Kingstone Companies (KINS) Q1 2026 earnings summary

Executive summary

• Net premiums earned in Q1 2026 rose 28.4% year-over-year to $55.9M, with direct premiums written up 19.6%–20% to $69.6M, driven by personal lines growth and market share gains from competitor withdrawals in New York.

• Q1 2026 saw a net loss of $5.8M, or $(0.40) per diluted share, due to eleven winter catastrophe events in the Northeast, resulting in a GAAP combined ratio of 112%.

• Underlying combined ratio improved by 5.1 points year-over-year to 88.3%, reflecting structural profitability improvements.

• Strategic initiatives include entry into California on an E&S basis, launch of Kingstone America Insurance Company in Connecticut, and a five-year plan to reach $500M in direct written premium by 2029.

• Full-year 2026 guidance reaffirmed, projecting 16–20% direct premiums written growth, net income per share of $2.20–$2.90, and ROE of 24–30%.

Financial highlights

• Net premiums earned: $55.9M (up 28.4% YoY); direct premiums written: $69.6M (up 19.6% YoY).

• Net investment income increased 63% year-over-year to $3.3M, driven by higher fixed income yields and portfolio growth.

• Book value per diluted share was $7.70 at March 31, 2026, up 38% from the prior year; $8.25 excluding AOCI.

• Shareholders’ equity ended the quarter at $114.5M.

• Net loss for Q1 2026 was $(5.8)M, compared to net income of $3.9M in Q1 2025.

Outlook and guidance

• FY2026 guidance projects direct premiums written growth of 16–20%, net combined ratio of 81–86%, underlying combined ratio of 74–76%, catastrophe loss ratio of 7–10%, net income per diluted share of $2.20–$2.90, and ROE of 24–30%.

• Catastrophe activity in Q1 was within the scenario set embedded in guidance.

• Earnings power is expected to be concentrated in Q2–Q4 due to seasonality.

• Guidance assumes higher-than-average catastrophe losses for the full year and no prior-year reserve development.

• Expansion into California and Connecticut planned for 2026, with two additional states targeted for 2027.