Essent Group Ltd. Announces Third Quarter 2026 Results and Declares Quarterly Dividend
Essent Group Ltd. (ESNT) filed an SEC Form 8-K — Results of Operations and Financial Condition. Exhibit 99.1 Essent Group Ltd. Announces Third Quarter 2026 Results and Declares Quarterly Dividend HAMILTON, Bermuda, November 6, 2026--Essent Group Ltd. (NYSE: ESNT) today reported net income for the quarter ended September 30, 2026 of $163.4 million or $1.82 per diluted share,
How this was made
The 30-second read
Why it matters
The earnings release provides fresh data for traders; the dividend adds a modest yield component, likely supporting the stock in the short term.
Market read
First‑report earnings and dividend announcement create a short‑term trading opportunity for ESNT.
What to watch
Potential regulatory changes to GSEs and mortgage‑insurance eligibility could affect future earnings.
Essent Group Ltd. reported third-quarter 2026 net income of $163.4 million, or $1.82 per diluted share, and declared a $0.35 per common share quarterly cash dividend.
Third-quarter total revenues, net premiums earned, and net investment income exceeded the prior-year quarter, while net income was modestly lower as provision for losses and LAE and other underwriting and operating expenses increased. Reinsurance expanded materially, while mortgage insurance new insurance written declined from both the prior-year and prior-quarter periods.
Key metrics
shortened, hover for the filing’s print| Metric | Value | q/q | y/y |
|---|---|---|---|
| Gross premiums written, three months ended September 30, 2026GAAP | $342.4M | – | – |
| Ceded premiums, three months ended September 30, 2026GAAP | −$39.55M | – | – |
| Net premiums written, three months ended September 30, 2026GAAP | $302.9M | – | – |
| Net premiums earned, three months ended September 30, 2026GAAP | $290.7M | – | – |
| Net investment income, three months ended September 30, 2026GAAP | $62.95M | – | – |
| Realized investment gains (losses), net, three months ended September 30, 2026GAAP | −$1.63M | – | – |
| Income from other invested assets, three months ended September 30, 2026GAAP | $10.72M | – | – |
| Other income, three months ended September 30, 2026GAAP | $11.46M | – | – |
| Total revenues, three months ended September 30, 2026GAAP | $374.2M | – | – |
| Provision for losses and LAE, three months ended September 30, 2026GAAP | $83.49M | – | – |
| Other underwriting and operating expenses, three months ended September 30, 2026GAAP | $83.49M | – | – |
| Interest expense, three months ended September 30, 2026GAAP | $8.16M | – | – |
| Total losses and expenses, three months ended September 30, 2026GAAP | $175.1M | – | – |
| Income before income taxes, three months ended September 30, 2026GAAP | $199.0M | – | – |
| Income tax expense, three months ended September 30, 2026GAAP | $35.67M | – | – |
| Net income, three months ended September 30, 2026GAAP | $163.4M | – | – |
| Basic earnings per share, three months ended September 30, 2026GAAP | $ 1.84 | – | – |
| Diluted earnings per share, three months ended September 30, 2026GAAP | 1.82 | – | – |
| Weighted average diluted shares outstanding, three months ended September 30, 2026GAAP | 89,774 | – | – |
| Comprehensive income (loss), three months ended September 30, 2026GAAP | −$5.61M | – | – |
| Return on average equity (annualized), three months ended September 30, 2026other | 11.7 % | – | – |
| Net premiums written, nine months ended September 30, 2026GAAP | $1.00B | – | – |
| Net premiums earned, nine months ended September 30, 2026GAAP | $827.5M | – | – |
| Net investment income, nine months ended September 30, 2026GAAP | $183.8M | – | up 4% |
| Total revenues, nine months ended September 30, 2026GAAP | $1.07B | – | – |
| Provision for losses and LAE, nine months ended September 30, 2026GAAP | $180.7M | – | – |
| Other underwriting and operating expenses, nine months ended September 30, 2026GAAP | $231.7M | – | – |
| Interest expense, nine months ended September 30, 2026GAAP | $24.46M | – | – |
| Income before income taxes, nine months ended September 30, 2026GAAP | $636.1M | – | – |
| Net income, nine months ended September 30, 2026GAAP | $524.9M | – | – |
| Diluted earnings per share, nine months ended September 30, 2026GAAP | 5.71 | – | – |
| Mortgage new insurance written, three months ended September 30, 2026other | $12.1B | – | – |
| Mortgage insurance in force, September 30, 2026other | $250.1B | – | – |
| Mortgage insurance combined ratio, three months ended September 30, 2026other | 39.6 % | – | – |
| Reinsurance combined ratio, three months ended September 30, 2026other | 84.7 % | – | – |
| Book value per share, September 30, 2026GAAP | $ 62.58 | – | 6.3 % |
| Book Value Per Share Inclusive of Common Dividends, September 30, 2026non-GAAP | $ 63.94 | – | 8.6 % |
Segments
| Segment | Revenue | q/q | y/y |
|---|---|---|---|
| Mortgage Insurance, total revenues, three months ended September 30, 2026Net premiums earned were $ 210,958; net investment income was $ 46,218; and provision for losses and LAE was $ 51,709. | $268.9M | – | – |
| Reinsurance, total revenues, three months ended September 30, 2026Net premiums earned were $ 64,044, compared with $ 16,304 for the quarter ended September 30, 2025. Provision for losses and LAE was $ 31,032. | $71.76M | – | – |
| Corporate & Other, total revenues, three months ended September 30, 2026The category includes title insurance operations, holding company treasury operations, and general corporate operating expenses not attributable to operating segments. | $33.50M | – | – |
Amounts quoted below without a unit are in thousands, as in the filing’s tables. Per-share figures are as printed.
Capital returns
- Year-to-date through October 31, 2026, Essent repurchased 7.7 million common shares for $474 million.
- The Board declared a quarterly cash dividend of $0.35 per common share, payable on December 10, 2026 to shareholders of record on December 1, 2026.
- In November 2026, the Board approved a $500 million share repurchase authorization that runs through year-end 2028.
- Common dividends paid per share for the 12-months ended September 30, 2026 were 1.36.
What drove it
- Mortgage insurance net premiums earned were $ 210,958 in the third quarter of 2026, compared with $ 215,683 in the third quarter of 2025.
- Reinsurance net premiums written for the nine months ended September 30, 2026 were $330.3 million, compared to $49.3 million in the same period of 2025.
- Non-mortgage reinsurance net premiums written were $ 66,378 in the third quarter of 2026 and $ 288,218 for the nine months ended September 30, 2026.
- Income from other invested assets was $ 10,724 in the third quarter of 2026, compared with $ 1,770 in the third quarter of 2025.
- Net investment income for the nine months ended September 30, 2026 was $183.8 million, up 4% from the comparable period in 2025.
Concerns
- Mortgage new insurance written was $12.1 billion in the third quarter of 2026, compared to $14.1 billion in the second quarter of 2026 and $12.2 billion in the third quarter of 2025.
- Mortgage insurance loans in default were 21,919 and the percentage of loans in default was 2.75 % at September 30, 2026, compared with 18,583 and 2.29 % at September 30, 2025.
- Mortgage insurance loss ratio was 24.5 % in the third quarter of 2026, compared with 20.5 % in the third quarter of 2025.
- Reinsurance loss ratio was 48.5 % and expense ratio was 36.2 % in the third quarter of 2026.
- Unrealized depreciation of investments was $ (168,983) in the third quarter of 2026, producing comprehensive income (loss) of $ (5,607).
What to watch
- Mortgage new insurance written, insurance in force, persistency, and the net average premium rate.
- The default inventory, cure rate, severity, loss reserves, and mortgage insurance loss ratio.
- The pace of reinsurance premium growth and the associated loss and expense ratios.
- Use of the new $500 million share repurchase authorization and future common dividends.
- PMIERs Available Assets, Minimum Required Assets, and the PMIERs sufficiency ratio.
Balance sheet and cash flow
- Cash was $ 160,670 at September 30, 2026, compared to $ 123,049 at December 31, 2025.
- Total cash and investments were $ 6,484,601 at September 30, 2026, compared to $ 6,609,647 at December 31, 2025.
- Total investments were $ 6,323,931 at September 30, 2026, compared to $ 6,486,598 at December 31, 2025.
- Senior notes due 2029, net were $ 496,308 at September 30, 2026, compared to $ 495,301 at December 31, 2025.
- Borrowings outstanding were $ 500,000 and undrawn committed capacity was $ 500,000 at September 30, 2026.
- Total stockholders' equity was $ 5,555,065 at September 30, 2026, compared to $ 5,756,727 at December 31, 2025.
- Essent Guaranty, Inc. PMIERs excess Available Assets were $ 1,615,656 and the PMIERs sufficiency ratio was 177 % at September 30, 2026.
Analysis
Essent reported third-quarter 2026 net income of $ 163,376 and diluted earnings per share of 1.82, versus $ 164,215 and 1.67 in the prior-year quarter. Total revenues were $ 374,183, versus $ 311,830 a year earlier and $ 362,686 in the second quarter of 2026. Net premiums earned were $ 290,672, while net investment income was $ 62,952. The nine-month results showed net investment income of $ 183,819, up 4% from the comparable 2025 period.
The revenue mix reflects a substantial increase in reinsurance activity. Reinsurance total revenues were $ 71,756 in the third quarter, with net premiums earned of $ 64,044, compared with $ 16,304 in the prior-year quarter. Mortgage Insurance total revenues were $ 268,930, but mortgage insurance net premiums earned were $ 210,958, below $ 215,683 in the prior-year quarter. Mortgage new insurance written was $12.1 billion, compared with $14.1 billion in the second quarter and $12.2 billion in the prior-year quarter, while insurance in force was $250.1 billion.
Loss and expense trends were the central offset to revenue growth. Consolidated provision for losses and LAE was $ 83,489, versus $ 44,922 in the prior-year quarter and $ 48,961 in the prior quarter. Mortgage Insurance reported a 24.5 % loss ratio and 39.6 % combined ratio. Reinsurance reported a 48.5 % loss ratio, a 36.2 % expense ratio, and an 84.7 % combined ratio. Mortgage insurance loans in default stood at 21,919, or 2.75 % of loans, at September 30, 2026.
Capital remained substantial despite repurchases and investment-mark changes. Cash and investments totaled $ 6,484,601, total stockholders' equity was $ 5,555,065, and borrowings outstanding were $ 500,000 at September 30, 2026. Essent Guaranty, Inc. reported $ 1,615,656 of PMIERs excess Available Assets and a 177 % PMIERs sufficiency ratio. The company repurchased 7.7 million common shares for $474 million through October 31, 2026, declared a $0.35 per common share dividend, and received a new $500 million repurchase authorization through year-end 2028.
No forward financial guidance was provided in the filing. The principal reported indicators for subsequent periods are mortgage new insurance written, insurance in force, defaults and cure rates, reinsurance premium development and underwriting ratios, and execution under the expanded repurchase authorization.
Management, verbatim
Our third quarter results reflect the earnings power of our mortgage insurance and reinsurance franchise.
Mark A. Casale, Chairman and Chief Executive Officer
With the solid credit quality of our insurance in force and our strong capital position, we are well positioned to deliver high-quality earnings with continued flexibility to invest in the business and return capital to shareholders.
Mark A. Casale, Chairman and Chief Executive Officer
Not in the filing
stated, not guessed- Forward revenue, earnings, expense, tax-rate, or other financial guidance
- Prior guidance for comparison
- Gross margin
- Operating income
- Operating margin
- GAAP operating cash flow
- Free cash flow
- Non-GAAP net income or non-GAAP earnings per share
- Reported effective income tax rate
Written by an AI language model from the company’s SEC earnings filing (Form 8-K Item 2.02, or Form 6-K for a foreign private issuer). Every figure is checked against the filing text, and a metric the filing does not print, or whose value, prior period and change do not add up, is dropped from the metrics. The model can still misread a table, in the metrics or in the text, so check a number in the filing before you rely on it. Consensus estimates, price targets and share-price reactions are not shown because they are not in the filing. AI-generated research, not investment advice.
Background
Essent Group Ltd., a Bermuda‑based mortgage insurer listed on NYSE, filed its Form 8‑K reporting Q3 2026 results and a new quarterly dividend.
Ticker impact
Q3 2026 earnings released with net income $163.4M and a $0.35 quarterly dividend.
slight upward pressure as investors price in the dividend and stable earnings.
The results show minimal earnings change and a new dividend, which typically supports the stock modestly.
Market effects
Mortgage insurance and reinsurance sector may see modest confidence from the dividend announcement.
US-listed insurers could see slight positive bias in the morning trade.
Limited; impact confined to insurance niche.
Counterpoint
Flat earnings may signal slowing growth; the dividend could be a defensive move rather than a growth catalyst.
Key entities
- companyEssent Group Ltd.
NYSE‑listed mortgage insurance and reinsurance provider.
