Ategrity Specialty Insurance Company Holdings Reports Fourth Quarter 2025 Results

Ategrity Specialty Insurance Company Holdings Reports Fourth Quarter 2025 Results Gross written premiums up 30.2% and combined ratio of 84.9% drive record earnings Ategrity Specialty Insurance Company Holdings (NYSE: ASIC) today announced financial results for the quarter ended December 31, 2025. The Company reported net income attributable to stockholders of $25.3 million, or $0.51 per diluted share, compared to $21.5 million, or $0.55 per diluted share, in the prior-year period. Adjusted net income attributable to stockholders(1) was $25.4 million, or $0.51 per diluted share(1). Fourth Quarter 2025 Highlights Gross written premiums increased 30.2% to $154.0 millionNet income attributable to stockholders was $25.3 million, or $0.51 per diluted share, up 17.3%Adjusted net income attributable to stockholders(1) was $25.4 million, or $0.51 per diluted shareCombined ratio was 84.9%, compared to 92.3% in Q4 2024Adjusted return on stockholders’ equity(1) was 16.9%Book value per share at quarter-end was $12.78 per share, up 23.2% from Q4 2024 Chief Executive Officer Justin Cohen said, “Ategrity delivered another record quarter, with continued growth and margin expansion. Our performance reflects the durability of our underwriting strategy: disciplined pricing, precise risk selection, and consistent execution across the platform. Broader distribution and targeted growth initiatives increased submission flow, which we converted into profitable business while maintaining selectivity. Our model continued to scale efficiently, generating operating leverage and a further reduction in the expense ratio. With analytics and automation embedded across the organization, we are steadily extending our competitive advantage and compounding profitable growth.” Underwriting Results For the quarter ended December 31, 2025, gross written premiums increased 30.2% compared to the prior-year period, driven by execution of our growth initiatives and increased engagement across our expanding distribution network. Gross written premiums for casualty lines increased 37.5% year-over-year, reflecting the Company’s strategic focus on broadening casualty-related products and verticals. Gross written premiums in property lines increased 17.9% year-over-year, an acceleration of growth on a sequential basis, driven by growth in areas with limited catastrophe exposure. Underwriting income(1) was $15.5 million for the quarter, up 160.3% from $5.9 million in the prior-year period. The combined ratio for the quarter was 84.9%, a decrease from 92.3% in the prior-year period, driven by improvements in both the loss and expense ratios. The loss ratio decreased by 1.2 percentage points to 57.1%, supported by strong underwriting results in property, including lower attritional losses and favorable catastrophe experience. The overall expense ratio was 27.8% for the quarter, compared to 33.9% in the prior-year period, driven by operating expense leverage and lower net policy acquisition costs. Operating expenses, net of fee income, decreased as a percentage of net earned premiums by 2.4 percentage points to 10.5%, reflecting emerging scale benefits of our centralized model and stronger fee income. Policy acquisition costs also improved, decreasing by 3.7 percentage points to 17.3% of net earned premiums due to a favorable shift in our business mix. President and Chief Underwriting Officer Chris Schenk said, “We have built a business with multiple, differentiated pathways for growth across market cycles. That approach is evident in the strength of our submission pipeline, our financial performance, and our rate change results. We exited 2025 with positive property growth while many peers contracted, reflecting our deliberate decision to avoid trend-chasing in catastrophe-exposed property. Our management and professional liability lines established durable positions in their early period of development despite broader market softening. In casualty, we delivered strong growth across our core verticals, and our newly launched retail-trade vertical generated meaningful submission momentum exiting the fourth quarter, supported by Project Heartland and a highly engaged, diversified distribution network. “We wrote new business above our cost of product, preserving account-level economics and supporting long-term value. That technical discipline—particularly in small and middle-market risks—has driven renewal stability and portfolio durability.” _______________ 1 See the definitions and reconciliations of non-GAAP financial measures to the most directly comparable GAAP financial measures in the section titled “Non-GAAP Financial Measures” below. Summary of Operating Results The following table summarizes the Company’s results of operations for the three months and year ended December 31, 2025 and 2024: Three Months Ended December 31, Year Ended December 31, ($ in thousands, except percentages) 2025 2024 2025 2024 Gross written premiums $ 154,027 $ 118,264 $ 581,530 $ 437,036 Ceded written premiums (44,061 ) (42,019 ) (156,912 ) (137,830 ) Net written premiums $ 109,966 $ 76,245 $ 424,618 $ 299,206 Net premiums earned $ 102,755 $ 76,832 $ 361,695 $ 290,635 Fee income 2,273 353 6,582 918 Losses and loss adjustment expenses 58,675 44,830 212,147 175,234 Underwriting, acquisition and insurance expenses 30,877 26,410 113,309 98,567 Underwriting income(1) 15,476 5,945 42,821 17,752 Net investment income 11,629 6,256 42,376 24,046 Net realized and unrealized gains (losses) on investments 6,662 21,190 12,651 28,140 Interest expense 72 468 1,358 2,042 Other income 18 24 1,035 95 Other expenses 553 1,553 1,611 1,727 Income before income taxes 33,160 31,394 95,914 66,264 Income tax expense 6,713 5,694 19,785 12,316 Net income $ 26,447 $ 25,700 $ 76,129 $ 53,948 Less: Net (loss) income attributable to non-controlling interest - General Partner 1,191 4,174 2,127 6,858 Net income attributable to stockholders $ 25,256 $ 21,526 $ 74,002 $ 47,090 Key Metrics Adjusted net income attributable to stockholders(1) $ 25,394 $ 22,703 $ 74,619 $ 48,266 Loss ratio 57.1 % 58.3 % 58.7 % 60.3 % Expense ratio 27.8 % 33.9 % 29.5 % 33.6 % Combined ratio 84.9 % 92.3 % 88.2 % 93.9 % Return on stockholders' equity(2) 16.8 % 22.7 % 14.6 % 13.1 % Adjusted return on stockholders' equity(1)(2) 16.9 % 23.9 % 14.7 % 13.4 % Diluted earnings per share $ 0.51 $ 0.55 $ 1.58 $ 1.28 Adjusted diluted earnings per share(1) $ 0.51 $ 0.60 $ 1.61 $ 1.32 (1) Each of these metrics is a non-GAAP financial measure. See “Non-GAAP Financial Measures” for a reconciliation of the non-GAAP financial measure to the most directly comparable GAAP measure. (2) For the three months ended December 31, 2025 and 2024, net income attributable to stockholders and adjusted net income attributable to stockholders are annualized to arrive at return on stockholders’ equity and adjusted return on stockholders’ equity. Gross Written Premiums The following table presents gross written premiums by product for the three months and year ended December 31, 2025 and 2024: Three Months Ended December 31, Year Ended December 31, ($ in thousands, except percentages) 2025 2024 % Change 2025 2024 % Change Casualty $ 102,539 $ 74,590 37.5% $ 390,565 $ 263,328 48.3% Property 51,488 43,674 17.9% 190,965 173,708 9.9% Gross written premiums $ 154,027 $ 118,264 30.2% $ 581,530 $ 437,036 33.1% Expense Ratio The following tables summarize the components of our expense ratio for the three months and year ended December 31, 2025 and 2024: Three Months Ended December 31, ($ in thousands, except percentages) 2025 2024 Expenses % of Net Earned Premiums Expenses % of Net Earned Premiums Policy acquisition costs $ 17,782 17.3% $ 16,113 21.0% Operating expenses, net of fee income(1) 10,822 10.5% 9,945 12.9% Underwriting, acquisition and insurance expenses, net of fee income $ 28,604 27.8% $ 26,058 33.9% Year Ended December 31, 2025 2024 ($ in thousands, except percentages) Expenses % of Net Earned Premiums Expenses % of Net Earned Premiums Policy acquisition costs $ 65,343 18.1% $ 60,692 20.9% Operating expenses, net of fee income(1) 41,384 11.4% 36,957 12.7% Underwriting, acquisition and insurance expenses, net of fee income $ 106,727 29.5% $ 97,649 33.6% (1) Net of fee income of $2.3 million and $0.4 million for the three months ended December 31, 2025 and 2024, and $6.6 million and $0.9 million for the years ended December 31, 2025 and 2024, respectively. Investment results The following tables summarize net investment income and net realized and unrealized gains on investments for the three months and year ended December 31, 2025 and 2024: Three Months Ended December 31, Year Ended December 31, ($ in thousands) 2025 2024 2025 2024 Investment income Fixed-maturity securities $ 7,719 $ 5,913 $ 27,043 $ 14,296 Short-term investments 1,440 226 5,525 2,703 Cash equivalents 807 251 2,150 5,122 Equity securities — — — 44 Loans to affiliates 1,520 251 4,850 1,002 Securities sold not yet purchased — (321 ) — (569 ) Total fixed income 11,486 6,320 39,568 22,598 Utility & Infrastructure Investments 267 108 3,263 1,669 Other expenses (124 ) (172 ) (455 ) (221 ) Net investment income $ 11,629 $ 6,256 $ 42,376 $ 24,046 Net realized and unrealized gains (losses) on investments $ 6,662 $ 21,190 $ 12,651 $ 28,140 Non-GAAP Financial Measures We report our financial results in accordance with GAAP. However, we believe that certain non-GAAP financial measures provide investors in our common stock with additional useful information in evaluating our performance. Management believes that excluding certain items that are not indicative of core performance assists in evaluating our ability to generate earnings and to more readily compare these metrics between past and future periods. These non-GAAP financial measures may be different than similarly titled measures used by other companies. These non-GAAP financial measures should not be considered in isolation from, or as substitutes for, financial information prepared in accordance with GAAP. There are limitations related to the use of these non-GAAP financial measures as compared to the most directly comparable GAAP financial measures. Underwriting Income We define underwriting income as income before income taxes excluding the impact of net investment income, net realized and unrealized gains (losses) on investments, other income, interest expense, and other expenses (which include expenses related to corporate activities and expenses recorded by us in connection with the Company’s initial public offering). Underwriting income is a measure of the pre-tax profitability of our underwriting operations and allows us to evaluate our underwriting performance without regard to net investment income among other things. We use this metric as we believe it gives our management and other users of our financial information useful insight into our underlying business performance. Underwriting income should not be viewed as a substitute for income before income taxes calculated in accordance with GAAP and other companies may define underwriting income differently. Underwriting income for the three months and year ended December 31, 2025 and 2024 reconciles to income before income taxes as follows: Three Months Ended December 31, Year Ended December 31, ($ in thousands) 2025 2024 2025 2024 Income before income taxes $ 33,160 $ 31,394 $ 95,914 $ 66,264 Less: Net investment income (11,629 ) (6,256 ) (42,376 ) (24,046 ) Net realized and unrealized (gains) losses on investments (6,662 ) (21,190 ) (12,651 ) (28,140 ) Other income (18 ) (24 ) (1,035 ) (95 ) Add: Interest expense 72 468 1,358 2,042 Other expenses 553 1,553 1,611 1,727 Underwriting income $ 15,476 $ 5,945 $ 42,821 $ 17,752 Adjusted net income attributable to stockholders We define adjusted net income attributable to stockholders as net income attributable to stockholders excluding certain other non-operating expenses, which include expenses recorded by us in connection with the Company’s initial public offering. We use adjusted net income attributable to stockholders as an internal performance measure in the management of our operations because we believe it gives our management and other users of our financial information useful insight into our results of operations and our underlying business performance. Adjusted net income attributable to stockholders should not be viewed as a substitute for net income attributable to stockholders calculated in accordance with GAAP, and other companies may define adjusted net income differently. Adjusted net income attributable to stockholders for the three months and year ended December 31, 2025 and 2024 reconciles to net income attributable to stockholders as follows: Three Months Ended December 31, Year Ended December 31, ($ in thousands) 2025 2024 2025 2024 Net income attributable to stockholders $ 25,256 $ 21,526 $ 74,002 $ 47,090 Adjustments: Other non-operating expenses(1) 173 1,489 781 1,489 Tax impact (35 ) (312 ) (164 ) (313 ) Adjusted net income attributable to stockholders $ 25,394 $ 22,703 $ 74,619 $ 48,266 (1) In the three months and year ended December 31, 2025 and 2024, other non-operating expenses includes share-based compensation expenses recorded by us related to our initial public offering. Adjusted return on stockholders’ equity We define adjusted return on stockholders’ equity as adjusted net income attributable to stockholders, expressed as a percentage of average beginning and ending stockholders’ equity during the period. Adjusted net income attributable to stockholders excludes the impact of certain items that may not be indicative of underlying business trends, operating results, or future outlook, net of tax impact. We use adjusted return on stockholders’ equity as an internal performance measure in the management of our operations because we believe it gives our management and other users of our financial information useful insight into our results of operations and our underlying business performance. Adjusted return on stockholders’ equity should not be viewed as a substitute for return on stockholders’ equity calculated in accordance with GAAP, and other companies may define adjusted return on stockholders’ equity and adjusted net income attributable to stockholders differently. Adjusted return on stockholders’ equity for the three months and year ended December 31, 2025 and 2024 reconciles to return on stockholders’ equity as follows: Three Months Ended December 31, Year Ended December 31, ($ in thousands, except percentages) 2025 2024 2025 2024 Numerator: Adjusted net income attributable to stockholders, annualized (1) $ 101,576 $ 90,812 $ 74,619 $ 48,266 Denominator: Average stockholders’ equity 601,435 380,021 506,308 360,002 Adjusted return on stockholders' equity 16.9 % 23.9 % 14.7 % 13.4 % (1) For the three months ended December 31, 2025 and 2024, net income and adjusted net income are annualized to arrive at return on stockholders’ equity and adjusted return on stockholders’ equity. Adjusted diluted earnings per share We define adjusted diluted earnings per share as adjusted net income attributable to stockholders, divided by weighted average common shares outstanding - diluted for the period. We use adjusted diluted earnings per share as an internal performance measure in the management of our operations because we believe it gives our management and other users of our financial information useful insight into our results of operations and our underlying business performance. Adjusted diluted earnings per share should not be viewed as a substitute for diluted earnings per share calculated in accordance with GAAP, and other companies may define adjusted diluted earnings per share differently. Adjusted diluted earnings per share for the three months and year ended December 31, 2025 and 2024 reconciles to diluted earnings per share as follows: Three Months Ended December 31, Year Ended December 31, ($ in thousands, except share and per share data) 2025 2024 2025 2024 Numerator: Adjusted net income attributable to stockholders $ 25,394 $ 22,703 $ 74,619 $ 48,266 Denominator: Weighted-average shares outstanding - diluted 49,758,522 37,919,654 46,233,822 36,647,783 Adjusted diluted earnings per share $ 0.51 $ 0.60 $ 1.61 $ 1.32 Conference Call Ategrity will hold a conference call to discuss this press release today, February 19, at 5:00 p.m. Eastern Time. Interested parties may access the conference call via a live webcast, which can be accessed at https://events.q4inc.com/attendee/640403362 or by visiting the Company’s Investor Relations website. Please join the webcast at least 10 minutes before the scheduled start time. A replay of the event webcast will be available on the Company’s Investor Relations website approximately two hours following the call, for a period of at least 30 days. About Ategrity Specialty Insurance Company Holdings Ategrity Specialty Insurance Company Holdings is a profitable and growing specialty insurance company dedicated to providing excess and surplus (“E&S”) products to small to medium-sized businesses across the United States. We have built a proprietary underwriting platform that combines sophisticated data analytics with automated and streamlined processes to efficiently serve our clients and deliver long-term value to our stockholders. The small to medium-sized business market is characterized by large volumes of small-sized policies, and we believe our competitive edge lies in our ability to offer consistent, high-speed, and low-touch interactions that our distribution partners value. This advantage stems from our technology-driven method of standardizing, simplifying, and automating our transaction process, which we call productionized underwriting. Forward-Looking Statements This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements can be identified by the fact that they do not relate strictly to historical or current facts. You can identify forward-looking statements in this press release by the use of words such as “anticipates,” “estimates,” “expects,” “intends,” “plans,” and “believes,” and similar expressions or future or conditional verbs such as “will,” “should,” “would,” “may,” and “could.” These forward-looking statements include, among others, statements relating to our investments in automation and analytics and their expected impact and expected profitable growth. These forward-looking statements are based on management’s current expectations and assumptions about future events, which are inherently subject to uncertainties, risks, and changes in circumstances that are difficult to predict. Our actual results may differ materially from those expressed in, or implied by, the forward-looking statements included in this press release as a result of various factors, including, among others: the risks and uncertainties discussed under the caption “Risk Factors” in our Prospectus filed pursuant to Rule 424(b)(4) filed with the Securities and Exchange Commission, (the “SEC”) on June 11, 2025 and our other filings with the SEC. Accordingly, you should read this press release completely and with the understanding that our actual future results may be materially different from what we expect. Forward-looking statements speak only as of the date of this press release. Except as expressly required under federal securities laws and the rules and regulations of the SEC, we do not have any obligation, and do not undertake, to update any forward-looking statements to reflect events or circumstances arising after the date of this press release, whether as a result of new information, future events, or otherwise. You should not place undue reliance on the forward-looking statements included in this press release or that may be made elsewhere from time to time by us, or on our behalf. All forward-looking statements attributable to us are expressly qualified by these cautionary statements. Condensed Consolidated Balance Sheets (Unaudited) December 31, 2025 December 31, 2024 ($ in thousands) Assets: Fixed-maturity securities available-for-sale, at fair value $ 558,428 $ 438,752 Utility & Infrastructure Investments, at fair value 189,859 270,242 Short-term investments 220,241 52,612 Loans to affiliates 106,500 13,501 Other invested assets 280 280 Total invested assets 1,075,308 775,387 Cash and cash equivalents 29,721 26,573 Investment income due and accrued 10,186 5,642 Premiums receivable, net of allowance for credit losses 75,244 53,500 Deferred policy acquisition costs, net of ceding commissions 30,204 21,552 Deferred income tax asset, net 13,289 9,670 Reinsurance recoverable, net of allowance for credit losses 150,386 133,616 Ceded unearned premiums 74,317 68,205 Other assets 15,658 29,293 Total assets $ 1,474,313 $ 1,123,438 Liabilities, stockholders' equity and non-controlling interest: Liabilities: Reserves for unpaid losses and loss adjustment expenses 502,248 403,576 Unearned premiums 281,864 212,828 Payable to reinsurers 31,064 27,160 Accounts payable and accrued expenses 31,684 38,061 Income tax payable 8,414 26,488 Other liabilities 4,180 16,518 Total liabilities 859,454 724,631 Stockholders' equity: Total stockholders' equity 614,309 398,307 Non-controlling interest - General Partner 550 500 Total stockholders' equity and non-controlling interest 614,859 398,807 Total liabilities, stockholders' equity and non-controlling interest $ 1,474,313 $ 1,123,438 Condensed Consolidated Statements of Operations and Comprehensive Income (Unaudited) Three Months Ended December 31, Year Ended December 31, 2025 2024 2025 2024 ($ in thousands, except share and per share data) Revenues Gross written premiums $ 154,027 $ 118,264 $ 581,530 $ 437,036 Ceded written premiums (44,061 ) (42,019 ) (156,912 ) (137,830 ) Net written premiums 109,966 76,245 424,618 299,206 Change in unearned premiums (7,211 ) 587 (62,923 ) (8,571 ) Net premiums earned 102,755 76,832 361,695 290,635 Fee income 2,273 353 6,582 918 Net investment income 11,629 6,256 42,376 24,046 Net realized and unrealized gains (losses) on investments 6,662 21,190 12,651 28,140 Other income 18 24 1,035 95 Total revenues 123,337 104,655 424,339 343,834 Expenses Losses and loss adjustment expenses 58,675 44,830 212,147 175,234 Underwriting, acquisition and insurance expenses 30,877 26,410 113,309 98,567 Interest expense 72 468 1,358 2,042 Other expenses 553 1,553 1,611 1,727 Total expenses 90,177 73,261 328,425 277,570 Income before income taxes 33,160 31,394 95,914 66,264 Income tax expense 6,713 5,694 19,785 12,316 Net income 26,447 25,700 76,129 53,948 Less: Net income (loss) attributable to non-controlling interest - General Partner 1,191 4,174 2,127 6,858 Net income attributable to stockholders 25,256 21,526 74,002 47,090 Other comprehensive income: Unrealized gains (losses), net of taxes 247 (6,817 ) 6,223 7,413 Total comprehensive income attributable to stockholders $ 25,503 $ 14,709 $ 80,225 $ 54,503 Earnings per share: Basic $ 0.53 $ 0.55 $ 1.64 $ 1.28 Diluted $ 0.51 $ 0.55 $ 1.58 $ 1.28 Weighted-average shares outstanding: Basic 48,066,667 37,917,039 44,657,391 36,646,077 Diluted 49,758,522 37,919,654 46,233,822 36,647,783 Source: Ategrity Specialty Insurance Company