NMI Holdings Reports 7% Revenue Growth to $173.8 Million in Q2 2025

NMI Holdings, Inc. reported a solid financial performance for the second quarter of 2025, with total revenues reaching $173.8 million, a 7% increase from $162.1 million in the same period last year. The growth was primarily driven by a rise in net premiums earned, which increased by 6% to $149.1 million, up from $141.2 million in Q2 2024. Net investment income also saw a significant boost, rising 21% to $24.9 million compared to $20.7 million in the prior year. The company’s net income for the quarter was $96.2 million, reflecting a 4% increase from $92.1 million in Q2 2024, resulting in basic earnings per share of $1.23, up from $1.15.

In the first half of 2025, NMI Holdings reported total revenues of $347.0 million, a 9% increase from $318.4 million in the same period of 2024. The company’s net premiums earned for the six months ended June 30, 2025, were $298.4 million, compared to $277.8 million in the previous year. The increase in net premiums was attributed to growth in the company’s monthly insurance-in-force (IIF) and premium receipts, despite a rise in premiums ceded under reinsurance treaties. The total net income for the first half of 2025 was $198.7 million, compared to $181.1 million in the same period last year.

Operationally, NMI Holdings reported a total of 668,638 policies in force as of June 30, 2025, an increase from 659,567 policies at the end of 2024. The company’s primary insurance-in-force reached $214.7 billion, up 5% from $203.5 billion a year earlier. The default rate for the company’s insured loans was 1.00%, with 6,709 loans in default, reflecting a slight increase from 4,904 loans in default a year prior. The company’s reserve for insurance claims and claim expenses increased to $163.0 million, up from $125.4 million in the previous year, driven by the establishment of reserves for newly defaulted loans.

Strategically, NMI Holdings has continued to enhance its market position through various reinsurance agreements, including quota share and excess-of-loss transactions, which help manage risk and support growth. The company has also extended its IT service agreement with Tata Consultancy Services to enhance operational efficiency. Looking ahead, NMI Holdings anticipates continued growth in its insurance portfolio, although it remains cautious about potential macroeconomic challenges, including inflation and rising interest rates, which could impact the housing market and mortgage insurance demand.

Overall, NMI Holdings, Inc. demonstrated a strong financial performance in the second quarter of 2025, with growth in revenues and net income, alongside an increase in policies in force and insurance-in-force. The company’s strategic initiatives and operational enhancements position it well for future growth, despite potential economic headwinds.