Q3 FY2026
Filed Nov 10, 2026Orion180 reports Q3 2026 managed premiums in-force up 72.3% to $678,220 thousand and GAAP net income up 32.3% to $11,466 thousand, with the IPO completed in September 2026
Premium and revenue growth, underwriting combined ratio and net income all improved year over year. Offsetting this, policy retention fell 2.0 pp, GAAP net income margin fell 4.1 pp, the gross loss ratio rose 5.5 pp, and interest expense rose 183.3%. No prior-period outlook was provided, so no guidance comparison is made.
Key metrics
shortened, hover for the filing’s print| Metric | Value | q/q | y/y |
|---|---|---|---|
| Total revenues, three months ended Sept 30, 2026GAAP | $53.90M | – | 58.0% |
| Gross premiums written, three monthsGAAP | $203.8M | – | 60.3% |
| Net premiums earned, three monthsGAAP | $29.93M | – | 52.4% |
| Policy fee income, three monthsGAAP | $17.17M | – | 70.3% |
| Commission and service fee income, three monthsGAAP | $4.13M | – | – |
| Net investment income, three monthsGAAP | $2.67M | – | – |
| Losses and loss adjustment expenses, net, three monthsGAAP | $11.05M | – | – |
| General and administrative expenses, three monthsGAAP | $32.39M | – | – |
| Policy acquisition expenses, three monthsGAAP | −$14.49M | – | – |
| Interest expense, three monthsGAAP | $4.64M | – | 183.3% |
| Other expenses, three monthsGAAP | $4.80M | – | – |
| Income before income taxes, three monthsGAAP | $15.50M | – | – |
| Income tax expense, three monthsGAAP | $4.04M | – | 38.9% |
| Net income, three monthsGAAP | $11.47M | – | 32.3% |
| Net income margin, three monthsGAAP | 21.3% | – | (4.1) pp |
| Diluted earnings per common share, three monthsGAAP | $0.14 | – | – |
| Basic earnings per common share, three monthsGAAP | $0.14 | – | – |
| Consolidated adjusted EBITDA, three monthsnon-GAAP | $25.13M | – | 64.6% |
| Consolidated adjusted EBITDA margin, three monthsnon-GAAP | 46.6% | – | 1.9 pp |
| Commission and fees revenue, three monthsnon-GAAP | $75.06M | – | 64.4% |
| Services adjusted EBITDA, three monthsother | $18.59M | – | 16.3% |
| Underwriting adjusted EBITDA, three monthsGAAP | $11.49M | – | 330.0% |
| Gross loss ratio, three monthsother | 32.8% | – | 5.5 pp |
| Net loss ratio, three monthsother | 42.8% | – | (4.7) pp |
| Expense ratio, three monthsother | 26.0% | – | (22.3) pp |
| Combined ratio, three monthsother | 68.8% | – | (27.0) pp |
| Managed premiums in-force, September 30, 2026other | $678.2M | – | 72.3% |
| Managed premiums written, three monthsother | $203.9M | – | 60.3% |
| New business premiums written, three monthsother | $102.4M | – | 61.5% |
| Policy retention rate, three monthsother | 87.6% | – | -2.0 pp |
| Total revenues, nine months ended Sept 30, 2026GAAP | $134.0M | – | 58.5% |
| Net premiums earned, nine monthsGAAP | $72.21M | – | 47.1% |
| Policy fee income, nine monthsGAAP | $45.08M | – | 82.2% |
| Interest expense, nine monthsGAAP | $8.44M | – | 66.5% |
| Income tax expense, nine monthsGAAP | $9.66M | – | 361.8% |
| Net income, nine monthsGAAP | $25.01M | – | 344.8% |
| Net income margin, nine monthsGAAP | 18.7% | – | 12.0 pp |
| Basic earnings per common share, nine monthsGAAP | $0.31 | – | – |
| Diluted earnings per common share, nine monthsGAAP | $0.31 | – | – |
| Consolidated adjusted EBITDA, nine monthsnon-GAAP | $50.51M | – | 163.5% |
| Consolidated adjusted EBITDA margin, nine monthsnon-GAAP | 37.7% | – | 15.0 pp |
| Commission and fees revenue, nine monthsnon-GAAP | $203.1M | – | 76.8% |
| Services adjusted EBITDA, nine monthsother | $60.98M | – | 60.2% |
| Underwriting adjusted EBITDA, nine monthsGAAP | $4.37M | – | NM |
| Gross loss ratio, nine monthsother | 36.2% | – | 2.5 pp |
| Net loss ratio, nine monthsother | 58.5% | – | (19.3) pp |
| Expense ratio, nine monthsother | 43.1% | – | (12.4) pp |
| Combined ratio, nine monthsother | 101.5% | – | (31.8) pp |
| Cash and cash equivalents, September 30, 2026GAAP | $165.7M | – | – |
| Debt, net of unamortized issuance costs, September 30, 2026GAAP | $55.96M | – | – |
| Total assets, September 30, 2026GAAP | $936.9M | – | – |
| Total shareholders' equity, September 30, 2026GAAP | $52.34M | – | – |
| Net cash from operating activities, nine monthsGAAP | $137.3M | – | – |
Segments
| Segment | Revenue | q/q | y/y |
|---|---|---|---|
| Services segment total revenue, three monthsFiling shows Services total segment revenue of $75,578 thousand against $45,867 thousand. CEO attributes durable growth to the homeowners solutions suite and the MY180 platform, without a segment-specific explanation. | $75.58M | – | 64.8% |
| Services policy fee income, three monthsPolicy fee income line of the Services segment, against $10,077 thousand in the prior-year quarter. | $17.17M | – | 70.3% |
| Services commission income, three monthsCommission income line of the Services segment, against $34,647 thousand in the prior-year quarter. Segment table also shows $(50,952) thousand eliminated on consolidation. | $54.52M | – | 57.4% |
| Services service fee income, three monthsService fee income line of the Services segment, against $949 thousand in the prior-year quarter. | $3.38M | – | 256.1% |
| Underwriting segment total revenue, three monthsFiling defines segment total revenue as net premiums earned, net investment income and realized gain or loss on investments. Prior-year figure was $21,498 thousand. | $32.09M | – | 49.3% |
| Underwriting net premiums earned, three monthsNet premiums earned after ceded premiums of $(129,996) thousand, against $19,648 thousand in the prior-year quarter. Gross premiums earned were $159,931 thousand. | $29.93M | – | 52.4% |
Capital returns
- Completed initial public offering of 20,000,000 shares of Class A common stock on September 21, 2026.
- Proceeds from issuance of common stock, net of underwriting costs, were $224,400 thousand for the nine months ended September 30, 2026 (none in the prior-year period).
- Dividends paid were $206,530 thousand for the nine months ended September 30, 2026, against $12,000 thousand in the prior-year period.
- Repurchase of preferred stock was $(15,000) thousand for the nine months ended September 30, 2026.
- Shares of common stock outstanding were 99,058,193 as of September 30, 2026.
What drove it
- Company states that the growth is driven by its homeowners solutions suite, including the FLEX product, and by its proprietary MY180 tech platform.
- Policy fee income rose 70.3% in the quarter, and commission income in the Services segment rose 57.4%.
- Underwriting adjusted EBITDA rose from $2,672 thousand to $11,489 thousand. The filing shows the expense ratio fell from 48.3% to 26.0% and the combined ratio fell from 95.8% to 68.8%. The filing does not state the cause of these changes.
Concerns
- Policy retention rate fell 2.0 pp to 87.6% from 89.6%.
- GAAP net income margin fell 4.1 pp to 21.3% from 25.4%, even though net income rose 32.3%.
- Gross loss ratio rose 5.5 pp to 32.8% from 27.3%.
- Interest expense rose 183.3% to $4,637 thousand from $1,637 thousand. The filing shows a $4,333 thousand loss on extinguishment of debt for nine months and does not break out the Q3 amount.
- General and administrative expenses rose to $32,392 thousand from $16,140 thousand. Other non-recurring costs in Q3 were $2,848 thousand, consisting of public company transition consulting and audit expenses and loss on debt extinguishment.
- Dividends paid were $206,530 thousand for nine months, against $12,000 thousand a year earlier.
- Total liabilities of $884,531 thousand exceed total shareholders' equity of $52,341 thousand, and reinsurance payable and prepaid reinsurance premiums grew sharply from December 31, 2025.
What to watch
- Policy retention rate, which fell 2.0 pp year over year to 87.6%.
- Gross loss ratio, which rose 5.5 pp to 32.8%, against the expense ratio and combined ratio improvements.
- Interest expense and the debt position, with debt of $55,962 thousand at September 30, 2026.
- Whether the Q3 other non-recurring costs of $2,848 thousand recur in future quarters.
- Growth in managed premiums in-force, which reached $678,220 thousand, and whether it continues at the reported 72.3% rate.
Balance sheet and cash flow
- Cash and cash equivalents were $165,673 thousand at September 30, 2026, against $47,853 thousand at December 31, 2025.
- Restricted cash was $7,715 thousand at September 30, 2026, against $8,299 thousand at December 31, 2025.
- Debt, net of unamortized issuance costs, was $55,962 thousand at September 30, 2026, against $60,955 thousand at December 31, 2025.
- Prepaid reinsurance premiums were $468,688 thousand at September 30, 2026, against $258,027 thousand at December 31, 2025. Unearned premiums were $385,250 thousand, against $240,206 thousand.
- Reinsurance payable was $283,300 thousand at September 30, 2026, against $112,633 thousand at December 31, 2025.
- Total liabilities were $884,531 thousand at September 30, 2026, against $490,441 thousand at December 31, 2025.
- Net cash from operating activities was $137,277 thousand for the nine months ended September 30, 2026, against $49,552 thousand in the prior-year period.
- Net cash used in investing activities was $(12,410) thousand for the nine months, against $(58,222) thousand. Capitalized software expenditures were $(8,540) thousand, against $(5,310) thousand.
- Net cash used in financing activities was $(7,631) thousand for the nine months, against $(10,202) thousand. Proceeds from debt were $281,543 thousand and payments on debt were $(287,400) thousand.
- Cash, cash equivalents and restricted cash at end of period were $173,388 thousand, against $90,758 thousand in the prior-year period.
- Loss on extinguishment of debt was $4,333 thousand in the nine-month cash flow statement, with no prior-year amount.
Analysis
Orion180 reported third quarter 2026 GAAP total revenues of $53,898 thousand, up 58.0% from $34,122 thousand, and GAAP net income of $11,466 thousand, up 32.3% from $8,665 thousand. Gross premiums written were $203,815 thousand, up 60.3%, and managed premiums in-force reached $678,220 thousand at September 30, 2026, up 72.3% from $393,519 thousand. New business premiums written rose 61.5% to $102,397 thousand. Demand growth was therefore strong on the premium side, but policy retention fell 2.0 pp to 87.6%.
The Services segment revenue of $75,578 thousand rose 64.8%, led by policy fee income of $17,166 thousand (up 70.3%) and commission income of $54,520 thousand (up 57.4%). Services adjusted EBITDA rose 16.3% to $18,585 thousand, a slower rate than segment revenue. Consolidated adjusted EBITDA rose 64.6% to $25,129 thousand, with the margin at 46.6% against 44.7%.
Underwriting results improved sharply on the ratios printed in the filing. Net premiums earned rose 52.4% to $29,935 thousand, and the combined ratio fell to 68.8% from 95.8%, with the expense ratio falling to 26.0% from 48.3%. The gross loss ratio, however, rose 5.5 pp to 32.8% from 27.3%, and the net loss ratio fell 4.7 pp to 42.8%. The filing does not explain these movements.
Below the operating line, interest expense rose 183.3% to $4,637 thousand, income tax expense rose 38.9% to $4,035 thousand, and general and administrative expenses rose to $32,392 thousand from $16,140 thousand. GAAP net income margin fell 4.1 pp to 21.3%. The nine-month figures show net income of $25,013 thousand against $5,623 thousand, and Underwriting adjusted EBITDA of $4,374 thousand against $(11,261) thousand.
Capital allocation changed materially in 2026. The company closed an IPO of 20,000,000 Class A shares on September 21, 2026, with $224,400 thousand of net proceeds for nine months. Dividends paid were $206,530 thousand for nine months, against $12,000 thousand a year earlier. Cash and cash equivalents were $165,673 thousand at September 30, 2026, and debt was $55,962 thousand. The release contains no outlook, so no guidance is assessed.
Management, verbatim
We delivered an excellent quarter across our key metrics, rapidly growing our managed premiums while significantly increasing our profitability on a year-over-year basis
Kenneth Gregg, Chief Executive Officer
In addition, we achieved a major milestone in our Company's history by successfully completing our initial public offering.
Kenneth Gregg, Chief Executive Officer
Not in the filing
stated, not guessed- No forward guidance or outlook is printed in this release, so guidance and vs_prior_guidance are empty or null.
- Prior-quarter (Q2 2026) figures are not printed, so all prior_quarter and qoq_change fields are null.
- Year-over-year change percentages are not printed for net investment income, commission and service fee income, losses and loss adjustment expenses, general and administrative expenses, policy acquisition expenses, other expenses, income before income taxes, gross premiums written (nine months), and EPS.
- Basic and diluted EPS prior-period changes are not printed for the quarter or nine months.
- Cash and cash equivalents, debt, total assets and equity have no prior-year period-end figures for September 30, 2025. Balance sheet comparisons in the filing are to December 31, 2025, and are not treated as prior-year figures.
- Free cash flow is not printed and was not computed.
- Share price reaction and analyst consensus estimates are not in the filing.
- Q3 interest expense breakdown for loss on extinguishment of debt is not printed separately for the quarter.
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.