Enact Holdings reported third quarter 2026 results that met earnings expectations but slightly missed on revenue due to higher reinsurance costs. Despite the revenue headwind, the company demonstrated strong capital flexibility by raising its full-year capital return target to approximately $600 million, supported by a $200 million dividend from its primary insurance subsidiary.
Key Highlights
- Adjusted operating income was $1.19 per diluted share, matching the consensus estimate exactly.
- Total revenue reached $313 million, falling short of the $318 million estimate as higher ceded premiums from quota share reinsurance offset primary insurance growth.
- The loss ratio increased to 20% from 15% in the prior year, driven by seasonal delinquency patterns and the continued seasoning of newer insurance books.
- New Insurance Written (NIW) remained stable at $14 billion, with purchase originations accounting for 93% of the total volume.