Heritage Insurance Holdings (HRTG) Company Report

Heritage Insurance (HRTG) has successfully transitioned its strategy from a top-line focus to profitability, achieving nearly $129 million in net income year-to-date for 2025 (covering three quarters). The company is now pursuing a strategy of managed controlled growth, having reached rate adequacy in 95% of its operating geographies.
The company anticipates future rate increases in most regions to align with claims inflation, estimated between 4% and 8%. Notably, Florida experienced a -3% rate increase in the past year due to legislative reforms, a trend that may continue.
Heritage Insurance expects reinsurance pricing to decrease by approximately 5% to 10% upon the renewal of its catastrophe program on June 1.
The company's year-to-date Return on Equity (ROE) for 2025 is over 40%, with Florida contributing the highest ROE. Capital allocation priorities include deploying capital for growth, followed by share buybacks (as the stock is considered undervalued), and then dividends.

Dec 11, 2025, 8:15 PM

Transcript

Heritage Insurance Discusses Profitability Shift and Growth Strategy

HRTG

Revenue Acceleration/Inflection

Share Buyback

Guidance Update

Heritage Insurance (HRTG) has successfully shifted its strategy from a top-line focus to profitability, achieving rate adequacy in 95% of its geographies and now pursuing managed controlled growth.
The company reported a net income of almost $129 million year-to-date in 2025 (covering three quarters), despite a $33 million retained loss from California wildfires.
Future rate increases are expected to align with claims inflation (4%-8%) in most geographies, with Florida experiencing a -3% rate increase due to legislative reforms and negative loss trends.
Heritage's capital allocation priorities are growth, stock buybacks, and then dividends, with the company resuming buybacks due to the belief that its stock is undervalued.

Dec 11, 2025, 8:15 PM

Transcript

Heritage Insurance Highlights Profitability and Controlled Growth Strategy

HRTG

Earnings

Share Buyback

Guidance Update

Heritage Insurance (HRTG) reported almost $129 million in net income year-to-date for 2025 (three quarters), even with a $33 million retained loss from California wildfires. This reflects a strategic shift towards profitability and a current focus on managed controlled growth.
The company is rate adequate in 95% of its territories and anticipates reinsurance pricing for its cat program to decrease by 5% to 10% upon renewal on June 1. Florida, Massachusetts, and California (E&S basis) are currently contributing the highest Return on Equity (ROE).
HRTG's capital allocation priorities are growth, followed by stock buybacks (as the stock is considered undervalued), and then dividends. Policy retention levels are in the mid-to-upper 80s and are expected to improve further.

Dec 11, 2025, 8:15 PM

Transcript

Heritage Insurance Holdings Reports Strong Q3 2025 Results with Significant Earnings Growth and Improved Combined Ratio

HRTG

Earnings

Share Buyback

Revenue Acceleration/Inflection

Heritage Insurance Holdings reported net income of $50.4 million, or $1.63 per diluted share, for Q3 2025, significantly up from $8.2 million, or $0.27 per diluted share, in Q3 2024.
The company's net combined ratio improved to 72.9% in Q3 2025 from 100.6% in the prior year quarter, driven by a lower net loss ratio of 38.3%.
In-force premium reached a record $1.44 billion in Q3 2025, with new business premium written increasing 166% to $36 million compared to Q3 2024.
Heritage expects personal lines policy count to return to growth in 2026 and repurchased 106,000 shares for $2.3 million in Q3 2025, with an additional $25 million authorized for buybacks.
Book value per share increased 56% year-over-year to $14.15 at September 30, 2025, and combined statutory surplus grew by $93.4 million from Q3 2024 to $352.2 million.

Nov 6, 2025, 2:00 PM

Transcript

Heritage Insurance Holdings Reports Strong Q3 2025 Earnings and Restarts Share Repurchase Program

HRTG

Earnings

Share Buyback

Revenue Acceleration/Inflection

Heritage Insurance Holdings reported net income of $50.4 million, or $1.63 per diluted share, for Q3 2025, a significant increase compared to $8.2 million, or $0.27 per diluted share, in Q3 2024.
The company's net combined ratio improved by 19.6 points to 72.9% in Q3 2025, driven primarily by a lower net loss ratio of 38.3% compared to 65.4% in the prior year quarter.
New business premium written in Q3 2025 increased by 166% to $36 million from $13.7 million in Q3 2024, with expectations for personal lines policy count to return to growth in 2026.
Heritage restarted its share repurchase program in Q3 2025, repurchasing 106,000 shares for $2.3 million, and the board authorized an additional $25 million for buybacks.
The company anticipates continued improvement in reinsurance pricing in 2026 due to benefits from tort reform, a lack of reinsured losses, and increased capacity in the reinsurance market.

Nov 6, 2025, 2:00 PM

Transcript

Heritage Insurance Holdings Reports Strong Q3 2025 Results with Significant Earnings Growth and Share Repurchases

HRTG

Earnings

Share Buyback

Revenue Acceleration/Inflection

Heritage Insurance Holdings reported net income of $50.4 million and diluted earnings per share of $1.63 for Q3 2025, a significant increase from $8.2 million and $0.27, respectively, in Q3 2024.
The company achieved a net combined ratio of 72.9% in Q3 2025, an improvement of 19.6 points from 100.6% in the prior year quarter, primarily due to a lower net loss ratio of 38.3%.
New business premium written for Q3 2025 increased by 166% to $36 million compared to $13.7 million in Q3 2024, and the decline in policies in force moderated to 6,800 policies. The company anticipates personal lines policy count to return to growth over the next six months and full-year policy growth in 2026.
Heritage restarted its share repurchase program in Q3 2025, repurchasing 106,000 shares for $2.3 million, and the board authorized an additional $25 million for share buybacks.

Nov 6, 2025, 2:00 PM

Transcript

Heritage Insurance Holdings, Inc. Reports Strong Q3 2025 Results

HRTG

Earnings

Share Buyback

Revenue Acceleration/Inflection

Heritage Insurance Holdings, Inc. reported net income of $50.4 million and $1.63 per diluted share for the third quarter of 2025, a significant increase from the prior year quarter.
The company achieved a strong underwriting performance with a net combined ratio of 72.9%, an improvement of 27.7 percentage points from the prior year quarter, driven by a lower net loss ratio of 38.3%.
New business premium written in Q3 2025 surged 166% to $36.3 million, and the company anticipates its policy count to return to growth over the next six months, leading to full-year policy growth in 2026.
The Board of Directors continued the suspension of the quarterly dividend but authorized a new share repurchase plan for up to $25.0 million through December 31, 2026, following the expiration of the current plan.

Nov 5, 2025, 9:33 PM

8-K

Heritage Reports Third Quarter 2025 Results

HRTG

Earnings

Share Buyback

Heritage Insurance Holdings reported net income of $50.4 million or $1.63 per diluted share for the third quarter of 2025, a significant increase from $8.2 million or $0.27 per diluted share in the prior year quarter.
The company's net combined ratio improved to 72.9%, down 27.7 percentage points from 100.6% in the third quarter of 2024, reflecting improved underwriting performance.
Book value per share increased to $14.15 as of September 30, 2025, representing a 55.5% increase compared to the third quarter of 2024.
Heritage repurchased 106,135 shares of common stock for $2,282,356 during the quarter and established a new $25.0 million share repurchase plan through December 31, 2026.
The company continues its strategic focus on disciplined underwriting and rate adequacy, with nearly all territories open for new business at the start of the third quarter, and expects policy count to return to growth over the next six months.