Radian(US:RDN) ZACKS·2024-11-07 15:50Core Viewpoint - Radian Group Inc. reported a third-quarter 2024 adjusted operating income of $1.03 per share, exceeding the Zacks Consensus Estimate by 17%, although it represented a 0.9% decline year over year [1] Financial Performance - Operating revenues increased by 2.6% year over year to $319 million, driven by higher net investment income, but fell short of the Zacks Consensus Estimate by 0.3% [1] - Net premiums earned were $235 million, down 0.8% year over year, while net investment income rose by 15.6% to $78.3 million [3] - The primary mortgage insurance in force increased by 1.9% year over year to $274.7 billion, while MI New Insurance Written decreased by 3% to $13.5 billion [3] Segment Performance - The Mortgage segment saw a slight revenue decrease of 0.2% year over year to $287.6 million, with net premiums earned at $235.1 million, down 0.6% [5] - Claims paid in the Mortgage segment decreased by 40% year over year to $3 million, resulting in a positive loss ratio of 2.7 compared to negative 3.5 in the previous year [5] - The All Other segment reported a significant revenue increase of 22.5% year over year to $39.6 million, with net investment income growing by 58% to $28.1 million [6] Expense and Asset Management - Total expenses increased by 24% year over year to $138.4 million, with an expense ratio of 23.7, down 30 basis points from the previous year [4] - As of September 30, 2024, Radian Group had a cash balance of $28 million, up 47.6% from the end of 2023, and a debt-to-capital ratio improved by 590 basis points to 18.5 [7] Shareholder Returns - Radian repurchased 1.5 million shares for $49 million in the third quarter, with a remaining repurchase capacity of $618 million [8] - The board declared a quarterly dividend of 24.5 cents per share [8]