Heritage Insurance Holdings ( (HRTG) ) has released its Q4 earnings. Here is a breakdown of the information Heritage Insurance Holdings presented to its investors.
Heritage Insurance Holdings, Inc. is a super-regional property and casualty insurance holding company that provides personal and commercial residential insurance across multiple states, including the northeast, southeast, Hawaii, and California.
In its fourth quarter of 2024, Heritage Insurance Holdings reported a net income of $20.3 million, or $0.66 per diluted share, a decline from the previous year’s $30.9 million. This decrease was largely attributed to the $57.0 million pre-tax impact from Hurricane Milton. Despite this, the company saw a 6.1% increase in gross premiums earned, reaching $360.4 million.
Key financial metrics for the quarter included a net loss ratio of 54.7%, up from 51.0% the previous year, and a net combined ratio of 89.7%, reflecting an increase of 4.8 points. The company also reported a significant 30.3% increase in book value per share, reaching $9.50 by the end of 2024. Heritage’s strategic initiatives have led to consistent premium growth, with a focus on underwriting profit and capital allocation to maximize returns.
Looking ahead, Heritage Insurance Holdings is optimistic about achieving consistent long-term profitability. The company plans to strategically re-open territories for new personal lines business and continue its disciplined approach to underwriting and pricing. With positive legislative changes in Florida and stabilization in reinsurance pricing, Heritage is well-positioned for profitable growth in 2025.