Hamilton Insurance Group (HG) Q4 2025 earnings summary

Executive summary

• Achieved record net income of $577 million in 2025, a 44% increase year-over-year, with a 22% return on average equity and 24%–25% growth in book value per share.

• Gross premiums written rose to $2.9 billion, up 21% year-over-year, with strong growth across all underwriting platforms.

• Maintained disciplined underwriting and cycle management, focusing on attractive pricing and pulling back from less profitable lines.

• Board declared a special dividend of $2.00 per share, totaling $206 million, and repurchased $93.4 million in common shares during 2025.

• Maintained strong financial strength ratings: A (Stable) from AM Best, A (Stable) from KBRA, and A- (Stable) from Fitch.

Financial highlights

• Q4 2025 net income was $172 million ($1.69 per diluted share), with an annualized ROAE of 25%.

• Full-year operating income was $502.5 million ($4.84 per diluted share); Q4 operating income was $168 million ($1.65 per diluted share).

• Combined ratio for 2025 was 91.3%–92.9%; Q4 combined ratio improved to 87.0% from 95.4% in Q4 2024.

• Net investment income reached $511.8 million for the year, with $300.9 million from the Two Sigma Hamilton Fund.

• Book value per share increased to $28.50, up 24% year-over-year.

Outlook and guidance

• Market expected to remain competitive in 2026, with pricing in targeted lines remaining risk adequate.

• Growth anticipated to be more measured, prioritizing profitability over top-line expansion.

• Attritional loss ratio guidance for 2026 is 55%, reflecting a raised catastrophe loss threshold.

• Other underwriting expense ratio expected to decrease incrementally; corporate expenses guided at $45–$50 million.

• Focus on sustainable profitability and significant shareholder value creation.