Arch Capital Group (ACGL) Q2 2026 earnings summary

Executive summary

• Net income available to common shareholders was $1.0 billion ($3.00 per share) in Q2 2026, with an 18.0% annualized net income ROE and after-tax operating income of $893 million ($2.56 per share), supported by disciplined underwriting and capital management.

• Gross premiums written for the trailing twelve months ending June 30, 2026, reached $22.8 billion, reflecting a diversified specialty insurance, reinsurance, and mortgage platform.

• Book value per share rose 2.8% sequentially to $68.04 at June 30, 2026, and total capitalization reached $28.3 billion.

• Share repurchases totaled $1.2 billion in Q2 2026, equaling 94% of net income year-to-date.

• Maintained strong financial strength ratings (AA- S&P, A+ A.M. Best) and S&P 500 Index membership.

Financial highlights

• Q2 2026 net income available to common shareholders was $1,047 million, with net premiums earned of $3,985 million and net investment income of $417 million.

• Gross premiums written were $6.13 billion in Q2 2026, down 1.1% year-over-year; net premiums written were $4.05 billion, down 6.9%.

• Combined ratio for the trailing twelve months ending June 30, 2026, was 81.3%; Q2 2026 combined ratio was 83.5%.

• Net investment income and equity method investments contributed $2.31 billion for the TTM ending June 30, 2026.

• Pre-tax current accident year catastrophic losses were $201 million in Q2 2026.

Outlook and guidance

• Management expects continued capital return via share buybacks and attractive risk-adjusted returns, leveraging a diversified specialty platform and disciplined cycle management.

• Competitive pressures are expected to persist, especially in property and short tail lines, while casualty and mortgage segments remain resilient.

• Mortgage insurance is expected to remain a steady earnings contributor due to high credit quality and strong portfolio fundamentals.