Bowhead Specialty Holdings Inc. reported its fourth‑quarter and full‑year 2025 results on February 24 2026. Revenue rose to $151.7 million, beating consensus estimates that ranged from $133.4 million to $148.8 million. GAAP earnings per share fell to $0.44, missing the $0.45 estimate by $0.01 (2.2 %), while adjusted EPS of $0.47 surpassed the $0.46 estimate by $0.01 (2.2 %). Net income for the quarter was $14.8 million, up 8.8 % from the $13.6 million reported in Q4 2024, and adjusted net income reached $15.5 million, reflecting a 30 % increase in adjusted earnings for the year.
Gross written premiums grew 21.3 % to $224.1 million in Q4 2025 and 24 % to $862.8 million for the full year, driven by a robust renewal book and the expansion of the company’s digital underwriting platform, Baleen, which generated $21 million in premiums in its first full year. The expense ratio fell to 29.1 % from 30.1 % in 2024, while the loss ratio rose to 67.8 % from 66.3 % in the prior quarter, reflecting higher claims costs and a shift toward higher‑risk segments. Combined with the expense improvement, the company’s combined ratio improved to 96.9 % for Q4, indicating effective underwriting and cost discipline.
The company’s adjusted return on equity climbed to 13.5 % from 13.1 % in 2024, underscoring the impact of disciplined expense management and premium growth. Management highlighted that the digital underwriting model, Baleen, has become a key growth engine, adding $21 million in premiums and expanding Bowhead’s reach into smaller, harder‑to‑place risks. CEO Stephen Sills noted, "Bowhead had a great year in 2025. Gross written premiums grew more than 21% in the fourth quarter, and 24% for the full year. At the start of the year, we expected a low 30s expense ratio for the full year of 2025 but achieved an expense ratio below 30% starting in the third quarter and for the full year of 2025. With these accomplishments, Bowhead's adjusted net income for the year grew over 30%, adjusted return on equity was 13.6%, and diluted adjusted earnings per share was $1.65."
Looking ahead, Bowhead reiterated its outlook for profitable premium growth of around 20 % for the full year. Sills added, "We continue to expect profitable premium growth of around 20% for the full year. While we anticipate the growth coming from each of our divisions, we believe the main source of this growth will be driven by our Casualty division, followed by the growth stemming from our digital capabilities." The company’s guidance signals confidence in sustaining its premium expansion while maintaining disciplined expense control.
Investors reacted cautiously, weighing the revenue beat and strong premium growth against the GAAP EPS miss and the higher loss ratio. The market’s tempered response reflects a focus on the company’s ability to translate top‑line growth into earnings while managing underwriting risk and cost pressures.
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