Compared to Estimates, W.R. Berkley (WRB) Q4 Earnings: A Look at Key Metrics

Core Insights - W.R. Berkley reported revenue of $3.72 billion for the quarter ended December 2025, reflecting a year-over-year increase of 5.9% but falling short of the Zacks Consensus Estimate by 0.94% [1] - The company's EPS remained stable at $1.13, matching the previous year's figure but slightly below the consensus estimate of $1.14, resulting in an EPS surprise of -0.59% [1] Financial Performance Metrics - Loss ratio totaled 61.2%, slightly better than the average estimate of 61.4% [4] - Expense ratio was reported at 28.2%, compared to the average estimate of 28.6% [4] - Combined ratio stood at 89.4%, outperforming the average estimate of 90% [4] - Net premiums earned from insurance were $2.79 billion, below the average estimate of $2.84 billion, but showed a year-over-year increase of 5.8% [4] - Revenues from non-insurance businesses reached $169.34 million, exceeding the average estimate of $159.47 million and reflecting a 10.9% year-over-year increase [4] - Net investment income was reported at $338.23 million, lower than the average estimate of $362.24 million, but still a 6.6% increase year-over-year [4] - Total net premiums earned were $3.18 billion, slightly below the average estimate of $3.22 billion, with a year-over-year increase of 5.6% [4] - Net premiums earned from reinsurance and monoline excess were $388.26 million, surpassing the average estimate of $378.73 million, marking a 4.3% year-over-year increase [4] - Insurance service fees were $25.9 million, below the average estimate of $27.72 million, indicating a year-over-year decline of 5.3% [4] - Net realized gains on investment sales were significantly lower at $5.63 million compared to the average estimate of $49.46 million, representing a drastic year-over-year decrease of 96.3% [4] - Other income was reported at $2.02 million, exceeding the average estimate of $1.02 million, with a year-over-year increase of 213.2% [4] Stock Performance - W.R. Berkley shares have returned -4.9% over the past month, contrasting with the Zacks S&P 500 composite's increase of 0.2% [3] - The stock currently holds a Zacks Rank 4 (Sell), suggesting potential underperformance relative to the broader market in the near term [3]