NMI (US:NMIH) ZACKSยท2025-04-30 17:50Core Viewpoint - NMI Holdings (NMIH) reported strong first-quarter 2025 results, with operating net income per share of $1.28, exceeding estimates and showing significant year-over-year growth [1] Operational Update - Total operating revenues reached $173.3 million, a 10.9% increase year over year, driven by a 9.3% rise in net premiums earned and a 21.9% increase in net investment income [2] - Primary insurance in force grew by 6% to $211.3 billion [2] - Annual persistency decreased to 84.3%, down 150 basis points year over year [2] - New insurance written was $9.2 billion, reflecting a 2% decline year over year [2] Underwriting and Operating Expenses - Underwriting and operating expenses totaled $30.2 million, up 1% year over year [3] - Insurance claims and claim expenses increased to $4.5 million, a rise of 21.2% year over year [3] - The loss ratio expanded to 3%, an increase of 30 basis points year over year [3] - The expense ratio improved by 160 basis points year over year, while the adjusted combined ratio improved to 23.2, a 130 basis point enhancement [3] Financial Update - Book value per share increased by 16.8% year over year to $30.85 as of March 31, 2025 [4] - Cash and cash equivalents rose to $74.2 million, a 36.6% increase from the end of 2024 [4] - Debt balance slightly increased by 0.1% to $416 million from the end of 2024 [4] - Annualized adjusted return on equity was 18.1%, contracting by 10 basis points year over year [4] PMIERs Update - Total PMIERs available assets were reported at $3.2 billion [5] - Net risk-based required assets totaled $1.9 billion at the end of the first quarter of 2025 [5]