- Adjusted free cash flow was $25 million, a more than tenfold increase compared to Q2 2024.
- Gross loss ratio improved significantly to 67% in Q2 2025 from 79% in Q2 2024, with a trailing 12-month gross loss ratio of 70%, the best in company history.
- Gross profit grew over 100% in Q2, with a gross margin of 39%, among the highest recorded.
- Lemonade reported strong Q2 2025 financial results with 29% year-on-year growth in in force premium (IFP), marking the seventh consecutive quarter of growth acceleration.
- Net loss narrowed to $44 million ($0.60 per share) from $57 million ($0.81 per share) in the prior year, and adjusted EBITDA loss improved slightly to $41 million from $43 million.
- Operating expenses excluding loss and loss adjustment expense increased 21% to $129 million, driven by growth spend and a $12 million one-time tax refund benefit.
- Revenue increased 35% year-over-year to $164 million, driven by gross earned premium growth, higher ceding commission rates, and a 16% increase in investment income.
- Total cash, cash equivalents, and investments ended at approximately $1.03 billion, up $11 million from year-end 2024.
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- Book value increased 6% sequentially and 13.2% year-to-date, with ongoing share repurchases totaling $48.2 million in Q2 and July.
- Combined ratio improved by approximately 7 points year-over-year, with ex-CAT combined ratio improving by 3 points.
- Core Commercial combined ratio was 93%, with an ex-CAT combined ratio of 88.9%, and net written premium growth of 4.4%.
- Net investment income increased 16.7% to $105.5 million, driven by higher earned yields and strong cash flows.
- Operating earnings were $4.35 per diluted share with earnings growth of approximately 25% on an ex-CAT basis.
- Operating ROE was 18.7%, a record for the second quarter.
- Personal Lines showed strong profitability and balanced growth with 3.7% growth and 84.8% ex-CAT combined ratio.
- Specialty segment achieved 4.6% net written premium growth and a mid-80s combined ratio, with strong profitability.
- Capital returned to shareholders totaled $650 million year-to-date, including $150 million in dividends and $500 million in share repurchases, with plans to repurchase shares toward the upper end of the $500 million to $1 billion range for 2025.
- Closed Block segment earnings declined significantly to $3.9 million from $24.4 million due to unfavorable Long-Term Care (LTC) benefits experience, with the LTC net premium ratio rising to 94.9%.
- Colonial Life segment increased adjusted operating income slightly to $117.4 million from $116.9 million, with premium growth of 3.6% and a benefit ratio of 48.3%, producing an ROE of 18.6%.
- Core operations premium growth was 4.6% in the quarter, driven by strong persistency and natural growth within the in-force block, keeping the company on track for its full year premium growth outlook of 3% to 6%.
- Group disability benefit ratio was 62.2%, higher than the prior year due to lower recoveries but still within the low 60s expected range, with a robust ROE in excess of 25%.
- Group life and AD&D benefit ratio increased to 69.7% from 65.4%, driven by higher average claim size, consistent with expectations of around 70%.
- Holding company cash ended the quarter at $2 billion with a risk-based capital ratio of approximately 485%, well above targets.
- International segment showed solid premium growth of 12% on a constant currency basis, with adjusted operating income slightly down to $41.6 million from $42.5 million, impacted by inflation differences.
- Investment income from alternative assets yielded 7% annualized, slightly below the long-term target of 8% to 10%, with total alternative invested assets valued at $1.5 billion.
- Unum Group reported second quarter 2025 adjusted after-tax operating income per share of $2.07, down from $2.16 in the same period last year, reflecting earnings pressure mainly from claims experience in group products and the Closed Block.
- Unum U.S. supplemental and voluntary lines saw adjusted operating income increase to $123.2 million from $115.2 million, with a benefit ratio of 44.3%, improved from 45.1% due to favorable benefits experience.
- Allowance for credit losses increased to $183 million, covering total loans at 2.38%, up 75 basis points from prior quarter.
- Book value per share decreased $1.96 to $39.03.
- Eagle Bancorp reported a net loss of $69.8 million or $2.30 per share in Q2 2025, compared to net income of $1.7 million or $0.06 per share in the prior quarter.
- Net interest income rose to $67.8 million, benefiting from lower deposit and borrowing costs, reduced short-term borrowings, and an additional day in the quarter.
- Noninterest expense decreased by $2 million to $43.5 million, attributed to lower legal, accounting, and professional fees.
- Noninterest income declined to $6.4 million from $8.2 million due to a $1.9 million loss from a repositioning trade in the investment portfolio.
- Nonperforming loans increased to $226.4 million, a net increase of $26 million for the quarter, with nonperforming assets to total assets at 2.16%, up 37 basis points.
- Pre-provision net revenue increased by $2.3 million to $30.7 million, driven by higher net interest income and lower noninterest expenses.
- Tier 1 leverage ratio decreased 48 basis points to 10.63%, common equity Tier 1 ratio decreased 60 basis points to 14.01%, and tangible common equity ratio increased 18 basis points to 11.18%.
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