Fidelis Insurance (FIHL) Q3 2025 earnings summary

Executive summary

• Achieved record quarterly combined ratio of 79.0% and annualized operating ROAE of 21.4% in Q3 2025, reflecting strong underwriting and portfolio strength.

• Book value per diluted share rose to $23.29, up 6.9% since year-end 2024 and 7% from December 31, 2024.

• Gross premiums written increased 8% year-over-year to $798 million for Q3 and $3.7 billion year-to-date, driven by new business and strong retention.

• Returned $180 million to shareholders in the first nine months of 2025 through share repurchases and dividends.

• Diluted book value per share grew by $1.25 in the quarter, with 8.3% growth since year-end including dividends.

Financial highlights

• Q3 2025 operating net income was $127 million, or $1.21 per diluted share; net income was $130.5 million ($1.24 per share).

• Net investment income for Q3 2025 was $46 million; year-to-date, $140 million.

• Net premiums written rose 8% year-over-year; net premiums earned decreased 5% due to business mix.

• Net favorable prior year development of $16 million, with $3 million from insurance and $13 million from reinsurance.

• Catastrophe and large losses were $57 million (9.6 points of combined ratio), down from $92 million (14.4 points) last year.

Outlook and guidance

• Management targets 6-10% full-year gross premium growth, citing confidence in market positioning and underwriting partnerships.

• Full-year effective tax rate expected to remain around 19%.

• Annual policy acquisition expense ratio anticipated in low 30s% for insurance and mid-20s% for reinsurance.

• Focus remains on margin discipline amid emerging rate pressures and evolving risk landscape.

• Management remains bullish on market conditions and sees opportunities for further growth in 2026.