NASDAQ$PLMR

Palomar Holdings Inc · Q2 2022 earnings

Q2 2022 earnings · · Investor relations

Briefing

Palomar had a strong second quarter, demonstrating execution of 2022 strategic objectives and 'Palomar 2X'.

Palomar Holdings reported a strong second quarter with a 69.1% increase in gross written premiums, a net income of $14.6 million, and an adjusted combined ratio of 69.1%. The company's performance showcases the execution of its strategic objectives and 'Palomar 2X' plan.

  • Gross written premiums increased by 69.1% to $218.7 million compared to the second quarter of 2021.
  • Net income was $14.6 million, compared to $12.3 million in the second quarter of 2021.
  • The total loss ratio was 17.9% compared to 13.3% in the second quarter of 2021.
  • The adjusted combined ratio was 69.1%, compared to 73.8% in the second quarter of 2021.

Headline financials

Total Revenue

$79.7M

Previous: $57.7M+38.0%
EPS (adj)

$0.73

Previous: $0.51+43.1%
Gross Written Premiums

$219M

Previous: $129M+69.1%
Combined Ratio

75.1%

Previous: 76.0%-1.2%
Adjusted Combined Ratio

69.1%

Previous: 73.8%-6.4%
Stockholders' Equity

$378M

Previous: $377M+0.4%
Capital Expenditures

-$267K

Previous: -$18K-1383.3%
Free Cash Flow

$14.3M

Previous: $12.3M+16.2%
Net Income

$14.6M

Previous: $12.3M+18.2%
Operating Income

$15.7M

Previous: $14.6M+7.5%
Gross Profit

$36.6M

Previous: $28.1M+30.4%
Cash & Equivalents

$36.5M

Previous: $24.9M+46.3%
Total Assets

$1.05B

Previous: $830M+26.7%

Revenue & EPS history

Palomar Holdings · Revenue · Quarterly

$79.7M

Q2 2022+38%vs Q2 2021
Beat estimate in 4 of 15 quarters(27%)
ActualEstimate

Revenue by segment

Palomar Holdings · $85.5M total across 4 segments · Q2 2022

  • Fronting
    $42.2M
  • Casualty
    $21.2M
  • Crop
    $13.9M
  • Earthquake
    $8.24M-86.2%

Forward guidance

The Company maintains its outlook to achieve adjusted net income of $80 million to $85 million, including $5.9 million of pre-tax unrealized losses on equity security holdings. This range is equivalent to adjusted net income of $85 million to $90 million excluding unrealized gains and losses for the year.

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

+2.9%

Avg return

Earnings day

+6.1%

Avg return

5 days after

+8.2%

Avg return

30 days after

61%

19 / 31 earnings

Positive

+23.9%

Q4 2023

Best reaction

-27.9%

Q3 2022

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-3.4%-2.1%-2.0%
Q4 2025-3.5%-1.3%-8.7%
Q3 2025+8.9%+12.4%-1.2%
Q1 2025+0.1%+2.7%+8.1%
Q4 2024+14.7%+13.9%+20.9%
Q3 2024+2.2%+13.3%+25.6%
Q2 2024+3.3%-0.1%+8.8%
Q1 2024+2.3%+7.7%+7.3%
Q4 2023+23.9%+24.7%+38.0%
Q3 2023+12.6%+13.8%+17.5%
Q2 2023-4.0%-2.9%-13.4%
Q1 2023+0.8%+4.0%+11.1%
Q4 2022+8.1%+18.3%+4.2%
Q3 2022-27.9%-24.1%-31.0%
Q2 2022+9.1%+13.6%+30.7%
Q1 2022-5.6%-9.2%+12.9%
Q4 2021-0.2%+1.5%+13.7%
Q3 2021-1.3%+3.0%-27.6%
Q2 2021-0.5%+9.6%+14.9%
Q1 2021+0.7%+0.2%+9.9%
Q4 2020-6.0%-1.0%-21.3%
Q3 2020-12.5%-23.8%-26.5%
Q2 2020+1.7%+5.2%+14.5%
Q1 2020+4.4%+11.0%+53.7%
Q4 2019-0.4%+3.8%-24.6%
Q3 2018+7.8%+10.5%+24.4%
Q3 2019-2.4%+2.3%+14.6%
Q2 2018+14.2%+22.4%+15.8%
Q2 2019+15.5%+22.9%+17.0%
Q4 2018+18.3%+19.5%+24.9%
Q1 2019+10.5%+16.2%+22.3%
Q1 2018

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