KNSL

A month has gone by since the last earnings report for Skyward Specialty Insurance (SKWD). Shares have lost about 10.7% in that time frame, underperforming the S&P 500. But investors have to be wondering, will the recent negative trend continue leading up to its next earnings release, or is Skyward due for a breakout? Well, first let's take a quick look at the latest earnings report in order to get a better handle on the recent drivers for Skyward Specialty Insurance Group, Inc. before we dive into how investors and analysts have reacted as of late. SKWD Q2 Earnings Beat Estimates as Premium Growth Accelerates Skyward Specialty delivered a solid second quarter of 2026, with operating earnings per share of $1.30, which increased 46.1% from the year-ago level. It beat the Zacks Consensus Estimate by 13%. Total revenues were $489.53 million, which improved 53% year over year and beat the consensus mark by 6.5%. The second-quarter performance reflected strong premium growth and contributions from the Apollo segment, while underwriting remained profitable despite a slight increase in the combined ratio. Gross written premiums totaled $740.6 million, up 13.3% from the prior-year period’s level. Growth was broad-based, led by a 14.2% increase in the Skyward Specialty segment and a 5.6% rise in the Apollo segment, with Syndicate 1969's gross written premiums increasing 7.7%. Net earned premiums climbed to $444.5 million from $295.5 million a year ago, reflecting higher business volumes and contributions from the Apollo segment. Underwriting fee income of $12.6 million, generated by the Apollo segment, also contributed to the quarter’s top-line mix. Net investment income increased to $30.7 million from $18.7 million a year ago, driven by the addition of the Apollo portfolio, a higher-yield environment and a larger invested asset base. Within Skyward Group’s U.S. specialty operations, several underwriting divisions posted notable momentum. Accident & Health gross written premiums increased 57.8% year over year, Credit & Surety rose 15.6%, Global Agriculture advanced 95.8% and Specialty Programs jumped 29.7%, helping offset declines in Captives, Energy Solutions and Global Property. The Skyward Specialty segment's loss and LAE ratio increased primarily because of shifts in business mix, driven by growth in Accident & Health and Global Agriculture. At the same time, the segment's expense ratio improved, driven by business mix shifts, enhanced operating efficiencies and scale benefits. Losses and loss adjustment expenses amounted to $276.7 million, up from $181.3 million in the prior-year quarter, consistent with the expansion of the premium base. The consolidated loss ratio deteriorated to 62.3% from 61.3% a year ago, primarily reflecting business-mix shifts within the Skyward Specialty segment. Total Cat loss and LAE increased to 1.9% from 1.4% a year ago. Underwriting, acquisition and insurance expenses rose to $123.3 million from $85.6 million a year ago, reflecting higher activity levels and a larger operating platform. On the ratio side, net policy acquisition costs increased to 16.0% from 15.1% a year ago, while the total expense ratio improved to 27.2% from 28.1%. The combined ratio increased slightly to 89.5% from 89.4% a year ago. On the balance sheet, cash and cash equivalents rose to $219.2 million from $168.5 million as of 2025-end. Total assets reached $6.8 billion as of June 30, 2026, up from $4.8 billion as of 2025-end. Notes payable jumped to $417.6 million from $100.4 million as of 2025-end. Book value per share was approximately $28.55, up 14.6% from the figure as of Dec. 31, 2025. It turns out, estimates revision have trended upward during the past month. Currently, Skyward has a average Growth Score of C, however its Momentum Score is doing a lot better with an A. Following the exact same course, the stock has a score of A on the value side, putting it in the top quintile for this investment strategy. Overall, the stock has an aggregate VGM Score of B. If you aren't focused on one strategy, this score is the one you should be interested in. Estimates have been broadly trending upward for the stock, and the magnitude of these revisions looks promising. Notably, Skyward has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months. Skyward is part of the Zacks Insurance - Property and Casualty industry. Over the past month, Kinsale Capital Group, Inc. (KNSL), a stock from the same industry, has gained 1.6%. The company reported its results for the quarter ended June 2026 more than a month ago. Kinsale Capital Group reported revenues of $548.52 million in the last reported quarter, representing a year-over-year change of +16.8%. EPS of $5.54 for the same period compares with $4.78 a year ago. Kinsale Capital Group is expected to post earnings of $4.87 per share for the current quarter, representing a year-over-year change of -6.5%. Over the last 30 days, the Zacks Consensus Estimate has changed -0.3%. The overall direction and magnitude of estimate revisions translate into a Zacks Rank #3 (Hold) for Kinsale Capital Group. Also, the stock has a VGM Score of D. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Skyward Specialty Insurance Group, Inc. (SKWD) : Free Stock Analysis Report Kinsale Capital Group, Inc. (KNSL) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

It has been about a month since the last earnings report for Arch Capital Group (ACGL). Shares have lost about 3.7% in that time frame, underperforming the S&P 500. But investors have to be wondering, will the recent negative trend continue leading up to its next earnings release, or is Arch Capital due for a breakout? Well, first let's take a quick look at its most recent earnings report in order to get a better handle on the recent drivers for Arch Capital Group Ltd. before we dive into how investors and analysts have reacted as of late. ACGL Q2 Earnings Beat on Reserve Gains, Investment IncomeArch Capital Group reported second-quarter 2026 operating income of $2.56 per share, which beat the Zacks Consensus Estimate by 2.8%. The bottom line decreased 0.8% year over year.Revenues of $4.43 billion declined 6.9% year over year and missed the consensus mark by 3.1%. Results reflected lower earned premiums and catastrophe pressure, partly offset by higher net investment income. Gross premiums written declined 1.1% year over year to $6.13 billion. Net premiums written decreased 6.9% to $4.05 billion, reflecting lower volumes in the Insurance and Reinsurance segments. Net premiums earned fell 8.1% to $3.99 billion. Underwriting income fell 19.7% to $657 million. The combined ratio, which measures claims and expenses as a percentage of premiums, deteriorated 230 basis points to 83.5%. Catastrophe losses totaled $201 million, while favorable prior-year reserve development was $165 million. Insurance gross premiums written declined 2.9% year over year to $2.60 billion. The figure was lower than our estimate of $2.7 billion. Net premiums written fell 5.1% to $1.93 billion. The figure was lower than our estimate of $1.95 billion. Underwriting income plunged 79.1% to $27 million. The figure was lower than our estimate of $70.2 million. The combined ratio worsened by 510 basis points to 98.5%. The combined ratio excluding catastrophe activity and prior-year development was 91.6%, up 100 basis points. Reinsurance gross premiums written inched up 0.2% to $3.20 billion. The figure was lower than our estimate of $3.06 billion. Net premiums written dropped 10.4% to $1.84 billion, partly due to non-renewals, reduced participations and targeted increases in retrocessions. The figure was lower than our estimate of $2 billion.Underwriting income decreased 9.1% to $410 million. The figure was higher than our estimate of $384.2 million. However, the combined ratio improved 100 basis points to 77.5%. The underlying combined ratio increased 270 basis points to 79.9%. Mortgage gross premiums written rose 0.3% year over year to $324 million, while net premiums written increased 7.5% to $272 million. Growth in international business offset lower U.S. monthly premium volume. The figure for gross premiums written was higher than our estimate of $314.9 million, while that for net premiums written was higher than our estimate of $247.6 million.Underwriting income declined 7.6% to $220 million. The figure was lower than our estimate of $226.7 million. The combined ratio deteriorated 760 basis points to 22.8%. Excluding prior year development, the combined ratio was 39.8% compared with 39.3% a year earlier. Pre-tax net investment income increased 3% year over year to $417 million, supported by growth in average invested assets and strong operating cash flows. The figure was higher than our estimate of $420.9 million. Equity in net income from investments accounted for under the equity method rose to $196 million from $162 million.Arch Capital ended the quarter with $1.11 billion in cash and $4.29 billion in senior notes. Book value per share rose 2.8% sequentially to $68.04. Net cash provided by operating activities increased 17.6% year over year to $1.32 billion. Net income available to common shareholders was $1.05 billion, or $3 per share, compared with $1.23 billion, or $3.23 per share, in the year-ago quarter. Annualized net income return on average common equity was 18%, which contracted 490 basis points year over year, while annualized operating return was 15.3%, which contracted 290 basis points year over year.The company completed a $2 billion senior notes offering in June and used part of the proceeds for debt refinancing and tender offers. Interest expense increased to $44 million from $38 million. Arch Capital also repurchased $1.2 billion of shares during the quarter, contributing to an 8.2% year-over-year decline in diluted weighted-average shares. In the past month, investors have witnessed a upward trend in estimates revision. Currently, Arch Capital has a poor Growth Score of F, a score with the same score on the momentum front. However, the stock was allocated a grade of B on the value side, putting it in the second quintile for value investors. Overall, the stock has an aggregate VGM Score of D. If you aren't focused on one strategy, this score is the one you should be interested in. Estimates have been broadly trending upward for the stock, and the magnitude of these revisions looks promising. Notably, Arch Capital has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months. Arch Capital belongs to the Zacks Insurance - Property and Casualty industry. Another stock from the same industry, Kinsale Capital Group, Inc. (KNSL), has gained 2.8% over the past month. More than a month has passed since the company reported results for the quarter ended June 2026. Kinsale Capital Group reported revenues of $548.52 million in the last reported quarter, representing a year-over-year change of +16.8%. EPS of $5.54 for the same period compares with $4.78 a year ago. For the current quarter, Kinsale Capital Group is expected to post earnings of $4.87 per share, indicating a change of -6.5% from the year-ago quarter. The Zacks Consensus Estimate has changed -0.1% over the last 30 days. Kinsale Capital Group has a Zacks Rank #3 (Hold) based on the overall direction and magnitude of estimate revisions. Additionally, the stock has a VGM Score of D. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Arch Capital Group Ltd. (ACGL) : Free Stock Analysis Report Kinsale Capital Group, Inc. (KNSL) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

It has been about a month since the last earnings report for Cincinnati Financial (CINF). Shares have lost about 6.1% in that time frame, underperforming the S&P 500. But investors have to be wondering, will the recent negative trend continue leading up to its next earnings release, or is Cincinnati Financial due for a breakout? Well, first let's take a quick look at the latest earnings report in order to get a better handle on the recent drivers for Cincinnati Financial Corporation before we dive into how investors and analysts have reacted as of late. CINF Q2 Earnings Miss Estimates, Revenues Rise Y/Y on Premium GrowthCincinnati Financial reported second-quarter 2026 operating income of $1.43 per share, which missed the Zacks Consensus Estimate by 21.4%. The bottom line declined 27.4% from the year-ago quarter.Total operating revenues for the second quarter were $3 billion, reflecting a 6.8% year-over-year increase. The figure, however, missed the Zacks Consensus Estimate by 1.4%.Quarterly results benefited from strong premium growth, improved pricing, and higher net investment income. However, weaker underwriting performance, driven by higher catastrophe losses, weighed on results. Earned premiums climbed 6.3% year over year to $2.6 billion, driven by higher renewal pricing, increased insured exposures and new business growth. The figure marginally missed the Zacks Consensus Estimate by 1.5%.Net investment income, net of expenses, increased 12% year over year to $319 million, primarily due to a 14% rise in interest income from fixed-maturity securities and a 3% jump in equity portfolio dividends. The figure marginally beat the Zacks Consensus Estimate by 1.8%Total benefits and expenses increased 12.8% year over year to $2.7 billion, mainly due to higher insurance losses and underwriting, acquisition and insurance expenses.In its property and casualty insurance business, CINF reported an underwriting loss of $18 million, compared to an underwriting profit of $128 million in the year-ago quarter, reflecting higher catastrophe losses.  The Zacks Consensus Estimates was $62.6 million.The combined ratio, a key measure of underwriting profitability, deteriorated 590 basis points year over year to 100.8%, underperforming the consensus estimate of 97.1. Commercial Lines Insurance: Total revenues of $1.25 billion increased 3% year over year, driven by a 3% increase in earned premiums and higher investment income.Underwriting recorded a loss of $49 million, against a profit of $87 million in the prior-year quarter. The combined ratio deteriorated 1,120 basis points year over year to 104.1%. The Zacks Consensus Estimate was 99.8%.Personal Lines Insurance: Total revenues of $881 million increased 9% year over year, driven by a 9% rise in earned premiums. The Zacks Consensus Estimate was $889 million.Underwriting profit increased significantly year over year to $1 million from a loss of $14 million, missing the Zacks Consensus Estimate of $6 million. The combined ratio deteriorated 210 basis points year over year to 99.9%.  The Zacks Consensus Estimate was 98.1.Excess and Surplus Lines Insurance: Total revenues of $190 million grew 9% year over year, aided by a 9% increase in earned premiums. The Zacks Consensus Estimate was $185 million.Underwriting profit increased 19% year over year to $19 million, significantly surpassing the Zacks Consensus Estimate of $14.5 million. The combined ratio improved 60 basis points year over year to 90.5%. The Zacks Consensus Estimate was 92.4%.Life Insurance: Total revenues were $142 million, up 9% year over year, driven by 5% higher earned premiums and 10% higher investment income, net of expenses. The Zacks Consensus Estimate was $140.3 million. Total benefits and expenses increased 7% year over year to $104 million. As of June 30, 2026, Cincinnati Financial reported total assets of $43.2 billion, up 5.4% from the 2025-end level.Long-term debt was $791 million, remaining nearly flat from the 2025-end level.The company's debt-to-total-capital ratio improved to 4.6% from 4.9% at 2025-end.As of June 30, 2026, CINF’s book value per share increased 6.1% from the 2025-end level to $108.64. In the past month, investors have witnessed a downward trend in estimates review. Currently, Cincinnati Financial has a poor Growth Score of F, a score with the same score on the momentum front. However, the stock was allocated a score of C on the value side, putting it in the middle 20% for value investors. Overall, the stock has an aggregate VGM Score of F. If you aren't focused on one strategy, this score is the one you should be interested in. Estimates have been broadly trending downward for the stock, and the magnitude of these revisions indicates a downward shift. Interestingly, Cincinnati Financial has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months. Cincinnati Financial is part of the Zacks Insurance - Property and Casualty industry. Over the past month, Kinsale Capital Group, Inc. (KNSL), a stock from the same industry, has gained 4.8%. The company reported its results for the quarter ended June 2026 more than a month ago. Kinsale Capital Group reported revenues of $548.52 million in the last reported quarter, representing a year-over-year change of +16.8%. EPS of $5.54 for the same period compares with $4.78 a year ago. Kinsale Capital Group is expected to post earnings of $4.87 per share for the current quarter, representing a year-over-year change of -6.5%. Over the last 30 days, the Zacks Consensus Estimate has changed -0.4%. Kinsale Capital Group has a Zacks Rank #3 (Hold) based on the overall direction and magnitude of estimate revisions. Additionally, the stock has a VGM Score of D. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Cincinnati Financial Corporation (CINF) : Free Stock Analysis Report Kinsale Capital Group, Inc. (KNSL) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

The end of the earnings season is always a good time to take a step back and see who shined (and who didn’t). Let’s take a look at how property & casualty insurance stocks fared in Q2, starting with Kinsale Capital Group (NYSE:KNSL). Property & Casualty (P&C) insurers protect individuals and businesses against financial loss from damage to property or from legal liability. This is a cyclical industry, and the sector benefits when there is 'hard market', characterized by strong premium rate increases that outpace loss and cost inflation, resulting in robust underwriting margins. The opposite is true in a 'soft market'. Interest rates also matter, as they determine the yields earned on fixed-income portfolios. On the other hand, P&C insurers face a major secular headwind from the increasing frequency and severity of catastrophe losses due to climate change. Furthermore, the liability side of the business is pressured by 'social inflation'—the trend of rising litigation costs and larger jury awards. The 32 property & casualty insurance stocks we track reported a satisfactory Q2. As a group, revenues beat analysts’ consensus estimates by 2.3% while next quarter’s revenue guidance was 0.9% above. In light of this news, share prices of the companies have held steady. On average, they are relatively unchanged since the latest earnings results. Founded in 2009 during the aftermath of the financial crisis when many insurers were retreating from riskier markets, Kinsale Capital Group (NYSE:KNSL) is an insurance company that specializes in writing policies for hard-to-place, unusual, or high-risk businesses that standard insurers typically avoid. Kinsale Capital Group reported revenues of $548.5 million, up 16.8% year on year. This print exceeded analysts’ expectations by 14.9%. Overall, it was a satisfactory quarter for the company with a solid beat of analysts’ net premiums earned estimates but a miss of analysts’ book value per share estimates. Kinsale Capital Group achieved the biggest analyst estimate beat of the whole group. Unsurprisingly, the stock is up 13.2% since reporting and currently trades at $376.08. Is now the time to buy Kinsale Capital Group? Access our full analysis of the earnings results here, it’s free. Serving as a crucial bridge between homebuyers and the American dream of homeownership, Essent Group (NYSE:ESNT) provides private mortgage insurance and title services that enable lenders to offer home loans with down payments of less than 20%. Essent Group reported revenues of $362.7 million, up 13.6% year on year, outperforming analysts’ expectations by 9.7%. The business had a stunning quarter with a beat of analysts’ EPS estimates. The market seems happy with the results as the stock is up 5.8% since reporting. It currently trades at $69.28. Is now the time to buy Essent Group? Access our full analysis of the earnings results here, it’s free. Founded during the housing boom of 1977 and weathering multiple real estate cycles since, Radian Group (NYSE:RDN) provides mortgage insurance and real estate services, helping lenders manage risk and homebuyers achieve affordable homeownership. Radian Group reported revenues of $580.7 million, up 90.8% year on year, in line with analysts’ expectations. It was a softer quarter as it posted a significant miss of analysts’ EPS estimates. As expected, the stock is down 5.9% since the results and currently trades at $36.87. Read our full analysis of Radian Group’s results here. Founded in the aftermath of the 2008 housing crisis to bring new capacity to the mortgage insurance market, NMI Holdings (NASDAQ:NMIH) provides mortgage insurance that protects lenders against losses when homebuyers default on their mortgage loans. NMI Holdings reported revenues of $187.9 million, up 8.1% year on year. This number surpassed analysts’ expectations by 1.5%. It was a strong quarter as it also logged a beat of analysts’ EPS estimates. The stock is up 4.6% since reporting and currently trades at $45.44. Read our full, actionable report on NMI Holdings here, it’s free. Founded in 1926 during the early days of automobile insurance, Selective Insurance Group (NASDAQ:SIGI) is a property and casualty insurance company that sells commercial, personal, and excess and surplus lines insurance products through independent agents. Selective Insurance Group reported revenues of $1.39 billion, up 4.6% year on year. This print beat analysts’ expectations by 1.8%. More broadly, it was a satisfactory quarter as it also logged a beat of analysts’ EPS estimates but a significant miss of analysts’ book value per share estimates. The stock is down 3.9% since reporting and currently trades at $93.94. Read our full, actionable report on Selective Insurance Group here, it’s free. Over the past year, investors have been forced to repeatedly answer the same question: what is the market’s biggest risk? The answer has changed several times, and each shift has reshaped market leadership. Late in 2025 and early 2026, artificial intelligence became the market’s primary uncertainty. Investors questioned whether AI would erode software pricing power and weaken competitive moats as AI made it easier to replicate once-differentiated products. By the spring, technology took a back seat to geopolitics. The U.S. conflict with Iran briefly became the market’s dominant narrative, raising concerns about oil prices, inflation, and global growth. But as energy markets remained orderly and fears of a prolonged supply disruption faded, investors quickly turned their focus back to fundamentals. Want to invest in winners with rock-solid fundamentals? Check out our Top 5 Growth Stocks and add them to your watchlist. These companies are poised for growth regardless of the political or macroeconomic climate.

Accelerant Holdings ARX reported second-quarter fiscal 2026 adjusted earnings of 32 cents per share, which more than doubled from 13 cents reported in the year-ago quarter. The bottom line beat the Zacks Consensus Estimate of 16 cents. Operating revenues increased 62.9% year over year to $356.9 million, surpassing the Zacks Consensus Estimate by 30.2%. The quarterly performance was driven by strong Exchange Written Premium growth, rising third-party premium, higher fee-based revenues and solid Exchange Services and MGA Operations growth. Weaker underwriting profitability partly offset these positives. Accelerant Holdings price-consensus-eps-surprise-chart | Accelerant Holdings Quote Exchange Written Premium increased 23.3% year over year to $1.3 billion. Third-Party Direct Written Premium accounted for 47% of total Exchange Written Premium, up from 27% in the year-ago quarter, as Accelerant continued expanding its third-party insurer base. The company had 314 members at the end of the reported quarter compared with 248 in the prior-year period. Pretax income rose to $87.4 million from $22.3 million a year ago, while GAAP net income increased to $80 million from $13.1 million. Share-based compensation was $25.2 million in the second quarter compared with $3 million a year earlier. Adjusted EBITDA climbed 46.4% year over year to $93.1 million, while the adjusted EBITDA margin expanded 200 basis points to 31%. Adjusted net income increased 165.2% to $70 million. Exchange Services Operating revenues increased 30.5% year over year to $111.8 million. Adjusted EBITDA rose 32.9% to $74 million, while the adjusted EBITDA margin expanded 120 basis points to 66.2% from 65% in the prior-year quarter. MGA Operations Operating revenues increased 19.8% year over year to $70.1 million. Adjusted EBITDA rose 22.7% to $30.3 million, while the implied adjusted EBITDA margin expanded 100 basis points to 43.2% from 42.2% in the prior-year quarter. Underwriting Operating revenues increased 21.8% year over year to $133.9 million. Adjusted EBITDA declined 88.1% to $1.9 million, while the implied adjusted EBITDA margin contracted 1,310 basis points to 1.4% from 14.5% a year ago. Accelerant exited the second quarter with cash, cash equivalents and restricted cash of $1.7 billion. Debt totaled $120.1 million. Operating cash outflow was $90 million, primarily reflecting the timing of reinsurance payments within the underwriting business. During the second quarter, ARX repurchased 4.73 million Class A common shares for approximately $66 million under its share repurchase program. As of June 30, 2026, the company had approximately $123 million of remaining authorization under the program. The company will be acquired by Thoma Bravo in an all-cash deal valued at more than $4 billion. Shareholders will receive $20.25 per share, representing a 49% premium to ARX’s Aug. 12 closing price. The transaction is expected to close in the first half of 2027, subject to shareholder and regulatory approvals. Following the completion of the deal, Accelerant will become a private company and leave the NYSE. Due to the pending transaction, it will not provide guidance for the third quarter or full-year 2026. Accelerant currently carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here. Here are some other stocks from the broader Finance space that have also reported their quarterly results: Kinsale Capital Group, Inc. KNSL, RLI Corp. RLI and Arch Capital Group Ltd. ACGL. Here's how they have performed: Kinsale Capital delivered second-quarter 2026 net operating earnings of $5.54 per share, which outpaced the Zacks Consensus Estimate by 8.6%. The bottom line increased 15.9% year over year. KNSL’s operating revenues increased 16.8% year over year to $548.5 million, which surpassed the Zacks Consensus Estimate by 12.3%. The quarterly results benefited from growth in net earned premiums, increased net investment income, favorable prior-year reserve development and disciplined underwriting. However, these gains were partially offset by lower gross written premiums and higher operating expenses. RLI reported second-quarter 2026 operating earnings of 83 cents per share, which beat the Zacks Consensus Estimate by 16.9%. The bottom line increased 1.2% from the prior-year quarter. RLI’s operating revenues for the reported quarter were $463 million, up 4.9% year over year. The top line beat the Zacks Consensus Estimate by 1.6%. The quarterly results reflect continued premium growth and higher investment income. However, weaker underwriting performance in the casualty segment partly offset these positives. Arch Capital reported second-quarter 2026 operating income of $2.56 per share, which beat the Zacks Consensus Estimate by 2.8%. The bottom line decreased 0.8% year over year. ACGL’s revenues of $4.43 billion declined 6.9% year over year and missed the consensus mark by 3.1%. The results reflected lower earned premiums and catastrophe pressure, partly offset by higher net investment income. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Accelerant Holdings (ARX) : Free Stock Analysis Report RLI Corp. (RLI) : Free Stock Analysis Report Arch Capital Group Ltd. (ACGL) : Free Stock Analysis Report Kinsale Capital Group, Inc. (KNSL) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Skyward Specialty Insurance Group, Inc. SKWD delivered a solid second quarter of 2026, with operating earnings per share of $1.30, which increased 46.1% from the year-ago level and beat the Zacks Consensus Estimate by 13%. Total revenues were $489.53 million, which improved 53% year over year and beat the consensus mark by 6.5%. The second-quarter performance reflected strong premium growth and contributions from the Apollo segment, while underwriting remained profitable despite a slight increase in the combined ratio. Skyward Specialty Insurance Group, Inc. price-consensus-eps-surprise-chart | Skyward Specialty Insurance Group, Inc. Quote Gross written premiums totaled $740.6 million, up 13.3% from the prior-year period’s level. Growth was broad-based, led by a 14.2% increase in the Skyward Specialty segment and a 5.6% rise in the Apollo segment, with Syndicate 1969's gross written premiums increasing 7.7%. Net earned premiums climbed to $444.5 million from $295.5 million a year ago, reflecting higher business volumes and contributions from the Apollo segment. Underwriting fee income of $12.6 million, generated by the Apollo segment, also contributed to the quarter’s top-line mix. Net investment income increased to $30.7 million from $18.7 million a year ago, driven by the addition of the Apollo portfolio, a higher yield environment, and a larger invested asset base. Within Skyward Group’s U.S. specialty operations, several underwriting divisions posted notable momentum. Accident & Health gross written premiums increased 57.8% year over year, Credit & Surety rose 15.6%, Global Agriculture advanced 95.8%, and Specialty Programs jumped 29.7%, helping offset declines in Captives, Energy Solutions and Global Property. The Skyward Specialty segment's loss and LAE ratio increased primarily because of shifts in business mix, driven by growth in Accident & Health and Global Agriculture. At the same time, the segment's expense ratio improved, driven by business mix shifts, enhanced operating efficiencies and scale benefits. Losses and loss adjustment expenses amounted to $276.7 million, up from $181.3 million in the prior-year quarter, consistent with the expansion of the premium base. The consolidated loss ratio deteriorated to 62.3% from 61.3% a year ago, primarily reflecting business-mix shifts within the Skyward Specialty segment. Total Cat loss and LAE increased to 1.9% from 1.4% a year ago. Underwriting, acquisition and insurance expenses rose to $123.3 million from $85.6 million a year ago, reflecting higher activity levels and a larger operating platform. On the ratio side, net policy acquisition costs increased to 16.0% from 15.1% a year ago, while the total expense ratio improved to 27.2% from 28.1%. The combined ratio increased slightly to 89.5% from 89.4% a year ago. On the balance sheet, cash and cash equivalents rose to $219.2 million from $168.5 million as of 2025-end. Total assets reached $6.8 billion as of June 30, 2026, up from $4.8 billion as of 2025-end. Notes payable jumped to $417.6 million from $100.4 million as of 2025-end. Book value per share was approximately $28.55, up 14.6% from the figure as of Dec. 31, 2025. SKWD currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here. Here are some stocks from the broader Finance space that have also reported their quarterly results: Kinsale Capital Group, Inc. KNSL, RLI Corp. RLI and Arch Capital Group Ltd. ACGL. Here's how they have performed: Kinsale Capital delivered second-quarter 2026 net operating earnings of $5.54 per share, which outpaced the Zacks Consensus Estimate by 8.6%. The bottom line increased 15.9% year over year. KNSL’s operating revenues increased 16.8% year over year to $548.5 million, which surpassed the Zacks Consensus Estimate by 12.3%. The quarterly results benefited from growth in net earned premiums, increased net investment income, favorable prior-year reserve development and disciplined underwriting. However, these gains were partially offset by lower gross written premiums and higher operating expenses. RLI reported second-quarter 2026 operating earnings of 83 cents per share, which beat the Zacks Consensus Estimate by 16.9%. The bottom line increased 1.2% from the prior-year quarter. RLI’s operating revenues for the reported quarter were $463 million, up 4.9% year over year. The top line beat the Zacks Consensus Estimate by 1.6%. The quarterly results reflect continued premium growth and higher investment income. However, weaker underwriting performance in the casualty segment partly offset these positives. Arch Capital reported second-quarter 2026 operating income of $2.56 per share, which beat the Zacks Consensus Estimate by 2.8%. The bottom line decreased 0.8% year over year. ACGL’s revenues of $4.43 billion declined 6.9% year over year and missed the consensus mark by 3.1%. The results reflected lower earned premiums and catastrophe pressure, partly offset by higher net investment income. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Skyward Specialty Insurance Group, Inc. (SKWD) : Free Stock Analysis Report RLI Corp. (RLI) : Free Stock Analysis Report Arch Capital Group Ltd. (ACGL) : Free Stock Analysis Report Kinsale Capital Group, Inc. (KNSL) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Kinsale Capital Group’s second quarter performance was met with a positive market reaction, as the company delivered results ahead of Wall Street expectations. Management attributed the outperformance to continued underwriting discipline and operational efficiency, particularly in the face of a competitive excess and surplus (E&S) insurance market. CEO Michael Patrick Kehoe emphasized that Kinsale’s approach of prioritizing profitability over growth allowed the company to generate a strong operating margin and maintain favorable loss ratios across its portfolio. The leadership team also cited the benefits of advanced analytics and proprietary technology, noting these tools supported their ability to accurately price risk and respond to market pressures. Is now the time to buy KNSL? Find out in our full research report (it’s free). Revenue: $548.5 million vs analyst estimates of $477.3 million (16.8% year-on-year growth, 14.9% beat) Adjusted EPS: $5.54 vs analyst estimates of $5.11 (8.4% beat) Operating Margin: 40.1%, up from 35.8% in the same quarter last year Market Capitalization: $8.58 billion While we enjoy listening to the management’s commentary, our favorite part of earnings calls is the analyst questions. Those are unscripted and can often highlight topics that management teams would rather avoid or topics where the answer is complicated. Here is what has caught our attention. Pablo Singzon (JPMorgan) asked about the improved accident year loss ratio compared to peers. Chief Analytics and Technology Officer Salmaan K. Allibhai attributed the result to normal business mix variability and maintained that reserves remain conservative. Hristian Getsov (Wells Fargo) inquired about return on equity compression in casualty lines. CEO Michael Patrick Kehoe responded that most product lines are operating above the company’s 20% ROE threshold, despite market softness. Dan Cohen (BMO) questioned whether the commercial property division had reached a trough and what could drive recovery. Chief Underwriting Officer Stuart Winston explained that, while some competitors are pulling back, the market remains competitive, with no clear sign of recovery. Andrew Andersen (Jefferies) asked how much inbound account growth was tied to broker engagement versus competitive pricing. Winston stated that both factors contributed, with broker re-engagement initiatives showing results, and hit ratios remaining stable. Mark Hughes (Truist) pressed for detail on property pricing cycles and implications for loss ratios amid shifting business mix. Management indicated that loss ratios could drift up over time due to mix changes but expressed confidence in current reserving practices and the durability of their model. In the coming quarters, our analysts will focus on (1) the pace and impact of new product introductions and broker network expansion, (2) trends in underwriting discipline as competitive pressures persist, and (3) the effect of technology and analytics investments on operational efficiency and loss ratios. Additionally, any changes in market dynamics for commercial property and casualty lines will be closely monitored as indicators of Kinsale’s ability to sustain profitable growth. Kinsale Capital Group currently trades at $377.34, up from $332.28 just before the earnings. Is there an opportunity in the stock? See for yourself in our full research report (it’s free for active Edge members). ALSO WORTH WATCHING: Top 5 Momentum Stocks. The best time to own a great stock is when the market is finally noticing it. These aren’t just high-quality businesses. Something is happening with them right now. Elite fundamentals meet near-term momentum — both boxes checked at the same time. Find out which stocks our AI platform is flagging this week. See this week’s Strong Momentum stocks — FREE. Get Our Strong Momentum Stocks for Free HERE. Stocks that have made our list include now familiar names such as Nvidia (+1,460% between June 2020 and June 2025) as well as under-the-radar businesses like the once-small-cap company Exlservice (+271% between June 2020 and June 2025). Find your next big winner with StockStory today.

This article first appeared on GuruFocus. Diluted Operating Earnings Per Share: Increased by 15.9% over the second quarter of 2025, reaching $5.54 per share. Annualized Operating Return on Equity: 24.4% for the quarter. Gross Written Premium: Decreased by 5% for the quarter. Net Written Premium: Decreased by 1.4% for the quarter. Net Earned Premium: Increased by 8.9% for the quarter. Combined Ratio: 75.5% for the quarter. Net Income: Increased by 31.1% quarter over quarter. Net Operating Earnings: Increased by 13.3% quarter over quarter. Expense Ratio: 21.7% for the quarter, up from 20.7% last year. Net Investment Income: Increased by 19.9% in the second quarter over last year. Investment Portfolio Growth: Float grew to $3.4 billion at June 30, up from $3.1 billion at the end of 2025. Annualized Gross Return: 4.5% for the first half of 2026. New Business Submission Growth: Increased by 6% in the second quarter. Stock Buyback Authorization: Expanded by $250 million, bringing the total to $337 million. Warning! GuruFocus has detected 1 Warning Sign with KNSL. Is KNSL fairly valued? Test your thesis with our free DCF calculator. Release Date: July 24, 2026 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Kinsale Capital Group Inc (NYSE:KNSL) reported a 15.9% increase in diluted operating earnings per share over the second quarter of 2025, with an annualized operating return on equity of 24.4%. The company achieved a combined ratio of 75.5% for the quarter, indicating strong underwriting performance. Net investment income increased by 19.9% year-over-year, driven by growth in the investment portfolio from strong operating cash flows. Kinsale Capital Group Inc (NYSE:KNSL) continues to leverage technology and analytics to enhance underwriting and pricing models, contributing to exceptional loss ratios. The company expanded its stock buyback authorization by an additional $250 million, reflecting confidence in its business model and share value. Gross written premium decreased by 5%, and net written premium was down 1.4% for the quarter, indicating challenges in premium growth. The Commercial Property division faced intense competition, leading to material rate declines and a shrinking volume of business. The expense ratio increased to 21.7% from 20.7% last year, attributed to higher net commission ratios due to increased reinsurance retentions. The E&S market conditions remain competitive, with varying growth rates across different market segments. Kinsale Capital Group Inc (NYSE:KNSL) is experiencing pricing pressure in certain lines, such as commercial property, which could impact future profitability. Q: The current year accident loss ratio improved from 2Q '25, which is different from what many other commercial insurers are reporting. What drove this improvement? A: Salmaan Allibhai, Chief Analytics and Technology Officer, explained that losses for the quarter came in below expectations due to normal variability and mix of business. The loss ratio is a composite of various statutory lines, and the reserves remain conservative. Q: Regarding reinsurance and ceding commission rates, the commission rate has been increasing for Kinsale. Do you expect this trend to continue after renewals? A: Bryan Petrucelli, Chief Financial Officer, indicated that the second quarter's figures are a good indication of future trends. There might be a slight uptick in commissions, but efficiency gains from AI activities could offset this. Q: With the E&S casualty segment softening, how are ROEs being affected, assuming loss trends remain high single digits to low double digits? A: Michael Kehoe, CEO, stated that they manage to a 20% ROE or greater, with most product lines running ahead of that. The focus is on balancing profit and growth. Q: How is Kinsale addressing broker commissions in a softer market, given that brokers typically seek higher commissions? A: Michael Kehoe emphasized the importance of brokers to Kinsale's success and acknowledged the tension in the market. Kinsale offers excellent customer service and a broad risk appetite, which helps maintain broker relationships despite market pressures. Q: On the commercial property side, is there a view that property pricing might become less negative in '27, allowing Kinsale to re-enter larger shared placements? A: Stuart Winston, Chief Underwriting Officer, noted that while some large players are pulling out, competition remains intense. Kinsale focuses on maintaining pricing close to technical levels and meeting return thresholds, even if it means shrinking in that division. For the complete transcript of the earnings call, please refer to the full earnings call transcript.

Kinsale Capital Group, Inc. KNSL delivered second-quarter 2026 net operating earnings of $5.54 per share, which outpaced the Zacks Consensus Estimate by 8.6%. The bottom line increased 15.9% year over year. Operating revenues increased 16.8% year over year to $548.5 million, which surpassed the Zacks Consensus Estimate by 12.3%. The quarterly results benefited from growth in net earned premiums, increased net investment income, favorable prior-year reserve development and disciplined underwriting. However, these gains were partially offset by lower gross written premiums and higher operating expenses. Kinsale Capital Group, Inc. price-consensus-eps-surprise-chart | Kinsale Capital Group, Inc. Quote Gross written premiums of $527.6 million decreased 5% year over year, primarily due to a 32.7% decline in the Commercial Property Division. Net written premiums declined 1.4% year over year to $452.5 million. Net investment income increased 19.9% year over year to $55.7 million. The increase was primarily driven by growth in the company’s investment portfolio. However, net investment income missed the Zacks Consensus Estimate by 4.7%. Total expenses increased 9% year over year to $328.7 million due to higher underwriting, acquisition and insurance expenses, interest expense and other operating expenses. Our model estimate was $342.4 million. Kinsale Capital’s underwriting income was $105.4 million, up 10.5% year over year. The increase was driven by growth in net earned premiums, higher favorable development of loss reserves from prior accident years, partially offset by lower ceding commissions. Underwriting income surpassed our model estimate of $70.8 million. The combined ratio improved 30 basis points (bps) year over year to 75.5 compared with the Zacks Consensus Estimate of 78.6. The loss ratio improved 130 bps to 53.8, reflecting favorable reserve development. The expense ratio deteriorated 100 bps year over year to 21.7. Kinsale Capital exited the second quarter of 2026 with cash and cash equivalents of $210.5 million, up 28.9% from the 2025-end level. As of June 30, 2026, stockholders' equity increased 3.9% from the 2025-end level to approximately $2.04 billion. Book value per share was $89.34 as of June 30, 2026, up 5.5% from the 2025-end level. Annualized operating return on equity deteriorated 30 bps year over year to 24.4% in the reported quarter. KNSL repurchased 0.3 million shares for $100 million in the second quarter of 2026. In July 2026, the board approved an additional $250 million share repurchase authorization, increasing the remaining capacity under the program to $337.5 million. KNSL paid a cash dividend of 25 cents per share in the second quarter of 2026. KNSL currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here. The Progressive Corporation’s PGR second-quarter 2026 earnings per share of $4.85 beat the Zacks Consensus Estimate by 3.2%. The bottom line, however, decreased 6.1% year over year. Net premiums written were $21.1 billion in the second quarter, up 5% from $20.1 billion a year ago. Net premiums earned grew 6% to $21.6 billion. The reported figure met the Zacks Consensus Estimate. Net realized gains on securities were $604 million, up 56% year over year. The combined ratio, the percentage of premiums paid out as claims and expenses, deteriorated 110 basis points from the prior-year quarter’s level to 87.1. The Travelers Companies, Inc. TRV reported second-quarter 2026 core income of $10.04 per share, which beat the Zacks Consensus Estimate of $5.21 by 92.7%. The bottom line climbed 54% year over year. Revenues of $12.09 billion missed the Zacks Consensus Estimate of $12.27 billion by 1.5%. Net investment income rose 14% year over year to $1.07 billion pre-tax ($883 million after tax). The combined ratio improved 670 basis points year over year to 83.6%, reflecting lower catastrophe losses, stronger reserve development and a better underlying combined ratio. W.R. Berkley Corporation WRB reported second-quarter 2026 operating income of $1.27 per share, which beat the Zacks Consensus Estimate by 16.5%. The bottom line increased 21% year over year. Operating revenues totaled $3.8 billion, up 3.6% year over year. The top line surpassed the consensus estimate by 1.87%. W.R. Berkley’s net premiums written were about $3.4 billion, up 2.4% year over year. The figure surpassed our estimate of $3.4 billion. The consolidated combined ratio (a measure of underwriting profitability) improved 160 basis points year over year to 90, missing the Zacks Consensus Estimate of 92. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Kinsale Capital Group, Inc. (KNSL) : Free Stock Analysis Report The Travelers Companies, Inc. (TRV) : Free Stock Analysis Report W.R. Berkley Corporation (WRB) : Free Stock Analysis Report The Progressive Corporation (PGR) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Interested in Kinsale Capital Group, Inc.? Here are five stocks we like better. Kinsale delivered strong Q2 profitability, with diluted operating EPS up 15.9% year over year to $5.54 and an annualized operating ROE of 24.4%. The company also posted a solid 75.5% combined ratio, supported by favorable prior-year reserve development. Top-line premium growth softened as Kinsale prioritized underwriting discipline over expansion in a competitive E&S market. Gross written premium fell 5% year over year, with the sharpest pressure in Commercial Property, where rate declines and broader terms created a buyer’s market. Investment income, technology, and buybacks remain key supports for results and capital allocation. Net investment income rose 19.9%, the company highlighted increased use of analytics and AI, and it boosted its share-repurchase authorization by $250 million to $337 million total. Update! What Is Congress Trading So Far In 2025? Kinsale Capital Group (NYSE:KNSL) reported higher second-quarter operating earnings and continued underwriting profitability despite what management described as a competitive and softening excess-and-surplus, or E&S, insurance market. Chairman, President and Chief Executive Officer Michael Kehoe said diluted operating earnings per share rose 15.9% from the second quarter of 2025 to $5.54. The company generated an annualized operating return on equity of 24.4% and posted a combined ratio of 75.5% for the quarter. → Could Truth API Become Trump Media’s First Meaningful Revenue Driver? 2 Real-Estate Related Stocks Showing Signs Of Being Undervalued Gross written premium declined 5% year over year, while net written premium fell 1.4%. Net earned premium increased 8.9%. Kehoe said the company is prioritizing underwriting profitability over top-line expansion as competition varies substantially by market segment. Kinsale said competition was most intense in its Commercial Property Division, which writes larger layered property accounts. Kehoe said the market has experienced material rate declines and broader coverage terms, describing the environment as a buyer's market. → GE Vernova Just Sent a Mixed AI Signal to Investors Don't Overlook Hidden Gem Kinsale As Rallies To New Highs As a result, Kinsale is writing a smaller volume of business in that division. Excluding Commercial Property, gross written premium grew 3.7% in the second quarter and 4.8% in the first half of 2026. Chief Underwriting Officer Stuart Winston said the company will not pursue growth that compromises returns. He cited favorable underwriting conditions and meaningful growth in excess casualty, commercial auto, entertainment, environmental, agribusiness casualty and energy. Construction and certain professional lines, meanwhile, remained among the areas facing softer conditions. → D-Wave Quantum or a Quantum ETF: Which Is the Better Bet? New-business submissions increased 6% during the quarter. Excluding Commercial Property, submissions increased 8%, with more than half of Kinsale's divisions recording double-digit submission growth. Winston said the strongest activity came from small and medium-sized accounts, particularly those with premiums of $25,000 or less. Kinsale's average premium is approximately $12,000. The company said its combined pricing trend was in line with the MS Amlin pricing index, which showed a 5.9% decrease in the second quarter, compared with a 3.3% decrease in the first quarter. Chief Financial Officer Bryan Petrucelli said net income increased 31.1% year over year, while net operating earnings increased 13.3%. The 75.5% combined ratio included 4.5 percentage points of favorable prior-year loss reserve development, compared with 3.9 points a year earlier. Catastrophe losses accounted for 1.3 points, versus less than one point in the 2025 quarter. The expense ratio rose to 21.7% from 20.7%, reflecting a higher net commission ratio associated with larger reinsurance retentions. Petrucelli said the increased retention represented a favorable economic trade because the higher commission ratio is more than offset by increased underwriting and investment income. Other underwriting expenses, which Petrucelli characterized as a measure of operating efficiency, declined to 10.3% from 10.6%. Chief Analytics and Technology Officer Salmaan Allibhai said losses came in below management's expectations during the quarter, consistent with recent quarters. He attributed the results to normal variability and business mix rather than a specific unusual factor, and said reserves remain as conservative as they have been in the company’s history. On casualty trends, Allibhai said Kinsale estimates loss-cost trends in the mid-single digits, varying by line of business. He said the company’s concentration in smaller accounts and lower limits has limited its exposure to social inflation relative to some other insurers. Net investment income rose 19.9% from the prior-year quarter, driven by growth in the investment portfolio from operating cash flow. Kinsale's float, largely consisting of unpaid losses and unearned premiums, reached $3.4 billion at June 30, up from $3.1 billion at the end of 2025. The company reported an annualized gross investment return of 4.5% for the first half, compared with 4.3% a year earlier. New-money yields averaged about 5.25%, and the fixed-maturity portfolio had an average duration of roughly 4.25 years. Management also highlighted investments in analytics, automation and artificial intelligence. Allibhai said Kinsale has consolidated its analytics and technology operations into one team, using its 17 years of company data, third-party data sources, statistical models and machine-learning tools to refine underwriting and pricing. The company has deployed AI tools across analytics, technology, underwriting and claims functions, including functionality integrated into proprietary underwriting worksheets. Winston said workflow improvements and technology upgrades have helped Kinsale maintain or improve service levels while expanding its product and distribution capabilities. Kinsale introduced nine product offerings or enhancements so far in 2026. Five additional launches were described as imminent, with another 10 in the pipeline. The company appointed 24 new wholesale brokers and 176 new retail brokers to Aspera, its in-house broker for most personal lines products. Kinsale expanded its stock-repurchase authorization by $250 million, bringing total current authorization to $337 million. Kehoe said repurchases are the company’s principal capital-allocation strategy while growth is more limited, though he said expanding growth would remain the first priority as market conditions improve. Kinsale Capital Group, Inc (NYSE:KNSL) is a specialty property and casualty insurance company headquartered in Richmond, Virginia. Established in 2009, the company focuses on underwriting complex and underserved risks across the United States. Kinsale operates through a network of wholesale brokers and independent agencies, offering tailored coverage solutions for a range of niche industries. The company's product portfolio includes general liability, business auto, professional liability, environmental liability, inland marine, cyber liability, and other specialty lines. This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected]. The article "Kinsale Capital Group Q2 Earnings Call Highlights" was originally published by MarketBeat. View MarketBeat's top stocks for July 2026.

Our analysts just identified a stock with the potential to be the next Nvidia. Tell us how you invest and we'll show you why it's our #1 pick. Tap here. Management is intentionally prioritizing underwriting profitability over top-line growth, choosing to let business walk rather than compromising on technical pricing or terms. The commercial property division is experiencing a 'buyer's market' with material rate declines and expanding coverage, leading Kinsale to shrink its volume in this segment. Excluding the volatile commercial property division, the core business grew by 3.7% in Q2, supported by double-digit submission growth in over half of the company's divisions. The company maintains a significant cost advantage over competitors, which management believes allows for continued profitability even as market conditions become more competitive. Kinsale is leveraging its proprietary, custom-built technology stack to drive automation and data-driven underwriting, avoiding the inefficiencies of legacy systems. Strategic growth is being pursued through product enhancements, geographic expansion, and the appointment of new wholesale and retail brokers. Management expects year-over-year growth comparisons to become modestly easier in the second half of 2026 as the high-premium property benchmarks from 2025 roll off. The company plans to continue using excess capital for share repurchases, recently expanding its authorization by $250 million to a total of $337 million. Guidance assumes a continued 'crawl, walk, run' approach to new product launches, prioritizing long-term portfolio health over immediate volume gains. Management anticipates that the current expense ratio is a reliable indicator for future periods, with potential efficiency gains from AI offsetting commission trends. The company remains opportunistic, prepared to 'lean into' favorable conditions in lines like excess casualty, commercial auto, and entertainment. The combined ratio of 75.5% was aided by 4.5 points of favorable prior-year reserve development, reflecting a conservative approach to loss reserving. The expense ratio increased to 21.7% due to higher net commission ratios resulting from increased reinsurance retentions, which management views as a positive economic trade. Commercial property pricing is currently following a downward trend, with the company's overall pricing index decreasing by 5.9% in Q2 compared to 3.3% in Q1. Management noted that while some business is returning to the admitted market, the shift is not currently considered pervasive across the E&S landscape. One stock. Nvidia-level potential. 30M+ investors trust Moby to find it first. Get the pick. Tap here. Management attributed the improvement to normal variability and business mix, noting that losses came in below expectations across several lines. The company is maintaining high levels of conservatism in IBNR reserves, particularly in longer-tail casualty lines, while allowing faster releases in short-tail lines. Management stated there is no way to predict if 2027 will see a recovery, as pressure from MGAs and London markets remains intense despite some large players exiting. Kinsale will continue to shrink the division if necessary to meet its 20% ROE threshold rather than chasing the market down. Casualty loss cost trends are estimated in the mid-single digits, varying by specific line of business. Management believes Kinsale is less exposed to social inflation than peers because they focus on smaller accounts and lower policy limits. Management acknowledged the natural tension between brokers and carriers in soft markets but emphasized their superior service and quote speed as a competitive moat. They remain committed to their underwriting standards even if brokers find better economics on the admitted side for certain risks.