Kingstone Companies (KINS) Q4 2025 earnings summary

Executive summary

• Achieved record quarterly and annual results, with FY25 net income of $40.8M, up 122% year-over-year, and diluted EPS of $2.88, up 95% year-over-year.

• Q4 net income reached $14.8M, with diluted EPS of $1.03 and annualized ROE of 51%.

• Direct premiums written grew 15% for FY25 to $277.8M, with a 39% increase since 2023.

• Book value per share rose 75% to $8.28; shareholder equity increased 84% to $122.7M.

• Results exceeded guidance, driven by improvements in underwriting, product mix, and expense management.

Financial highlights

• Net premiums earned for FY25 were $187.1M, up 45.6% year-over-year; Q4 net premiums earned: $49.5M, up 37.5%.

• Net investment income rose 55% in Q4 to $3M and 44% for the year to $9.8M.

• Net combined ratio improved to 75.0% for FY25 (down 5 pts YoY); Q4: 64.2% (down 14.3 pts YoY).

• Net expense ratio reduced to 30.0% for FY25, an 11-point improvement since 2021; Q4 at a record low of 27.9%.

• Adjusted EBITDA for FY25: $54.1M, up 77.1% year-over-year.

Outlook and guidance

• FY26 guidance projects direct premiums written growth of 16–20% and net combined ratio of 81–86%.

• Underlying combined ratio for FY26 expected at 74–76%.

• Catastrophe loss ratio assumption for FY26 is 7–10%, above the six-year average.

• Diluted EPS guidance for FY26 is $2.20–$2.90, with a midpoint of $2.55; ROE guidance is 24–30%.

• Five-year goal to double direct premiums written to $500M by 2029, with California market entry planned for Q2 2026.