Business
AMERISAFE Announces 2026 Second Quarter Results
AMERISAFE Announces 2026 Second Quarter Results
About this update from Amerisafe, Inc.
Reports 11.4% Growth in Net Premiums Earned DERIDDER, La. --(BUSINESS WIRE)-- AMERISAFE, Inc. ( Nasdaq: AMSF ), a specialty provider of workers’ compensation insurance focused on high-hazard industries, today announced results for the second quarter ended June 30, 2026 . Three Months Ended Six Months Ended June 30 , June 30 , 2026 2025 % Change 2026 2025 % Change (in thousands, except per share data) (in thousands, except per share data) Gross premiums written $ 85,968 $ 79,704 7.9 % $ 174,468 $ 163,488 6.7 % Net premiums earned 77,273 69,381 11.4 % 152,345 138,266 10.2 % Net investment income 6,528 6,691 -2.4 % 13,125 13,343 -1.6 % Net realized (losses) gains on investments (pre-tax) (87 ) 3,116 NM (90 ) 3,118 NM Net unrealized gains (losses) on equity securities (pre-tax) 8,113 1,829 NM 6,460 (1,323 ) NM Net income 14,595 13,955 4.6 % 22,740 22,904 -0.7 % Diluted earnings per share $ 0.78 $ 0.73 6.8 % $ 1.21 $ 1.20 0.8 % Operating net income 8,254 10,048 -17.9 % 17,708 21,486 -17.6 % Operating earnings per share $ 0.44 $ 0.53 -17.0 % $ 0.94 $ 1.12 -16.1 % Book value per share $ 13.49 $ 13.96 -3.4 % $ 13.49 $ 13.96 -3.4 % Net combined ratio 95.4 % 91.7 % 94.3 % 90.5 % Return on average equity 23.5 % 21.2 % 18.1 % 17.5 % G. Janelle Frost , President and Chief Executive Officer, commented, “Our second quarter results reflect the strength of AMERISAFE’s disciplined approach to profitable growth. We achieved our ninth consecutive quarter of top-line growth while continuing to generate attractive returns for shareholders, with return on average equity of 23.5% for the quarter and 18.1% through the first six months of 2026. In a highly competitive market, we remain focused on underwriting discipline, appropriate pricing, and disciplined capital management—principles that have consistently supported profitability, balance sheet strength, and long-term value creation.” INSURANCE RESULTS Three Months Ended Six Months Ended June 30 , June 30 , 2026 2025 % Change 2026 2025 % Change (in thousands) (in thousands) Gross premiums written $ 85,968 $ 79,704 7.9 % $ 174,468 $ 163,488 6.7 % Net premiums earned 77,273 69,381 11.4 % 152,345 138,266 10.2 % Loss and loss adjustment expenses incurred 48,341 40,660 18.9 % 94,781 80,819 17.3 % Underwriting and certain other operating costs, commissions, salaries and benefits 24,603 21,746 13.1 % 46,872 42,345 10.7 % Policyholder dividends 767 1,239 -38.1 % 1,996 1,873 6.6 % Underwriting profit (pre-tax) $ 3,562 $ 5,736 -37.9 % $ 8,696 $ 13,229 -34.3 % Insurance Ratios: Current accident year loss ratio 72.0 % 71.0 % 72.0 % 71.0 % Prior accident year loss ratio -9.4 % -12.4 % -9.8 % -12.5 % Net loss ratio 62.6 % 58.6 % 62.2 % 58.5 % Net underwriting expense ratio 31.8 % 31.3 % 30.8 % 30.6 % Net dividend ratio 1.0 % 1.8 % 1.3 % 1.4 % Net combined ratio 95.4 % 91.7 % 94.3 % 90.5 % Voluntary premiums on policies written in the quarter increased 5.7%, compared to the second quarter of 2025, driven by strong policy and premium retention within our renewal book. Payroll audits and related premium adjustments contributed $4.1 million to premiums written in the quarter, compared to $1.5 million in the second quarter of 2025. Loss and loss adjustment expenses benefited from $7.3 million of favorable case reserve development on accident years 2023 and prior, resulting in a net loss ratio of 62.6%, compared to favorable prior accident year development of $8.6 million and a net loss ratio of 58.6% in the second quarter of 2025. Underwriting expense ratio was 31.8% for the quarter, compared with 31.3% in the second quarter of 2025. The increase was primarily attributable to higher prior-period write-offs, which we do not expect to recur. Our effective tax rate for the quarter was 20.1%, unchanged from the second quarter of 2025. INVESTMENT RESULTS Three Months Ended Six Months Ended June 30 , June 30 , 2026 2025 % Change 2026 2025 % Change (in thousands) (in thousands) Net investment income $ 6,528 $ 6,691 -2.4 % $ 13,125 $ 13,343 -1.6 % Net realized (losses) gains on investments (pre-tax) (87 ) 3,116 NM (90 ) 3,118 NM Net unrealized gains (losses) on equity securities (pre-tax) 8,113 1,829 NM 6,460 (1,323 ) NM Pre-tax investment yield 3.4 % 3.3 % 3.3 % 3.3 % Tax-equivalent yield (1) 3.9 % 3.9 % 3.9 % 3.9 % ________________________________ (1) The tax equivalent yield is calculated using the effective interest rate and the appropriate marginal tax rate. Net investment income decreased 2.4% to $6.5 million for the quarter, driven by lower average investable assets compared to the prior-year period, primarily due to capital returned to shareholders through dividends and share repurchases, which reduced cash and invested asset balances during the period, partially offset by a higher book yield and disciplined expense management. Net unrealized gains on equity securities were $8.1 million for the quarter, driven by stronger U.S . equity markets, compared to lower valuations experienced during the prior-year quarter. As of June 30, 2026 , the carrying value of AMERISAFE’s investment portfolio, including cash and cash equivalents, was $770.7 million . CAPITAL MANAGEMENT During the second quarter of 2026, the Company paid a regular quarterly cash dividend of $0.41 per share on June 19, 2026 , representing a 5.1% increase compared to the second quarter of 2025. On July 21, 2026 , the Board of Directors of AMERISAFE declared a quarterly cash dividend of $0.41 per share, payable on September 25, 2026 , to shareholders of record as of September 11, 2026 . Also during the quarter, the Company repurchased 184,093 shares of its common stock under the Company’s share repurchase program at an average cost of $30.58 per share, including commissions and excise tax, for a total of $5.6 million . Since the inception of its share repurchase program in 2010, the Company has repurchased 2,278,192 shares at an average cost of $28.01 per share, including commissions and excise tax, for a total of $63.8 million . The remaining outstanding share repurchase authorization under the program as of June 30, 2026 , was $7.3 million . Book value per share at June 30, 2026 , was $13.49 , an increase of 0.7% from $13.39 at December 31, 2025 . SUPPLEMENTAL INFORMATION Three Months Ended Six Months Ended June 30 , June 30 , 2026 2025 2026 2025 (in thousands, except share and per share data) Net income $ 14,595 $ 13,955 22,740 $ 22,904 Less: Net realized (losses) gains on investments (87 ) 3,116 (90 ) 3,118 Net unrealized gains (losses) on equity securities (pre-tax) 8,113 1,829 6,460 (1,323 ) Tax effect (1) (1,685 ) (1,038 ) (1,338 ) (377 ) Operating net income (2) $ 8,254 $ 10,048 17,708 $ 21,486 Average shareholders’ equity (3) $ 248,294 $ 263,192 $ 250,795 $ 261,456 Less: Average accumulated other comprehensive loss (4,823 ) (7,415 ) (3,599 ) (8,218 ) Average adjusted shareholders’ equity (2) $ 253,117 $ 270,607 $ 254,394 $ 269,674 Diluted weighted average common shares 18,702,282 19,119,600 18,795,904 19,120,530 Return on average equity (4) 23.5 % 21.2 % 18.1 % 17.5 % Operating return on average adjusted equity (2) 13.0 % 14.9 % 13.9 % 15.9 % Diluted earnings per share $ 0.78 $ 0.73 $ 1.21 $ 1.20 Operating earnings per share (2) $ 0.44 $ 0.53 $ 0.94 $ 1.12 ________________________________ (1) The tax effect of net realized gains (losses) on investments and net unrealized gains (losses) on equity securities is calculated with an effective tax rate of 21%. (2) Operating net income, average adjusted shareholders’ equity, operating return on average adjusted equity and operating earnings per share are non-GAAP financial measures. Management believes that investors’ understanding of core operating performance is enhanced by AMERISAFE’s disclosure of these financial measures. (3) Average shareholders’ equity is calculated by taking the average of the beginning and ending shareholders’ equity for the applicable period. (4) Return on average equity is calculated by dividing the annualized net income by the average shareholders’ equity. NON-GAAP FINANCIAL MEASURES This release contains non-GAAP financial measures within the meaning of Regulation G promulgated by the U.S. Securities and Exchange Commission (the SEC ) and includes a reconciliation of non-GAAP financial measures to the most directly comparable financial measures calculated in accordance with GAAP in the Supplemental Information in this release. Management believes that investors’ understanding of core operating performance is enhanced by AMERISAFE’s disclosure of these standard industry financial measures, which include operating net income, average adjusted shareholders’ equity, operating return on average adjusted equity, and operating earnings per share. CONFERENCE CALL INFORMATION AMERISAFE has scheduled a conference call for July 22, 2026 , at 10:30 a.m. Eastern Time to discuss the results for the quarter. To participate in the conference call, dial 786-297-8744 (Conference Code: 9523038) at least ten minutes before the call begins. Investors, analysts, and the general public will also have the opportunity to listen to the conference call over the Internet by visiting the “Investor Relations Home” page of the “Investors” section of the Company’s website ( http://www.amerisafe.com ). To listen to the live call on the web, please visit the website at least fifteen minutes before the call begins to register, download, and install any necessary audio software. For those who cannot listen to the live webcast, an archive will be available shortly after the call at the same website location. ABOUT AMERISAFE AMERISAFE, Inc. is a specialty provider of workers’ compensation insurance focused on small to mid-sized employers engaged in hazardous industries, principally construction, trucking, logging and lumber, agriculture, services, manufacturing, and maritime. AMERISAFE actively markets workers’ compensation insurance in 27 states. CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING STATEMENTS Statements made in this press release that are not historical facts, including statements accompanied by words such as “will,” “believe,” “anticipate,” “expect,” “estimate,” or similar words, are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 regarding AMERISAFE’s plans, expectations and performance. These statements are based on management’s estimates, assumptions and projections as of the date of this release and are not guarantees of future performance, and include statements regarding management’s current views and expectations of the workers’ compensation insurance market, AMERISAFE’s growth opportunities, underwriting margins and actions by competitors. Investors are cautioned that many of the assumptions upon which these forward-looking statements are based might change after the date the forward-looking statements are made. Actual results may differ materially from the results expressed or implied in the forward-looking statements if the underlying assumptions prove to be incorrect or changes otherwise occur, or as the results of the materialization of risks, uncertainties and other factors impacting the business and operations of the Company, our policyholders or the market value of our investment portfolio. Factors that may affect our results are set forth in the Company’s filings with the SEC , including AMERISAFE’s Annual Report on Form 10-K and as may be further amended by subsequent filings with the SEC . AMERISAFE cautions you not to place undue reliance on the forward-looking statements contained in this release. AMERISAFE does not undertake any obligation to update or revise any forward-looking statements, which speak only as of the date made, notwithstanding any changes in its assumptions, changes in business plans, actual experience or other changes that arise after the date of this release. Share repurchases may be effected from time to time pursuant to trading plans meeting the requirements of Rule 10b5-1 under the Exchange Act. The share repurchase program does not obligate the Company to repurchase any shares of the Company’s common stock and may be modified, increased, suspended or terminated at the discretion of the Board. The Board’s determination will depend on a variety of factors, including but not limited to, market conditions and applicable regulatory considerations. It is anticipated that any future repurchases will be funded from available capital. - Tables to Follow - AMERISAFE, INC. AND SUBSIDIARIES Consolidated Statements of Income (in thousands, except per share amounts) Three Months Ended Six Months Ended June 30 , June 30 , 2026 2025 2026 2025 (unaudited) (unaudited) Revenues: Gross premiums written $ 85,968 $ 79,704 $ 174,468 $ 163,488 Ceded premiums written (4,216 ) (4,185 ) (8,285 ) (8,364 ) Net premiums written $ 81,752 $ 75,519 $ 166,183 $ 155,124 Net premiums earned $ 77,273 $ 69,381 $ 152,345 $ 138,266 Net investment income 6,528 6,691 13,125 13,343 Net realized (losses) gains on investments (87 ) 3,116 (90 ) 3,118 Net unrealized gains (losses) on equity securities 8,113 1,829 6,460 (1,323 ) Fee and other income 144 71 221 281 Total revenues 91,971 81,088 172,061 153,685 Expenses: Loss and loss adjustment expenses incurred 48,341 40,660 94,781 80,819 Underwriting and other operating costs 24,603 21,746 46,872 42,345 Policyholder dividends 767 1,239 1,996 1,873 Provision for investment related credit loss benefit (5 ) (12 ) (13 ) (28 ) Total expenses 73,706 63,633 143,636 125,009 Income before taxes 18,265 17,455 28,425 28,676 Income tax expense 3,670 3,500 5,685 5,772 Net income $ 14,595 $ 13,955 $ 22,740 $ 22,904 Basic EPS: Net income $ 14,595 $ 13,955 $ 22,740 $ 22,904 Basic weighted average common shares 18,579,890 19,038,360 18,669,214 19,037,339 Basic earnings per share $ 0.79 $ 0.73 $ 1.22 $ 1.20 Diluted EPS: Net income $ 14,595 $ 13,955 $ 22,740 $ 22,904 Diluted weighted average common shares: Weighted average common shares 18,579,890 19,038,360 18,669,214 19,037,339 Restricted stock and RSUs 122,392 81,240 126,690 83,191 Diluted weighted average common shares 18,702,282 19,119,600 18,795,904 19,120,530 Diluted earnings per share $ 0.78 $ 0.73 $ 1.21 $ 1.20 AMERISAFE, INC. AND SUBSIDIARIES Consolidated Balance Sheets (in thousands) June 30 , December 31 , 2026 2025 (unaudited) Assets Investments $ 705,187 $ 734,855 Cash and cash equivalents 65,476 61,926 Amounts recoverable from reinsurers 105,659 108,098 Premiums receivable, net 183,135 160,944 Deferred income taxes 17,264 17,572 Deferred policy acquisition costs 22,618 21,085 Other assets 27,952 26,064 $ 1,127,291 $ 1,130,544 Liabilities and Shareholders’ Equity Liabilities: Reserves for loss and loss adjustment expenses $ 594,090 $ 613,583 Unearned premiums 149,341 135,503 Insurance-related assessments 18,293 15,979 Other liabilities 115,576 113,881 Shareholders’ equity 249,991 251,598 Total liabilities and shareholders’ equity $ 1,127,291 $ 1,130,544 View source version on businesswire.com : https://www.businesswire.com/news/home/20260721613664/en/ Guillermo A. Ramos EVP & CFO AMERISAFE 337.463.9052 Source: AMERISAFE, Inc.