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Jun 30
Enact Q2 2025 Earnings Report
Enact reported its second quarter 2025 financial results, highlighting strong net income and adjusted operating income, alongside an increase in primary insurance in-force and robust capital returns.
Key Takeaways
Enact delivered strong second quarter 2025 results with GAAP Net Income of $168 million and Adjusted Operating Income of $174 million. The company maintained a robust PMIERs sufficiency of 165% and increased its full-year capital return guidance to approximately $400 million, demonstrating resilience and consistent execution in an evolving market.
GAAP Net Income reached $168 million, or $1.11 per diluted share, showing a slight increase from the previous quarter but a decrease from the prior year.
Adjusted Operating Income was $174 million, or $1.15 per diluted share, indicating strong operational performance.
Primary Insurance in-force grew to $270 billion, a 1% increase from the second quarter of 2024, reflecting continued business growth.
The company maintained a strong capital position with PMIERs Sufficiency at 165% and increased its full-year capital return guidance to approximately $400 million.
Enact
Enact
Enact Revenue by Segment
Revenue by Segment
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CapyFin.comNet Investment Income Revenue
CapyFin.com Forward Guidance
Enact increased its full-year 2025 capital return guidance to approximately $400 million, demonstrating confidence in future performance and commitment to shareholder returns.
Positive Outlook
- Increased full-year capital return guidance to approximately $400 million.
- Board declared a quarterly dividend of $0.21 per share.
- Completed a $250 million share repurchase authorization.
- Approximately $262 million remaining on a $350 million repurchase authorization.
- Confidence in the fundamentals of the housing market.
Challenges Ahead
- Final amount and form of capital returned to shareholders will depend on business performance.
- Final amount and form of capital returned to shareholders will depend on market conditions.
- Final amount and form of capital returned to shareholders will depend on regulatory approvals.
- Persistency remained elevated, indicating fewer mortgage prepayments.
- Modest decrease in NIW from the second quarter of 2024.