Company: KNSL
Filing Date: 2025-04-24
Form Type: 10-Q
Source: 0001669162-25-000027
Chunk: 82

Company: Kinsale Capital Group, Inc.
Filing Date: 2025-04-24
Form: 10-Q
Item: Item 8
Chunk 82
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9 %Underwriting income (1)67,461 65,071 2,390 3.7 %Net investment income43,819 32,933 10,886 33.1 %Change in fair value of equity securities3,038 18,053 (15,015)NMNet realized investment gains537 3,866 (3,329)NMChange in allowance for credit losses on investments(20)10 (30)NMInterest expense(2,538)(2,422)(116)4.8 %Other income (expense), net14 (1,644)1,658 NMIncome before taxes112,311 115,867 (3,556)(3.1)%Income tax expense23,084 16,926 6,158 36.4 %Net income$89,227 $98,941 $(9,714)(9.8)%Net operating earnings (2)$86,419 $81,617 $4,802 5.9 %Loss ratio62.1 %58.8 %Expense ratio20.0 %20.7 %Combined ratio (3)82.1 %79.5 %Annualized return on equity23.3 %35.1 %Annualized operating return on equity (2)22.5 %28.9 %

NM - Percentage change not meaningful.

(1) Underwriting income is a non-GAAP financial measure. See "—Reconciliation of Non-GAAP Financial Measures" for a reconciliation of net income in accordance with GAAP to underwriting income.

(2) Net operating earnings and annualized operating return on equity are non-GAAP financial measures. Net operating earnings is defined as net income excluding the net change in the fair value of equity securities, after taxes, net realized investment gains and losses, after taxes, and change in allowance for credit losses on investments, after taxes. Annualized operating return on equity is defined as net operating earnings expressed on an annualized basis as a percentage of average beginning and ending total stockholders’ equity during the period. See "—Reconciliation of Non-GAAP Financial Measures" for a reconciliation of net income in accordance with GAAP to net operating earnings.

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(3) The combined ratio is the sum of the loss ratio and expense ratio as presented. Calculations of each component may not add due to rounding. 

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