Essent Group Ltd. Files Q3 2024 10-Q

TL;DR

**Essent Group Ltd. Q3 10-Q filed. Financials and operations updated.**

AI Summary

Essent Group Ltd. filed its 10-Q for the period ending September 30, 2024. The filing details financial performance and operational updates for the third quarter. Key financial metrics and business activities are presented, reflecting the company's ongoing operations in the surety insurance sector.

Why It Matters

This filing provides investors and analysts with the latest financial health and operational performance of Essent Group Ltd., crucial for understanding its market position and future prospects.

Risk Assessment

Risk Level: medium — The filing is a routine quarterly report, but the insurance sector can be subject to economic volatility and regulatory changes.

Key Numbers

• 2024-09-30 — Reporting Period End Date (Indicates the end of the fiscal quarter for which financial information is provided.)
• 2024-11-05 — Filing Date (The date the 10-Q report was officially submitted to the SEC.)

Key Players & Entities

• Essent Group Ltd. (company) — Filer of the 10-Q
• 2024-09-30 (date) — End of the reporting period
• 2024-11-05 (date) — Filing date
• Boston National Holdings LLC (company) — Mentioned in relation to specific reporting periods

FAQ

Key Financial Figures

• $0.015 — nge on which registered Common Shares, $0.015 par value ESNT New York Stock Exchange

Filing Documents

• esnt-20240930.htm (10-Q) — 2081KB
• a93024ex311.htm (EX-31.1) — 14KB
• a93024ex312.htm (EX-31.2) — 14KB
• a93024ex321.htm (EX-32.1) — 8KB
• 0001448893-24-000078.txt ( ) — 10521KB
• esnt-20240930.xsd (EX-101.SCH) — 64KB
• esnt-20240930_cal.xml (EX-101.CAL) — 96KB
• esnt-20240930_def.xml (EX-101.DEF) — 446KB
• esnt-20240930_lab.xml (EX-101.LAB) — 798KB
• esnt-20240930_pre.xml (EX-101.PRE) — 599KB
• esnt-20240930_htm.xml (XML) — 1810KB

Financial Statements (Unaudited)

Financial Statements (Unaudited) 1 Condensed Consolidated Balance Sheets (Unaudited) 1 Condensed Consolidated Statements of Comprehensive Income (Unaudited) 2 Condensed Consolidated Statements of Changes in Stockholders' Equity (Unaudited) 3 Condensed Consolidated Statements of Cash Flows (Unaudited) 4 Notes to Condensed Consolidated Financial Statements (Unaudited) 5 Item 2.

Management's Discussion and Analysis of Financial Condition and Results of Operations

Management's Discussion and Analysis of Financial Condition and Results of Operations 27 Item 3.

Quantitative and Qualitative Disclosures About Market Risk

Quantitative and Qualitative Disclosures About Market Risk 51 Item 4.

Controls and Procedures

Controls and Procedures 51 PART II. OTHER INFORMATION 52 Item 1.

Legal Proceedings

Legal Proceedings 52 Item 1A.

Risk Factors

Risk Factors 52 Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 52 Item 6. Exhibits 53

SIGNATURES

SIGNATURES 54 i Table of Contents Unless the context otherwise indicates or requires, the terms "we," "our," "us," "Essent," and the "Company," as used in this Quarterly Report on Form 10-Q, refer to Essent Group Ltd. and its directly and indirectly owned subsidiaries, including our primary operating subsidiaries, Essent Guaranty, Inc. and Essent Reinsurance Ltd., as a combined entity, except where otherwise stated or where it is clear that the terms mean only Essent Group Ltd. exclusive of its subsidiaries. SPECIAL NOTE REGARDING FORWARD-LOOKING STATEMENTS This Quarterly Report on Form 10-Q, or Quarterly Report, includes forward-looking statements pursuant to the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements relate to expectations, beliefs, projections, future plans and strategies, anticipated events or trends and similar expressions concerning matters that are not historical facts or present facts or conditions, such as statements regarding our future financial condition or results of operations, our prospects and strategies for future growth, the introduction of new products and services, and the implementation of our marketing and branding strategies. In many cases, you can identify forward-looking statements by terms such as "may," "will," "should," "expects," "plans," "anticipates," "believes," "estimates," "predicts," "potential" or the negative of these terms or other comparable terminology. The forward-looking statements contained in this Quarterly Report reflect our views as of the date of this Quarterly Report about future events and are subject to risks, uncertainties, assumptions and changes in circumstances that may cause events or our actual activities or results to differ significantly from those expressed in any forward-looking statement. Although we believe that the expectations reflected in the forward-looking statements are reasonable, we cannot guarantee future events, r

— FINANCIAL INFORMATION

PART I — FINANCIAL INFORMATION

Financial Statements (Unaudited)

Item 1. Financial Statements (Unaudited) Essent Group Ltd. and Subsidiaries Condensed Consolidated Balance Sheets (Unaudited) September 30, December 31, (In thousands, except per share amounts) 2024 2023 Assets Investments Fixed maturities available for sale, at fair value (amortized cost: 2024 — $ 5,137,856 ; 2023 — $ 4,658,168 ) $ 4,919,868 $ 4,335,008 Short-term investments available for sale, at fair value (amortized cost: 2024 — $ 1,030,081 ; 2023 — $ 928,562 ) 1,030,631 928,731 Total investments available for sale 5,950,499 5,263,739 Other invested assets 294,931 277,226 Total investments 6,245,430 5,540,965 Cash 109,306 141,787 Accrued investment income 40,453 35,689 Accounts receivable 54,394 63,266 Deferred policy acquisition costs 9,491 9,139 Property and equipment (at cost, less accumulated depreciation of $ 74,054 in 2024 and $ 71,168 in 2023) 41,221 41,304 Prepaid federal income tax 494,356 470,646 Goodwill and acquired intangible assets, net 69,907 72,826 Other assets 61,981 51,051 Total assets $ 7,126,539 $ 6,426,673 Liabilities and Stockholders' Equity Liabilities Reserve for losses and LAE $ 288,316 $ 260,095 Unearned premium reserve 120,939 140,285 Net deferred tax liability 410,761 362,753 Senior Notes due 2029, net 493,673 — Credit facility borrowings (at carrying value, less unamortized deferred costs of $ 3,080 in 2023) — 421,920 Other accrued liabilities 171,865 139,070 Total liabilities 1,485,554 1,324,123 Commitments and contingencies (see Note 7) Stockholders' Equity Common shares, $ 0.015 par value: Authorized - 233,333 ; issued and outstanding - 106,204 shares in 2024 and 106,597 shares in 2023 1,593 1,599 Additional paid-in capital 1,276,572 1,299,869 Accumulated other comprehensive loss ( 190,279 ) ( 280,496 ) Retained earnings 4,553,099 4,081,578 Total stockholders' equity 5,640,985 5,102,550 Total liabilities and stockholders' equity $ 7,126,539 $ 6,426,673 See accompanying notes

View Full Filing

View this 10-Q filing on SEC EDGAR