MGIC Investment (US:MTG)2025-10-29 20:05Financial Performance - The company reported a net income of $X million for Q3 2025, representing a Y% increase compared to Q3 2024[6] - Net income for Q3 2025 was $191,095,000, down from $199,969,000 in Q3 2024, reflecting a decrease of 4.4%[32] - Comprehensive income for Q3 2025 was $236,843,000, compared to $328,963,000 in Q3 2024, a decline of 28%[32] - Net income for the nine months ended September 30, 2025, was $569,037 thousand, compared to $578,294 thousand for the same period in 2024, reflecting a decrease of about 1.4%[36] - Total revenues for the nine months ended September 30, 2025, reached $914,984,000, compared to $906,287,000 for the same period in 2024, indicating a year-over-year increase of 1.9%[30] - Total revenues for Q3 2025 were $304,505,000, a decrease from $306,649,000 in Q3 2024, with investment income net of expenses at $62,210,000, slightly up from $62,093,000[30] Premiums and Insurance Metrics - New Insurance Written (NIW) for the quarter was $Z billion, reflecting a growth of A% year-over-year[6] - Net premiums written for Q3 2025 were $235,228,000, a slight increase from $234,006,000 in Q3 2024, representing a growth of 0.5%[30] - Direct premiums earned for Q3 2025 were $285.7 million, slightly up from $284.4 million in Q3 2024, while net premiums earned were $241.8 million compared to $243.3 million[54] - The company reported a loss ratio of 4.5% for Q3 2025, compared to 4.0% in Q3 2024, indicating a slight increase in the proportion of losses relative to premiums earned[30] - The delinquency rate for insured loans decreased to B%, down from C% in the previous quarter[6] Expenses and Losses - The loss ratio for the quarter was D%, compared to E% in the same period last year[6] - Losses incurred, net for Q3 2025 were $10,928,000, compared to a loss of $9,842,000 in Q3 2024, indicating an increase in losses[30] - The company’s total losses and expenses for Q3 2025 amounted to $69,444,000, compared to $52,353,000 in Q3 2024, reflecting higher operational costs[30] - Losses incurred for the current year as of September 30, 2025, were $154,162,000, slightly down from $158,317,000 in 2024[132] Assets and Liquidity - The total assets available to pay claims were reported at $G billion, ensuring strong liquidity[6] - Cash and cash equivalents at the end of Q3 2025 were $271,792,000, down from $299,609,000 at the end of Q3 2024[36] - Total shareholders' equity as of September 30, 2025, was $5,172,699,000, a decrease from $5,294,076,000 as of September 30, 2024[34] - The company’s available assets exceeded its minimum required assets as of September 30, 2025, ensuring compliance with the GSEs' PMIERs[42] Shareholder Actions - The company repurchased common stock worth $599,453,000 during the nine months ended September 30, 2025[36] - In the nine months ended September 30, 2025, the company repurchased 23.4 million shares for $592.9 million, with remaining authorization to repurchase $614 million of common stock through December 31, 2027[139] - Cash dividends paid in the first half of 2025 were $0.13 per share, increasing to $0.15 per share in the third quarter, with a similar dividend declared for November 2025[140] - The company paid a total dividend of $400 million to the holding company in the nine months ended September 30, 2025, with an additional $400 million paid in October 2025[147] Technology and Market Expansion - Ongoing development of new technology solutions is expected to enhance underwriting efficiency and reduce costs[6] - The company plans to expand its market presence by entering H new states by the end of 2025[6] - The company has initiated discussions for potential acquisitions to strengthen its competitive position in the market[6] Investment Performance - Investment income, net of expenses, for the nine months ended September 30, 2025, was $184,648,000, slightly up from $183,316,000 in the same period of 2024[30] - The company reported net gains on investments of $162 for the three months ended September 30, 2025, compared to $583 for the same period in 2024[97] - The fair value of equity securities as of September 30, 2025, was $15,286, compared to $14,762 as of December 31, 2024, reflecting a slight increase[95] Regulatory Compliance and Accounting - The company is evaluating the impacts of new accounting standards (ASU 2023-09 and ASU 2024-03) but does not expect them to have a material impact on disclosures[46][47] - MGIC is in compliance with its debt covenants as of September 30, 2025[50] - As of September 30, 2025, MGIC's Available Assets exceed its Minimum Required Assets, ensuring compliance with GSEs' PMIERs[42]