NYSE$ESNT

Essent Group · Q1 2021 earnings

Q1 2021 earnings · · Investor relations

Briefing

Essent's financial performance demonstrated a return to pre-COVID-19 profitability, driven by the U.S. economy's recovery and normalizing defaults.

Essent Group Ltd. reported a net income of $135.6 million for the quarter ended March 31, 2021, a decrease compared to $149.5 million for the same quarter in 2020. The company's Board of Directors authorized a $250 million share repurchase plan and declared a quarterly cash dividend of $0.17 per common share.

  • Insurance in force as of March 31, 2021, was $197.1 billion.
  • New insurance written for the first quarter was $19.3 billion.
  • Net premiums earned for the first quarter were $219.1 million.
  • The combined ratio for the first quarter was 34.0%.

Headline financials

Total Revenue

$245M

Previous: $229M+7.0%
EPS (adj)

$1.21

Previous: $1.52-20.4%
New Insurance Written

$19.3B

Previous: $13.5B+43.0%
Insurance in Force

$197B

Previous: $166B+19.0%
Provision for Losses and LAE

$32.3M

No prior period
Expense Ratio

19.3%

Previous: 20.3%-4.9%
Combined Ratio

34.0%

Previous: 24.2%+40.5%
Capital Expenditures

-$574K

Previous: -$466K-23.2%
Free Cash Flow

$135M

Previous: $149M-9.4%
Net Income

$136M

Previous: $150M-9.3%
Operating Income

$240M

Previous: $224M+6.9%
Gross Profit

$245M

Previous: $229M+7.0%
Cash & Equivalents

$81M

Previous: $31.1M+160.9%
Total Assets

$5.33B

Previous: $4.19B+27.3%
Stock-Based Comp

$5.18M

Previous: $4.78M+8.3%

Revenue & EPS history

Essent · Revenue · Quarterly

$245M

Q1 2021+7%vs Q1 2020
Beat estimate in 13 of 16 quarters(81%)
ActualEstimate

Forward guidance

Essent's management anticipates continued strong performance, driven by economic recovery and disciplined underwriting.

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 Q1 2021

Historical avgQ1 2021

+0.9%

Avg return

Earnings day

+0.6%

Avg return

5 days after

+1.3%

Avg return

30 days after

65%

32 / 49 earnings

Positive

+7.2%

Q2 2014

Best reaction

-9.8%

Q3 2024

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+2.1%-2.7%-6.8%
Q4 2025-6.4%-6.7%-11.5%
Q3 2025+0.6%+1.2%+1.8%
Q1 2025-0.4%-0.4%-1.5%
Q4 2024-2.6%+0.3%-4.3%
Q3 2024-9.8%-6.0%-3.7%
Q2 2024-4.4%-4.2%+5.0%
Q1 2024+2.7%+3.2%+4.5%
Q4 2023+0.3%-1.3%+2.0%
Q3 2023+2.7%+1.8%+2.6%
Q2 2023+4.1%+3.0%-0.7%
Q1 2023+5.0%+6.3%+12.6%
Q4 2022+2.5%+3.1%-6.1%
Q3 2022+0.9%-2.4%+3.5%
Q2 2022+0.2%+0.4%-8.8%
Q1 2022-0.7%-2.3%+2.1%
Q4 2021-0.5%+2.3%-10.5%
Q3 2021+1.6%-0.2%-9.8%
Q2 2021+2.4%+3.6%+1.3%
Q1 2021-2.5%-6.8%-4.1%
Q4 2020-0.2%-0.3%+0.3%
Q3 2020+5.2%+3.1%+9.4%
Q2 2020+4.0%+3.7%+3.7%
Q1 2020-1.2%-11.5%+30.4%
Q4 2019-5.1%-9.0%-27.6%
Q3 2019+1.3%+2.8%+2.4%
Q2 2019-1.2%+1.3%+6.9%
Q1 2019+1.7%-2.4%-2.0%
Q4 2018+0.8%+4.7%+3.8%
Q3 2018-3.0%-3.5%-13.3%
Q2 2018+5.3%+7.3%+13.4%
Q1 2018+5.5%+4.1%+2.6%
Q4 2017+3.1%+9.4%+9.8%
Q3 2017-0.5%+1.3%+11.4%
Q2 2017+5.9%+1.7%+1.6%
Q1 2017-5.4%-0.2%-0.5%
Q4 2016+1.7%+0.4%-3.1%
Q3 2016+4.8%+8.5%+20.9%
Q2 2016+6.9%+10.5%+11.8%
Q1 2016+4.8%
Q4 2015+1.4%
Q3 2015+2.4%
Q2 2015-5.7%
Q1 2015+3.0%
Q4 2014+0.6%
Q3 2014+0.2%
Q2 2014+7.2%
Q1 2014+3.8%
Q4 2013-2.4%
Q3 2013
Q2 2013
Q1 2013
Q4 2012
Q3 2012

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