Revenue growth accelerated to 12.2% YoY in Q2 2026, with the combined ratio improving to 69.6% from 73.2% in Q4 2025, driven by a low 42.7% loss ratio and strong underwriting discipline.
Hamilton Insurance Group, Ltd. (HG) annual income statement — 5-year revenue, gross profit & net income history
| Metric | TTM | Dec'25 | Dec'24 | Dec'23 | Dec'22 | Nov'21 |
|---|
| Revenue | 2.99B | 2.74B | 2.38B | 1.62B | 1.29B | 1.34B |
| Revenue Growth % | 36.9% | 15.29% | 47.03% | 25.67% | -3.64% | - |
| Medical Costs & Claims | 1.42B | 1.26B | 1.45B | 1.07B | 1.08B | 919.7M |
| Medical Cost Ratio % | 47.44% | 45.89% | 60.87% | 66.18% | 84.2% | 68.83% |
| Gross Profit | 1.57B | 1.48B | 930.82M | 547.29M | 203.51M | 416.49M |
| Gross Margin % | 52.56% | 54.11% | 39.13% | 33.82% | 15.8% | 31.17% |
| Gross Profit Growth % | - | 59.45% | 70.08% | 168.93% | -51.14% | - |
| Operating Expenses | 725.32M | 659.32M | 309.26M | 292.07M | 230.34M | 154.29M |
| OpEx / Revenue % | 24.25% | 24.04% | 13% | 18.05% | 17.89% | 11.55% |
| Depreciation & Amortization | 15.67M | 15.93M | 16.47M | 12.41M | 14.99M | 13.9M |
| Combined Ratio % | 71.69% | 69.92% | 73.87% | 84.23% | 102.08% | 80.38% |
| Operating Income | 846.6M | 824.9M | 621.56M | 255.22M | -26.83M | 262.2M |
| Operating Margin % | 28.31% | 30.08% | 26.13% | 15.77% | -2.08% | 19.62% |
| Operating Income Growth % | - | 32.72% | 143.54% | 1051.22% | -110.23% | - |
| EBITDA | 862.27M | 840.84M | 638.03M | 267.63M | -11.84M | 276.1M |
| EBITDA Margin % | 28.83% | 30.66% | 26.82% | 16.54% | -0.92% | 20.66% |
| Interest Expense | 19.4M | 20.19M | 22.62M | 21.43M | 15.74M | 14.9M |
| Non-Operating Income | -19.4M | -20.19M | -22.62M | -21.43M | -15.74M | -14.9M |
| Pretax Income | 846.6M | 824.9M | 621.56M | 255.22M | -26.83M | 262.2M |
| Pretax Margin % | 28.31% | 30.08% | 26.13% | 15.77% | -2.08% | 19.62% |
| Income Tax | -16.21M | -15.12M | 8.4M | -25.07M | 3.1M | 12.37M |
| Effective Tax Rate % | -1.92% | -1.83% | 1.35% | -9.82% | -11.57% | 4.72% |
| Net Income | 585.71M | 576.67M | 400.43M | 258.73M | -98M | 188.18M |
| Net Margin % | 19.58% | 21.03% | 16.83% | 15.99% | -7.61% | 14.08% |
| Net Income Growth % | 53.95% | 44.01% | 54.77% | 364.01% | -152.08% | - |
| EPS (Diluted) | 5.77 | 5.68 | 3.67 | 2.44 | -0.89 | -4.20 |
| EPS Growth % | 56.52% | 54.77% | 50.41% | 374.16% | 78.81% | - |
| EPS (Basic) | - | 5.68 | 3.81 | 2.47 | -0.89 | -4.20 |
| Diluted Shares Outstanding | 101.47M | 101.47M | 101.47M | 106.04M | 109.99M | 102.56M |
Quick answers to the most common questions about buying HG stock.
For fiscal year 2025, Hamilton Insurance Group, Ltd. (HG) reported total revenue of $2.74B. This represents a 105.3% increase compared to $1.34B in 2021.
Hamilton Insurance Group, Ltd. (HG) is profitable, generating $576.7M in net income for the fiscal year ending 2025 with a net profit margin of 21.0%.
Hamilton Insurance Group, Ltd. (HG) reported an operating income of $824.9M, resulting in an operating profit margin of 30.1%. This margin reflects the operational efficiency of the business before interest and taxes.
Hamilton Insurance Group, Ltd. (HG) generated $1.48B in gross profit for the year, representing a gross profit margin of 54.1%. This demonstrates the company's core pricing power and production efficiency.
Key Metrics
Top Statement Risk
Social inflation in casualty lines
Metrics are mathematically derived from official filings.
Premium Growth Accelerates on Hard Market
Hamilton's revenue grew 12.2% YoY in Q2 2026, with gross premiums written up 17%, reflecting sustained hard market conditions and disciplined expansion in specialty lines.
The 12.2% YoY revenue growth in Q2 2026, following a 21.5% surge in Q4 2025, indicates that HG is capitalizing on favorable pricing across its specialty and reinsurance segments. The 17% growth in gross premiums written suggests continued momentum, likely driven by rate increases and new business opportunities in US E&S and Lloyd's markets. However, the -3.5% revenue dip in Q1 2026 highlights quarterly volatility, possibly due to timing of premium recognition or selective underwriting.
Underwriting Discipline Drives Sub-100 Combined Ratio
HG's combined ratio improved to 69.6% in Q2 2026, down from 73.2% in Q4 2025, driven by a low loss ratio of 42.7% and strong underwriting discipline.
The combined ratio of 69.6% in Q2 2026 is exceptionally strong, well below the 100% threshold, indicating robust underwriting profitability. The loss ratio of 42.7% is notably lower than the 61.3% seen in Q3 2025, suggesting improved risk selection and favorable loss experience. This performance, coupled with a 30.08% operating margin, underscores HG's ability to generate profits from its core underwriting activities, even as it prioritizes margin quality over volume.
Reserve Releases Bolster Earnings Quality
Prior-year reserve releases appear to have contributed to HG's strong combined ratios, with Q2 2026 net income of $143.8M benefiting from favorable development, though the exact magnitude is not disclosed.
The consistently low combined ratios, particularly the 69.6% in Q2 2026, may be partly attributable to favorable prior-year reserve development, which can inflate current earnings. While this is a positive signal of conservative reserving, investors should monitor whether such releases are masking underlying deterioration in current accident year loss ratios. The absence of explicit reserve development data in the provided figures warrants further investigation into the sustainability of these margins.
Investment Income Supports Earnings Amid Rate Cycle
With $1.06B in cash and fixed-income investments, HG likely benefits from higher reinvestment yields, contributing to a 21% annualized ROE in Q2 2026, though investment income figures are not separately disclosed.
The higher-for-longer interest rate environment appears favorable for HG's investment portfolio, as reinvestment yields on its cash and fixed-income holdings likely support net investment income. The 21% annualized ROE in Q2 2026 suggests that investment income is complementing underwriting profits, though the exact contribution is not broken out. Given the historical association with Two Sigma, investors should remain attentive to potential volatility in investment returns, though the company appears to have normalized its asset allocation.
Q2 2026 Marks Peak Profitability
Q2 2026 delivered a 69.6% combined ratio and $143.8M net income, the strongest quarter in the trailing ten, reflecting peak underwriting conditions and investment tailwinds.
The Q2 2026 results represent a clear inflection point, with the combined ratio improving to 69.6% from 73.2% in Q4 2025 and net income of $143.8M, up from $136.2M in Q3 2025. This performance, alongside a 21% annualized ROE, suggests that HG is operating at an optimal point in the hard market cycle. However, the cyclical nature of reinsurance implies that such favorable conditions may not persist, and investors should prepare for potential margin compression as pricing softens.
Social Inflation Could Undermine Casualty Margins
Despite a 95% combined ratio, rising social inflation in US casualty lines poses a risk to HG's reserve adequacy, potentially leading to future adverse development and margin erosion.
The strong current combined ratios may be flattered by favorable reserve development, but the increasing trend of social inflation in US casualty lines could lead to higher-than-expected loss severities. If historical loss estimates for general liability prove inadequate, HG may need to strengthen reserves, which would negatively impact future earnings. This risk is particularly relevant given HG's significant exposure to US E&S and specialty casualty lines, where litigation trends are evolving. Investors should monitor reserve adequacy and loss ratio trends closely, as a shift in this dynamic could challenge the sustainability of current profitability.