Financial Data and Key Metrics Changes - For Q1 2025, the company reported net income of $175 million, a decrease from $182 million a year ago, with diluted earnings per share of $1.69 compared to $1.70 a year ago [5][11] - The annualized return on average equity was 12% for the quarter [5] - Consolidated cash and investments as of March 31 were $6.4 billion, with a new money yield over 5% [7][8] - The annualized investment yield for Q1 was 3.8% [8] Business Line Data and Key Metrics Changes - The U.S. mortgage insurance in force was $245 billion, a 3% increase year-over-year [7] - The mortgage insurance net premium earned for Q1 was $234 million, including $15.5 million from Essent Re [13] - The average base premium rate for the U.S. mortgage insurance portfolio was 41 basis points, consistent with the previous quarter [14] - The default rate on the U.S. mortgage insurance portfolio was 2.19%, down from 2.27% at the end of Q4 2024 [15] Market Data and Key Metrics Changes - The twelve-month persistency rate as of March 31 was 86%, unchanged from the previous quarter [7] - The weighted average FICO score of the insurance in force was 746, with a weighted average original LTV of 93% [7] Company Strategy and Development Direction - The company aims to balance a conservative balance sheet while preserving optionality for strategic growth opportunities and optimizing shareholder returns [8] - The management believes that favorable demographic trends and current affordability issues are creating pent-up demand for housing [4] - The company is focused on maintaining strong unit economics and is valuation sensitive regarding share buybacks [10][56] Management's Comments on Operating Environment and Future Outlook - Management expressed a constructive long-term outlook for housing, despite anticipating near-term headwinds to consumer spending and economic growth [4] - The company is well-positioned to navigate the current environment due to the strength of its operating model and high credit quality of its insured portfolio [4][20] - Management noted that the average age of first-time homeowners is 38, indicating significant pent-up demand for housing [27] Other Important Information - The Board approved a common dividend of $0.31 for Q2 2025 [9] - The company repurchased nearly 4 million shares for over $200 million year-to-date through April 30 [10][19] - The PMIER sufficiency ratio was strong at 172% with $1.5 billion in excess available assets [17] Q&A Session Summary Question: Thoughts on affordability cycle for homeownership - Management noted uncertainty in the affordability cycle but highlighted that the quality of borrowers remains strong due to current economic conditions [23][24] Question: Managing risk amid macro uncertainty - Management indicated that pricing adjustments have been made in certain markets, but a wait-and-see approach is being taken regarding macroeconomic impacts [35][36] Question: Credit loss expectations - Management confirmed that the default rate is expected to remain within the 2% to 3% range, with current rates at the lower end of that spectrum [38] Question: Buyback details - The company repurchased 2.8 million shares for $157 million in Q1 and an additional 1.1 million shares for $61 million in April [43][44] Question: Dividend flows from underwriting companies - Management stated that dividends will continue from both entities, subject to credit conditions remaining stable [72][74]

Financial Performance - Net income for 1Q25 was $1754 million, compared to $1679 million in 4Q24[5] - Annualized ROE increased to 125% in 1Q25 from 119% in 4Q24[5] - Shareholders' equity reached $57 billion in 1Q25, up from $56 billion in 4Q24[5] - The combined ratio improved to 318% in 1Q25 from 338% in 4Q24[5] - Book value per share grew to $5522 in Mar-25, with an annualized growth rate of 183% since December 31, 2013[11] Portfolio and Risk Management - U S Mortgage Insurance In Force (IIF) increased to $2447 billion in 1Q25 from $2436 billion in 4Q24[5] - New Insurance Written (NIW) was $99 billion in 1Q25, compared to $122 billion in 4Q24[5] - The portfolio default rate decreased to 219% in 1Q25 from 227% in 4Q24[6] - 97% of IIF is subject to reinsurance protection as of March 31, 2025[6,33,36] - Risk-to-capital ratio improved to 96:1 in 1Q25 from 98:1 in 4Q24[6] Capital Distribution - The company repurchased 39 million common shares for $218 million year-to-date through April 30th[9] - A quarterly dividend of $031 per common share was approved for 2Q25[9]

Financial Data and Key Metrics Changes - First quarter adjusted EBITDA was $591 million, an increase from $544 million in the prior period [16] - Adjusted EFO for the quarter was $345 million, which included a $114 million net gain from the sale of an offshore oil services operation [16] Business Line Data and Key Metrics Changes - The Industrial segment generated adjusted EBITDA of $304 million, benefiting from $72 million in tax benefits and contributions from a newly acquired electric heat tracing manufacturer [16] - The Business Service segment's adjusted EBITDA was CAD 213 million, up from CAD 205 million in 2024, driven by strong performance in residential mortgage insurance and improved project execution in construction [17] - The Infrastructure Services segment's adjusted EBITDA was $104 million, down from $143 million in the same quarter last year, impacted by the sale of offshore oil services [18] Market Data and Key Metrics Changes - Demand for advanced batteries in the advanced energy storage operation increased, contributing positively to results [17] - The company noted some demand headwinds in parts of Europe and softness in discretionary demand [14] Company Strategy and Development Direction - The company aims to own market-leading businesses and enhance their performance and cash flows, focusing on capital recycling and strategic acquisitions [4][5] - The strategy includes investing in areas like relocalization and digitalization, with a strong emphasis on the U.S. market as an attractive destination for capital [6][7] - The company is positioned to take advantage of growth opportunities and has recently agreed to acquire Antilia Scientific, a manufacturer of critical lab consumables [8] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in navigating economic cycles and adapting to changes, despite potential impacts from tariffs and global growth downturns [5][11] - The company is preparing for a more uncertain outlook over the next 12 to 18 months, while recognizing the resilience of its businesses [14][15] Other Important Information - The company ended the quarter with approximately CAD 2.3 billion in liquidity at the corporate level, allowing for continued buybacks and strategic investments [19] - A $250 million repurchase program was launched, with $140 million already returned to shareholders [4][19] Q&A Session Summary Question: Impact of tariffs on Dexco's EBITDA - Management indicated that while there are signs of recovery in North America, the market remains muted, and they are managing costs effectively to improve margins [22][23] Question: Status of Clarios' tax filing - Management confirmed that there are no changes in views regarding tax credits, and the tax return for 2024 is being processed normally [24][25] Question: Plans for returning capital to shareholders - The company is exploring monetization opportunities and may consider a larger share buyback program, depending on market conditions [26][28] Question: Realignment at Scientific Games - Management highlighted significant opportunities in digitizing the lottery ecosystem and has appointed a new head of digital to drive this initiative [32][33] Question: Participation in Barclays payments business - The company confirmed participation in the Barclays investment, aligning with its strategy in financial infrastructure [35][36] Question: Performance of Unidos in Brazil - The fleet management side of Unidos is performing well, with stable pricing, while the car rental side is also doing fine despite rising interest rates [46][49]

Financial Data and Key Metrics Changes - The company reported a net income of $145 million for the first quarter, with a return on equity of 12.6% and an 11% year-over-year increase in book value per share to $32.48 [6][13] - Total revenues for the quarter were $318 million, a slight increase from the previous quarter, with net premiums earned remaining consistent at $234 million [14][15] - The persistency rate for insurance in force increased to 86%, the second highest rate observed in over ten years [15][17] Business Line Data and Key Metrics Changes - The primary mortgage insurance in force portfolio grew to $274 billion, with $9.5 billion of new insurance written in the first quarter, lower than the previous quarter due to a smaller origination market [7][15] - The in-force premium yield remained stable at 38 basis points, expected to remain stable for the remainder of the year [17] Market Data and Key Metrics Changes - The private mortgage insurance market has been relatively flat at approximately $300 billion over the past two years, with expectations for 2025 to align with recent years [10] - The company noted a continuing positive impact from the current interest rate environment, supporting investment portfolio income and a higher persistency rate for insurance in force [11] Company Strategy and Development Direction - The company is focused on capital and expense management, with a strategic emphasis on share repurchases as an attractive use of capital [6][7] - Radian Guaranty entered into a multi-year quota share reinsurance arrangement to mitigate risk and provide PMIERs capital relief [27] Management's Comments on Operating Environment and Future Outlook - Management expressed a positive outlook for the housing market and mortgage insurance business, despite uncertainties from global trade policies [11][28] - The company continues to monitor macroeconomic factors that may impact credit performance, including unemployment trends [11][35] Other Important Information - The company repurchased $27 million of shares during the quarter, representing over 4% of shares outstanding, and returned a total of $244 million to stockholders, including dividends [7][26] - The holding company liquidity was $834 million at the end of the quarter, with a credit facility providing additional financial flexibility [26][52] Q&A Session Summary Question: Update on credit loss expectations and pricing strategies - Management indicated strong performance in cure trends, with a default rate decrease from 2.44% to 2.33%, and maintained a conservative view on through-the-cycle default rates [33][35] Question: Drivers behind the claims rate reduction - The claims rate was reduced from 8% to 7.5% based on positive trends in home price appreciation and cure rates, with no immediate changes expected unless macroeconomic conditions shift significantly [37][39] Question: Insights on buybacks and capital return philosophy - The company accelerated share buybacks significantly this quarter, utilizing excess liquidity and plans to continue at a similar pace in the second quarter [41][43] Question: Level of embedded equity in new delinquencies - Approximately 75% of new defaults have more than 20% equity, contributing to strong cure performance [46] Question: Right level of holding company liquidity - The company maintains a strong liquidity position, significantly above operational needs, and plans to continue returning capital to shareholders as opportunities arise [50][52]

Financial Data and Key Metrics Changes - The company reported net income of $186 million for Q1 2025, with an annualized return on equity of 14.3% [5] - Adjusted net operating income was $0.75 per diluted share, compared to $0.64 per diluted share in the previous year [14] - The in-force insurance ended the quarter at $294 billion, with annual persistency at 85%, remaining relatively flat over the past several quarters [6][11] Business Line Data and Key Metrics Changes - The company wrote $10 billion of new insurance during the quarter, maintaining strong underwriting standards [6] - The in-force premium yield was 38.4 basis points, remaining flat sequentially and year-over-year [18] Market Data and Key Metrics Changes - The delinquency rate decreased by 10 basis points to 2.3%, consistent with seasonal trends [16] - The number of new delinquency notices received was 13,000, down from 14,200 in the previous quarter [16] Company Strategy and Development Direction - The company focuses on maintaining financial strength and flexibility, with a capital management strategy that includes share repurchases and dividends [7][10] - An additional $750 million share repurchase program was approved, reflecting the company's commitment to returning capital to shareholders [10] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the fundamentals of the housing market, citing demographic trends and increasing housing inventory as positive factors [11] - The company anticipates that uncertainties in the economic environment may persist, but remains optimistic about its ability to navigate these challenges [11] Other Important Information - The company returned $828 million of capital to shareholders through share repurchases and dividends over the past year [19] - The unrealized loss position on the investment portfolio decreased by $66 million, primarily due to a decrease in interest rates [20] Q&A Session Summary Question: Adjustments to pricing or underwriting due to macro uncertainties - Management indicated that they consider a wide range of economic scenarios in their pricing strategy, but no specific changes were made due to tariffs [26][27] Question: Claim rate assumptions and unemployment considerations - The 7.5% new notice claim rate is used for various economic outcomes, and reserves are set to be sufficient across a wide range of scenarios without targeting specific unemployment rates [29][30] Question: Market share volatility and volume - Management acknowledged some volatility in market share but emphasized that it is a competitive industry and fluctuations are expected [35][36]

Financial Data and Key Metrics Changes - The company reported adjusted operating income of $169 million, up 2% year over year [6] - Adjusted earnings per share was $10, up 6% year over year [6] - GAAP net income was $166 million or $1.08 per diluted share, compared to $1.00 per diluted share in the same period last year [18] - Adjusted operating return on equity was 13.4% [19] - Insurance in force was $258 billion, up 2% year over year [6] Business Line Data and Key Metrics Changes - New insurance written was $10 billion, down 26% sequentially and down 7% year over year [19] - Primary insurance in force was $268 billion, relatively flat from $269 billion in the fourth quarter of 2024 and up 2% year over year [20] - Total net premiums earned were $245 million, down $1 million sequentially and up $4 million or 2% year over year [20] - The base premium rate was 40.1 basis points, relatively flat sequentially [21] Market Data and Key Metrics Changes - The housing market conditions remained tight with elevated home prices despite high borrowing costs [6] - Approximately 8% of the insurance in force had mortgage rates at least 50 basis points above March's average mortgage rate of 6.7% [9] - Persistency was 84%, up two points sequentially and down one point year over year [20] Company Strategy and Development Direction - The company is focused on maintaining a strong balance sheet, investing in business growth, and returning capital to shareholders [11][14] - The introduction of the Rate three sixty pricing engine aims to enhance competitive pricing and risk selection [12][13] - The company continues to participate in GSE CRT transactions to diversify its platform [12] Management's Comments on Operating Environment and Future Outlook - The management highlighted a stable consumer and labor market, with potential improvement if mortgage rates decline [7] - The company is prepared to navigate a range of scenarios amid elevated geopolitical uncertainty [8] - Management expressed confidence in the long-term drivers of the housing market, particularly pent-up demand from first-time homebuyers [8] Other Important Information - The company returned over $94 million to shareholders through share buybacks and dividends [14] - A new $350 million share repurchase program was authorized, along with a 14% increase in the dividend from 18.5 cents to 21 cents per share [14][29] - The PMIERs sufficiency ratio stood at 165, indicating a strong capital foundation [9] Q&A Session Summary Question: How is the company reacting to market uncertainty in underwriting and pricing? - The company is maintaining prudent guidelines and leveraging its strong capital base to help well-qualified borrowers [35] Question: Has there been any impact from recent government policy changes on loss mitigation? - The company has seen continued strength in GSE loss mitigation programs and is optimistic about new loss mitigation options [39] Question: What are the pricing dynamics and market share changes? - Market participation has been stable, and pricing adjustments are made based on risk and return alignment [45] Question: How does the seasoning of the portfolio affect delinquency development? - The average age of the portfolio is now 3.9 years, which is expected to slow the increase in new delinquency development [54] Question: Are cancellation rates increasing? - The company has not seen significant changes in borrower-initiated cancellations, which primarily occur due to refinancing [71]

Financial Performance - Radian Group's net income for Q1 2025 was $145 million, compared to $148 million in Q4 2024 and $152 million in Q1 2024[9] - The diluted net income per share was $0.98 in Q1 2025, consistent with $0.98 in Q4 2024 and Q1 2024[9] - The adjusted diluted net operating income per share was $0.99 in Q1 2025, compared to $1.08 in Q4 2024 and $1.00 in Q1 2024[9] - The book value per share grew by 11% year-over-year, reaching $32.48 as of March 31, 2025, compared to $29.30 as of March 31, 2024[9] - The return on equity was 12.6% in Q1 2025, slightly lower than 12.7% in Q4 2024 and 13.8% in Q1 2024[10] - The adjusted net operating return on equity was 12.7% in Q1 2025, compared to 14.1% in both Q4 2024 and Q1 2024[10] Insurance Operations - The primary insurance in force was $274.2 billion as of March 31, 2025, compared to $275.1 billion as of December 31, 2024, and $271.0 billion as of March 31, 2024[13] - New insurance written was $9.5 billion in Q1 2025, compared to $13.2 billion in Q4 2024 and $11.5 billion in Q1 2024[13] - Net mortgage insurance premiums earned were $234 million in Q1 2025, consistent with $235 million in Q4 2024 and $234 million in Q1 2024[13] Investment Portfolio - Total investments were $6.1 billion as of March 31, 2025, compared to $6.3 billion as of December 31, 2024, and March 31, 2024[15] - Net investment income was $69 million in Q1 2025, consistent with $71 million in Q4 2024 and $69 million in Q1 2024[14]

Core Insights - Enact Holdings, Inc. reported a strong financial performance for the first quarter of 2025, with net income of $166 million, or $1.08 per diluted share, reflecting a year-over-year increase [1][4] - The company emphasized its commitment to prudent underwriting, expense discipline, and returning capital to shareholders, positioning itself well amid economic uncertainties [2] Financial Performance - Net income for Q1 2025 was $166 million, up from $163 million in Q4 2024 and $161 million in Q1 2024 [3][4] - Adjusted operating income remained stable at $169 million, with adjusted diluted earnings per share at $1.10, compared to $1.09 in Q4 2024 and $1.04 in Q1 2024 [3][4] - New insurance written (NIW) was approximately $10 billion, a decrease of 26% from Q4 2024 and 7% from Q1 2024, attributed to seasonality and lower market share [4][9] Key Ratios and Metrics - Return on Equity (ROE) was reported at 13.1%, with an adjusted operating ROE of 13.4%, showing slight declines from the previous quarters [3][9] - The loss ratio increased to 12% from 10% in Q4 2024 and 8% in Q1 2024, driven by lower reserve releases [9][22] - The expense ratio improved to 21% from 24% in Q4 2024, indicating better expense management [9][22] Capital and Liquidity - PMIERs sufficiency was reported at 165%, approximately $2.0 billion above requirements, down from 167% in Q4 2024 [9][22] - The company held $356 million in cash and cash equivalents, with total assets amounting to $6.72 billion as of March 31, 2025 [9][21] - Enact repurchased approximately 2.0 million shares for about $66 million during the quarter and announced a new share repurchase program of up to $350 million [9][22] Dividends and Shareholder Returns - A quarterly dividend of $0.185 per share was paid, with a subsequent increase to $0.21 per share announced for the next quarter [9][22] - The company completed a $200 million dividend from its subsidiary EMICO to enhance capital return capabilities [9][22]

Core Points - Enact Holdings, Inc. declared a quarterly dividend of $0.21 per common share, marking a 14% increase from the previous quarter [1] - The company authorized a new share repurchase program allowing for the purchase of up to $350 million of its common stock, in addition to the remaining $6 million from the existing $250 million program [2][3] - The CEO emphasized the commitment to shareholder value through the increased dividend and share repurchase program, highlighting a consistent annual dividend increase since inception [3] Dividend and Share Repurchase - The new quarterly dividend will be payable on June 11, 2025, to shareholders of record on May 19, 2025 [1] - The share repurchase program will utilize various methods, including open market purchases and privately negotiated transactions, and may be executed under specific trading plans [3] - The timing and amount of share repurchases will be opportunistic, influenced by factors such as share price and market conditions [4] Company Overview - Enact Holdings, Inc. operates primarily through its subsidiary, Enact Mortgage Insurance Corporation, and is a leading private mortgage insurance provider in the U.S. [5] - The company aims to support homeownership by partnering with lenders to provide exceptional service and risk management [5]

Core Viewpoint - MGIC Investment Corporation reported strong financial results for the first quarter of 2025, demonstrating continued performance improvement and market leadership despite macroeconomic concerns [2][3]. Financial Performance - Net income for Q1 2025 was $185.5 million, or $0.75 per diluted share, compared to $184.7 million and $0.72 per diluted share in Q4 2024, and $174.1 million and $0.64 per diluted share in Q1 2024 [4]. - Adjusted net operating income for Q1 2025 was $185.2 million, or $0.75 per diluted share, reflecting a slight increase from $184.5 million and $0.72 per diluted share in Q4 2024, and $178.4 million and $0.65 per diluted share in Q1 2024 [4]. - New insurance written (NIW) was $10.2 billion in Q1 2025, down from $15.9 billion in Q4 2024 and up from $9.1 billion in Q1 2024 [4][20]. - Net premiums earned were $243.7 million, slightly up from $241.3 million in Q4 2024 and $242.6 million in Q1 2024 [4]. - The annual persistency rate was 84.7%, a slight decrease from 84.8% in Q4 2024 and 85.7% in Q1 2024 [4]. Capital and Liquidity - As of March 31, 2025, PMIERs available assets were $5.9 billion, with PMIERs excess at $2.6 billion [4]. - The holding company liquidity was reported at $824 million, down from $1,076 million at the end of Q4 2024 [4]. Shareholder Actions - The company repurchased 9.2 million shares for $224.3 million and an additional 2.8 million shares for $65.8 million through April 25, 2025 [7]. - A dividend of $0.13 per common share was declared, payable on May 21, 2025 [7]. Delinquency and Loss Metrics - Primary delinquency inventory stood at 25,438, down from 26,791 in Q4 2024 [4][24]. - The primary IIF delinquency rate was 2.30%, a decrease from 2.40% in Q4 2024 [4][24]. - Losses incurred, net, were $9.6 million, compared to $8.7 million in Q4 2024 and $4.6 million in Q1 2024 [4]. Market Position and Strategy - The company maintains a strong market position with robust capital and liquidity, allowing it to continue executing its business strategies and supporting customers with innovative solutions [2][3].