Radian Announces Second Quarter 2026 Financial Results
— Second quarter revenue grew 93% year over year; Specialty represented 53% of net premiums earned —
— Transformation strategy continues to gain momentum with first full quarter Inigo results —
— Divestitures near completion as company sharpens focus on insurance —
— CEO transition supports strategic continuity and execution —
— Primary mortgage insurance in force reached a record $284 billion —
— Default rate declined from prior quarter, with continued favorable credit trends —
— $200 million ordinary dividend paid from Radian Guaranty to holding company during second quarter —
— Repurchased $76 million of shares and paid $37 million of dividends to stockholders during second quarter —
— Second quarter diluted net income from continuing operations per share of $0.87 with adjusted net operating income per share of $1.14 —
WAYNE, PA. August 5, 2026 - Radian Group Inc. (NYSE: RDN) today reported net income from continuing operations of $118 million, or $0.87 per diluted share, for the quarter ended June 30, 2026. This compares with net income from continuing operations of $154 million, or $1.11 per diluted share for the quarter ended June 30, 2025.
Pretax income from continuing operations for the quarter ended June 30, 2026, was $151 million compared to $193 million for the quarter ended June 30, 2025. The results for the second quarter of 2026 include $39 million of purchase accounting adjustments, amortization of acquired intangible assets and acquisition-related expenses related to the company’s acquisition of Inigo.
Adjusted pretax operating income for the quarter ended June 30, 2026, was $196 million compared to $191 million for the quarter ended June 30, 2025. Adjusted diluted net operating income per share for the quarter ended June 30, 2026, was $1.14 compared to $1.11 for the quarter ended June 30, 2025.
Key Financial Highlights
Quarter ended
($ in millions, except per-share amounts)
June 30, 2026
March 31, 2026 (1)
June 30, 2025
Consolidated
Total revenues
$575
$466
$299
Net premiums earned
$504
$403
$234
Net investment income
$75
$70
$62
Net income
$116
$124
$142
Net income from continuing operations
$118
$129
$154
Diluted net income from continuing operations per share
$0.87
$0.93
$1.11
Pretax income from continuing operations
$151
$174
$193
Adjusted pretax operating income (2)
$196
$232
$191
Adjusted diluted net operating income per share (2)
$1.14
$1.27
$1.11
Return on equity from continuing operations
9.8%
10.8%
13.6%
Adjusted net operating return on equity (2)
12.9%
14.7%
13.5%
Segment information (3)
Combined Ratio - Mortgage (4)
35.8%
30.2%
30.4%
Combined Ratio - Specialty (4)
97.7%
85.3%
N/A
New insurance written - Mortgage
$16,331
$13,490
$14,330
Gross premiums written - Specialty
$504
$162
N/A
As of
($ in millions, except per-share amounts)
June 30, 2026
March 31, 2026
June 30, 2025
Consolidated
Book value per share
$36.00
$35.67
$33.18
Accumulated other comprehensive income (loss) value per share
$(1.99)
$(1.94)
$(2.02)
Available holding company liquidity (5)
$412
$391
$784
Total investments
$6,986
$7,040
$5,680
Assets held for sale
$64
$280
$2,267
Liabilities held for sale
$30
$219
$2,071
Segment information
PMIERs Available Assets
$5,349
$5,445
$6,021
PMIERs excess Available Assets
$1,450
$1,596
$2,035
Primary mortgage insurance in force
$284,035
$281,718
$276,745
Percentage of primary loans in default
2.47%
2.51%
2.27%
N/A – Not applicable
(1)
Includes Inigo results from the date of acquisition, February 2, 2026.
(2)
Adjusted results, including adjusted pretax operating income, adjusted diluted net operating income per share and adjusted net operating return on equity, are on a continuing operations basis and are non-GAAP financial measures on a consolidated basis. For definitions and reconciliations of these measures to the comparable GAAP measures, see Exhibits F and G.
(3)
See Exhibit E for additional segment information.
(4)
Calculated as the sum of each segment’s reported provision for losses and operating expenses (which consist of amortization of policy acquisition costs and other operating expenses) expressed as a percentage of net premiums earned. See Exhibit E for additional details on the key ratios by segment.
(5)
Represents Radian Group’s available liquidity without considering available capacity under its unsecured revolving credit facility.
Book value per share at June 30, 2026, was $36.00 compared to $35.67 at March 31, 2026, and $33.18 at June 30, 2025. This represents 8.5% growth in book value per share at June 30, 2026, as compared to June 30, 2025, and includes accumulated other comprehensive income (loss) of $(1.99) per share as of June 30, 2026, and $(2.02) per share as of June 30, 2025. Changes in accumulated other comprehensive income (loss) are primarily from net unrealized gains or losses on investments as a result of decreases or increases, respectively, in market interest rates.
“Radian delivered strong second quarter results as we benefit from our transformation into a global multi-line specialty insurer,” said Radian Chief Executive Officer Rick Thornberry. “Our Mortgage and Specialty Insurance businesses together generated 93% revenue growth and 116% increase in net earned premiums year over year, demonstrating the strength and diversification of our insurance platform. At the same time, our recently announced divestitures further simplify our portfolio and deepen our focus on insurance. With these actions, coupled with a seamless leadership transition, Radian is well-positioned to capitalize on future opportunities and deliver value for stockholders.”
SECOND QUARTER RESULTS OF OPERATIONS
Mortgage
The Mortgage segment reported adjusted pretax operating income of $208 million for the quarter. Key drivers of the Mortgage segment’s second quarter results include:
▪
Primary Insurance in Force of $284 billion, an increase of 3% year-over-year
▪
New Insurance Written of $16 billion, an increase of 14% year-over-year
▪
Annualized persistency for the quarter, of 82%
▪
Net premiums earned grew to $236 million, with a stable in-force portfolio premium yield of 38 basis points
▪
Provision for losses of $29 million, which includes favorable reserve development on prior period defaults of $20 million
▪
Operating expenses in the Mortgage segment and Corporate category increased compared to prior quarter primarily due to share-based compensation expense associated with annual equity awards granted during the quarter. Compared to the second quarter of 2025, Mortgage segment and Corporate category operating expenses declined 7% and 3%, respectively.
▪
Mortgage segment Combined Ratio of 36%, including an Expense Ratio of 23%
▪
See Exhibit E for additional segment information
Specialty
The Specialty segment reported adjusted pretax operating income of $29 million for the quarter. Key drivers of the Specialty segment’s second quarter results include:
▪
Total gross premiums written of $504 million
▪
Insurance gross premiums written of $229 million
▪
Reinsurance gross premiums written of $275 million
▪
Net premiums earned of $267 million
▪
Provision for losses of $169 million includes the impact of reserves established for expected and potential claims related to the Middle East conflict. The provision for loss this quarter also includes favorable reserve development on prior accident year loss reserves of $24 million
▪
Specialty segment Combined Ratio of 98%
▪
See Exhibit E for additional segment information and Exhibit J for supplemental information related to Inigo’s financial results for periods prior to the acquisition
CAPITAL AND LIQUIDITY UPDATE
Radian Group
▪
In January 2026, Radian Group drew $200 million on its unsecured revolving credit facility. The company repaid $125 million of this borrowing during the first half of 2026 and expects to repay this borrowing in full during 2026.
▪
During the second quarter of 2026, the company repurchased 2.2 million shares of Radian Group common stock at a total cost of $76 million. In addition, in July the company repurchased 1.3 million shares of Radian Group common stock at a total cost of $50 million.
▪
The company fully utilized the authority under its $900 million share repurchase authorization that was scheduled to expire on June 30, 2026. As a result, current repurchases are being made pursuant to the $750 million authorization approved by Radian Group’s board of directors in May 2025. Following the July share repurchases, purchase authority of up to $686 million remained available under this authorization, which is scheduled to expire in December 2027.
▪
Radian Group paid a dividend on its common stock in the amount of $0.255 per share, totaling $37 million, in the second quarter of 2026.
▪
Radian Group’s available liquidity was $412 million as of June 30, 2026. In addition, Radian Group maintained $425 million of undrawn capacity under its unsecured revolving credit facility as of June 30, 2026.
Radian Guaranty
▪
Radian Guaranty paid an ordinary dividend to Radian Group of $200 million in the second quarter of 2026, following an ordinary dividend of $140 million paid in the first quarter of 2026.
▪
Radian Guaranty expects to pay approximately $650 million in total ordinary dividends to Radian Group during 2026, subject to prior approval from the Pennsylvania Insurance Department.
▪
At June 30, 2026, Radian Guaranty’s Available Assets under PMIERs totaled $5.3 billion, resulting in PMIERs excess Available Assets of $1.5 billion.
▪
Consistent with our use of risk distribution strategies to effectively manage capital and proactively mitigate risk, in June 2026, Radian Guaranty agreed to terms on two quota share reinsurance arrangements, each with a panel of third-party reinsurance providers. Under these agreements, we expect to cede future NIW as follows: 15% of policies issued between July 1, 2027 and June 30, 2028 (increasing total coverage to 30%), and 20% of policies issued between July 1, 2028 and June 30, 2029, in each case subject to certain conditions.
STRATEGIC UPDATE
Discontinued Operations
▪
As an update to the divestiture plan announced in 2025, during the first quarter of 2026, Radian made the decision to wind down its Mortgage Conduit business following an evaluation of divestment opportunities. As of June 30, 2026, this wind down was substantially completed.
▪
In August, the company completed the sale of its Real Estate Services business to a real estate technology and services company, and has also entered into a definitive agreement to sell its Title business to the same company. The pending sale of its Title business is subject to satisfaction of customary closing conditions, including obtaining required regulatory approvals.
▪
During the second quarter of 2026, Radian Group received $19 million in distributions from its businesses held for sale. These distributions contributed to the reduction in the net carrying value of the assets and liabilities held for sale related to these businesses to $35 million as of June 30, 2026, including the impact of estimated costs related to the divestitures.
▪
Additional details regarding discontinued operations may be found in Exhibit D.
CONFERENCE CALL
Radian will discuss second quarter 2026 financial results in a conference call tomorrow, Thursday, August 6, 2026, at 10:00 a.m. Eastern time. The conference call will be webcast live on the company’s website at www.radian.com/for-investors/investor-events or at www.radian.com. The webcast is listen-only. Those interested in participating in the question-and-answer session should follow the conference call dial-in instructions below.
The call may be accessed via telephone by registering for the call here to receive the dial-in numbers and unique PIN. It is recommended that you join 10 minutes prior to the event start (although you may register and dial in at any time during the call).
A digital replay of the webcast will be available on Radian’s website approximately two hours after the live broadcast ends for a period of one year at www.radian.com/for-investors/investor-events.
In addition to the information provided in the company’s earnings news release, other statistical and financial information, which is expected to be referred to during the conference call, will be available on Radian’s website at www.radian.com, under Investors.
NON-GAAP FINANCIAL MEASURES
Radian believes that adjusted pretax operating income (loss), adjusted diluted net operating income (loss) per share and adjusted net operating return on equity, each from continuing operations (non-GAAP measures on a consolidated basis) facilitate evaluation of the company’s fundamental financial performance and provide relevant and meaningful information to investors about the ongoing operating results of the company. These measures are not recognized in accordance with accounting principles generally accepted in the United States of America (GAAP) and should not be considered in isolation or viewed as substitutes for GAAP measures of performance. The measures described below have been established in order to increase transparency for the purpose of evaluating the company’s operating trends and enabling more meaningful comparisons with Radian’s competitors.
Adjusted pretax operating income (loss) is defined as GAAP pretax income (loss) from continuing operations excluding the effects of: (i) net gains (losses) on financial instruments and foreign exchange, (ii) amortization of other acquired intangible assets, (iii) other purchase accounting adjustments, net, and (iv) acquisition-related expenses and other non-operating items, such as impairment of internal-use software and other long-lived assets and gains (losses) on extinguishment of debt, among others. Adjusted diluted net operating income (loss) per share is calculated by dividing adjusted pretax operating income (loss), net of taxes computed using the company’s effective tax rate, by the sum of the weighted average number of common shares outstanding and all dilutive potential common shares outstanding. Adjusted net operating return on equity is calculated by dividing annualized adjusted pretax operating income (loss), net of taxes computed using the company’s effective tax rate, by average stockholders’ equity, based on the average of the beginning and ending balances for each period presented.
See Exhibit F or Radian’s website for a description of these items, as well as Exhibit G for reconciliations to the most comparable GAAP measures.
ABOUT RADIAN
Radian Group Inc. (NYSE: RDN) is a trusted, global multi-line specialty insurer that helps businesses navigate risk with confidence. Built on financial strength and disciplined risk management, Radian brings clarity to complex risk decisions through its proprietary view of risk and a global perspective. Visit www.radian.com to learn how our collaborative and customer-centric culture transforms risk into a world of opportunity.
Contact:
For Investors
Bob Lally - Phone: 215.231.1570
email: robert.lally@radian.com
For Media
Rashi Iyer - Phone: 215.231.1167
email: rashi.iyer@radian.com
FINANCIAL RESULTS AND SUPPLEMENTAL INFORMATION CONTENTS (Unaudited)
Supplemental Data - Inigo’s Unaudited Results of Operations (Pre-Acquisition)
Radian Group Inc. and Subsidiaries
Condensed Consolidated Statements of Operations (1)
Exhibit A
2026
2025
(In thousands, except per-share amounts)
Qtr 2
Qtr 1 (2)
Qtr 4
Qtr 3
Qtr 2
Revenues
Net premiums earned
$
503,712
$
402,528
$
237,192
$
237,103
$
233,526
Net investment income
74,696
69,698
62,683
63,399
61,672
Net gains (losses) on financial instruments and foreign exchange
(5,789
)
(8,879
)
(1,159
)
1,285
1,851
Other income
2,340
2,990
1,796
1,399
1,502
Total revenues
574,959
466,337
300,512
303,186
298,551
Expenses
Provision for losses
194,945
107,933
21,588
17,886
11,954
Amortization of deferred policy acquisition costs and value of business acquired (“VOBA”)
90,503
62,069
4,280
7,166
7,205
Other operating expenses
110,586
98,169
56,417
62,256
69,178
Interest expense
22,312
20,594
17,189
17,184
17,428
Amortization of other acquired intangible assets
5,896
3,909
—
—
—
Total expenses
424,242
292,674
99,474
104,492
105,765
Pretax income from continuing operations
150,717
173,663
201,038
198,694
192,786
Income tax provision
32,489
44,197
42,236
45,892
38,301
Net income from continuing operations
118,228
129,466
158,802
152,802
154,485
Income (loss) from discontinued operations, net of tax
(2,314
)
(5,373
)
(3,959
)
(11,359
)
(12,689
)
Net income
$
115,914
$
124,093
$
154,843
$
141,443
$
141,796
Diluted net income per share
Net income from continuing operations
$
0.87
$
0.93
$
1.15
$
1.11
$
1.11
Income (loss) from discontinued operations, net of tax
(0.02
)
(0.04
)
(0.03
)
(0.08
)
(0.09
)
Diluted net income per share
$
0.85
$
0.89
$
1.12
$
1.03
$
1.02
(1)
See Exhibit D for additional details.
(2)
Includes Inigo results from the date of acquisition, February 2, 2026.
Radian Group Inc. and Subsidiaries
Net Income Per Share
Exhibit B
The calculation of basic and diluted net income per share is as follows.
2026
2025
(In thousands, except per-share amounts)
Qtr 2
Qtr 1 (1)
Qtr 4
Qtr 3
Qtr 2
Net income from continuing operations
$
118,228
$
129,466
$
158,802
$
152,802
$
154,485
Income (loss) from discontinued operations, net of tax
(2,314
)
(5,373
)
(3,959
)
(11,359
)
(12,689
)
Net income—basic and diluted
$
115,914
$
124,093
$
154,843
$
141,443
$
141,796
Average common shares outstanding—basic
135,355
137,004
137,032
137,003
137,376
Dilutive effect of share-based compensation arrangements (2)
928
1,481
1,218
923
984
Adjusted average common shares outstanding—diluted
136,283
138,485
138,250
137,926
138,360
Net income per share
Basic
Net income from continuing operations
$
0.87
$
0.94
$
1.16
$
1.12
$
1.12
Income (loss) from discontinued operations, net of tax
(0.02
)
(0.04
)
(0.03
)
(0.08
)
(0.09
)
Basic net income per share
$
0.85
$
0.90
$
1.13
$
1.04
$
1.03
Diluted
Net income from continuing operations
$
0.87
$
0.93
$
1.15
$
1.11
$
1.11
Income (loss) from discontinued operations, net of tax
(0.02
)
(0.04
)
(0.03
)
(0.08
)
(0.09
)
Diluted net income per share
$
0.85
$
0.89
$
1.12
$
1.03
$
1.02
(1)
Includes Inigo results from the date of acquisition, February 2, 2026.
(2)
The following number of shares of our common stock equivalents issued under our share-based compensation arrangements are not included in the calculation of diluted net income per share because their effect would be anti-dilutive.
2026
2025
(In thousands)
Qtr 2
Qtr 1
Qtr 4
Qtr 3
Qtr 2
Shares of common stock equivalents
315
—
—
—
2
Radian Group Inc. and Subsidiaries
Condensed Consolidated Balance Sheets
Exhibit C
Jun 30,
Mar 31,
Dec 31,
Sep 30,
Jun 30,
(In thousands, except per-share amounts)
2026
2026
2025
2025
2025
Assets
Investments
$
6,986,457
$
7,040,322
$
5,987,318
$
5,852,034
$
5,680,489
Cash
119,047
55,445
24,829
15,258
19,013
Restricted cash
36,000
32,534
10
11
28
Accrued investment income
56,263
51,497
40,285
43,031
43,467
Premiums and other receivables
812,176
665,910
120,197
128,765
125,744
Reinsurance recoverable
381,405
356,521
48,806
44,837
41,653
Deferred policy acquisition costs and VOBA
180,884
188,673
19,018
16,711
17,248
Goodwill and other acquired intangible assets
414,842
420,738
—
—
—
Prepaid federal income taxes
1,058,060
1,056,329
1,056,329
1,012,629
997,805
Other assets
546,691
504,347
351,337
369,013
411,198
Assets held for sale
64,495
280,060
474,268
722,514
2,267,056
Total assets
$
10,656,320
$
10,652,376
$
8,122,397
$
8,204,803
$
9,603,701
Liabilities and stockholders’ equity
Reserve for losses and loss adjustment expense
$
1,911,780
$
1,822,619
$
399,946
$
387,650
$
377,231
Unearned premiums
1,015,963
856,058
159,341
166,165
171,901
Short-term borrowings
535,108
494,730
33,320
50,679
88,963
Long-term borrowings
696,895
773,946
1,075,795
1,076,973
1,076,325
Net deferred tax liability
962,163
978,540
942,193
910,256
864,421
Other liabilities
696,238
697,989
366,470
410,232
461,335
Liabilities held for sale
29,694
219,233
363,818
550,399
2,070,844
Total liabilities
5,847,841
5,843,115
3,340,883
3,552,354
5,111,020
Common stock
156
156
157
157
157
Treasury stock
(1,009,701
)
(991,427
)
(989,745
)
(989,352
)
(988,764
)
Additional paid-in capital
783,231
842,235
861,211
855,320
847,399
Retained earnings
5,300,213
5,220,411
5,132,050
5,012,742
4,906,830
Accumulated other comprehensive income (loss)
(265,420
)
(262,114
)
(222,159
)
(226,418
)
(272,941
)
Total stockholders’ equity
4,808,479
4,809,261
4,781,514
4,652,449
4,492,681
Total liabilities and stockholders’ equity
$
10,656,320
$
10,652,376
$
8,122,397
$
8,204,803
$
9,603,701
Shares outstanding
133,556
134,845
135,498
135,473
135,395
Book value per share
$
36.00
$
35.67
$
35.29
$
34.34
$
33.18
Holding company debt-to-capital ratio (1)
19.2
%
20.2
%
18.3
%
18.7
%
19.2
%
(1)
Calculated as the aggregate carrying value of our senior notes, which were issued and are owed by our holding company, and revolving credit facility, divided by the carrying value of our senior notes, revolving credit facility and stockholders’ equity. This holding company ratio does not include the effects of amounts owed by our subsidiaries related to other borrowings.
Radian Group Inc. and Subsidiaries
Condensed Consolidated Statements of Operations Detail
Exhibit D (page 1 of 4)
Net Premiums Earned
2026
2025
(In thousands)
Qtr 2
Qtr 1 (1)
Qtr 4
Qtr 3
Qtr 2
Mortgage
Direct
$
269,537
$
268,902
$
268,465
$
266,093
$
262,044
Ceded (2)
(33,188
)
(30,725
)
(31,273
)
(28,990
)
(28,518
)
Net premiums earned
236,349
238,177
237,192
237,103
233,526
Specialty
Direct
146,061
108,987
N/A
N/A
N/A
Assumed
190,077
94,498
N/A
N/A
N/A
Ceded
(68,775
)
(39,134
)
N/A
N/A
N/A
Net premiums earned
267,363
164,351
N/A
N/A
N/A
Total
Direct
415,598
377,889
268,465
266,093
262,044
Assumed
190,077
94,498
N/A
N/A
N/A
Ceded
(101,963
)
(69,859
)
(31,273
)
(28,990
)
(28,518
)
Total net premiums earned
$
503,712
$
402,528
$
237,192
$
237,103
$
233,526
(1)
For Specialty, includes Inigo results from the date of acquisition, February 2, 2026.
(2)
Includes profit commission under our Mortgage segment’s QSR Program.
Net Investment Income
2026
2025
(In thousands)
Qtr 2
Qtr 1 (1)
Qtr 4
Qtr 3
Qtr 2
Fixed maturities
$
67,992
$
60,370
$
51,655
$
57,614
$
57,354
Equity securities
1,116
1,160
1,798
2,446
2,634
Short-term investments
6,508
9,322
10,362
4,503
2,842
Other (2)
(920
)
(1,154
)
(1,132
)
(1,164
)
(1,158
)
Net investment income
$
74,696
$
69,698
$
62,683
$
63,399
$
61,672
(1)
Includes Inigo results from the date of acquisition, February 2, 2026.
(2)
Primarily includes investment management expenses, as well as the net impact from our securities lending activities.
Radian Group Inc. and Subsidiaries
Condensed Consolidated Statements of Operations Detail
Exhibit D (page 2 of 4)
Provision for Losses
2026
2025
(In thousands)
Qtr 2
Qtr 1 (1)
Qtr 4
Qtr 3
Qtr 2
Mortgage
Current period (2)
$
49,387
$
59,839
$
57,047
$
52,963
$
47,912
Prior period (3)
(19,969
)
(35,563
)
(35,459
)
(35,077
)
(35,958
)
Provision for losses - Mortgage
29,418
24,276
21,588
17,886
11,954
Specialty
Current period (4)
193,410
98,846
N/A
N/A
N/A
Prior period (5)
(24,171
)
(12,578
)
N/A
N/A
N/A
Provision for losses - Specialty
169,239
86,268
N/A
N/A
N/A
VOBA - reserves amortization (6)
(3,712
)
(2,611
)
N/A
N/A
N/A
Total provision for losses
$
194,945
$
107,933
$
21,588
$
17,886
$
11,954
(1)
For Specialty, includes Inigo results from the date of acquisition, February 2, 2026.
(2)
Related to defaulted loans with the most recent default notice dated in the period indicated. For example, if a loan had defaulted in a prior period, but then subsequently cured and later re-defaulted in the current period, the default would be considered a current period default.
(3)
Related to defaulted loans with a default notice dated in a period earlier than the period indicated, which have been continuously in default since that time.
(4)
Related to provision for losses and loss adjustment expenses for insured events occurring during the current accident period, including estimates for both reported claims and incurred but not reported claims.
(5)
Related to changes in estimates of losses and loss adjustment expenses related to prior accident years.
(6)
Represents positive amortization of the VOBA intangible asset attributable to reserves.
Radian Group Inc. and Subsidiaries
Condensed Consolidated Statements of Operations Detail
Exhibit D (page 3 of 4)
Amortization of deferred policy acquisition costs and VOBA
2026
2025
(In thousands)
Qtr 2
Qtr 1 (1)
Qtr 4
Qtr 3
Qtr 2
Amortization of deferred policy acquisition costs
Mortgage
$
6,881
$
6,899
$
4,280
$
7,166
$
7,205
Specialty
52,937
29,065
N/A
N/A
N/A
Purchase accounting adjustments
(37,128
)
(30,001
)
N/A
N/A
N/A
Amortization of deferred policy acquisition costs
22,690
5,963
4,280
7,166
7,205
Amortization of VOBA
67,813
56,106
N/A
N/A
N/A
Amortization of deferred policy acquisition costs and VOBA
$
90,503
$
62,069
$
4,280
$
7,166
$
7,205
(1)
For Specialty, purchase accounting adjustments and amortization of VOBA, includes results from the date of acquisition, February 2, 2026.
Other Operating Expenses
2026
2025
(In thousands)
Qtr 2
Qtr 1 (1)
Qtr 4
Qtr 3
Qtr 2
Salaries and other base employee expenses
$
34,779
$
32,972
$
25,086
$
24,259
$
26,932
Variable and share-based incentive compensation
29,899
13,051
16,768
16,115
27,335
Other general operating expenses (2)
54,515
60,366
22,589
29,438
21,986
Ceding commissions
(8,607
)
(8,220
)
(8,026
)
(7,556
)
(7,075
)
Total
$
110,586
$
98,169
$
56,417
$
62,256
$
69,178
(1)
Includes Inigo results from the date of acquisition, February 2, 2026.
(2)
Includes acquisition-related expenses of $7 million and $22 million in the second and first quarters of 2026, respectively, and $2 million and $9 million in the fourth and third quarters of 2025, respectively.
Interest Expense
2026
2025
(In thousands)
Qtr 2
Qtr 1
Qtr 4
Qtr 3
Qtr 2
Senior notes
$
15,848
$
15,839
$
15,829
$
15,819
$
15,810
Letter of credit fees (1)
3,533
2,290
—
—
—
Revolving credit facility
2,176
1,996
389
258
741
FHLB advances
755
469
458
1,107
877
Loss on extinguishment of debt
—
—
513
—
—
Total interest expense
$
22,312
$
20,594
$
17,189
$
17,184
$
17,428
(1)
Represents interest expense on Inigo’s letter of credit facility and the first quarter of 2026 includes Inigo’s results from the date of acquisition, February 2, 2026.
Radian Group Inc. and Subsidiaries
Condensed Consolidated Statements of Operations Detail
Exhibit D (page 4 of 4)
Discontinued Operations
2026
2025
(In thousands)
Qtr 2
Qtr 1
Qtr 4
Qtr 3
Qtr 2
Revenues
Net premiums earned
$
5,069
$
5,037
$
5,248
$
4,624
$
3,995
Services revenue
13,332
13,656
13,640
12,352
10,882
Net investment income
1,516
5,091
7,089
10,744
11,097
Net gains (losses) on financial instruments and foreign exchange
(129
)
1,409
(576
)
2,191
(6,703
)
Income (loss) on consolidated VIEs
—
—
—
(2,129
)
185
Other income
485
1,685
(176
)
(332
)
(3
)
Total revenues
20,273
26,878
25,225
27,450
19,453
Expenses
Provision for losses
144
209
311
129
143
Cost of services
9,506
10,152
9,735
8,729
8,412
Other operating expenses
12,873
20,155
16,136
23,732
20,225
Interest expense
1,003
3,613
4,802
8,105
8,446
Total expenses
23,526
34,129
30,984
40,695
37,226
Pretax income (loss) from discontinued operations
(3,253
)
(7,251
)
(5,759
)
(13,245
)
(17,773
)
Income tax provision (benefit)
(939
)
(1,878
)
(1,800
)
(1,886
)
(5,084
)
Income (loss) from discontinued operations, net of tax
$
(2,314
)
$
(5,373
)
$
(3,959
)
$
(11,359
)
$
(12,689
)
Radian Group Inc. and Subsidiaries
Segment Information
Exhibit E (page 1 of 4)
Effective with the first quarter of 2026, we have two reportable business segments that are managed separately, Mortgage and Specialty. In addition to these reportable segments, we report in a Corporate category activities that include: (i) income (losses) from assets held by Radian Group; (ii) interest expense from Radian Group’s borrowings, including the Intercompany Note with Radian Guaranty; and (iii) general corporate operating expenses not attributable or allocated to our reportable segments, related primarily to corporate oversight activities.
The results of our Mortgage Conduit, Title and Real Estate Services businesses are reflected in income (loss) from discontinued operations, net of tax, in our condensed consolidated statements of operations for all periods presented. See Exhibit D for details on our discontinued operations.
Summarized financial information concerning our reportable segments, Mortgage and Specialty, and our Corporate activities for the periods indicated is as follows. Our senior management, including our Chief Executive Officer, uses adjusted pretax operating income (loss) as our primary measure to evaluate the fundamental financial performance of our segments. On a consolidated basis, adjusted pretax operating income is a non-GAAP financial measure. For a definition of adjusted pretax operating income, along with a reconciliation to its most comparable GAAP measure, see Exhibits F and G.
Three Months Ended June 30, 2026
(In thousands)
Mortgage
Specialty
Corporate
Inter- segment (1)
Total
Net premiums written
$
232,554
$
382,180
$
—
$
—
$
614,734
(Increase) decrease in unearned premiums
3,795
(114,817
)
—
—
(111,022
)
Net premiums earned
236,349
267,363
—
—
503,712
Net investment income (1)
55,614
24,902
3,930
(9,750
)
74,696
Other income
1,258
1,082
—
—
2,340
Total
293,221
293,347
3,930
(9,750
)
580,748
Provision for losses
29,418
169,239
—
—
198,657
Amortization of deferred policy acquisition costs
6,881
52,937
—
—
59,818
Other operating expenses
48,347
39,042
16,723
—
104,112
Interest expense (1)
754
3,533
27,775
(9,750
)
22,312
Total
85,400
264,751
44,498
(9,750
)
384,899
Adjusted pretax operating income (loss)
$
207,821
$
28,596
$
(40,568
)
$
—
$
195,849
(1)
Net investment income for the Mortgage segment and interest expense for the Corporate category each include $10 million related to interest on an intercompany loan issued by Radian Guaranty to Radian Group in connection with the Inigo acquisition, which is eliminated in consolidation.
Radian Group Inc. and Subsidiaries
Segment Information
Exhibit E (page 2 of 4)
Three Months Ended June 30, 2025
(In thousands)
Mortgage
Specialty (1)
Corporate
Inter- segment
Total
Net premiums written
$
231,596
N/A
$
—
$
—
$
231,596
(Increase) decrease in unearned premiums
1,930
N/A
—
—
1,930
Net premiums earned
233,526
N/A
—
—
233,526
Net investment income
53,289
N/A
8,383
—
61,672
Other income
1,502
N/A
—
—
1,502
Total
288,317
N/A
8,383
—
296,700
Provision for losses
11,954
N/A
—
—
11,954
Amortization of deferred policy acquisition costs
7,205
N/A
—
—
7,205
Other operating expenses
51,881
N/A
17,297
—
69,178
Interest expense
877
N/A
16,551
—
17,428
Total
71,917
N/A
33,848
—
105,765
Adjusted pretax operating income (loss)
$
216,400
N/A
$
(25,465
)
$
—
$
190,935
(1)
See Exhibit J for details.
Mortgage
2026
2025
(In thousands)
Qtr 2
Qtr 1
Qtr 4
Qtr 3
Qtr 2
Net premiums written
$
232,554
$
233,265
$
234,431
$
235,733
$
231,596
(Increase) decrease in unearned premiums
3,795
4,912
2,761
1,370
1,930
Net premiums earned
236,349
238,177
237,192
237,103
233,526
Net investment income (1)
55,614
53,327
50,140
51,965
53,289
Other income
1,258
1,663
1,796
1,399
1,502
Total
293,221
293,167
289,128
290,467
288,317
Provision for losses
29,418
24,276
21,588
17,886
11,954
Amortization of deferred policy acquisition costs
6,881
6,899
4,280
7,166
7,205
Other operating expenses
48,347
40,723
40,808
39,159
51,881
Interest expense
754
470
458
1,107
877
Total
85,400
72,368
67,134
65,318
71,917
Adjusted pretax operating income
$
207,821
$
220,799
$
221,994
$
225,149
$
216,400
(1)
Net investment income for each of the first and second quarters of 2026 includes $10 million related to interest receivable on the intercompany loan issued by Radian Guaranty to Radian Group in connection with the Inigo acquisition. A corresponding amount is reported as interest expense for the Corporate category and eliminated in consolidation.
Radian Group Inc. and Subsidiaries
Segment Information
Exhibit E (page 3 of 4)
Specialty
2026
2025 (1)
(In thousands)
Qtr 2
Qtr 1 (2)
Qtr 4
Qtr 3
Qtr 2
Net premiums written
$
382,180
$
148,483
N/A
N/A
N/A
(Increase) decrease in unearned premiums
(114,817
)
15,868
N/A
N/A
N/A
Net premiums earned
267,363
164,351
N/A
N/A
N/A
Net investment income
24,902
16,899
N/A
N/A
N/A
Other income
1,082
1,327
N/A
N/A
N/A
Total
293,347
182,577
N/A
N/A
N/A
Provision for losses
169,239
86,268
N/A
N/A
N/A
Amortization of deferred policy acquisition costs
52,937
29,065
N/A
N/A
N/A
Other operating expenses
39,042
24,885
N/A
N/A
N/A
Interest expense
3,533
2,290
N/A
N/A
N/A
Total
264,751
142,508
N/A
N/A
N/A
Adjusted pretax operating income
$
28,596
$
40,069
N/A
N/A
N/A
(1)
See Exhibit J for details.
(2)
Includes Inigo results from the date of acquisition, February 2, 2026.
Corporate
2026
2025
(In thousands)
Qtr 2
Qtr 1
Qtr 4
Qtr 3
Qtr 2
Net investment income
$
3,930
$
9,222
$
12,760
$
11,434
$
8,383
Total
3,930
9,222
12,760
11,434
8,383
Other operating expenses
16,723
10,699
14,754
14,414
17,297
Interest expense (1)
27,775
27,584
16,435
16,077
16,551
Total
44,498
38,283
31,189
30,491
33,848
Adjusted pretax operating income (loss)
$
(40,568
)
$
(29,061
)
$
(18,429
)
$
(19,057
)
$
(25,465
)
(1)
Interest expense for each of the first and second quarters of 2026 includes $10 million related to interest payable on the intercompany loan issued by Radian Guaranty to Radian Group in connection with the Inigo acquisition. A corresponding amount is reported as net investment income for the Mortgage segment and eliminated in consolidation.
Radian Group Inc. and Subsidiaries
Segment Information
Exhibit E (page 4 of 4)
Selected Key Segment Ratios
2026
2025
Qtr 2
Qtr 1 (1)
Qtr 4
Qtr 3
Qtr 2
Mortgage
Loss Ratio (2)
Current period
20.9
%
25.1
%
24.0
%
22.3
%
20.5
%
Prior period development
(8.5
)%
(14.9
)%
(14.9
)%
(14.8
)%
(15.4
)%
Total Loss Ratio
12.4
%
10.2
%
9.1
%
7.5
%
5.1
%
Expense Ratio (3)
23.4
%
20.0
%
19.0
%
19.5
%
25.3
%
Combined Ratio (4)
35.8
%
30.2
%
28.1
%
27.0
%
30.4
%
Specialty
Loss Ratio (2)
Current period
72.3
%
60.2
%
N/A
N/A
N/A
Prior period development
(9.0
)%
(7.7
)%
N/A
N/A
N/A
Total Loss Ratio
63.3
%
52.5
%
N/A
N/A
N/A
Expense Ratio (3)
34.4
%
32.8
%
N/A
N/A
N/A
Combined Ratio (4)
97.7
%
85.3
%
N/A
N/A
N/A
(1)
For Specialty, includes Inigo results from the date of acquisition, February 2, 2026.
(2)
Calculated as each segment’s provision for losses expressed as a percentage of net premiums earned.
(3)
Calculated as each segment’s operating expenses (which consist of amortization of deferred policy acquisition costs and other operating expenses) expressed as a percentage of net premiums earned.
(4)
Calculated as the sum of each segment’s Loss Ratio and Expense Ratio.
Radian Group Inc. and Subsidiaries
Definition of Non-GAAP Financial Measures
Exhibit F (page 1 of 2)
Use of Non-GAAP Financial Measures
In addition to the traditional GAAP financial measures, we have presented “adjusted pretax operating income (loss),” “adjusted diluted net operating income (loss) per share” and “adjusted net operating return on equity,” which are non-GAAP financial measures for the consolidated company on a continuing operations basis, among our key performance indicators to evaluate our fundamental financial performance. These non-GAAP financial measures align with the way our business performance is evaluated by both management and by our board of directors. These measures have been established in order to increase transparency for the purposes of evaluating our operating trends and enabling more meaningful comparisons with our peers. Although on a consolidated basis adjusted pretax operating income (loss), adjusted diluted net operating income (loss) per share and adjusted net operating return on equity are non-GAAP financial measures, we believe these measures aid in understanding the underlying performance of our operations. Our senior management, including our Chief Executive Officer (Radian’s chief operating decision maker), uses adjusted pretax operating income (loss) as our primary measure to evaluate the fundamental financial performance of our businesses and to allocate resources to them.
The results of our Mortgage Conduit, Title and Real Estate Services businesses are included in income (loss) from discontinued operations, net of tax, for all periods presented herein. The calculation of adjusted pretax operating income, as detailed below, excludes income (loss) from discontinued operations, net of tax, for all periods presented herein. As a result, the calculations of adjusted diluted net operating income per share and adjusted net operating return on equity also exclude income (loss) from discontinued operations, net of tax, for all periods presented herein.
Adjusted pretax operating income (loss) is defined as GAAP pretax income (loss) from continuing operations excluding the effects of: (i) net gains (losses) on financial instruments and foreign exchange, (ii) amortization of other acquired intangible assets, (iii) other purchase accounting adjustments, net, and (iv) acquisition-related expenses and other non-operating items, such as impairment of internal-use software and other long-lived assets and gains (losses) on extinguishment of debt, among others. Adjusted diluted net operating income (loss) per share is calculated by dividing adjusted pretax operating income (loss), net of taxes computed using the company’s effective tax rate, by the sum of the weighted average number of common shares outstanding and all dilutive potential common shares outstanding. Adjusted net operating return on equity is calculated by dividing annualized adjusted pretax operating income (loss), net of taxes computed using the company’s effective tax rate, by average stockholders’ equity, based on the average of the beginning and ending balances for each period presented.
Although adjusted pretax operating income (loss) excludes certain items that have occurred in the past and are expected to occur in the future, the excluded items represent those that are: (i) not viewed as part of the operating performance of our primary activities or (ii) not expected to result in an economic impact equal to the amount reflected in pretax income (loss) from continuing operations. These adjustments, along with the reasons for their treatment, are described below.
(1)
Net gains (losses) on financial instruments and foreign exchange. The recognition of realized gains or losses on financial instruments and foreign currency exchange gains or losses can vary significantly across periods as such amounts are influenced by discretionary actions, including the timing of individual securities transactions, as well as by market conditions, our tax and capital profile, foreign currency movements, and overall market cycles. Unrealized gains and losses arise primarily from changes in the market value of our investments that are classified as trading or equity securities and from changes in foreign exchange rates affecting monetary assets and liabilities. These valuation adjustments may not necessarily result in realized economic gains or losses.
Trends in the profitability of our fundamental operating activities can be more clearly identified without the fluctuations of these realized and unrealized gains or losses, foreign currency exchange impacts, and changes in fair value of financial instruments.
(2)
Amortization of other acquired intangible assets. Amortization of other acquired intangible assets represents the periodic expense required to amortize the cost of acquired intangible assets over their estimated useful lives. Acquired intangible assets are also periodically reviewed for potential impairment, and impairment adjustments are made whenever appropriate. We do not view these charges as part of the operating performance of our primary activities.
Radian Group Inc. and Subsidiaries
Definition of Non-GAAP Financial Measures
Exhibit F (page 2 of 2)
(3)
Other purchase accounting adjustments, net. Other purchase accounting adjustments include amortization related to VOBA and other impacts resulting from purchase accounting, such as the reversal of amortization related to Inigo’s historical deferred acquisition costs and capitalized software as of the acquisition date. These non-cash amounts arise from acquisition-related accounting requirements and do not necessarily reflect the underlying operating performance of the acquired business.
(4)
Acquisition-related expenses and other non-operating items. Acquisition-related expenses and other non-operating items include activities that we do not view to be indicative of our fundamental operating activities, such as: (i) acquisition-related income and expenses, (ii) impairment of internal-use software and other long-lived assets; and (iii) gains (losses) on extinguishment of debt.
See Exhibit G for the reconciliations of the most comparable GAAP measures, pretax income (loss) from continuing operations, diluted net income (loss) from continuing operations per share and return on equity from continuing operations to our non-GAAP financial measures for the consolidated company, adjusted pretax operating income (loss), adjusted diluted net operating income (loss) per share and adjusted net operating return on equity, respectively.
Total adjusted pretax operating income (loss), adjusted diluted net operating income (loss) per share and adjusted net operating return on equity are not measures of overall profitability, and therefore, should not be considered in isolation or viewed as substitutes for GAAP pretax income (loss) from continuing operations, diluted net income (loss) from continuing operations per share or return on equity from continuing operations. Our definitions of adjusted pretax operating income (loss), adjusted diluted net operating income (loss) per share and adjusted net operating return on equity may not be comparable to similarly-named measures reported by other companies.
Radian Group Inc. and Subsidiaries
Non-GAAP Financial Measure Reconciliations
Exhibit G (page 1 of 2)
Reconciliation of Pretax Income from Continuing Operations to Adjusted Pretax Operating Income
2026
2025
(In thousands)
Qtr 2
Qtr 1 (1)
Qtr 4
Qtr 3
Qtr 2
Pretax income from continuing operations
$
150,717
$
173,663
$
201,038
$
198,694
$
192,786
Less reconciling income (expense) items
Net gains (losses) on financial instruments and foreign exchange
(5,789
)
(8,879
)
(1,159
)
1,285
1,851
Amortization of other acquired intangible assets
(5,896
)
(3,909
)
—
—
—
Other purchase accounting adjustments, net (2)
(26,726
)
(23,330
)
—
—
—
Acquisition-related expenses and other non-operating items (3)
(6,721
)
(22,026
)
(1,368
)
(8,683
)
—
Total adjusted pretax operating income (4)
$
195,849
$
231,807
$
203,565
$
206,092
$
190,935
(1)
Includes Inigo results from the date of acquisition, February 2, 2026.
(2)
Primarily includes net VOBA asset and liability amortization of $64 million and $53 million for the three months ended June 30, 2026 and March 31, 2026, respectively, partially offset by reversals of policy acquisition costs of $37 million and $30 million, respectively. The policy acquisition costs are reflected in the Specialty segment results but eliminated under purchase accounting on a consolidated basis.
(3)
Acquisition-related expenses and other non-operating items for the first and second quarters of 2026 relate primarily to expenses associated with the Inigo acquisition, including retention bonus expense, investment banking fees, transfer taxes, legal costs, audit costs and other transaction expenses, which are included in other operating expenses on the Condensed Consolidated Statement of Operations in Exhibit A.
(4)
Total adjusted pretax operating income consists of adjusted pretax operating income (loss) for our reportable segments and Corporate activities as follows:
2026
2025
(In thousands)
Qtr 2
Qtr 1 (a)
Qtr 4
Qtr 3
Qtr 2
Adjusted pretax operating income (loss)
Mortgage segment
$
207,821
$
220,799
$
221,994
$
225,149
$
216,400
Specialty segment
28,596
40,069
N/A
N/A
N/A
Corporate activities
(40,568
)
(29,061
)
(18,429
)
(19,057
)
(25,465
)
Total adjusted pretax operating income
$
195,849
$
231,807
$
203,565
$
206,092
$
190,935
(a) For Specialty, includes results from the date of acquisition, February 2, 2026.
Radian Group Inc. and Subsidiaries
Non-GAAP Financial Measure Reconciliations
Exhibit G (page 2 of 2)
Reconciliation of Diluted Net Income from Continuing Operations Per Share to Adjusted Diluted Net Operating Income Per Share
2026
2025
Qtr 2
Qtr 1 (1)
Qtr 4
Qtr 3
Qtr 2
Diluted net income from continuing operations per share
$
0.87
$
0.93
$
1.15
$
1.11
$
1.11
Less per-share impact of reconciling income (expense) items
Net gains (losses) on financial instruments and foreign exchange
(0.04
)
(0.06
)
(0.01
)
0.01
0.01
Amortization of other acquired intangible assets
(0.04
)
(0.03
)
—
—
—
Other purchase accounting adjustments, net
(0.20
)
(0.17
)
—
—
—
Acquisition-related expenses and other non-operating items
(0.05
)
(0.16
)
(0.01
)
(0.06
)
—
Income tax (provision) benefit on reconciling income (expense) items (2)
0.06
0.08
0.01
0.01
(0.01
)
Per-share impact of reconciling income (expense) items
(0.27
)
(0.34
)
(0.01
)
(0.04
)
—
Adjusted diluted net operating income per share
$
1.14
$
1.27
$
1.16
$
1.15
$
1.11
(1)
Includes Inigo results from the date of acquisition, February 2, 2026.
(2)
Calculated using the company’s statutory tax rates of 21% for U.S. based adjustments and 25% for U.K. based adjustments.
Reconciliation of Return on Equity from Continuing Operations to Adjusted Net Operating Return on Equity
2026
2025
Qtr 2
Qtr 1 (1)
Qtr 4
Qtr 3
Qtr 2
Return on equity from continuing operations (2)
9.8
%
10.8
%
13.5
%
13.4
%
13.6
%
Less impact of reconciling income (expense) items (3)
Net gains (losses) on financial instruments and foreign exchange
(0.5
)%
(0.7
)%
(0.1
)%
0.1
%
0.1
%
Amortization of other acquired intangible assets
(0.5
)%
(0.3
)%
—
%
—
%
—
%
Other purchase accounting adjustments, net
(2.2
)%
(2.0
)%
—
%
—
%
—
%
Acquisition-related expenses and other non-operating items
(0.6
)%
(1.8
)%
(0.1
)%
(0.7
)%
—
%
Income tax (provision) benefit on reconciling income (expense) items (4)
0.7
%
0.9
%
0.1
%
0.1
%
—
%
Impact of reconciling income (expense) items
(3.1
)%
(3.9
)%
(0.1
)%
(0.5
)%
0.1
%
Adjusted net operating return on equity
12.9
%
14.7
%
13.6
%
13.9
%
13.5
%
(1)
Includes Inigo results from the date of acquisition, February 2, 2026.
(2)
Calculated by dividing annualized net income from continuing operations by average stockholders’ equity, based on the average of the beginning and ending balances for each period presented.
(3)
Annualized, as a percentage of average stockholders’ equity.
(4)
Calculated using the company’s statutory tax rates of 21% for U.S. based adjustments and 25% for U.K. based adjustments.
See Exhibit F for additional information on our non-GAAP financial measures.
Radian Group Inc. and Subsidiaries
Mortgage Supplemental Information - New Insurance Written
Exhibit H
2026
2025
($ in millions)
Qtr 2
Qtr 1
Qtr 4
Qtr 3
Qtr 2
NIW
$
16,331
$
13,490
$
15,850
$
15,497
$
14,330
NIW by premium type
Direct monthly and other recurring premiums
97.7
%
97.7
%
97.2
%
96.4
%
96.4
%
Direct single premiums
2.3
%
2.3
%
2.8
%
3.6
%
3.6
%
NIW for purchases
90.4
%
78.6
%
85.2
%
94.8
%
94.6
%
NIW for refinances
9.6
%
21.4
%
14.8
%
5.2
%
5.4
%
NIW by FICO score (1)
>=740
67.8
%
66.7
%
65.5
%
63.5
%
68.2
%
680-739
26.5
%
28.4
%
29.7
%
31.8
%
27.0
%
620-679
5.5
%
4.6
%
4.8
%
4.7
%
4.8
%
<=619
0.2
%
0.3
%
0.0
%
0.0
%
0.0
%
Total NIW
100.0
%
100.0
%
100.0
%
100.0
%
100.0
%
NIW by LTV (1)
95.01% and above
16.9
%
17.2
%
17.3
%
16.3
%
16.7
%
90.01% to 95.00%
45.1
%
44.1
%
44.0
%
46.5
%
44.0
%
85.01% to 90.00%
30.2
%
29.9
%
29.9
%
29.2
%
30.1
%
85.00% and below
7.8
%
8.8
%
8.8
%
8.0
%
9.2
%
Total NIW
100.0
%
100.0
%
100.0
%
100.0
%
100.0
%
(1)
At origination.
Radian Group Inc. and Subsidiaries
Mortgage Supplemental Information - Primary Insurance in Force and Risk in Force
Exhibit I
2026
2025
($ in millions)
Qtr 2
Qtr 1
Qtr 4
Qtr 3
Qtr 2
Primary IIF
$
284,035
$
281,718
$
282,519
$
280,559
$
276,745
Primary RIF (1)
$
75,397
$
74,651
$
74,704
$
74,039
$
72,820
Primary RIF by premium type
Direct monthly and other recurring premiums
91.6
%
91.2
%
91.0
%
90.7
%
90.3
%
Direct single premiums
8.4
%
8.8
%
9.0
%
9.3
%
9.7
%
Primary RIF by FICO score (2)
>=740
61.0
%
60.7
%
60.7
%
60.7
%
60.6
%
680-739
32.2
%
32.4
%
32.4
%
32.3
%
32.2
%
620-679
6.6
%
6.7
%
6.7
%
6.8
%
6.9
%
<=619
0.2
%
0.2
%
0.2
%
0.2
%
0.3
%
Total RIF
100.0
%
100.0
%
100.0
%
100.0
%
100.0
%
Primary RIF by LTV (2)
95.01% and above
21.2
%
21.0
%
20.7
%
20.4
%
20.2
%
90.01% to 95.00%
49.1
%
48.9
%
48.6
%
48.3
%
48.0
%
85.01% to 90.00%
25.6
%
26.0
%
26.4
%
26.8
%
27.1
%
85.00% and below
4.1
%
4.1
%
4.3
%
4.5
%
4.7
%
Total RIF
100.0
%
100.0
%
100.0
%
100.0
%
100.0
%
Persistency Rate (12 months ended)
81.6
%
82.4
%
83.6
%
83.8
%
83.8
%
Persistency Rate (quarterly, annualized) (3)
81.6
%
81.3
%
81.6
%
84.2
%
83.8
%
(1)
RIF is presented on a gross basis and includes the amount ceded under reinsurance.
(2)
At origination.
(3)
The Persistency Rate on a quarterly, annualized basis is calculated based on loan-level detail for the quarter shown. It may be impacted by seasonality or other factors, including the level of refinance activity during the applicable periods and may not be indicative of full-year trends.
Radian Group Inc. and Subsidiaries
Supplemental Data - Inigo’s Unaudited Results of Operations (Pre-Acquisition)
Exhibit J
The following tables present Inigo’s unaudited results of operations for periods prior to the acquisition date. The amounts presented for the first quarter of 2026 include one month of pre-acquisition activity and results from the Closing Date through March 31, 2026. Pre-acquisition January 2026 results were previously reported in Exhibit J to the company’s first quarter 2026 earnings release, and post-acquisition first quarter 2026 results are presented in Exhibit E. The amounts are presented on a basis consistent with how the company now reports results for its Specialty segment.
Specialty
2026
2025
(In thousands)
Qtr 1
Qtr 4
Qtr 3
Qtr 2
Qtr 1
Net premiums written (1)
$
277,888
$
285,570
$
254,676
$
372,873
$
308,827
(Increase) decrease in unearned premiums
(18,345
)
19,424
68,044
(128,602
)
(69,923
)
Net premiums earned
259,543
304,994
322,720
244,271
238,904
Net investment income
24,999
24,516
22,399
20,980
19,580
Other income
1,760
2,429
1,694
2,095
994
Total
286,302
331,939
346,813
267,346
259,478
Provision for losses
141,500
175,991
110,493
82,751
182,495
Amortization of deferred policy acquisition costs
49,196
56,785
60,410
42,975
41,771
Other operating expenses
38,464
45,213
36,579
34,777
30,654
Interest expense
3,493
4,772
3,328
3,293
3,256
Total
232,653
282,761
210,810
163,796
258,176
Adjusted pretax operating income
$
53,649
$
49,178
$
136,003
$
103,550
$
1,302
(1)
Gross premiums written for the periods presented were as follows:
2026
2025
(In thousands)
Qtr 1
Qtr 4
Qtr 3
Qtr 2
Qtr 1
Gross premiums written
$
416,264
$
314,619
$
284,522
$
498,403
$
425,126
2026
2025
Qtr 1
Qtr 4
Qtr 3
Qtr 2
Qtr 1
Loss Ratio (1)
Current period
59.1
%
59.3
%
43.0
%
56.8
%
95.7
%
Prior period development
(4.6
)%
(1.6
)%
(8.8
)%
(22.9
)%
(19.3
)%
Total Loss Ratio
54.5
%
57.7
%
34.2
%
33.9
%
76.4
%
Expense Ratio (2)
33.8
%
33.4
%
30.1
%
31.8
%
30.3
%
Combined Ratio (3)
88.3
%
91.1
%
64.3
%
65.7
%
106.7
%
(1)
Calculated as provision for losses expressed as a percentage of net premiums earned.
(2)
Calculated as operating expenses (which consist of amortization of deferred policy acquisition costs and other operating expenses) expressed as a percentage of net premiums earned.
(3)
Calculated as the sum of Loss Ratio and Expense Ratio. For the year ended December 31, 2025, Inigo’s Combined Ratio was 81.1%.
FORWARD-LOOKING STATEMENTS
All statements in this press release that address events, developments or results that we expect or anticipate may occur in the future are “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, Section 21E of the Securities Exchange Act of 1934 and the U.S. Private Securities Litigation Reform Act of 1995. In most cases, forward-looking statements may be identified by words such as “anticipate,” “may,” “will,” “could,” “should,” “would,” “expect,” “intend,” “plan,” “goal,” “pursue,” “contemplate,” “believe,” “estimate,” “predict,” “project,” “potential,” “continue,” “seek,” “strategy,” “future,” “likely” or the negative or other variations on these words and other similar expressions. These statements, which may include, without limitation, projections regarding our future performance and financial condition, are made on the basis of management’s current views and assumptions with respect to future events. These statements speak only as of the date they were made, and we undertake no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. We operate in a changing environment where new risks emerge from time to time, and it is not possible for us to predict all risks that may affect us. The forward-looking statements are not guarantees of future performance, and the forward-looking statements, as well as our prospects as a whole, are subject to risks and uncertainties that could cause actual results to differ materially from those set forth in the forward-looking statements. These risks and uncertainties include, without limitation:
▪
general economic and market conditions, including: changes resulting from inflationary pressures, the interest rate environment and the risk of recession and higher unemployment rates; other macroeconomic stresses and uncertainties; political and geopolitical events, instability and conflict, including the current hostilities in the Middle East; supply chain disruptions; civil disturbances; endemics/pandemics; and extreme weather events and other natural disasters that may adversely affect economic conditions and the markets in which we do business;
▪
the health of the U.S. housing market generally and changes in economic conditions that impact the size of the insurable mortgage market and the credit performance of our insured mortgage portfolio, as well as our business prospects;
▪
our ability to successfully implement our business strategy through varying market and economic cycles, including the softening premium rate environment that our Specialty segment is currently experiencing in certain insurance and reinsurance lines;
▪
risks associated with investments to diversify and grow our business, including our acquisition of Inigo, or the pursuit of new lines of business or development of new products and services, and additional financial risks related to these investments, including required changes in our investment, financing and hedging strategies, and risks associated with our use of financial leverage, which could expose us to liquidity risks resulting from changes in the fair values of assets;
▪
our ability to successfully execute and implement our business plans and strategies, including plans and strategies that may require GSE, Lloyd’s and/or regulatory approvals and licenses that are subject to complex compliance requirements that we may be unable to satisfy, or that may expose us to new risks, including those that could impact our capital and liquidity positions;
▪
Radian Guaranty’s ability to remain an approved insurer to the GSEs, including the ability to comply with the PMIERs;
▪
changes in the current housing finance system in the United States, including the roles and areas of primary focus of the FHA, the U.S. Department of Veterans Affairs (“VA”), the GSEs and private mortgage insurers in this system;
▪
risks related to the quality of third-party mortgage underwriting and mortgage loan servicing, including the timeliness and accuracy of servicer reporting;
▪
a decrease in the Persistency Rate of our mortgage insurance on insurance policies where premiums are paid on a monthly installment basis;
▪
the possibility that for our Mortgage segment we may fail to accurately calculate or project our Available Assets and Minimum Required Assets under the PMIERs, which could be impacted by, among other things, the size and mix of our IIF, changes to the PMIERs, the level of defaults in our portfolio, the reported status of defaults in our portfolio (including whether they are subject to mortgage forbearance, a repayment plan or a loan modification trial period), the level of cash flow generated by our insurance operations and our risk distribution strategies;
▪
risks associated with our post-acquisition integration of Inigo and the operation of our Specialty business, including: the possibility that the anticipated benefits and impacts of the acquisition are not realized when expected, or at all; risks related to the volatility and uncertainty of expected future performance and results in our Specialty segment; and risks associated
with Radian’s ability to successfully execute on its strategic evolution to become a global multi-line specialty insurer, such as risks associated with entering new markets and lines of business and our ability to manage international operations;
▪
risks associated with the sale of our Title business, including: the ability to complete the transaction, on the anticipated timeline or at all; risks and uncertainties related to securing third-party approvals, consents and regulatory approval; and the risk that certain post-closing activities may divert management’s attention from our ongoing business operations;
▪
claims for natural catastrophic events or severe economic events in our Specialty segment that could cause large losses and substantial volatility in our results of operations;
▪
our ability to maintain an adequate level of capital in our subsidiaries, including for our insurance subsidiaries, to satisfy current and future requirements of regulators, the GSEs and Lloyd’s;
▪
our ability to successfully execute and implement our capital plans, including loss limitation and risk distribution strategies through the capital markets, traditional reinsurance markets or other strategies, and to maintain sufficient holding company liquidity to meet our ongoing liquidity needs;
▪
the amount of dividends, if any, that our insurance subsidiaries may distribute to us, which under applicable regulatory requirements is based primarily on the financial performance of our insurance subsidiaries, and therefore, may be impacted by general economic, competitive and other factors, many of which are beyond our control and, in the case of Radian Guaranty, will require prior approval from the Pennsylvania Insurance Department for a period of at least three years and possibly up to five years in connection with the funding for the Inigo acquisition;
▪
the ability of our U.S. principal operating subsidiaries to distribute amounts to us under our internal tax- and expense-sharing arrangements, which for our U.S. insurance subsidiaries are subject to regulatory review and could be terminated at the discretion of such regulators;
▪
changes in the charters or business practices of, or rules or regulations imposed by or applicable to: (i) in the case of our Mortgage segment, the GSEs or loans purchased by the GSEs and (ii) in the case of our Specialty segment, Lloyd’s;
▪
government actions and the adoption of (or failure to adopt) new laws, regulations and executive orders, changes in existing laws, regulations and executive orders, or the way they are interpreted or applied, and adoption of laws, regulations or executive orders that conflict among jurisdictions in which we operate;
▪
legal and regulatory claims, assertions, actions, reviews, audits, inquiries or investigations that could result in adverse judgments, settlements, fines, injunctions, restitutions or other relief that could require significant expenditures, new or increased reserves or have other effects on our business;
▪
changes in the way customers, investors, ratings agencies, regulators or legislators perceive our performance, financial strength and future prospects;
▪
competition, including increased competition, on the basis of pricing, capacity (including, with respect to our Specialty segment, alternative sources of capital from both traditional markets and alternative capital, including catastrophe bonds), coverage terms or other factors and, specifically with respect to our Mortgage segment, competition from current and potential new mortgage insurers, the FHA and the VA and from other forms of credit enhancement, such as any potential GSE-sponsored alternatives to traditional mortgage insurance;
▪
the possibility that we may fail to estimate accurately, especially in the event of an extended economic downturn or a period of extreme market volatility and economic uncertainty, the likelihood, magnitude and timing of losses in establishing loss reserves;
▪
the effectiveness and security of our information technology systems and digital products and services, including the risk that these systems, products or services fail to operate as expected or planned or expose us to cybersecurity or third-party risks, including due to the increase in the number and sophistication of attempted cyber-attacks or cyber-intrusions such as malware, unauthorized access, ransomware and, more recently, the ability of cyber threat actors (including the AI itself acting autonomously) to use AI tools to find and exploit vulnerabilities;
▪
volatility in our financial results caused by changes in the fair value of our assets carried at fair value;
▪
changes in U.S. GAAP or SAP rules and guidance, or their interpretation;
▪
the amount and timing of potential payments or adjustments associated with tax examinations; and
▪
our ability to attract, develop and retain key employees.
For more information regarding these risks and uncertainties as well as certain additional risks that we face, you should refer to “Item 1A. Risk Factors” in our Annual Report on Form 10-K for the year ended December 31, 2025, and to subsequent reports and registration statements filed from time to time with the SEC. We caution you not to place undue reliance on these forward-looking statements, which are current only as of the date on which we issued this press release. We do not intend to, and we disclaim any duty or obligation to, update or revise any forward-looking statements to reflect new information or future events or for any other reason.
