•
Dec 31, 2024

Safety Insurance Q4 2024 Earnings Report

Expected Revenue:$0
Expected EPS:$1.17
+51.9% YoY

Key Takeaways

Safety Insurance Group reported a mixed performance for Q4 2024. While direct written premiums and net earned premiums increased, net income and net investment income decreased. The company's combined ratio was 101.9% compared to 106.5% in the prior year. The increases in direct written premiums and net written premiums are a result of new business production and rate increases.

Net income for the quarter was $8.1 million, or $0.55 per diluted share, compared to $12.3 million, or $0.83 per diluted share, for the comparable 2023 period.

Non-GAAP operating income was $0.94 per diluted share, compared to $0.30 per diluted share for the comparable 2023 period.

Direct written premiums increased by $45.9 million, or 18.7%, to $292.0 million.

Net earned premiums increased by $43.1 million, or 19.0%, to $269.1 million.

Total Revenue
$284M
Previous year: $258M
+10.1%
Cash and Equivalents
$59M
Previous year: $38.2M
+54.6%
Free Cash Flow
$50.3M
Previous year: $34.7M
+45.0%
Total Assets
$2.27B
Previous year: $1.94B
+17.3%

Safety Insurance

Safety Insurance

Forward Guidance

The press release contains forward-looking statements that are subject to risks and uncertainties, and actual results may differ materially from those projected.

Challenges Ahead

  • The competitive nature of our industry and the possible adverse effects of such competition
  • Conditions for business operations and restrictive regulations in Massachusetts
  • The possibility of losses due to claims resulting from severe weather
  • The impact of inflation and supply chain delays on loss severity
  • The possibility that the Commissioner of Insurance may approve future rule changes that change the operation of the residual market