Kingstone Companies (KINS) investor relations material

Executive summary

• Net premiums earned grew 28.4% year-over-year to $55.9M for Q1 2026, with direct premiums written up 19.6% to $69.6M, driven by personal lines growth and market share gains from competitor withdrawals in New York.

• Q1 2026 saw a GAAP net combined ratio of 112% and a net loss of $5.8M ($0.40 per diluted share), primarily due to eleven winter catastrophe events in the Northeast, which added 26 points to the loss ratio.

• Underlying business performance improved, with the underlying combined ratio down 5.1 points year-over-year to 88.3% and underlying loss ratio down to 57.9%.

• Management reaffirmed full-year 2026 guidance and highlighted strategic expansion into California (E&S basis) and Connecticut (admitted basis), supporting a five-year plan to reach $500M in direct written premium by 2029.

• Policies in force increased over 7% from the prior year quarter, exceeding 82,000.

Financial highlights

• Net loss of $5.8M and diluted loss per share of $0.40 for Q1 2026, compared to net income of $3.9M in Q1 2025.

• Net premiums earned grew 28.4% to $55.9M, driven by premium growth and reduced quota share cession.

• Net investment income rose 63% to $3.3M, with portfolio yield increasing to 4.3%.

• Book value per diluted share was $7.70 at March 31, 2026, or $8.25 excluding AOCI, up 38% year-over-year.

• Shareholders' equity ended the quarter at $114.5M.

Outlook and guidance

• 2026 guidance reaffirmed: direct premiums written growth of 16–20%, underlying combined ratio of 74–76%, catastrophe loss ratio of 7–10 points, diluted EPS of $2.20–$2.90, and ROE of 24–30%.

• Catastrophe activity in Q1 was within guidance scenarios; earnings power expected to be concentrated in Q2–Q4 due to seasonality.

• Expansion into California and Connecticut planned for 2026, with two additional states targeted for 2027.