RenaissanceRe Reports $2.6 Billion Net Income and 25.9% Return on Equity for 2025

RenaissanceRe Holdings Ltd. (NYSE: RNR) reported net income available to common shareholders of $2.6 billion for the year ended December 31, 2025, compared to $1.8 billion in the prior year. This translated to an annualized return on average common equity of 25.9%. Book value per common share increased from $195.77 at the end of 2024 to $247.00 at the end of 2025, a 26.2% increase, or a 27.0% increase after considering the change in accumulated dividends paid to common shareholders. The company's common shares outstanding as of February 6, 2026, were 43,488,908.

Gross premiums written increased slightly to $11.7 billion, while net premiums earned decreased to $9.9 billion from $10.1 billion in 2024. Underwriting income was $1.3 billion, a decrease from $1.7 billion in the previous year, with the combined ratio increasing to 88.6% from 85.3%. The company attributed the decrease in underwriting income and increase in the combined ratio to a $785.7 million net negative impact from the 2025 Large Loss Events, compared to $660.5 million from the 2024 Large Loss Events, partially offset by higher prior accident year net favorable development, driven by the Property segment.

Total investment result increased to $1.9 billion, driven by a $1.2 billion increase in net realized and unrealized gains on investments and a $49.2 million increase in net investment income. Fee income increased slightly to $328.9 million, with an increase in performance fees offsetting a decrease in management fees. The company's effective tax rate increased, resulting in an income tax expense of $396.3 million compared to $32.6 million in the prior year, primarily driven by strong profitability across its operating jurisdictions, including Bermuda.

Looking ahead, RenaissanceRe plans to continue its disciplined approach to underwriting, focusing on margin over growth and optimizing its portfolio. The company also intends to continue enhancing its technology infrastructure and underwriting systems to take advantage of future opportunities, including potential applications of artificial intelligence. The Board of Directors has approved a quarterly dividend of $0.41 per common share, payable on March 31, 2026, to shareholders of record on March 13, 2026. The Board also renewed the share repurchase program to an aggregate amount of up to $750.0 million.