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Radian Q1 2025 Earnings Report
Radian Group Inc. reported its first quarter 2025 financial results, with net income of $145 million and diluted EPS of $0.98.
Key Takeaways
Radian Group Inc. reported a strong start to 2025, with net income of $145 million and diluted EPS of $0.98, consistent with the prior year. The company saw an 11% year-over-year growth in book value per share and maintained a robust primary mortgage insurance in force of $274.2 billion. Capital return to shareholders was significant, with $207 million in share repurchases and $37 million in dividends paid.
First quarter net income was $145 million, or $0.98 per diluted share.
Book value per share grew 11% year-over-year to $32.48.
Primary mortgage insurance in force increased year-over-year to $274.2 billion.
The company repurchased $207 million of shares and paid $37 million of dividends during the quarter.
Radian
Radian
Radian Revenue by Segment
Revenue by Segment
Mortgage Insurance Revenue
CapyFin.comAll Other Segment Revenue
CapyFin.com Forward Guidance
Radian Group Inc. anticipates continued focus on risk distribution strategies and capital management. The company expects to cede future New Insurance Written (NIW) through quota share reinsurance arrangements.
Positive Outlook
- Ability to effectively manage capital and proactively mitigate risk through reinsurance arrangements.
- Continued focus on risk distribution strategies to optimize capital.
- New QSR Agreements expected to cede a significant portion of future NIW.
- Strengthening ability to pay ordinary dividends to holding company.
- Maintaining strong PMIERs excess Available Assets.
Challenges Ahead
- Potential impacts from changes in the U.S. housing market and economic conditions, including inflation, interest rates, and recession risk.
- Uncertainty and volatility in financial markets due to government actions and geopolitical events.
- Risks related to changes in customer, investor, ratings agency, regulator, or legislator perceptions.
- Challenges in maintaining adequate capital levels in insurance subsidiaries to meet regulatory requirements.
- Risks associated with changes in GSE charters, business practices, or PMIERs requirements.