Arch Capital Group Ltd. (ACGL) Earnings
Arch Capital Group Ltd. is expected to report next earnings on July 28, 2026 (in NaN days), with a consensus EPS estimate of $2.44. ACGL has beaten EPS estimates in 11 of its last 12 reported quarters (average surprise +10.7% over the last four).
| Report date | EPS est | EPS actual | Surprise | Revenue | Rev. surprise |
|---|---|---|---|---|---|
| Apr 29, 2026 | $2.48 | $2.50 | +0.8% | $4.3B | -4.5% |
| Jul 29, 2025 | $2.30 | $2.58 | +12.2% | $5.2B | +20.0% |
| Oct 30, 2024 | $1.96 | $1.99 | +1.5% | $4.6B | +15.9% |
| Feb 14, 2024 | $1.94 | $2.49 | +28.4% | $3.9B | +21.5% |
| Jul 26, 2023 | $1.58 | $1.92 | +21.5% | $3.1B | +2.2% |
| Feb 13, 2023 | $1.34 | $2.14 | +59.7% | $3.0B | +21.8% |
| Oct 26, 2022 | $0.24 | $0.28 | +16.7% | $2.5B | +1.8% |
| Jul 27, 2022 | $1.09 | $1.34 | +22.9% | $2.2B | -8.3% |
| Feb 9, 2022 | $1.00 | $1.27 | +27.0% | $2.2B | +7.8% |
| Oct 27, 2021 | $0.36 | $0.74 | +105.6% | $2.0B | +43.3% |
| Jul 28, 2021 | $0.90 | $1.00 | +11.1% | $2.4B | +9.3% |
| Feb 9, 2021 | $0.50 | $0.56 | +12.0% | $2.2B | +4.9% |
Source: company filings + earnings calendar. For informational purposes only — not investment advice.
Earnings call summary
Q1 FY2026 · April 29, 2026
AI summary of management’s prepared remarks and analyst Q&A. For informational purposes only — not investment advice.
Management highlights
- Strong quarter with after-tax operating income of $901 million, or $2.50 per share, and annualized net income return on average common equity of 17.8%. - Market is competitive but rates and terms still support strong returns; need to actively manage portfolio. - Insurance segment had favorable underwriting income despite flat top-line growth, with growth opportunities in some areas but softening rates in others. - Reinsurance segment's team actively manages portfolio mix. - Mortgage segment had strong underwriting income with excellent credit quality. - Repurchased $7.83 million worth of common stock in 1Q2026 while increasing book value per share by 1.7%. - Completed data and system migration of acquired middle market commercial business from Allianz to Arch-owned systems in 18 months.
Segment performance
Insurance segment: Generated $66 million of underwriting income in 1Q2026, with gross premiums written growing 2% and net premiums written declining 1.4% year over year. Underwriting income was $441 million, a significant increase from $167 million in 1Q2025. Reinsurance segment: Had pre-tax underwriting income of $441 million, gross premiums written down 2.3% and net premiums written down 6% year over year. Mortgage segment: Delivered $221 million of underwriting income, with mortgage originations picking up modestly but affordability challenges still present. Investments: Contributed $4.8 million, or $1.13 of net investment income per share in the quarter, with a nearly $48 billion investment portfolio.
Analyst Q&A
Q: On PropertyCat on reinsurance side, expectations for mid-year renewals and cat load.
A: Don't have crystal ball, expect market to remain competitive, monitor property cat through 50 zones.
Q: On casualty side, best growth opportunities.
A: Optimistic on casualty, like specialty casualty, excess and surplus line casualty, stay away from some areas.
Q: Update on insurance book rate vs trend in US and internationally.
A: US broadly getting rate at trend, casualty lines above trend, short tail property lines below trend; international markets have short tail line rate pressure.
Q: Reinsurance supply and growth opportunity in casualty re.
A: Mainly talking about quota shares, like specialty casualty business but facing ceiling commissions and excess supply.
Q: Share repurchases and cyber insurance.
A: No structural limitations on share repurchases, cyber insurance at around 3 p.m. in underwriting clock, AI seen as acceleration of cyber attack speed and scale.
Q: Outlook on loss ratios and mid-core acquisition.
A: Confident in managing cycle, margins sustainable for near future, mid-core acquisition fruits to play out more in 2027.
Q: Premium leverage and terms and conditions.
A: Managing equity side of leverage, returning capital if can't deploy, seeing more aggregates and structures in property cat reinsurance.
Q: Managing OpEx as potential margin boost and mortgage insurance loss ratio.
A: Looking at managing OpEx, mortgage insurance loss ratio affected by average loan size.
Q: Exposure to private credit and using AI in mid-corp technology rollover.
A: Limited exposure to private credit, AI helped in coding and testing during mid-corp technology rollover.
Q: Operating expense in reinsurance and exposure to Iran-related losses.
A: Operating expense up from last year, exposure to Iran-related losses in political violence and war on land lines, estimated premium around $2 billion.
Q: PMLs and property reinsurance/insurance.
A: PMLs stayed same, Florida zone still green, 6-1 and 7-1 renewals may have more significant changes.
Q: Casualty sidecars and Iran-related losses.
A: Casualty sidecars may have mitigation factor compared to PropertyCat, Iran-related losses priced in.
Q: Iran-related losses breakout and insurance book other liability claims made line.
A: Don't break out Iran-related losses by insurance and reinsurance, other liability claims made line driven by higher pricing and M&A activity