NASDAQ$NMIH

NMI Holdings Inc · Q4 2024 earnings

Q4 2024 earnings · · After market close · Investor relations

Briefing

NMI Holdings reported its financial results for the fourth quarter and full year ended December 31, 2024, and announced an additional $250 million share repurchase authorization.

NMI Holdings, Inc. reported a net income of $86.2 million for Q4 2024, with diluted EPS of $1.07. The company achieved strong operating performance, significant new insurance written volume, and consistent growth in its insured portfolio, leading to record financial results and a 17.4% return on equity for the full year.

  • Net income for Q4 2024 was $86.2 million, with diluted EPS of $1.07.
  • Primary insurance-in-force grew to $210.2 billion at quarter end, up 7% year-over-year.
  • The company's Board of Directors authorized an additional $250 million share repurchase plan effective through December 31, 2027.
  • Total revenue for Q4 2024 was $166.5 million, an increase from $151.4 million in Q4 2023.

Headline financials

Total Revenue

$167M

Previous: $151M+10.0%
EPS (adj)

$1.07

Previous: $1.01+5.9%
Risk-in-Force (RIF)

$56.1B

No prior period
Primary Insurance-in-Force

$210B

No prior period
New Insurance Written - NIW

$11.9B

No prior period
Insurance Claims and Claim Expenses

$17.3M

No prior period
Loss Ratio

12.0%

No prior period
Expense Ratio

21.7%

No prior period
Combined Ratio

33.7%

No prior period
Annualized Return on Equity

15.6%

No prior period
Book Value per Share

$28.21

No prior period
Book Value per Share (excl. unrealized gains/losses)

$29.80

No prior period
PMIERs Available Assets

$3.11B

No prior period
Net Risk-Based Required Assets

$1.83B

No prior period
New Risk Written

$3.13B

No prior period
Policies in Force (count)

659.6K

No prior period
Average Loan Size

$319K

No prior period
Coverage Percentage

26.7%

No prior period
Loans in Default (count)

6.6K

No prior period
Default Rate

1.0%

No prior period
Risk-in-Force on Defaulted Loans

$545M

No prior period
Average Net Premium Yield

0.3%

No prior period
Earnings from Cancellations

$800K

No prior period
Annual Persistency

84.6%

No prior period
Quarterly Run-off

4.5%

No prior period
Monthly NIW

$11.7B

No prior period
Single NIW

$237M

No prior period
Capital Expenditures

-$1.4M

Previous: $1.47M-194.8%
Net Income

$86.2M

Previous: $83.4M+3.3%
Operating Income

$111M

Previous: $105M+5.4%

Revenue & EPS history

NMI Holdings · Revenue · Quarterly

$167M

Q4 2024+10%vs Q4 2023
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

NMI Holdings is well-positioned for continued differentiated growth, returns, and shareholder value, supported by a strong customer franchise, talented team, high-quality book, comprehensive risk transfer solutions, and a robust balance sheet. The incremental share repurchase authorization further enhances value access for investors.

Tailwinds

  • Strong operating performance and consistent growth in insured portfolio.
  • Record financial results and a high return on equity (17.4% for FY 2024).
  • Robust balance sheet supported by significant earnings power.
  • Additional $250 million share repurchase authorization provides further ability to access value.
  • Well-positioned to continue delivering differentiated growth and returns.

Headwinds

  • Potential impacts from changes in general economic, market, and political conditions (e.g., interest rates, inflation).
  • Risks related to geopolitical instability and economic downturns affecting the housing market.
  • Changes in GSEs' charters, business practices, or housing policy objectives could impact business.
  • Regulatory changes or enforcement actions could result in adverse judgments or significant expenditures.
  • Failure to attract and retain a diverse customer base or implement business strategy successfully.

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 Q4 2024

Historical avgQ4 2024

+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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