Universal Insurance (UVE) investor relations material

Executive summary

• Achieved a 38.5% annualized adjusted return on common equity in Q1 2026, with diluted GAAP EPS of $1.88 and adjusted EPS of $2.00, reflecting strong earnings growth and a robust start to the year.

• Direct premiums written rose 8.5% year-over-year to $506.5 million, with growth in both Florida (4.9%) and other states (18.3%), driven by resumed policy issuance and new product offerings.

• Book value per share increased 39.9% year-over-year to $20.95; adjusted book value per share was $22.19, up 32.2%.

• The combined ratio improved to 89.7% from 95.0%, driven by lower loss and LAE costs and no catastrophe events or prior-year reserve development.

• Completed 2026-2027 reinsurance renewal, securing $352 million in additional multi-year coverage through 2027-2028.

Financial highlights

• Adjusted diluted EPS was $2.00, up from $1.44 in the prior year quarter, with net income rising 31% to $54.3 million.

• Core revenue reached $398.2 million, up 0.8% year-over-year; total revenues were $393.6 million, nearly flat year-over-year.

• Net investment income rose 21.3% to $19.5 million, driven by higher book yields and increased invested assets.

• Direct premiums written totaled $506.5 million, an 8.5% increase year-over-year, with 4.9% growth in Florida and 18.3% in other states.

• Net premiums earned were $356.9 million, up 0.3% year-over-year.

Key financial ratios and metrics

• Net combined ratio was 89.7%, down from 95.0% in the prior year quarter.

• Net loss ratio improved to 63.9%, down from 70.5% year-over-year.

• Net expense ratio increased to 25.8%, up from 24.5%, mainly due to higher ceded premium ratio and policy acquisition costs outside Florida.

• Debt-to-total capital ratio was 14.6% at March 31, 2026.

• Annualized ROCE was 38.2%; adjusted ROCE was 38.5%.