Palomar (PLMR) Investor presentation summary

Growth and profitability highlights

• Achieved gross written premium of $597M in Q3 2025, representing 44% year-over-year growth.

• Adjusted net income reached $55M in Q3 2025, up 70% year-over-year, with an adjusted ROE of 26%.

• Adjusted combined ratio improved to 75%, reflecting strong underwriting performance.

• Repurchased $37.3M of shares under the share repurchase program.

• 2025 full-year adjusted net income guidance of $210–$215M, implying over 59% YoY growth.

Strategic initiatives and portfolio development

• Portfolio diversified across earthquake, casualty, inland marine, crop, fronting, and surety products.

• Announced $300M acquisition of Gray Surety, expanding national surety presence and enhancing diversification.

• Gray Surety brings $81M GWP (TTM), 20% loss & LAE ratio, and is licensed in all 50 states.

• Surety market expansion leverages recent high growth and attractive combined ratios.

• Acquisition expected to be immediately accretive to adjusted EPS and enhances reinsurance optimization.

Reinsurance and risk management

• Reinsurance program supported by over 100 reinsurers and ILS investors, blending XOL, quota share, and catastrophe bonds.

• Earthquake coverage increased to $3.5B with $20M retention; Laulima XOL treaty improves economics.

• Placed seven treaties in Q3, including new flood and healthcare liability programs.

• Leveraging quota share reinsurance to manage casualty volatility and maintain disciplined net line sizes.

• Ongoing softening in property cat reinsurance market anticipated through 2026.