Presurance Holdings Reports 2026 Second Quarter Financial Results

TROY, Mich., Aug. 12, 2026 (GLOBE NEWSWIRE) — Presurance Holdings, Inc. (Nasdaq: PRHI) (“Presurance” or the “Company”) today announced results for the second quarter and six months ended June 30, 2026.

First Half 2026 Financial Highlights

  • Net income doubled to $5.2 million, or $1.66 per share, compared to $2.6 million, or $1.47 per share versus same period last year.
  • Combined ratio improved to 86.4% from 131.2%.
  • Book value is now $7.41 per share.
  • Weighted average share count stands at 3,105,236.

Management Comments

Brian Roney, CEO of Presurance, commented, “Over the past 21 months under new leadership, we have begun to see the benefits of a changed management approach. We materially improved our underwriting results and delivered another profitable quarter for shareholders by strengthening both underwriting and claims management. These results reinforce our belief that disciplined operations, appropriate risk selection, and careful capital management are essential to driving future performance.”

2026 Second Quarter Financial Results Overview

  At and for the Three Months Ended June 30,
  At and for the Six Months Ended June 30,
    2026       2025     % Change
    2026       2025     % Change
                                           
  (dollars in thousands, except share and per share amounts)
                                           
Gross written premiums $ 13,070     $ 21,079     -38.0 %   $ 24,539     $ 37,252     -34.1 %
Net written premiums   16,652       1,383     *     22,727       12,223     85.9 %
Net earned premiums   6,808       9,564     -28.8 %     12,733       19,879     -35.9 %
                         
Net investment income   1,040       1,298     -19.9 %     2,150       2,587     -16.9 %
Net realized investment gains (losses)   (87 )     (28 )   *     (101 )     (25 )   *
Change in fair value of equity investments   81       (65 )   *     111       (257 )   *
                         
Net income (loss)   2,536       2,051     23.6 %     5,158       2,573     100.5 %
  Earnings (loss) per common share, basic and diluted $ 0.68     $ 1.17     -42.4 %   $ 1.66     $ 1.47     12.7 %
                         
                         
Adjusted operating income (loss)*   1,322       (2,070 )   *     384       (5,754 )   *
  Adjusted operating income (loss) per share, diluted* $ 0.35     $ (1.19 )       $ 0.12     $ (3.30 )    
                         
Book value per common share outstanding $ 7.41     $ 16.15         $ 7.41     $ 16.15      
                         
Weighted average shares outstanding, basic and diluted   3,746,114       1,746,125           3,105,236       1,746,125      
                         
Underwriting ratios:                      
  Loss ratio (1)   24.6 %     68.8 %         39.3 %     79.7 %    
  Expense ratio (2)   44.9 %     52.3 %         47.1 %     51.5 %    
  Combined ratio (3)   69.5 %     121.1 %         86.4 %     131.2 %    
                         
* The “Definitions of Non-GAAP Measures” section of this release defines and reconciles data that are not based on generally accepted accounting principles.
* Percentage is not meaningful
(1) The loss ratio is the ratio, expressed as a percentage, of net losses and loss adjustment expenses to net earned premiums.
(2) The expense ratio is the ratio, expressed as a percentage, of policy acquisition costs and segment operating expenses to net earned premiums.
(3) The combined ratio is the sum of the loss ratio and the expense ratio. A combined ratio under 100% indicates an underwriting profit. A combined ratio over 100% indicates an underwriting loss.



2026 Second Quarter Gross Written Premium

Gross written premiums declined significantly quarter over quarter, reflecting the Company’s continued focus on underwriting discipline and appropriate risk selection. The Company’s improved underwriting results demonstrate the early benefits of this strategy. Presurance has continued to reshape its underwriting portfolio toward select personal lines homeowners’ risks with attractive long-term characteristics, while moving away from previously written commercial lines risks that contributed substantially to prior losses.

Personal Lines Financial and Operational Review


Personal Lines Financial Review

 
  Three Months Ended June 30,   Six Months Ended June 30,
    2026       2025     % Change     2026       2025     % Change
  (dollars in thousands)
                                           
Gross written premiums $ 13,073     $ 17,889     -26.9 %   $ 24,560     $ 32,015     -23.3 %
Net written premiums   16,632       1,816     *     22,723       14,259     59.4 %
Net earned premiums   6,703       9,096     -26.3 %     12,495       18,080     -30.9 %
                       
Underwriting ratios:                      
Loss ratio   60.2 %     61.2 %         61.1 %     73.7 %    
Expense ratio   35.2 %     53.0 %         35.4 %     53.8 %    
Combined ratio   95.4 %     114.2 %         96.5 %     127.5 %    
                       
Contribution to combined ratio from net                      
(favorable) adverse prior year development   4.5 %     4.7 %         3.3 %     6.6 %    
                       
Accident year combined ratio   90.9 %     109.5 %         93.2 %     120.9 %    
                       
* Percentage not meaningful


Continued improvement and sustained profitability in personal lines during the second quarter of 2026 further support the Company’s focus on earnings quality over scale. This strategy prioritizes business with attractive risk-adjusted returns and promotes more consistent, sustainable performance over time.

Personal lines premium represented 100% of total gross written premium for the second quarter of 2026, largely driven by Texas homeowners premium and supplemented by continuing business in select Midwestern states.

Commercial Lines Financial and Operational Review


Commercial Lines Financial Review
 
  Three Months Ended June 30,
  Six Months Ended June 30,
    2026       2025     % Change     2026       2025     % Change
  (dollars in thousands)
                         
Gross written premiums $ (3 )   $ 3,190     *     $ (21 )   $ 5,237     *
Net written premiums   20       (433 )   *       4       (2,036 )   *
Net earned premiums   105       468     *       238       1,799     -86.8 %
                         
Underwriting ratios:                        
Loss ratio *     216.4 %         *     140.0 %    
Expense ratio *     40.9 %         *     29.5 %    
Combined ratio *     257.3 %         *     169.5 %    
                         
Contribution to combined ratio from net                        
(favorable) adverse prior year development *     26.7 %         *     -27.5 %    
                         
Accident year combined ratio (1) *     230.6 %         *     197.0 %    
                         
(1) The accident year combined ratio is the sum of the loss ratio and the expense ratio, less changes in net ultimate loss estimates from prior accident year loss reserves. The accident year combined ratio provides management with an assessment of the specific policy year’s profitability and assists management in their evaluation of product pricing levels and quality of business written.
* Percentage not meaningful


Commercial lines represented 0% of the Company’s total gross written premium in the second quarter of 2026, reflecting the continued runoff of legacy commercial exposures.

This planned reduction has strengthened the Company’s risk profile, lowered earnings volatility, and supported its move toward a more focused, sustainable business mix.

Combined Ratio Analysis

  Three Months Ended June 30,   Six Months Ended June 30,
  2026
  2025
  2026
  2025
   
               
Underwriting ratios:              
Loss ratio 24.6 %   68.8 %   39.3 %   79.7 %
Expense ratio 44.9 %   52.3 %   47.1 %   51.5 %
Combined ratio 69.5 %   121.1 %   86.4 %   131.2 %
               
Contribution to combined ratio from net (favorable)              
adverse prior year development -31.0 %   5.8 %   -17.9 %   3.5 %
               
Accident year combined ratio 100.5 %   115.3 %   104.3 %   127.7 %


The Company reported a significantly improved overall loss ratio of 24.6% for the second quarter of 2026, compared to 68.8% in the prior-year period. The loss ratio for the quarter benefited from 31 percentage points of net favorable prior year reserve development.

Although favorable reserve development meaningfully supported the quarter’s results, the improvement also reflects the Company’s ongoing efforts to streamline its risk profile and build a sustainable, profitable underwriting portfolio.

Net Investment Income

Net investment income was $1.0 million for the quarter ending June 30, 2026, compared to $1.3 million in the prior year period.

Change in Fair Value of Equity Securities

During the quarter, the Company reported a gain of $81,000 from the change in fair value of equity securities, compared to a loss of $65,000 in the prior year period.

Net Income (Loss) allocable to common shareholders

The Company reported net income allocable to common shareholders of $2.5 million, or $0.68 per share, for the second quarter of 2026.

Adjusted Operating Income (Loss)

The Company reported adjusted operating income of $1.3 million, or $0.35 per share, for the second quarter ending June 30, 2026, compared to an adjusted operating loss of $2.1 million, or $1.19 per share, for the same period in 2025. For the six months ended June 30, 2026, the Company reported adjusted operating income of $384,000, or $0.12 per share, compared to an adjusted operating loss of $5.8 million, or $3.30 per share for the same period in 2025. See Definitions of Non-GAAP Measures.

About Presurance Holdings

Presurance Holdings, Inc. is a specialty insurance property and casualty holding company with a focus on disciplined growth and long-term value creation. The Company trades on the Nasdaq Capital Market under the symbol PRHI. Additional information can be found on the Company’s website at IR.PREHLD.com.

Definitions of Non-GAAP Measures

Presurance prepares its public financial statements in conformity with accounting principles generally accepted in the United States of America (GAAP). Statutory data is prepared in accordance with statutory accounting rules as defined by the National Association of Insurance Commissioners’ (NAIC) Accounting Practices and Procedures Manual and therefore is not reconciled to GAAP data.

We believe that investors’ understanding of the Company’s performance is enhanced by our disclosure of adjusted operating income. Our method of calculating this measure may differ from that used by other companies and therefore comparability may be limited. We define adjusted operating income (loss), a non-GAAP measure, as net income (loss) excluding: 1) net realized investment gains (losses), 2) change in fair value of equity securities, 3) Change in fair value of contingent considerations, 4) Contingent consideration bonus expense and 5) Additional accretion of warrants from Series B Preferred Stock payoff. We use adjusted operating income as an internal performance measure in the management of our operations because we believe it gives our management and other users of our financial information useful insight into the results of our operations and underlying business performance.

Forward-Looking Statement

This press release contains forward-looking statements made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements give current expectations or forecasts of future events or our future financial or operating performance, and include the Company’s expectations regarding premiums, earnings, its capital position, expansion, and growth strategies. The forward-looking statements contained in this press release are based on management’s good-faith belief and reasonable judgment based on current information. The forward-looking statements are qualified by important factors, risks and uncertainties, many of which are beyond our control, that could cause our actual results to differ materially from those in the forward-looking statements, including those described in our form 10-K (“Item 1A Risk Factors”) filed with the SEC on March 27, 2026, and subsequent reports filed with or furnished to the SEC. Any forward-looking statement made by us in this report speaks only as of the date hereof or as of the date specified herein. We undertake no obligation to publicly update any forward-looking statement, whether as a result of new information, future developments or otherwise, except as may be required by any applicable laws or regulations.

Reconciliations of adjusted operating income (loss) and adjusted operating income (loss) per share:

  Three Months Ended June 30,   Six Months Ended June 30,
    2026       2025       2026       2025  
   
  (dollar in thousands, except share and per share amounts)
               
Net income (loss) $ 2,536     $ 2,051     $ 5,158     $ 2,573  
Less:              
Net realized investment gains (losses)   (87 )     (28 )     (101 )     (25 )
Change in fair value of equity securities   81       (65 )     111       (257 )
Change in fair value of contingent considerations   1,220       5,355       5,710       9,750  
Contingent consideration bonus expense         (1,141 )           (1,141 )
Additional accretion of warrants from Series B Preferred Stock payoff               (946 )      
Impact of income tax expense (benefit) from adjustments *                      
Adjusted operating income (loss) $ 1,322     $ (2,070 )   $ 384     $ (5,754 )
               
Weighted average common shares, diluted   3,746,114       1,746,125       3,105,236       1,746,125  
               
Diluted income (loss) per common share:              
Net income (loss) $ 0.68     $ 1.17     $ 1.66     $ 1.47  
Less:              
Net realized investment gains (losses)   (0.02 )     (0.02 )     (0.03 )     (0.01 )
Change in fair value of equity securities   0.02       (0.04 )     0.04       (0.15 )
Change in fair value of contingent considerations   0.33       3.07       1.84       5.58  
Contingent consideration bonus expense         (0.65 )           (0.65 )
Additional accretion of warrants from Series B Preferred Stock payoff               (0.31 )      
Impact of income tax expense (benefit) from adjustments *                      
Adjusted operating income (loss), per share $ 0.35     $ (1.19 )   $ 0.12     $ (3.30 )


* The Company has recorded a full valuation allowance against its deferred tax assets as of June 30, 2026 and June 30, 2025, respectively. As a result, there were no taxable impacts to adjusted operating income (loss) from the adjustments to net income (loss) in the table above after taking into account the use of net operating losses and the change in the valuation allowance.

Presurance Holdings, Inc. and Subsidiaries
Condensed Consolidated Balance Sheets
(dollars in thousands)
       
  June 30   December 31,
    2026       2025  
Assets (Unaudited)    
Investment securities:      
Debt securities, at fair value (amortized cost of $94,063 and $ 85,556     $ 88,305  
$96,669, respectively)      
Equity securities, at fair value (cost of $883 and $1,276, respectively)   995       1,277  
Short-term investments, at fair value   28,389       24,725  
Total investments   114,940       114,307  
       
Cash and cash equivalents   12,798       27,362  
Premiums and agents’ balances receivable, net   5,562       5,521  
Reinsurance recoverables on unpaid losses   60,410       63,909  
Reinsurance recoverables on paid losses   6,170       5,929  
Prepaid reinsurance premiums   3,244       12,024  
Deferred policy acquisition costs   6,301       2,696  
Receivable from contingent consideration   10,000       4,290  
Other assets   3,049       3,245  
Total assets $ 222,474     $ 239,283  
       
Liabilities and Shareholders’ Equity      
Liabilities:      
Unpaid losses and loss adjustment expenses $ 125,242     $ 146,262  
Unearned premiums   24,288       25,703  
Reinsurance premiums payable         2,501  
Debt   12,314       12,187  
Mandatorily redeemable preferred stock   8,000       14,380  
Funds held under reinsurance agreements   20,040       24,233  
Accounts payable and other liabilities   4,845       5,051  
Total liabilities   194,729       230,317  
       
Commitments and contingencies          
       
Shareholders’ equity:      
Common stock, no par value (100,000,000 shares authorized; 3,746,092 and    
1,746,125 issued and outstanding, respectively)   113,922       100,158  
Accumulated deficit   (76,433 )     (81,591 )
Accumulated other comprehensive income (loss)   (9,744 )     (9,601 )
Total shareholders’ equity   27,745       8,966  
Total liabilities and shareholders’ equity $ 222,474     $ 239,283  

Presurance Holdings, Inc. and Subsidiaries
Condensed Consolidated Statements of Operations (Unaudited)
(dollars in thousands, except share and per share data)
               
  Three Months Ended   Six Months Ended
  June 30   June 30,
    2026       2025       2026       2025  
               
Revenue and Other Income              
Premiums              
Gross earned premiums $ 12,239     $ 16,484     $ 25,953     $ 32,602  
Ceded earned premiums   (5,431 )     (6,920 )     (13,220 )     (12,723 )
Net earned premiums   6,808       9,564       12,733       19,879  
Net investment income   1,040       1,298       2,150       2,587  
Net realized investment gains (losses)   (87 )     (28 )     (101 )     (25 )
Change in fair value of equity securities   81       (65 )     111       (257 )
Other income   80       10       86       75  
Change in fair value of contingent considerations   1,220       5,355       5,710       9,750  
Total revenue and other income   9,142       16,134       20,689       32,009  
               
Expenses              
Losses and loss adjustment expenses, net   1,672       6,564       5,001       15,838  
Policy acquisition costs   1,926       2,287       3,484       4,964  
Operating and other expenses   2,331       4,368       4,431       7,229  
Interest expense   677       864       2,653       1,405  
Total expenses   6,606       14,083       15,569       29,436  
               
Income (loss) before income taxes   2,536       2,051       5,120       2,573  
Income tax expense (benefit)               (38 )      
               
Net income (loss) $ 2,536     $ 2,051     $ 5,158     $ 2,573  
               
Earnings (loss) per common share, basic and diluted $ 0.68     $ 1.17     $ 1.66     $ 1.47  
               
Weighted average common shares outstanding,              
basic and diluted   3,746,114       1,746,125       3,105,236       1,746,125  
               



For Further Information:


Jessica Gulis, 248.509.9202
[email protected]