Everest Group (EG) Q2 2026 earnings summary

Executive summary

• Delivered strong Q2 2026 results with $585M operating income, $559M net income, and 14.9% annualized after-tax net operating ROE, despite year-over-year declines from Q2 2025.

• Book value per share (excluding unrealized gains/losses) grew 12% year-over-year to ~$408, reaching $398.83 at June 30, 2026.

• Core businesses (Reinsurance Treaty and Global Wholesale & Specialty) generated $317M underwriting income on a 90% combined ratio.

• Shareholder value creation was driven by $395M in Q2 share repurchases, totaling $1.5B since Jan 2025, and the launch of Annapurna Re, a major casualty and specialty reinsurance sidecar.

• Strategic focus on underwriting discipline, portfolio quality, and capital allocation is driving performance.

Financial highlights

• Net operating income for Q2 2026 was $585M ($14.85 per diluted share); net income was $559M ($14.22 per diluted share).

• Net investment income reached $523M for the quarter, with a stable book yield of 4.5%.

• Book value per share rose to $398.83, with a 16.8% annualized total shareholder return and 14.9% net operating ROE.

• Gross written premium for core businesses was $3.7B, down 7% year-over-year due to deliberate underwriting actions and runoff of retail operations.

• Combined ratio for core businesses at 90.0%; group combined ratio at 92.0%.

Outlook and guidance

• Expect continued competitive market conditions for 1/1/2027 renewals, barring major catastrophe losses.

• Share repurchases of at least $300M per quarter are expected, with potential to exceed this given balance sheet strength.

• Focus remains on prudent cycle management, capital deployment to high risk-adjusted return lines, and leveraging analytics and AI for competitive advantage.

• Catastrophe load guidance: ~8 points for Reinsurance Treaty, ~4 points for Global Wholesale & Specialty.

• Attritional loss ratio guidance: mid-50s for Treaty, similar to current quarter for Global Wholesale & Specialty.