Kinsale Capital Group, Inc. (KNSL)
Description
Kinsale Capital Group, Inc. is a specialty insurance holding company focused on excess and surplus line commercial property and casualty insurance products in the United States.
Historical Reports
Financial Information
- Report Date
- 2025-04-28
- Report Period
- Q1 2025
- Debt
- $184,191,000
- Debt History
- 0.04% increase
- Debt Trend
- Increasing
Profit Information
- Profit
- $89,227,000
- Profit History
- 9.8% decrease
- Profit Trend
- Decreasing
Detailed Report
Kinsale Capital Group, Inc. 10-Q Report Q1 2025
Report Date: 2025-04-28
Period Covered: Q1 2025
Financial Overview
- Net Income: $89.2 M (down 9.8% YoY from $98.9 M)
- Total Revenues: $423.4 M (up 13.5% YoY)
- Net Earned Premium: $365.8 M (up 18.2% YoY)
- Net Investment Income: $43.8 M (up 33.1% YoY)
- Combined Ratio: 82.1% vs. 79.5% prior-year quarter
- Total Debt: $184.2 M (essentially flat)
Profit & Loss Analysis
- Underwriting Income rose to $67.5 M vs. $65.1 M in Q1 2024, driven by premium growth despite a higher loss ratio of 62.1%.
- Catastrophe Losses: $22.6 M (primarily Palisade fire) increased the loss ratio.
- Net Investment Income strengthened to $43.8 M, benefiting from portfolio expansion and stable yields.
- Expenses: Expense ratio improved to 20.0% from 20.7%, reflecting favorable commission structures.
Pros & Cons
Pros:
- Robust premium growth and retention (net earned premium +18.2%)
- Strong combined ratio well below 100% indicates underwriting profitability
- Diversified investment portfolio generating higher income
Cons:
- Elevated and volatile catastrophe losses impacting short-term results
- Slight contraction in overall profit margin vs. prior-year quarter
- Competitive rate environment in commercial property segment may pressure future pricing
Statistics Breakdown
- Gross Written Premium: $484.3 M (up 8.0% YoY)
- Commercial Property line saw an 18.4% decline; other lines grew ~16.7%.
- Net Earned Premium: $365.8 M (up 18.2% YoY)
- Fee Income: $9.6 M (up 18.1% YoY)
- Net Investment Income: $43.8 M (up 33.1% YoY)
- Change in Fair Value of Equity Securities: +$3.0 M
- Net Realized Investment Gain: +$0.5 M
Product Mix (Q1 2025):
- Casualty: 72.5%
- Property: 27.5%
Company Direction Insights
Kinsale remains on a growth trajectory with double-digit premium increases and a strengthened balance sheet. The company’s conservative reserving and reinsurance programs help mitigate volatility, though catastrophe losses can create quarterly swings. Investment income tailwinds and a sub-100% combined ratio support sustained profitability. Future challenges include competitive rate pressures in commercial property and potential macroeconomic headwinds, but Kinsale’s capital adequacy, underwriting discipline and diversified portfolio position it well for continued expansion.