W. R. Berkley Corporation (WRB) Q2 2025 Financial Results Summary
Release Date: July 21, 2025
W. R. Berkley Corporation (NYSE: WRB) reported its financial results for the second quarter of 2025, highlighting significant achievements in several key financial metrics. Below is a summary of the corporation’s performance for the quarter ended June 30, 2025.
Summary of Financial Results
Second Quarter Financial Highlights:
– Gross Premiums Written: Increased to $3.98 billion, up 7.0% from $3.72 billion in Q2 2024.
– Net Premiums Written: Rose to $3.35 billion, a 7.2% increase from $3.13 billion year-over-year.
– Net Income: Reported at $401.3 million, compared to $371.9 million in the previous year, representing a 7.8% growth.
– Net Income per Diluted Share: Increased to $1.00, up from $0.92, reflecting an 8.7% rise year-over-year.
– Operating Income: Reached $420.5 million, a 2.6% increase from $410.2 million in Q2 2024.
– Operating Income per Diluted Share: Up to $1.05, compared to $1.02, signifying an 2.9% yearly growth.
– Return on Equity (ROE): Decreased to 19.1%, down from 20.0% in Q2 2024.
– Operating Return on Equity: Decreased to 20.0%, from 22.0% the previous year.
– Book Value per Share: Grew 6.8% to $24.50 from $22.09 in Q2 2024.
Combined Ratios for Q2:
– Current Accident Year Combined Ratio: Reported at 88.4%, before catastrophe losses, an increase of 3.2 loss ratio points.
– Reported Combined Ratio: Stood at 91.6%, including catastrophe losses of $99.2 million.
Investment Highlights:
– Net Investment Income: Reached a record $379.3 million, up from $372.1 million, a 0.4% increase from the same period last year.
– Net Realized and Unrealized Gains on Investments: Recorded a gain of $30.5 million, improving from a loss of $60.3 million in Q2 2024.
Shareholder Returns:
– Total Capital Returned to Shareholders: $223.8 million, consisting of $189.7 million in special dividends and $34.1 million in ordinary dividends.
– Share Repurchases: The company did not repurchase any shares in the second quarter; however, during the first half of 2025, it repurchased 850,000 shares for a total of $49.2 million.
Business Segment Performance
Insurance Segment:
– Gross Premiums Written: $3.61 billion, a 7.3% increase from $3.36 billion in Q2 2024.
– Net Premiums Written: $3.01 billion, reflecting an 7.2% growth from $2.81 billion the previous year.
– Combined Ratio: Improved slightly to 92.1% from 92.4% year-over-year.
Reinsurance & Monoline Excess Segment:
– Gross Premiums Written: Remained stable at $370.9 million, a 3.5% increase from $356.9 million in the year-over-year comparison.
– Net Premiums Written: Rose to $337.7 million, up from $316.3 million, an increase of 6.8%.
Financial Outlook
The corporation expressed confidence in continuing its robust performance, driven by strong underwriting and improved investment income even amidst above-average industry catastrophe losses during the quarter. The effective management of its underwriting cycle has supported long-term, risk-adjusted returns and lower volatility.
Conclusion
W. R. Berkley Corporation’s second quarter results for 2025 show substantial growth and stability within its operations, underpinning a solid foundation for future performance amidst a challenging market landscape. The company remains committed to enhancing shareholder value through discipline in underwriting and strategic investment approaches.
| Second Quarter | Six Months | |||
|---|---|---|---|---|
| 2025 | 2024 | 2025 | 2024 | |
| Net premiums written | $3,351,439 | $3,126,779 | $6,484,742 | $5,978,070 |
| Change in net unearned premiums | -253,254 | -280,364 | -374,176 | -367,308 |
| Net premiums earned | 3,098,185 | 2,846,415 | 6,110,566 | 5,610,762 |
| Net investment income | 379,303 | 372,129 | 739,595 | 691,967 |
| Net investment gains (losses): | ||||
| Net realized and unrealized gains | 30,533 | -60,306 | 46,244 | -48,803 |
| (losses) on investments | ||||
| Change in allowance for credit | 440 | 1,794 | 1,084 | 16,070 |
| losses on investments | ||||
| Net investment gains (losses) | 30,973 | -58,512 | 47,328 | -32,733 |
| Revenues from non-insurance | 128,839 | 125,705 | 257,748 | 246,696 |
| businesses | ||||
| Insurance service fees | 32,757 | 27,597 | 61,686 | 52,917 |
| Other income | 751 | 698 | 1,284 | 1,196 |
| Total Revenues | 3,670,808 | 3,314,032 | 7,218,207 | 6,570,805 |
| Expenses: | ||||
| Loss and loss expenses | 1,955,424 | 1,780,596 | 3,856,216 | 3,444,374 |
| Other operating costs and expenses | 1,039,307 | 892,935 | 1,989,217 | 1,761,524 |
| Expenses from non-insurance | 122,437 | 121,120 | 248,801 | 239,727 |
| businesses | ||||
| Interest expense | 31,777 | 31,708 | 63,504 | 63,436 |
| Total expenses | 3,148,945 | 2,826,359 | 6,157,738 | 5,509,061 |
| Income before income tax | 521,863 | 487,673 | 1,060,469 | 1,061,744 |
| Income tax expense | -121,155 | -115,788 | -242,411 | -247,824 |
| Net Income before noncontrolling | 400,708 | 371,885 | 818,058 | 813,920 |
| interests | ||||
| Noncontrolling interest | 580 | 24 | 802 | 460 |
| Net income to common stockholders | $401,288 | $371,909 | $818,860 | $814,380 |
| Net income per share: | ||||
| Basic | $1.01 | $0.93 | $2.06 | $2.03 |
| Diluted | $1.00 | $0.92 | $2.05 | $2.01 |
| Average shares outstanding (1): | ||||
| Basic | 397,016 | 400,273 | 396,972 | 401,295 |
| Diluted | 400,368 | 403,737 | 400,098 | 404,679 |
(1) Basic shares outstanding consist of the weighted average number of common shares outstanding during the period (including shares held in a grantor trust). Diluted shares outstanding consist of the weighted average number of basic and common equivalent shares outstanding during the period.
| June 30, 2025 | December 31, 2024 | |
|---|---|---|
| Net invested assets (1) | $31,577,384 | $29,780,638 |
| Total assets | 42,658,057 | 40,448,635 |
| Reserves for losses and loss | 21,496,123 | 20,368,030 |
| expenses | ||
| Senior notes and other debt | 1,831,638 | 1,831,158 |
| Subordinated debentures | 1,010,168 | 1,009,808 |
| Common stockholders’ equity (2) | 9,294,537 | 8,395,111 |
| Common stock outstanding (3) | 379,385 | 380,066 |
| Book value per share (4) | 24.50 | 22.09 |
| Tangible book value per share (4) | 23.88 | 21.46 |
(1) Net invested assets include investments, cash and cash equivalents, trading accounts receivable from brokers and clearing organizations, trading account securities sold but not yet purchased and unsettled purchases.
(2) As of June 30, 2025, reflected in common stockholders’ equity are after-tax unrealized investment losses of $249 million and unrealized currency translation losses of $324 million. As of December 31, 2024, reflected in common stockholders’ equity are after-tax unrealized investment losses of $517 million and unrealized currency translation losses of $417 million.
(3) During the six months ended June 30, 2025, the Company repurchased 850,000 shares of its common stock for $49.2 million. During the three months ended June 30, 2025, the Company did not repurchase any shares of its common stock. The number of shares of common stock outstanding excludes shares held in a grantor trust.
(4) Book value per share is total common stockholders’ equity divided by the number of common shares outstanding. Tangible book value per share is total common stockholders’ equity excluding the after-tax value of goodwill and other intangible assets divided by the number of common shares outstanding.
