UFG(US:UFCS) Globenewswire·2025-11-04 21:01Core Insights - United Fire Group, Inc. (UFG) reported a net income of $39.2 million for Q3 2025, an increase of $19.4 million compared to Q3 2024, resulting in earnings of $1.49 per diluted share [1][7] - Adjusted operating income for the same period was $39.5 million, up $18.4 million year-over-year, translating to $1.50 per diluted share [1][7] - The company achieved a record net written premium of $328.2 million, reflecting a 7% growth driven by strong performance in core commercial lines [2][10] Financial Performance - The combined ratio improved by 6.3 points to 91.9%, marking the best third quarter combined ratio in nearly 20 years [3][4] - The underlying loss ratio improved by 1.9 points to 56.0%, indicating favorable trends in rate achievement and loss experience [3][11] - Net investment income increased by 6.3% to $26.0 million, supported by a 17% growth in fixed maturity income [3][11] Premium Growth - Net written premium grew by 7% to $328.2 million, with core commercial lines seeing a significant increase of 22% [2][10] - Average renewal premiums rose by 7.1%, with rates increasing by 5.8% and exposure changes contributing 1.2% [10] Underwriting and Expense Management - The underwriting expense ratio improved by 1.3 points to 34.6%, reflecting disciplined expense management [3][11] - Catastrophe loss ratio improved by 3.1 points to 1.3%, indicating relatively light catastrophe activity during the quarter [3][11] Balance Sheet and Equity - Book value per share increased by $4.42 to $35.22 as of September 30, 2025, a 14.4% increase from December 31, 2024 [15][14] - Total stockholders' equity rose to $898.7 million, up from $781.5 million at the end of 2024 [14][15] Strategic Outlook - The company is well-positioned to navigate evolving industry dynamics and maintain momentum into 2026, as stated by President and CEO Kevin Leidwinger [4]