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Jun 30, 2020

Essent Q2 2020 Earnings Report

Essent's financial performance was impacted by the COVID-19 pandemic on its insured portfolio.

Key Takeaways

Essent Group Ltd. reported a net income of $15.4 million, or $0.15 per diluted share, for the quarter ended June 30, 2020. The results reflect the initial impact of the COVID-19 pandemic on the insured portfolio.

Insurance in force as of June 30, 2020 was $174.6 billion.

New insurance written for the second quarter was $28.2 billion.

Net premiums earned for the second quarter were $211.5 million.

The expense ratio for the second quarter was 18.4%.

Total Revenue
$236M
Previous year: $212M
+11.4%
EPS
$0.15
Previous year: $1.39
-89.2%
Expense Ratio
18.4%
Previous year: 22%
-16.4%
Combined Ratio
101.5%
Previous year: 24.7%
+310.9%
New Insurance Written
$28.2B
Gross Profit
$197M
Previous year: $170M
+15.8%
Cash and Equivalents
$72.8M
Previous year: $25.3M
+188.2%
Free Cash Flow
$182M
Previous year: $126M
+44.5%
Total Assets
$4.9B
Previous year: $3.54B
+38.4%

Essent

Essent

Essent Revenue by Segment

Forward Guidance

The company did not provide specific forward guidance but expressed caution regarding the timing and shape of an economic recovery.

Revenue & Expenses

Visualization of income flow from segment revenue to net income