TWFG (TWFG) Q1 2026 earnings summary

Executive summary

• Achieved 35.3% revenue growth year-over-year in Q1 2026 to $72.8 million, driven by double-digit organic growth and recent acquisitions.

• Written premiums rose 23.5% to $458.2 million, with consolidated retention at 92%.

• Adjusted EBITDA reached $21.2 million (29.1% margin), up from $12.2 million (22.6%), reflecting margin expansion.

• Net income rose to $13.1 million, up from $6.9 million, with a net income margin of 18.0%.

• Completed three acquisitions: Lofton Wells Insurance, Asset Protection Insurance Associates (APIA), and Fortress Insurance Services.

Financial highlights

• Commission income grew 37.4% to $67.1 million; organic revenues up 10.1% to $54.3 million.

• Adjusted Net Income rose 75.2% to $16.2 million (22.2% margin); Adjusted Diluted EPS was $0.29.

• Cash flow from operations was $22.7 million; Adjusted Free Cash Flow $15.2 million.

• Earnings per share (diluted) for Q1 2026 was $0.12.

• Long-term debt remained low at $3.5 million as of Q1 2026.

Outlook and guidance

• Reaffirmed full-year 2026 guidance: total revenue growth of 15–20% ($285–300 million), organic revenue growth of 10–15%, and Adjusted EBITDA margin of 22–25%.

• Expect high double-digit organic growth in Q2 due to structural tailwinds and policy renewals.

• Management expects continued growth from organic initiatives and further M&A activity.

• Margin benefits from Florida MGA takeouts expected to decline gradually through the year as policies renew.

• Sufficient liquidity and access to a $50 million undrawn revolving credit facility support ongoing expansion.