NYSE$ESNT

Essent Group · Q1 2024 earnings

Q1 2024 earnings · · Investor relations

Briefing

Essent reported strong financial results driven by favorable credit performance and increased investment income.

Essent Group Ltd. reported a net income of $181.7 million for Q1 2024, compared to $170.8 million for Q1 2023. The company's performance was driven by its high-quality portfolio, consumer resilience, and a favorable rate environment that benefited investment income and persistency. Essent's Board of Directors also declared a quarterly cash dividend of $0.28 per common share.

  • New insurance written was $8.3 billion, compared to $12.9 billion in the first quarter of 2023.
  • Insurance in force was $238.5 billion, compared to $231.5 billion as of March 31, 2023.
  • Net investment income was $52.1 million, up 20% from the first quarter of 2023.
  • Entered into a quota share reinsurance transaction covering 15% of eligible policies written in 2024.

Headline financials

Total Revenue

$298M

Previous: $256M+16.4%
EPS

$1.70

Previous: $1.59+6.9%
New Insurance Written

$8.32B

Previous: $12.9B-35.5%
Insurance in Force

$238B

Previous: $232B+3.0%
Provision for Losses and LAE

$9.91M

No prior period
Loss Ratio

4.1%

No prior period
Expense Ratio

18.2%

Previous: 22.8%-20.2%
Combined Ratio

22.3%

Previous: 22.7%-1.8%
Net Premiums Earned

$246M

No prior period
Net Investment Income

$52.1M

No prior period
Return on Average Equity

14.1%

No prior period
Loans in Default

14.0K

No prior period
Default Rate

1.7%

No prior period
Avg Reserve per Default (Total)

$18.10

No prior period
Capital Expenditures

-$4.48M

Previous: -$390K-1049.7%
Free Cash Flow

$177M

Previous: $170M+4.0%
Net Income

$182M

Previous: $171M+6.4%
Operating Income

$282M

Previous: $251M+12.3%
Gross Profit

$298M

Previous: $256M+16.4%
Stock-Based Comp

$6.82M

Previous: $5.11M+33.6%

Revenue & EPS history

Essent · Revenue · Quarterly

$298M

Q1 2024+16.4%vs Q1 2023
Beat estimate in 11 of 15 quarters(73%)
ActualEstimate

Forward guidance

This press release may include “forward-looking statements” which are subject to known and unknown risks and uncertainties, many of which may be beyond our control.

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 2024

Historical avgQ1 2024

+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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