NMI (NMIH) Q2 2025 earnings summary

Executive summary

• Net income for Q2 2025 was $96.2 million ($1.21 per diluted share), up 4% year-over-year, with adjusted net income at $96.5 million ($1.22 per share).

• Delivered record financial results, with strong new business production and portfolio growth; primary insurance-in-force reached $214.7 billion, up 2% sequentially and 5% year-over-year.

• Maintained a high-quality insured portfolio and robust balance sheet, supported by disciplined risk management.

• Recognized for workplace excellence, earning Great Place to Work distinction for the 10th consecutive year.

Financial highlights

• Total revenue reached a record $173.8 million, up from $173.2 million in Q1 and $162.1 million year-over-year.

• Net premiums earned were $149.1 million, up 6% year-over-year, with a net yield of 28 basis points.

• Investment income rose to $24.9 million, up 21% year-over-year.

• Underwriting and operating expenses were $29.5 million, with a record low expense ratio of 19.8%.

• Book value per share (excluding unrealized gains/losses) was $32.08, up 4% sequentially and 16% year-over-year; shareholders' equity was $2.4 billion.

Outlook and guidance

• Management expects continued differentiated growth, strong returns, and value creation for shareholders.

• Persistency rates are expected to remain high due to slow mortgage refinancing activity.

• Well positioned to continue growth, serve customers, and deliver value through the cycle.

• Expect to maintain disciplined capital return, with share repurchases likely to continue at ~$25 million per quarter, subject to market conditions.

• No anticipated impact from recent regulatory proposals on business or market footprint.