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Sep 30
Old Republic Q3 2025 Earnings Report
Old Republic reported a decrease in net income but an increase in net operating income and consolidated net premiums and fees earned for the third quarter of 2025.
Key Takeaways
Old Republic International Corporation reported a net income of $279.5 million for the third quarter of 2025, a decrease from the previous year. However, net income excluding investment gains (net operating income) increased by 7.7% to $196.7 million, and consolidated net premiums and fees earned rose by 8.1% to $2.1 billion. The company also saw an increase in net investment income and book value per share.
Net income for the third quarter of 2025 was $279.5 million, down from $338.9 million in the prior year.
Net operating income (excluding investment gains) increased by 7.7% to $196.7 million, with diluted EPS of $0.78.
Consolidated net premiums and fees earned grew by 8.1% to $2.0862 billion, driven by strong performance in Specialty and Title Insurance.
Book value per share reached $26.19, an 18.5% increase since year-end 2024, inclusive of cash dividends declared.
Old Republic
Old Republic
Old Republic Revenue by Segment
Revenue by Segment
Specialty Insurance Revenue
CapyFin.comTitle Insurance Revenue
CapyFin.comCorporate & Other Revenue
CapyFin.com Forward Guidance
Old Republic's management aims for highly profitable operating results and strong balance sheets for its insurance subsidiaries over the long term. They target combined ratios between 90% and 95% for both Specialty and Title Insurance over a full underwriting cycle.
Positive Outlook
- Management's key objectives are to achieve highly profitable operating results over the long term.
- Ensuring balance sheet strength for the insurance underwriting subsidiaries' obligations is a primary goal.
- Specialty Insurance targets combined ratios between 90% and 95% over a full underwriting cycle.
- Title Insurance also targets combined ratios between 90% and 95% over a full underwriting cycle.
- The investment portfolio is focused on solid funding of policyholder obligations and long-term capital stability.
Challenges Ahead
- Quarterly and annual combined ratios for Specialty Insurance may deviate from the targeted range.
- Quarterly and annual combined ratios for Title Insurance may deviate from the targeted range.
- Corporate & Other segment tends to produce highly variable results due to lack of scale.
- Future performance can be affected by market competition, general economic conditions, and investment yields.
- Results could be particularly affected by technology and security breaches or failures, including cybersecurity incidents.