NASDAQ$NMIH

NMI Holdings Inc · Q2 2022 earnings

Q2 2022 earnings · · Investor relations

Briefing

Reported strong financial results for the second quarter of 2022, driven by new business and increasing persistency.

NMI Holdings, Inc. reported a strong second quarter in 2022, with a net income of $75.4 million, or $0.86 per diluted share. The company saw growth in its insured portfolio, driven by new business production and increasing persistency. Favorable credit performance and expense discipline contributed to record profitability and strong returns.

  • Primary insurance-in-force at quarter end was $168.6 billion, up 6% from the first quarter.
  • Net premiums earned were $120.9 million, up 4% from the first quarter.
  • Underwriting and operating expenses were $30.7 million, down 7% from the first quarter.
  • Insurance claims and claim expenses was a benefit of $3.0 million, compared to a benefit of $0.6 million in the first quarter.

Headline financials

Total Revenue

$132M

Previous: $121M+9.5%
EPS (adj)

$0.86

Previous: $0.67+28.4%
Loss Ratio

-2.5%

No prior period
Expense Ratio

25.4%

No prior period
Book Value per Share

$19.91

No prior period
Default Rate

0.8%

No prior period
Annual Persistency

76.0%

No prior period
Capital Expenditures

-$5.31M

Previous: -$6.05M+12.2%
Free Cash Flow

$70.1M

Previous: $51.5M+36.3%
Net Income

$75.4M

Previous: $57.5M+31.2%
Operating Income

$98M

Previous: $86M+13.9%
Gross Profit

$129M

Previous: $121M+7.0%
Cash & Equivalents

$72.4M

Previous: $68.1M+6.3%
Total Assets

$2.39B

Previous: $2.31B+3.7%
Stock-Based Comp

$3.87M

Previous: $3.38M+14.3%

Revenue & EPS history

NMI Holdings · Revenue · Quarterly

$132M

Q2 2022+9.5%vs Q2 2021
Beat estimate in 14 of 15 quarters(93%)
ActualEstimate

Revenue by segment

NMI Holdings · $148M total across 3 segments · Q3 2023

  • Net premiums earned
    $130M
  • Net investment income
    $17.9M
  • Other revenues
    $217K

Forward guidance

The company is well-positioned to continue serving customers, driving growth in its insured portfolio, and delivering strong performance for shareholders.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q2 2022

Historical avgQ2 2022

+1.8%

Avg return

Earnings day

+2.4%

Avg return

5 days after

+2.8%

Avg return

30 days after

50%

25 / 50 earnings

Positive

+15.5%

Q1 2016

Best reaction

-9.4%

Q3 2021

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-0.9%-1.2%-7.3%
Q4 2025+1.8%-1.3%-7.2%
Q3 2025-1.7%+0.1%+0.1%
Q1 2025+7.5%+11.4%+18.1%
Q4 2024-4.8%-9.4%-8.7%
Q3 2024-0.8%+1.1%+4.6%
Q2 2024-0.1%-4.3%+2.6%
Q1 2024+1.7%+4.4%+5.6%
Q4 2023+0.0%-2.4%+0.8%
Q3 2023+2.2%+5.6%+1.1%
Q2 2023+6.3%+11.2%+7.2%
Q1 2023-0.8%+1.6%+8.6%
Q4 2022+1.4%+2.8%-6.2%
Q3 2022-0.4%-0.8%-3.8%
Q2 2022+7.3%+9.5%+6.0%
Q1 2022-2.6%-7.6%-2.6%
Q4 2021+2.9%-4.2%-17.5%
Q3 2021-9.4%-10.0%-19.7%
Q2 2021-2.1%+3.2%+3.1%
Q1 2021-3.8%-8.3%-8.5%
Q4 2020+1.7%+4.5%+11.3%
Q3 2020-3.5%+3.0%+3.0%
Q2 2020+1.0%+8.9%+16.8%
Q1 2020+12.1%+7.3%+41.6%
Q4 2019-9.4%-13.3%-42.7%
Q3 2019+9.0%+10.5%+13.9%
Q2 2019+0.8%-0.8%+12.0%
Q1 2019+0.0%+0.2%-2.9%
Q4 2018+0.1%+7.4%+17.0%
Q3 2018+14.5%+10.0%+6.1%
Q2 2018+6.9%+1.4%+3.3%
Q1 2018+12.6%+19.1%+20.2%
Q4 2017+7.6%+8.1%-16.8%
Q3 2017+13.4%+11.3%+17.9%
Q2 2017+0.0%+1.7%-8.1%
Q1 2017-4.7%-6.0%-7.7%
Q4 2016-1.7%-3.5%+2.6%
Q3 2016+7.2%+7.2%+14.4%
Q2 2016+10.7%+13.5%+29.8%
Q1 2016+15.5%
Q4 2015-0.2%
Q3 2015-1.4%
Q2 2015+5.0%
Q1 2015-1.1%
Q4 2014-8.6%
Q3 2014+3.2%
Q2 2014-0.4%
Q1 2014-1.0%
Q4 2013-1.3%
Q3 2013-0.3%
Q2 2013
Q1 2013
Q4 2012
Q3 2012
Q2 2012
Q1 2012

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