Universal Insurance Holdings(UVE) - 2024 Q4 - Annual Results

Financial Performance - Diluted GAAP earnings per share (EPS) were $0.21, down 69.1% from $0.68 in the prior year quarter[4] - Adjusted net income available to common stockholders was $7.2 million, down 42.9% from $12.6 million in the prior year quarter[7] - The company reported a net income of $6,018 thousand for Q4 2024, a decrease of 69.9% compared to $19,999 thousand in Q4 2023[25] - GAAP net income available to common stockholders for Q4 2024 was $6,016 million, a decrease from $19,997 million in Q4 2023, leading to diluted earnings per common share of $0.21 compared to $0.68 in the prior year[34] - Adjusted net income available to common stockholders for the twelve months ended December 31, 2024, was $52,418 million, down from $58,657 million in 2023, with diluted adjusted earnings per common share of $1.79 compared to $1.95 in 2023[34] Revenue and Growth - Total revenues for Q4 2024 were $384.8 million, a 2.5% increase from $375.5 million in Q4 2023[5] - The company reported core revenue of $386,414 million for Q4 2024, an increase from $365,705 million in Q4 2023, indicating growth in core operations[33] - The total revenue for the twelve months ended December 31, 2024, was $1,520,536 million, up from $1,391,582 million in 2023, reflecting a year-over-year growth of approximately 9.3%[33] Premiums and Underwriting - Direct premiums written reached $470.9 million, up 8.8% from the prior year quarter, with a 38.4% growth in states outside Florida[9] - Direct premiums written in Florida increased to $342,565 thousand in Q4 2024 from $339,902 thousand in Q4 2023, showing a growth of 0.5%[29] - Net premiums earned rose to $348,354 thousand for Q4 2024, up from $335,398 thousand in Q4 2023, reflecting a growth of 5.8%[25] - The combined ratio for Q4 2024 was 107.9%, compared to 103.7% in Q4 2023, indicating a deterioration in underwriting performance[29] - The net combined ratio was 107.9%, up 4.2 percentage points compared to the prior year quarter[14] Equity and Book Value - Book value per share increased to $13.28, up 12.7% year-over-year[4] - GAAP stockholders' equity increased to $373,250 million as of December 31, 2024, from $341,297 million in 2023, while adjusted common stockholders' equity rose to $436,316 million from $415,369 million[35] - Book value per common share increased to $13.28 in 2024 from $11.78 in 2023, while adjusted book value per common share rose to $15.53 from $14.34[35] Returns and Ratios - The annualized return on average common equity (ROCE) was 6.2%, a decrease of 18.7 percentage points from 24.9% in the prior year quarter[5] - The annualized return on average common equity (ROCE) decreased to 6.2% in Q4 2024 from 24.9% in Q4 2023, indicating a significant decline in profitability[27] - Return on common equity (ROCE) for Q4 2024 was 6.2%, down from 24.9% in Q4 2023, while adjusted ROCE was 6.5% compared to 12.4% in the previous year[36] Investment and Assets - Net investment income rose to $15.6 million, an increase from $13.7 million in the prior year quarter[11] - Total assets increased to $2,841,861 thousand in 2024 from $2,316,561 thousand in 2023, representing a growth of approximately 22.6%[23] - The company’s total liabilities increased to $2,468,611 thousand in 2024 from $1,975,264 thousand in 2023, an increase of 25%[23] Shareholder Returns - The company returned a total of $16.2 million to shareholders, including $7.7 million in share repurchases and dividends[4] Cash and Cash Equivalents - Cash and cash equivalents decreased to $259,441 thousand in 2024 from $397,306 thousand in 2023, a decline of 34.8%[23] Operating Income - GAAP operating income for Q4 2024 was $8,957 million, down from $27,531 million in Q4 2023, resulting in a GAAP operating income margin of 2.3% compared to 7.3% in the previous year[33] - Adjusted operating income for the twelve months ended December 31, 2024, was $82,466 million, slightly down from $84,063 million in 2023, with an adjusted operating income margin of 5.5% compared to 6.1% in 2023[33] Unrealized Gains and Losses - The company experienced a net change in unrealized gains (losses) on investments of $9,936 million for the twelve months ended December 31, 2024, compared to $12,046 million in 2023[33] Policies in Force - Policies in force increased to 855,526 in 2024 from 809,932 in 2023, representing a growth of 5.6%[29]