Bowhead Specialty (BOW) Q2 2026 earnings summary

Executive summary

• Gross written premiums rose 28.2% year-over-year to $297.9 million for Q2 2026, driven by growth across all divisions, especially Casualty and Baleen Specialty.

• Net income increased 30.8% to $16.1 million for Q2 2026, with diluted EPS of $0.48, up from $0.36 in Q2 2025.

• Combined ratio improved to 95.9% from 96.8% year-over-year, reflecting lower expense ratio despite a slight increase in loss ratio.

• Entered into a definitive merger agreement for acquisition by American Family at $34.00 per share, valuing the transaction at $1.2 billion, pending regulatory and shareholder approval.

• Cancelled the scheduled earnings conference call following the merger announcement.

Financial highlights

• Net earned premiums grew 20.8% to $144.0 million for Q2 2026.

• Net investment income increased 37.6% to $18.8 million for Q2 2026, with a portfolio yield of 4.7%.

• Underwriting income rose 43.4% to $4.8 million for Q2 2026.

• Return on equity was 13.8% for Q2 2026, up from 12.4% in Q2 2025.

• Book value per share reached $14.39; diluted book value per share was $14.12.

Outlook and guidance

• Management expects continued premium growth, supported by strong renewal and new business momentum.

• The pending merger with American Family is expected to enhance strategic positioning and value creation for stakeholders, though it introduces uncertainty.