TWFG, Inc. (TWFG) Q1 2026 Earnings Call

Investor webinar replay

Replay transcript excerpt

And we know that Florida market is dealing with its own property pricing downward. And so we're doing well, better than expected. And we're being disciplined and not looking to update at this release. If we get through the second quarter with similar outcome, then yes, there's upside to the margin on guidance. Okay, that's understood. Moving to organic growth, Gordy, you've talked about the impact from improving availability and how it's having an impact on organic. You talked about the soft market. Maybe you can kind of help tease out if that impact is becoming less important you know, having less of an impact on organic or the same or more, and so we can kind of figure out directionally whether we should continue to kind of build in a bit of a very near-term headwind. We have a lot of geography that TWG operates in, and not every geography has the same rate change cadence or significance. And so if we look at, you know, the balance of the calendar here, we're looking at, you know, rate, property rates, you know, we all know the cap market is softening and that eventually goes through property repricing. Our soft market cycle really started last year, second quarter, on the private passenger auto side. I would say that the property portion started softening more towards the end of the fourth quarter, early part of the first quarter. So they're kind of disconnected in the timing, but we've assumed the softening market at our full year guidance and are not expecting anything dramatic from a pricing standpoint to change that 10 to 15% guidance. As we talked maybe two years ago when we were first coming out public and the market was hard, what happens is because carriers now offer us capacity and they all have new business incentives, the next shift of the total portfol...