $128,576 | $150,025 | | Asset-Backed Securities | $3,480 | N/A | | Total | $454,550 | $464,966 | - The company's fixed-maturity securities portfolio decreased slightly in fair value from **$464.9 million** at December 31, 2024, to **$454.5 million** at June 30, 2025[49](index=49&type=chunk)[50](index=50&type=chunk) - Unrealized losses on fixed-maturity securities were primarily caused by interest rate changes, with **43** securities having unrealized losses at June 30, 2025, compared to **125** securities at December 31, 2024[53](index=53&type=chunk)[56](index=56&type=chunk) 3. Fixed-Maturity Securities Available-For-Sale Data | Net Investment Income Category | Three Months Ended June 30, 2025 (in thousands) | Three Months Ended June 30, 2024 (in thousands) | Six Months Ended June 30, 2025 (in thousands) | Six Months Ended June 30, 2024 (in thousands) | |:---|:---|:---|:---|:---| | Available-for-sale fixed-maturity securities | $5,382 | $4,725 | $10,885 | $8,642 | | Cash and short-term investments | $9,763 | $7,467 | $18,162 | $13,116 | | Total net investment income | $15,040 | $12,151 | $28,848 | $21,714 | [4. Fair Value of Financial Assets and Liabilities](index=17&type=section&id=4.%20Fair%20Value%20of%20Financial%20Assets%20and%20Liabilities) This section outlines the fair value measurement of financial assets and liabilities using a three-level hierarchy - The company categorizes financial instruments into **Level 1** (quoted prices in active markets), **Level 2** (observable inputs other than Level 1), and **Level 3** (unobservable inputs) for fair value measurement[63](index=63&type=chunk) 4. Fair Value of Financial Assets and Liabilities Data | Asset Category | June 30, 2025 Fair Value (in thousands) | December 31, 2024 Fair Value (in thousands) | |:---|:---|:---| | Cash and cash equivalents (Level 1) | $936,187 | $493,409 | | Restricted cash (Level 1) | $648 | $631 | | Restricted cash - VIE (Level 1) | $478,913 | $295,802 | | Fixed-maturity securities (Level 1 & 2) | $454,550 | $464,966 | | Total Assets at Fair Value | $1,870,298 | $1,254,808 | - Long-term debt, including promissory notes and commercial loans, is valued using the discounted cash flow method with **Level 3** inputs, indicating significant unobservable inputs[71](index=71&type=chunk) [5. Deferred Policy Acquisition Costs](index=19&type=section&id=5.%20Deferred%20Policy%20Acquisition%20Costs) This section details the capitalization and amortization of costs related to acquiring new and renewal insurance policies 5. Deferred Policy Acquisition Costs Data | Metric | Three Months Ended June 30, 2025 (in thousands) | Three Months Ended June 30, 2024 (in thousands) | Six Months Ended June 30, 2025 (in thousands) | Six Months Ended June 30, 2024 (in thousands) | |:---|:---|:---|:---|:---| | Beginning balance | $60,750 | $41,675 | $65,046 | $42,995 | | Policy acquisition costs deferred | $42,804 | $36,218 | $67,080 | $51,978 | | Less: Amortization | $(32,096) | $(17,782) | $(60,668) | $(34,862) | | Ending balance | $71,458 | $60,111 | $71,458 | $60,111 | - Deferred policy acquisition costs increased to **$71.5 million** at June 30, 2025, from **$60.1 million** at June 30, 2024, reflecting higher new and renewal business production[72](index=72&type=chunk) [6. Loss and Loss Adjustment Expenses](index=19&type=section&id=6.%20Loss%20and%20Loss%20Adjustment%20Expenses) This section discusses the company's reserves for estimated unpaid losses and loss adjustment expenses, including IBNR claims - The company establishes reserves for estimated unpaid losses and loss adjustment expenses (LAE), including incurred but not yet reported (IBNR) claims, which are inherently imprecise due to future uncertain events[73](index=73&type=chunk)[74](index=74&type=chunk) 6. Loss and Loss Adjustment Expenses Data | Metric | Three Months Ended June 30, 2025 (in thousands) | Three Months Ended June 30, 2024 (in thousands) | Six Months Ended June 30, 2025 (in thousands) | Six Months Ended June 30, 2024 (in thousands) | |:---|:---|:---|:---|:---| | Balances, beginning of period | $571,180 | $272,837 | $595,487 | $249,567 | | Total incurred | $91,369 | $89,520 | $175,130 | $168,541 | | Total paid | $47,023 | $60,946 | $97,995 | $97,689 | | Balances at June 30 | $571,812 | $293,687 | $571,812 | $293,687 | - For the six months ended June 30, 2025, the company recognized favorable development of losses related to prior years of approximately **$21.6 million**, primarily due to lower than expected non-catastrophe payments[76](index=76&type=chunk) [7. Income Taxes](index=21&type=section&id=7.%20Income%20Taxes) This section presents the company's income tax expense and effective tax rates for the reported periods 7. Income Taxes Data | Metric | Three Months Ended June 30, 2025 (in thousands) | Three Months Ended June 30, 2024 (in thousands) | Six Months Ended June 30, 2025 (in thousands) | Six Months Ended June 30, 2024 (in thousands) | |:---|:---|:---|:---|:---| | Income tax expense | $26,225 | $17,707 | $57,629 | $36,353 | | Effective tax rate | 27.2% | 24.8% | 26.2% | 25.1% | - The effective tax rate increased in **2025** compared to **2024**, primarily due to recording the IRC Section **162(m)** permanent difference[77](index=77&type=chunk) [8. Reinsurance](index=22&type=section&id=8.%20Reinsurance) This section describes the company's use of reinsurance agreements to manage exposure to losses and catastrophe risks - The company uses various excess of loss reinsurance agreements to manage exposure to losses, including per risk and catastrophe excess of loss treaties, and mandatory participation in the Florida Hurricane Catastrophe Fund (FHCF)[78](index=78&type=chunk)[84](index=84&type=chunk)[85](index=85&type=chunk) - For the treaty period June 1, 2025, through May 31, 2026, the catastrophe excess of loss agreement has multiple layers of coverage, with the FHCF picking up **90%** of losses in a specific corridor[84](index=84&type=chunk)[85](index=85&type=chunk) - The company's maximum projected payout from the FHCF is estimated to be **$865.6 million**, with a retention of **$540.3 million** for the **2025-2026** treaty period[85](index=85&type=chunk) [9. Revolving Credit Facility](index=23&type=section&id=9.%20Revolving%20Credit%20Facility) This section details the company's revolving credit agreement, its borrowing capacity, and compliance with covenants - The company has an amended secured revolving credit agreement with Regions Bank, providing a borrowing capacity of **$45 million**, expiring June 25, 2029[88](index=88&type=chunk)[89](index=89&type=chunk) - As of June 30, 2025, the company had no outstanding borrowings under the revolving credit facility and was in compliance with all covenants, with **$45 million** available capacity[91](index=91&type=chunk) [10. Long-Term Debt](index=25&type=section&id=10.%20Long-Term%20Debt) This section outlines the company's long-term debt obligations, including commercial loans and promissory notes - The company has a **$40 million** **5-year** commercial loan agreement, with an outstanding principal of **$36 million** at June 30, 2025[92](index=92&type=chunk)[94](index=94&type=chunk) 10. Long-Term Debt Data | Year | Promissory Notes (in thousands) | Commercial Term Loan (in thousands) | Total (in thousands) | |:---|:---|:---|:---| | 2025 (remaining) | $1,000 | $2,000 | $3,000 | | 2026 | $2,000 | $4,000 | $6,000 | | 2027 | $500 | $4,000 | $4,500 | | 2028 | — | $4,000 | $4,000 | | 2029 | — | $22,000 | $22,000 | | Total | $3,500 | $36,000 | $39,500 | [11. Affiliate Transactions](index=25&type=section&id=11.%20Affiliate%20Transactions) This section confirms the absence of material non-eliminated affiliate transactions during the reporting periods - The company reported no material transactions with affiliates that were not fully eliminated in consolidation for the six months ended June 30, 2025 and 2024[95](index=95&type=chunk) [12. Leases](index=26&type=section&id=12.%20Leases) This section details the company's operating lease obligations, primarily for real estate, and related accounting metrics - The company has operating leases primarily for real estate, with terms ranging from **one** to **eight years**, and uses its incremental borrowing rate to determine the present value of lease payments[96](index=96&type=chunk)[97](index=97&type=chunk) 12. Leases Data | Lease Metric | June 30, 2025 | June 30, 2024 | |:---|:---|:---| | Operating lease cost (in thousands) | $935 | $750 | | Right-of-use asset (in thousands) | $7,701 | $6,085 | | Lease liability (in thousands) | $8,374 | $6,759 | | Weighted-average remaining lease term | 4.83 years | 5.83 years | | Weighted-average discount rate | 5.08% | 3.85% | [13. Regulatory Matters](index=26&type=section&id=13.%20Regulatory%20Matters) This section discusses regulatory restrictions on dividend payments and minimum surplus requirements for the insurance subsidiary - SIC's dividend payments to SIH are restricted by the Florida Office of Insurance Regulation (FLOIR), requiring prior approval if exceeding certain thresholds[100](index=100&type=chunk)[101](index=101&type=chunk) - SIC is required to maintain a minimum surplus of **$93.3 million** at June 30, 2025, and **$70.8 million** at December 31, 2024, which it met with statutory-basis surpluses of **$213.9 million** and **$208.0 million**, respectively[102](index=102&type=chunk) - SIC's total adjusted capital exceeded the NAIC risk-based capital (RBC) company-action level at both June 30, 2025, and December 31, 2024[103](index=103&type=chunk) [14. Commitments and Contingencies](index=28&type=section&id=14.%20Commitments%20and%20Contingencies) This section addresses potential contingent liabilities from routine legal proceedings, deemed immaterial by management - Management does not consider contingent liabilities arising from routine legal proceedings material to the company's financial position[105](index=105&type=chunk) [15. Guaranty Fund and Other Assessments](index=28&type=section&id=15.%20Guaranty%20Fund%20and%20Other%20Assessments) This section outlines the company's obligations for guaranty fund and other assessments in its operating states - SIC is subject to guaranty fund and other assessments in Florida and South Carolina, with payables totaling **$3.99 million** at June 30, 2025, and **$2.15 million** at December 31, 2024[106](index=106&type=chunk)[107](index=107&type=chunk) [16. Shareholders' Equity](index=28&type=section&id=16.%20Shareholders'%20Equity) This section details changes in the company's authorized and outstanding shares, including the impact of the IPO - The company amended its articles of incorporation on June 18, 2025, authorizing **1.5 billion** common shares and **150 million** preferred shares. As of June 30, 2025, **125.2 million** common shares were outstanding, and all preferred stock was converted to common stock[110](index=110&type=chunk)[113](index=113&type=chunk) - The IPO on June 18, 2025, involved the sale of **16.7 million** common shares by the company, generating net proceeds of approximately **$263.5 million**[112](index=112&type=chunk) [17. Stock-based Compensation](index=30&type=section&id=17.%20Stock-based%20Compensation) This section covers the company's stock-based compensation plans, related expenses, and unrecognized compensation costs 17. Stock-based Compensation Data | Metric | Three Months Ended June 30, 2025 (in thousands) | Three Months Ended June 30, 2024 (in thousands) | Six Months Ended June 30, 2025 (in thousands) | Six Months Ended June 30, 2024 (in thousands) | |:---|:---|:---|:---|:---| | Compensation cost (Stock Plan) | $3,000 | $271 | $6,014 | $543 | | Income tax benefit | $817 | $67 | $1,574 | $136 | - The company adopted the **2025** Omnibus Incentive Plan, authorizing up to **12.0 million shares** for equity-based and cash-based incentive awards, with no shares issued as of June 30, 2025[118](index=118&type=chunk) - Unrecognized compensation cost related to nonvested share-based compensation was **$1.47 million** at June 30, 2025, and **$3.86 million** at June 30, 2024[120](index=120&type=chunk) - Compensation expense for restricted stock increased significantly to **$5.53 million** for the six months ended June 30, 2025, from **$0** in the prior year, with **$16.5 million** of unrecognized expense remaining[123](index=123&type=chunk) [18. Variable Interest Entities](index=33&type=section&id=18.%20Variable%20Interest%20Entities) This section explains the consolidation of a Variable Interest Entity (VIE) providing reinsurance protection to the company - The company consolidates White Rock Insurance (SAC) Ltd acting in respect of 'Separate Account T104—Slide' as a Variable Interest Entity (VIE), being its primary beneficiary[125](index=125&type=chunk) - The VIE provides quota share, per risk, and catastrophe reinsurance protection to the company's insurance entities[126](index=126&type=chunk)[127](index=127&type=chunk) 18. Variable Interest Entities Data | Metric | June 30, 2025 (in thousands) | December 31, 2024 (in thousands) | |:---|:---|:---| | Restricted cash and cash equivalents | $478,913 | $295,802 | [19. Subsequent Events](index=34&type=section&id=19.%20Subsequent%20Events) This section reports significant events occurring after the balance sheet date, such as new legislative enactments - On July 4, 2025, the One Big Beautiful Bill Act (OBBBA) was enacted, which includes significant tax provisions, and the company is currently assessing its impact on its financial statements[131](index=131&type=chunk) [Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations](index=35&type=section&id=Item%202.%20Management's%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) This section provides management's perspective on the company's financial performance, condition, and liquidity, highlighting key drivers and operational metrics [Overview](index=35&type=section&id=Overview) This section introduces Slide Insurance Holdings, Inc. as a technology-enabled coastal specialty insurer and its market strategy - Slide Insurance Holdings, Inc is a technology-enabled, fast-growing coastal specialty insurer, focusing on profitable underwriting of single-family and condominium policies in coastal states, primarily Florida and South Carolina[134](index=134&type=chunk) - The company leverages its differentiated technology and data-driven approach to capitalize on underserved market opportunities where larger national carriers have reduced capacity[134](index=134&type=chunk)[135](index=135&type=chunk) Overview Data | Metric | 3 Months Ended June 30, 2025 (in thousands) | 3 Months Ended June 30, 2024 (in thousands) | 6 Months Ended June 30, 2025 (in thousands) | 6 Months Ended June 30, 2024 (in thousands) | |:---|:---|:---|:---|:---| | Gross premiums written | $435,384 | $348,336 | $713,633 | $592,964 | | Total revenue | $261,607 | $209,131 | $543,200 | $408,257 | | Net income | $70,072 | $53,742 | $162,575 | $108,455 | | Combined ratio | 67.4% | 69.9% | 62.9% | 68.3% | | Return on equity | 10.0% | 16.9% | 25.0% | 37.3% | | Total Assets (June 30, 2025 / Dec 31, 2024) | $2,814,029 | N/A | $2,814,029 | $1,931,927 | | Shareholders' Equity (June 30, 2025 / Dec 31, 2024) | $868,060 | N/A | $868,060 | $433,159 | [Key Components of Our Results of Operations](index=36&type=section&id=Key%20Components%20of%20Our%20Results%20of%20Operations) This section explains the primary drivers of the company's revenues and expenses, including premiums and loss adjustment costs - Gross premiums written are influenced by policy assumptions from Citizens, block acquisitions, renewals, new business sales, average premium, and premium rates[138](index=138&type=chunk)[146](index=146&type=chunk) - Net premiums earned are gross premiums earned less ceded premiums earned, with reinsurance costs recognized ratably over the arrangement term[143](index=143&type=chunk) - Losses and loss adjustment expenses incurred, net, are affected by claim frequency and severity, reinsurance agreements, business mix, regulatory changes, and inflation[148](index=148&type=chunk)[155](index=155&type=chunk) [Key Metrics & Ratios](index=38&type=section&id=Key%20Metrics%20%26%20Ratios) This section defines key financial metrics and non-GAAP ratios used to assess the company's underwriting performance and profitability - Key metrics include loss ratio, policy acquisition expense ratio, expense ratio, and combined ratio, which indicates underwriting profit if below **100%**[157](index=157&type=chunk)[158](index=158&type=chunk) - Non-GAAP measures like combined ratio, excluding catastrophic losses & prior year claims development, and return on tangible equity are used to provide insight into underlying business performance by adjusting for volatile items and goodwill/intangibles[159](index=159&type=chunk)[161](index=161&type=chunk) [Results of Operations](index=39&type=section&id=Results%20of%20Operations) This section analyzes the company's financial results for the reported periods, detailing revenue, expenses, and profitability changes [Three Months Ended June 30, 2025 Compared to Three Months Ended June 30, 2024](index=39&type=section&id=Three%20Months%20Ended%20June%2030%2C%202025%20Compared%20to%20Three%20Months%20Ended%20June%2030%2C%202024) This section compares the company's financial performance for the three months ended June 30, 2025, against the prior year Three Months Ended June 30, 2025 Compared to Three Months Ended June 30, 2024 Data | Metric | 2025 (in thousands) | 2024 (in thousands) | Change (in thousands) | % Change | |:---|:---|:---|:---|:---| | Gross premiums written | $435,384 | $348,336 | $87,048 | 25.0% | | Net premiums earned | $243,859 | $194,966 | $48,893 | 25.1% | | Total revenue | $261,607 | $209,131 | $52,476 | 25.1% | | Net income | $70,072 | $53,742 | $16,330 | 30.4% | | Loss ratio | 37.4% | 45.9% | (8.5)% | (18.6)% | | Expense ratio | 30.0% | 24.0% | 6.0% | 25.0% | | Combined ratio | 67.4% | 69.9% | (2.5)% | (3.6)% | | Debt to capitalization ratio | 4.0% | 11.0% | (7.0)% | (63.6)% | | Return on equity | 10.0% | 16.9% | (6.9)% | (40.8)% | - Gross premiums written increased by **25.0%** due to policies assumed from Citizens and higher renewal rates[164](index=164&type=chunk) - The combined ratio improved from **69.9%** to **67.4%**, driven by increased net premiums earned and a decrease in catastrophe losses[183](index=183&type=chunk) - General and administrative expenses increased by **41.8%** due to growth in staffing and IT infrastructure to support increased policies in force[177](index=177&type=chunk) [Six Months Ended June 30, 2025 Compared to Six Months Ended June 30, 2024](index=44&type=section&id=Six%20Months%20Ended%20June%2030%2C%202025%20Compared%20to%20Six%20Months%20Ended%20June%2030%2C%202024) This section compares the company's financial performance for the six months ended June 30, 2025, against the prior year Six Months Ended June 30, 2025 Compared to Six Months Ended June 30, 2024 Data | Metric | 2025 (in thousands) | 2024 (in thousands) | Change (in thousands) | % Change | |:---|:---|:---|:---|:---| | Gross premiums written | $713,633 | $592,964 | $120,669 | 20.4% | | Net premiums earned | $509,900 | $383,074 | $126,826 | 33.1% | | Total revenue | $543,200 | $408,257 | $134,943 | 33.1% | | Net income | $162,575 | $108,455 | $54,120 | 49.9% | | Loss ratio | 34.3% | 44.0% | (9.7)% | (22.0)% | | Expense ratio | 28.6% | 24.3% | 4.3% | 17.7% | | Combined ratio | 62.9% | 68.3% | (5.4)% | (7.9)% | | Debt to capitalization ratio | 4.0% | 11.0% | (7.0)% | (63.6)% | | Return on equity | 25.0% | 37.3% | (12.3)% | (33.0)% | - Gross premiums written increased by **20.4%** due to Citizens policy assumptions, increased renewal rates, and new policies from Farmers renewal rights agreement[188](index=188&type=chunk) - The combined ratio decreased from **68.3%** to **62.9%**, primarily due to higher net premiums earned and reduced catastrophe losses[207](index=207&type=chunk) - Net investment income increased by **32.9%** to **$28.8 million**, driven by a larger average investable asset base[196](index=196&type=chunk) [Non-GAAP Financial Measures](index=48&type=section&id=Non-GAAP%20Financial%20Measures) This section presents and reconciles non-GAAP financial measures, providing additional insights into underlying business performance Non-GAAP Financial Measures Data | Metric | 3 Months Ended June 30, 2025 | 3 Months Ended June 30, 2024 | 6 Months Ended June 30, 2025 | 6 Months Ended June 30, 2024 | |:---|:---|:---|:---|:---| | Combined Ratio, excluding catastrophic losses & prior year claims development | 70.8% | 54.1% | 65.3% | 55.4% | | Return on tangible equity | 10.1% | 17.7% | 25.3% | 39.5% | - The combined ratio, excluding catastrophic losses & prior year claims development, increased for both the three-month and six-month periods, primarily due to a reduction in premiums earned from Citizens policies in the assumption period with reduced policy acquisition and reinsurance costs[212](index=212&type=chunk)[213](index=213&type=chunk) - Return on tangible equity decreased for both periods, reflecting growth in equity from retained earnings and IPO proceeds[214](index=214&type=chunk)[215](index=215&type=chunk) [Liquidity and Capital Resources](index=50&type=section&id=Liquidity%20and%20Capital%20Resources) This section discusses the company's cash flow, capital structure, and ability to meet its short-term and long-term obligations - The holding company receives cash from equity/debt issuances, and dividends/distributions from subsidiaries, used to support growth, pay dividends, and cover corporate expenses[217](index=217&type=chunk) - SIC's dividend payments are subject to FLOIR approval and minimum surplus requirements; no dividends were paid in **2024**[218](index=218&type=chunk) - Cash, cash equivalents, and restricted cash increased to **$1.42 billion** at June 30, 2025, from **$789.8 million** at December 31, 2024, with substantial balances maintained for seasonal liquidity needs[219](index=219&type=chunk) - The company believes IPO proceeds, available cash, and operating cash flow will be sufficient to meet working capital and capital expenditure needs for the next **12 months**[221](index=221&type=chunk) [Off-Balance Sheet Arrangements](index=51&type=section&id=Off-Balance%20Sheet%20Arrangements) This section confirms the absence of material off-balance sheet arrangements beyond those disclosed in the financial statements - The company does not maintain any other off-balance sheet arrangements beyond those disclosed in the financial statements[230](index=230&type=chunk) [Contractual Obligations and Commitments](index=52&type=section&id=Contractual%20Obligations%20and%20Commitments) This section outlines the company's future payment obligations under debt, interest, and operating lease agreements Contractual Obligations and Commitments Data | Obligation Type | Total (in thousands) | Less Than One Year (in thousands) | One Year to Less Than Three Years (in thousands) | Three Years to Less Than Five Years (in thousands) | More Than Five Years (in thousands) | |:---|:---|:---|:---|:---|:---| | Debt securities and credit agreements | $39,500 | $6,000 | $9,500 | $24,000 | — | | Interest payable | $8,312 | $2,552 | $4,141 | $1,619 | — | | Operating lease obligations | $9,452 | $1,855 | $3,867 | $3,730 | — | | Total | $57,264 | $10,407 | $17,508 | $29,349 | — | [Financial Condition](index=52&type=section&id=Financial%20Condition) This section reviews the company's overall financial health, including stockholders' equity and investment portfolio composition - Stockholders' equity increased to **$868.1 million** at June 30, 2025, from **$433.2 million** at December 31, 2024, primarily due to retained earnings and IPO proceeds[232](index=232&type=chunk) - The investment portfolio primarily consists of fixed-income securities rated BBB- or better, with **$452.9 million** at June 30, 2025, and **$464.8 million** at December 31, 2024[234](index=234&type=chunk)[235](index=235&type=chunk) Financial Condition Data | Rating | June 30, 2025 Fair Value (in thousands) | December 31, 2024 Fair Value (in thousands) | |:---|:---|:---| | AAA | $41,201 | $210,577 | | AA+ | $194,733 | $28,222 | | AA | $30,550 | $24,792 | | AA- | $44,751 | $37,378 | | A+ | $29,421 | $38,228 | | A | $25,931 | $26,992 | | A- | $27,846 | $34,131 | | BBB+ | $25,446 | $24,612 | | BBB | $25,081 | $32,171 | | BBB- | $7,931 | $7,699 | | Not Rated | $1,659 | $164 | | Total | $454,550 | $464,966 | [Critical Accounting Policies and Estimates](index=54&type=section&id=Critical%20Accounting%20Policies%20and%20Estimates) This section highlights key accounting policies and estimates that require significant management judgment and impact financial reporting - Key accounting estimates include premiums (earned pro rata, allowance for credit losses), reserves for unpaid losses and LAE (case and IBNR reserves), policy acquisition costs (capitalized and amortized), and reinsurance (recoverables, creditworthiness)[240](index=240&type=chunk)[244](index=244&type=chunk)[249](index=249&type=chunk)[251](index=251&type=chunk)[253](index=253&type=chunk)[255](index=255&type=chunk) - Investments are classified as available-for-sale and reported at fair value, with changes in value recorded in other comprehensive income, and are subject to interest rate risk[257](index=257&type=chunk)[258](index=258&type=chunk) - Fair value measurements are categorized into a three-level hierarchy based on input observability, with most investments valued using **Level 1** or **Level 2** inputs[259](index=259&type=chunk)[266](index=266&type=chunk) [Recent Accounting Pronouncements](index=59&type=section&id=Recent%20Accounting%20Pronouncements) This section assesses the impact of recently issued accounting pronouncements on the company's financial statements - The company determined that all recently issued accounting pronouncements will not have a material impact on its consolidated financial position, results of operations, and cash flows[267](index=267&type=chunk) [Emerging Growth Company Status](index=59&type=section&id=Emerging%20Growth%20Company%20Status) This section explains the company's status as an emerging growth company and the associated reporting requirement exemptions - As an emerging growth company, Slide Insurance Holdings, Inc benefits from exemptions from certain reporting requirements, including auditor attestation for Section **404(b)** of Sarbanes-Oxley and delayed adoption of new accounting standards[268](index=268&type=chunk)[269](index=269&type=chunk) [Special Note Regarding Forward-Looking Statements](index=59&type=section&id=Special%20Note%20Regarding%20Forward-Looking%20Statements) This section cautions readers about forward-looking statements, highlighting inherent risks and uncertainties that could affect future results - The report contains forward-looking statements subject to risks and uncertainties, including macroeconomic conditions, underwriting success, reinsurance availability, regulatory environment, and weather conditions[270](index=270&type=chunk)[272](index=272&type=chunk)[274](index=274&type=chunk) [Item 3. Quantitative and Qualitative Disclosures About Market Risk](index=61&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) This section details the company's exposure to market risks, primarily interest rate and credit risk, from its investment portfolios - The company's investment portfolios are primarily exposed to interest rate risk and credit risk, managed by BlackRock and overseen by SIC's investment committee[275](index=275&type=chunk) Item 3. Quantitative and Qualitative Disclosures About Market Risk Data | Hypothetical Change in Interest Rates | Estimated Fair Value After Change (in thousands) | Change in Estimated Fair Value (in thousands) | Percentage Increase (Decrease) in Estimated Fair Value | |:---|:---|:---|:---| | 300 basis point increase | $408,283 | $(46,267) | (10.2)% | | 200 basis point increase | $423,698 | $(30,851) | (6.8)% | | 100 basis point increase | $439,120 | $(15,429) | (3.4)% | | 100 basis point decrease | $469,986 | $15,436 | 3.4% | | 200 basis point decrease | $485,429 | $30,880 | 6.8% | | 300 basis point decrease | $500,879 | $46,330 | 10.2% | - Credit risk is mitigated by investing primarily in fixed-maturity securities rated 'BBB' or higher and diversifying the portfolio, with a weighted average credit quality rating of AA- at June 30, 2025[277](index=277&type=chunk) [Item 4. Controls and Procedures](index=62&type=section&id=Item%204.%20Controls%20and%20Procedures) This section confirms the effectiveness of the company's disclosure controls and procedures and reports no material changes in internal control - The Chief Executive Officer and Chief Financial Officer concluded that the company's disclosure controls and procedures were effective as of June 30, 2025[280](index=280&type=chunk) - No material changes in internal control over financial reporting occurred during the three months ended June 30, 2025[281](index=281&type=chunk) [PART II. OTHER INFORMATION](index=63&type=section&id=PART%20II.%20OTHER%20INFORMATION) This section covers legal proceedings, risk factors, equity sales, defaults, mine safety, other information, and exhibits [Item 1. Legal Proceedings](index=63&type=section&id=Item%201.%20Legal%20Proceedings) This section states the company is involved in routine legal proceedings, but management expects no material adverse effect on financial condition - The company is subject to routine legal proceedings, but management does not expect a material adverse effect on its business, financial condition, or results of operations[284](index=284&type=chunk) [Item 1A. Risk Factors](index=63&type=section&id=Item%201A.%20Risk%20Factors) This section refers to the risk factors documented in the IPO prospectus and confirms no material changes to these risks - There have been no material changes to the company's risk factors since the filing of its final IPO prospectus on June 18, 2025[285](index=285&type=chunk) [Item 2. Unregistered Sales of Equity Securities and Use of Proceeds](index=63&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) This section details the company's IPO completion, including shares sold, net proceeds, and confirms no material change in the planned use of proceeds - The company completed its IPO on June 18, 2025, issuing and selling **16.7 million** common shares at **$17.00** per share, generating net proceeds of approximately **$263.5 million**[286](index=286&type=chunk) - The underwriters fully exercised their option to purchase an additional **3.6 million shares** from selling stockholders on June 25, 2025, but the company did not receive any proceeds from these sales[286](index=286&type=chunk) - There has been no material change in the planned use of proceeds from the IPO as described in the related prospectus[287](index=287&type=chunk) [Item 3. Defaults Upon Senior Securities](index=63&type=section&id=Item%203.%20Defaults%20Upon%20Senior%20Securities) This section states that there were no defaults upon senior securities during the reporting period - The company reported no defaults upon senior securities[288](index=288&type=chunk) [Item 4. Mine Safety Disclosures](index=63&type=section&id=Item%204.%20Mine%20Safety%20Disclosures) This section indicates that there are no mine safety disclosures required for the company - The company has no mine safety disclosures to report[289](index=289&type=chunk) [Item 5. Other Information](index=63&type=section&id=Item%205.%20Other%20Information) This section confirms no director or officer adopted or terminated a Rule 10b5-1 or non-Rule 10b5-1 trading arrangement during the quarter - No director or officer adopted or terminated a Rule 10b5-1 or non-Rule 10b5-1 trading arrangement during the three months ended June 30, 2025[290](index=290&type=chunk) [Item 6. Exhibits](index=64&type=section&id=Item%206.%20Exhibits) This section lists the exhibits filed with the Quarterly Report, including corporate documents, executive certifications, and XBRL documents - Exhibits include the Amended and Restated Certificate of Incorporation and Bylaws, certifications of principal executive and financial officers, and Inline XBRL documents[291](index=291&type=chunk)

[Second Quarter 2025 Performance Overview](index=1&type=section&id=SLIDE%20REPORTS%20SECOND%20QUARTER%202025%20RESULTS) This section provides a high-level summary of Slide Insurance Holdings, Inc.'s strong financial and operational achievements in Q2 2025, including key financial metrics and CEO commentary [Key Financial Highlights](index=1&type=section&id=Second%20Quarter%202025%20Highlights) Slide Insurance Holdings, Inc. achieved strong results in Q2 2025, with significant year-over-year growth in gross premiums written, net income, and total revenue, alongside a successful IPO in June 2025 Key Financial Metrics for Q2 2025 | Metric | Q2 2025 | Q2 2024 | YoY Change | | :----------------------- | :---------- | :---------- | :--------- | | Gross Premiums Written | $435.4M | $348.3M | +25.0% | | Net Income | $70.1M | $53.7M | +30.5% | | Diluted EPS | $0.56 | $0.45 | +24.4% | | Combined Ratio | 67.4% | 69.9% | -250 bps | - The company successfully completed its Initial Public Offering (IPO) in June 2025[1](index=1&type=chunk)[3](index=3&type=chunk) [CEO Commentary](index=1&type=section&id=CEO%20Commentary) CEO Bruce Lucas highlighted the company's continued success, strong year-over-year growth across key metrics, and the successful IPO, attributing it to superior underwriting technology - The CEO reported another strong quarter and the successful completion of the Initial Public Offering, marking a significant milestone[3](index=3&type=chunk) - The company's underwriting technology continues to perform exceptionally, generating superior underwriting returns and leveraging a well-capitalized balance sheet and tech-driven underwriting capabilities to support long-term growth strategies and shareholder value creation[3](index=3&type=chunk) [Second Quarter 2025 Operating Results](index=1&type=section&id=Second%20Quarter%202025%20Operating%20Results) This section details Slide's financial performance in Q2 2025, analyzing revenue growth drivers, expense trends, and key profitability indicators [Revenue Performance](index=1&type=section&id=Revenue%20Performance) Slide achieved robust revenue growth in Q2 2025, driven by additional policy acquisitions from Citizens and stable renewal rates, significantly increasing gross and net earned premiums Q2 2025 Revenue Overview | Metric | Q2 2025 | Q2 2024 | YoY Change | | :------------------- | :---------- | :---------- | :--------- | | Gross Premiums Written | $435.4M | $348.3M | +25.0% | | Net Premiums Earned | $243.9M | $195.0M | +25.1% | | Total Revenue | $261.6M | $209.1M | +25.1% | Policies in Force | Metric | June 30, 2025 | March 31, 2025 | June 30, 2024 | | :---------------- | :-------------- | :------------- | :-------------- | | Policies in Force | 348,439 | 348,029 | 275,178 | - Growth in gross premiums written and net premiums earned was primarily driven by the acquisition of additional policies from Citizens and stable renewal rates for existing policies[4](index=4&type=chunk)[5](index=5&type=chunk)[7](index=7&type=chunk) [Expense Analysis](index=2&type=section&id=Expense%20Analysis) Loss ratio significantly improved despite a slight increase in net losses and loss adjustment expenses due to higher policy count, with policy acquisition and general administrative expenses also rising Key Expenses for Q2 2025 | Expense Category | Q2 2025 | Q2 2024 | YoY Change | | :------------------------------------ | :---------- | :---------- | :--------- | | Losses and LAE, net | $91.4M | $89.5M | +2.1% | | Policy acquisition & other underwriting | $32.1M | $17.8M | +80.3% | | General and administrative | $37.9M | $26.8M | +41.4% | - Catastrophe losses from non-hurricane weather events significantly decreased to **$6.1 million** in Q2 2025 from **$29.9 million** in the prior year period[8](index=8&type=chunk) [Profitability Metrics](index=2&type=section&id=Profitability%20Metrics) The company enhanced underwriting profitability by reducing the combined ratio, achieving substantial net income growth, though Return on Equity declined due to increased equity from retained earnings and IPO proceeds Q2 2025 Profitability Metrics | Metric | Q2 2025 | Q2 2024 | YoY Change | | :---------------- | :---------- | :---------- | :--------- | | Net Income | $70.1M | $53.7M | +30.5% | | Diluted EPS | $0.56 | $0.45 | +24.4% | | Loss Ratio | 37.4% | 45.9% | -850 bps | | Combined Ratio | 67.4% | 69.9% | -250 bps | | Return on Equity | 10.0% | 16.9% | -690 bps | - The decrease in Return on Equity was due to the growth in equity during Q2 2025, primarily from retained earnings and proceeds from the company's Initial Public Offering[11](index=11&type=chunk) [Key Ratio Definitions](index=2&type=section&id=Key%20Ratios) This section defines key insurance industry ratios used to evaluate the company's financial performance, including loss ratio, policy acquisition expense ratio, expense ratio, and combined ratio - The Loss ratio, expressed as a percentage, is the ratio of net losses and loss adjustment expenses incurred to net premiums earned[12](index=12&type=chunk) - The Policy acquisition expense ratio, expressed as a percentage, is the ratio of policy acquisition and other underwriting expenses to net premiums earned[12](index=12&type=chunk) - The Expense ratio, expressed as a percentage, is the ratio of policy acquisition and other underwriting expenses, general and administrative expenses, and other operating expenses to net premiums earned[13](index=13&type=chunk) - The Combined ratio is the sum of the loss ratio and the expense ratio, with a ratio below 100% indicating underwriting profit and above 100% indicating an underwriting loss[13](index=13&type=chunk) [Company Information](index=3&type=section&id=About%20Slide) This section provides essential corporate details, including webcast and conference call information, forward-looking statements, a company overview, and contact information [Webcast and Conference Call](index=3&type=section&id=Webcast%20and%20Conference%20Call) This section provides details on the webcast and conference call to discuss financial results, including access methods and replay availability - Slide will host a conference call to discuss financial results on August 12, 2025, at 5:00 PM ET, with dial-in numbers (877) 407-9208 (toll-free) or (201) 493-6784 (international)[14](index=14&type=chunk) - A live webcast and replay of the conference will be available at ir.slideinsurance.com, with the replay accessible for one year[14](index=14&type=chunk) [Forward-Looking Statements](index=3&type=section&id=Forward-Looking%20Statements) This standard disclaimer addresses inherent risks and uncertainties that may cause actual results to differ materially from projections, noting Slide's lack of obligation to update these statements - Statements in this press release and the company's earnings call are forward-looking and subject to risks and uncertainties that could cause actual events and results to differ materially from those discussed[15](index=15&type=chunk) - Slide undertakes no obligation to update any forward-looking statements unless required by law[16](index=16&type=chunk)[17](index=17&type=chunk) [About Slide](index=4&type=section&id=About%20Slide) Slide is a Tampa, Florida-based tech-enabled insurance company founded by Bruce and Shannon Lucas, leveraging AI and big data to optimize and simplify insurance for homeowners - Slide is a tech-enabled insurance company that leverages artificial intelligence and big data to optimize and simplify the insurance process, helping homeowners choose coverage tailored to their unique needs and budgets[18](index=18&type=chunk) - Headquartered in Tampa, Florida, the company was founded by insurance industry veterans Bruce and Shannon Lucas, who possess a deep understanding of how technology can be applied to achieve better underwriting outcomes[18](index=18&type=chunk) [Contacts](index=4&type=section&id=Contacts) Contact information is provided for investor relations and media inquiries - Investor contact: ir@slideinsurance.com[19](index=19&type=chunk) - Media contact: Rachel Carr, Chief Marketing Officer, press@slideinsurance.com[19](index=19&type=chunk) [Financial Statements](index=5&type=section&id=Slide%20Insurance%20Holdings%2C%20Inc.) This section presents the unaudited condensed consolidated statements of operations and balance sheets, along with supplemental financial and operational data for various periods [Condensed Consolidated Statements of Operations (Unaudited)](index=5&type=section&id=Condensed%20Consolidated%20Statements%20of%20Operations%20%28Unaudited%29) This section presents the unaudited condensed consolidated statements of operations for the three and six months ended June 30, 2025 and 2024, detailing revenues, expenses, and net income Condensed Consolidated Statements of Operations (Unaudited, in thousands) | | | | Three Months Ended | | | | Six Months Ended | | |---|---|---|---|---|---|---|---|---| | | | | June 30, | | | | June 30, | | | | | 2025 | | 2024 | | 2025 | | 2024 | | Revenues: | | | | | | | | | | Gross premiums written | $ | 435,384 | $ | 348,336 | $ | 713,633 | $ | 592,964 | | Change in unearned premiums | | (96,726) | | (87,769) | | (24,084) | | (95,036) | | Gross premiums earned | | 338,658 | | 260,567 | | 689,549 | | 497,928 | | Ceded premiums earned | | (94,799) | | (65,601) | | (179,649) | | (114,854) | | Net premiums earned | | 243,859 | | 194,966 | | 509,900 | | 383,074 | | Net investment income | | 15,040 | | 12,151 | | 28,848 | | 21,714 | | Policy fees | | 2,455 | | 1,971 | | 3,988 | | 2,920 | | Other income | | 253 | | 43 | | 464 | | 549 | | Total revenue | $ | 261,607 | $ | 209,131 | $ | 543,200 | $ | 408,257 | | Expenses: | | | | | | | | | | Losses and loss adjustment expenses incurred, net | | 91,369 | | 89,520 | | 175,130 | | 168,541 | | Policy acquisition and other underwriting expenses | | 32,096 | | 17,782 | | 60,668 | | 34,862 | | General and administrative expenses | | 37,935 | | 26,752 | | 79,314 | | 53,833 | | Interest expense | | 895 | | 1,307 | | 1,830 | | 1,587 | | Depreciation expense | | 1,117 | | 363 | | 2,262 | | 680 | | Amortization expense | | 1,898 | | 1,958 | | 3,792 | | 3,946 | | Total expenses | $ | 165,310 | $ | 137,682 | $ | 322,996 | $ | 263,449 | | Net income before income tax expense | | 96,297 | | 71,449 | | 220,204 | | 144,808 | | Income tax expense | | 26,225 | | 17,707 | | 57,629 | | 36,353 | | Net income | $ | 70,072 | $ | 53,742 | $ | 162,575 | $ | 108,455 | | Basic income earnings per share | $ | 1.05 | $ | 0.96 | $ | 2.63 | $ | 1.93 | | Diluted income earnings per share | $ | 0.56 | $ | 0.45 | $ | 1.30 | $ | 0.90 | [Condensed Consolidated Balance Sheets](index=6&type=section&id=Condensed%20Consolidated%20Balance%20Sheets) This section provides the unaudited condensed consolidated balance sheets as of June 30, 2025, and December 31, 2024, outlining assets, liabilities, and shareholders' equity Condensed Consolidated Balance Sheets (Unaudited, in thousands) | | | | | December 31, | |---|---|---|---|---| | | | June 30, 2025 | | 2024 | | | | (Unaudited) | | | | ASSETS Invested assets: | | | | | | Fixed-maturity securities, available-for-sale, at estimated fair value (amortized costs: $447,435 | | | | | | and $464,585, respectively and allowance for credit losses: $0 and $0 respectively) | $ | 454,550 | $ | 464,966 | | Other investments, net | | 4,212 | | 4,548 | | Total invested assets | $ | 458,762 | $ | 469,514 | | Cash and cash equivalents | | 936,187 | | 493,409 | | Restricted cash | | 648 | | 631 | | Restricted cash - variable interest entity | | 478,913 | | 295,802 | | Accrued interest income | | 5,786 | | 5,569 | | Assumed premiums receivable | | 22,312 | | 10,284 | | Premiums receivable, net of allowance for credit loss of $1,512 and $1,048, respectively | | 69,902 | | 47,642 | | Reinsurance recoverable on paid losses net of allowance for credit loss: $0 and $0, respectively | | 45,243 | | — | | Reinsurance recoverable on unpaid losses net of allowance for credit loss: $0 and $0, respectively | | 240,241 | | 341,051 | | Prepaid reinsurance premiums | | 432,733 | | 148,288 | | Deferred tax assets | | 15,742 | | 17,371 | | Deferred policy acquisition costs | | 71,458 | | 65,046 | | Advanced payments of premium tax liability | | 1,115 | | — | | Property and equipment, net | | 12,812 | | 13,578 | | Right-of-use lease asset, operating | | 7,701 | | 8,390 | | Intangibles, net | | 3,900 | | 7,692 | | Goodwill | | 2,603 | | 2,603 | | Prepaid expenses | | 7,361 | | 4,192 | | Other assets | | 610 | | 865 | | Total assets | $ | 2,814,029 | $ | 1,931,927 | | LIABILITIES AND SHAREHOLDERS' EQUITY | | | | | | Liabilities: | | | | | | Loss and loss adjustment expense reserves | $ | 571,812 | $ | 595,487 | | Unearned premiums | | 720,394 | | 696,310 | | Commissions payable | | 11,265 | | 8,254 | | Advanced recoveries on reinsurance | | — | | 4,844 | | Deferred revenue | | 90 | | 90 | | Reinsurance premiums payable | | 444,554 | | 70,452 | | Long-term debt, net | | 36,280 | | 39,190 | | Interest rate swap liability | | 103 | | 117 | | Income taxes payable | | 72,638 | | 43,943 | | Advanced premiums | | 50,518 | | 12,051 | | Premium tax liabilities | | — | | 1,206 | | Accounts payable and accrued expenses | | 24,357 | | 13,858 | | Lease liability, operating | | 8,374 | | 9,063 | | Other liabilities | | 5,584 | | 3,903 | | Total liabilities | $ | 1,945,969 | $ | 1,498,768 | | Shareholders' equity: | | | | | | Common Stock (par value $0.01, 1,500,000,000 shares authorized, 125,243,157 and 56,224,168 | | | | | | issued and outstanding at June 30, 2025 and December 31, 2024, respectively) | | 1,252 | | 562 | | Preferred stock (par value $0.01, 150,000,000 shares authorized, 0 and 51,374,125 issued | | | | | | and outstanding at June 30, 2025 and December 31, 2024, respectively) | | — | | 514 | | Additional paid-in capital | | 389,731 | | 122,607 | | Accumulated other comprehensive income, net of taxes | | 5,311 | | 285 | | Retained earnings | | 471,766 | | 309,191 | | Total shareholders' equity | $ | 868,060 | $ | 433,159 | | Total liabilities and shareholders' equity | $ | 2,814,029 | $ | 1,931,927 | [Supplemental Information](index=7&type=section&id=Supplemental%20Information) This section offers additional financial and operational data, including detailed revenue breakdowns, key ratios, policies in force, and average premiums across various periods Supplemental Information | | | | Three Months Ended June 30, | | | | Six Months Ended June 30, | | Year Ended December 31, 2024 | | |---|---|---|---|---|---|---|---|---|---|---| | | | | (in thousands) | | | (in thousands) | | | (in thousands) | | | Revenue | | 2025 | | 2024 | | 2025 | | 2024 | 2024 | | | Gross premiums written | $ | 435,384 | $ | 348,336 | $ | 713,633 | $ | 592,964 | $ | 1,334,864 | | Policy fees | | 2,455 | | 1,971 | | 3,988 | | 2,920 | | 6,550 | | Total revenue | $ | 261,607 | $ | 209,131 | $ | 543,200 | $ | 408,257 | $ | 864,814 | | Net income | $ | 70,072 | $ | 53,742 | $ | 162,575 | $ | 108,455 | $ | 201,125 | | Key Ratios | | | | | | | | | | | | Loss ratio | | 37.4% | | 45.9% | | 34.3% | | 44.0% | | 42.8% | | Policy acquisition expense ratio | | 13.2% | | 9.1% | | 11.9% | | 9.1% | | 10.8% | | Expense ratio | | 30.0% | | 24.0% | | 28.6% | | 24.3% | | 29.5% | | Combined ratio | | 67.4% | | 69.9% | | 62.9% | | 68.3% | | 72.3% | | Return on equity | | 10.0% | | 16.9% | | 25.0% | | 37.3% | | 60.0% | | Policies in Force | | | | | | | | | | | | Policies in force at beginning of period | | 348,029 | | 257,405 | | 343,056 | | 211,504 | | 211,504 | | Citizens residential policies assumed | | 14,167 | | 15,985 | | 26,240 | | 64,585 | | 135,530 | | Citizens commercial residential policies assumed | | 44 | | — | | 130 | | — | | 444 | | New residential policies written | | 5,603 | | 16,084 | | 11,376 | | 23,608 | | 46,397 | | New commercial residential policies written | | 41 | | — | | 53 | | — | | — | | Policy renewal rate | | 87.9% | | 88.1% | | 88.3% | | 88.2% | | 85.9% | | Policies in force at end of period | | 348,439 | | 275,178 | | 348,439 | | 275,178 | | 343,056 | | Average premium per residential policy | | 3,963 | | 3,991 | | 3,963 | | 3,991 | | 3,924 | | Average premium per commercial residential policy | | 110,575 | | — | | 110,575 | | — | | 97,240 | | | | | June 30, 2025 | | | | December 31, 2024 | | | | | | | | (in thousands) | | | | (in thousands) | | | | | Total Assets | $ | 2,814,029 | $ | 1,931,927 | | Shareholders' Equity | | 868,060 | | 433,159 | | Total common and preferred shares outstanding | | 125,243 | | 107,598 |

Core Insights - Slide Insurance Holdings, Inc. reported a strong second quarter for 2025, achieving significant year-over-year growth across key financial metrics, including gross premiums written, net income, and combined ratio [1][3][9]. Financial Performance - Gross premiums written increased by 25.0% year-over-year to $435.4 million, up from $348.3 million in the prior-year period, driven by the acquisition of additional policies and consistent renewal rates [4][9]. - Net income grew by 30.5% year-over-year to $70.1 million, compared to $53.7 million in the prior-year period, with diluted earnings per share at $0.56 [1][11][9]. - Total revenue rose by 25.1% to $261.6 million, compared to $209.1 million in the prior-year period, primarily due to increased net premiums earned [6][9]. Underwriting and Loss Ratios - The combined ratio improved by 250 basis points year-over-year to 67.4%, compared to 69.9% in the prior-year period, indicating better underwriting performance [1][10][9]. - The loss ratio improved by 850 basis points to 37.4%, down from 45.9% in the prior-year period, reflecting effective management of losses and expenses [7][9]. Operational Metrics - Policies in force as of June 30, 2025, totaled 348,439, an increase from 275,178 as of June 30, 2024, indicating strong growth in policy renewals and acquisitions [5][26]. - Policy acquisition and other underwriting expenses increased to $32.1 million from $17.8 million in the prior-year period, attributed to a higher number of policies in force [8][10]. Capital and Shareholder Value - The company completed its initial public offering in June 2025, which contributed to the growth in equity and overall financial strength [1][3]. - Return on equity for the quarter was 10.0%, down from 16.9% in the prior-year period, influenced by the increase in equity due to retained earnings and IPO proceeds [11][9]. Technology and Strategy - The company leverages advanced underwriting technology and a well-capitalized balance sheet to enhance its growth strategy and create long-term shareholder value [3][18].

Company Overview - Slide Insurance Holdings, Inc. is a technology-enabled insurance company focused on helping homeowners select appropriate coverage tailored to their needs and budgets [3] - The company utilizes artificial intelligence and big data to enhance and streamline the insurance process [3] - Founded by Bruce and Shannon Lucas, Slide is based in Tampa, FL, and aims to improve underwriting outcomes through technology [3] Financial Results Announcement - Slide will release its second quarter 2025 financial results after the stock market closes on August 12, 2025 [1] - A conference call to discuss these financial results is scheduled for 5 pm Eastern Time on the same day [2] - The dial-in numbers for the conference call are (877) 407-9208 for toll-free and (201) 493-6784 for international participants [2]

Financial Results Announcement - Slide Insurance Holdings, Inc. will release its second quarter 2025 financial results after the stock market closes on August 12, 2025 [1] - A conference call to discuss the financial results is scheduled for 5 pm Eastern Time on the same day [2] Conference Call Details - The dial-in number for the conference call is (877) 407-9208 (toll-free) or (201) 493-6784 (international) [2] - Participants are advised to dial in 10 minutes prior to the scheduled start time [2] - A live webcast of the conference call will be available at ir.slideinsurance.com, with a replay accessible for one year following the call [2] Company Overview - Slide is a technology-enabled insurance company focused on helping homeowners select appropriate coverage tailored to their needs and budgets [3] - The company utilizes artificial intelligence and big data to enhance and streamline the insurance process [3] - Founded by Bruce and Shannon Lucas, Slide is based in Tampa, FL, and aims to improve underwriting outcomes through technology [3]