Financial Data and Key Metrics Changes - For Q4 2024, the company reported net income of 168million,adecreasefrom175 million a year ago, with diluted earnings per share of 1.58comparedto1.64 a year ago [8][20] - Full-year 2024 net income was 729million,or6.85 per diluted share, with a return on average equity of 14% [8][17] - Book value per share increased by 11% to 53.36asofDecember31[9]BusinessLineDataandKeyMetricsChanges−TheU.S.mortgageinsuranceinforcewas244 billion, a 2% increase from the previous year [9][21] - The average base premium rate for the U.S. mortgage insurance portfolio remained at 41 basis points, consistent with the previous quarter [21] - The consolidated net investment income for full-year 2024 was 222million,upnearly200.31 per share and a 500millionsharerepurchaseauthorizationthroughyear−end2026[18][31]−Thecompanyreportedacashandinvestmentspositionof6.3 billion as of December 31, with a new money yield over 5% [16][17] Q&A Session Summary Question: Expectations for title results in 2025 - Management expects title results for 2025 to be similar to 2024, with ongoing costs related to capacity for a large lender [36][38] Question: Clarification on hurricane-related defaults - The hurricane-related defaults were included in the default count at quarter-end, with the default rate likely closer to 2% when excluding these [41][42] Question: Insights on default patterns - Management noted that 2024's default pattern was generally favorable compared to historical trends, with expectations for a gradual increase in default rates [48][50] Question: Monitoring borrower insurance - The company ensures borrowers have homeowners insurance through force placement if necessary, mitigating risk from uninsured properties [58][60] Question: Capital return strategy amid growth pause - Management indicated a balanced approach to capital return, leveraging excess capital while remaining cautious about growth opportunities [78][90]
Essent .(ESNT)2025-02-14 19:38