Essent Group Ltd. Q1 FY2026 earnings call

• Financial results for Q1 2026: Net income $172 million, $1.82 per diluted share, return on average equity 12% YTD, book value per share $61.20 (+11% Y/Y). • Mortgage insurance: Core MI business generates strong cash flow, mortgage insurance in force $248 billion (+1% Y/Y), persistency 84.7%, reinsurance strategy executed, title business transitioning as adjacency to MI franchise. • Reinsurance: Expanded P&C reinsurance platform, Lloyds program to generate ~$120M written premium in 2026, whole-account quota share to generate ~$200M written premium in 2026. • Capital and dividends: Repurchased ~3.5 million shares for over $200M YTD, board approved common dividend of $0.35 for Q2 2026

Mortgage Insurance: In-force was $248 billion (+1% Y/Y), 12-month persistency 84.7%, nearly 50% of in-force portfolio has note rate ≤5.5%, default rate flat Q/Q, weighted average FICO 747, weighted average original LTV 93%. Net premium earned $216 million, provision for losses and loss adjustment expenses $37.6 million, operating expenses $37.6 million, expense ratio 17.4%. Reinsurance: P&C reinsurance activity began Jan 1st, net premium earned, provision for losses and loss adjustment expenses, and acquisition costs increased Q/Q, pre-tax earnings immaterial for the quarter. Corporate and other: Consolidated net investment income and average balance of cash and available for sale investments largely unchanged Q/Q, income from other invested assets $10.2 million, total holding company liquidity strong with $6.6 billion in cash and investments, $5.7 billion in gap equity, $1.1 billion in excess of loss-free insurance, debt-to-capital ratio 8%, statutory capital $3.7 billion with risk-to-capital ratio 8.6 to 1

• Housing outlook: Remains in pause due to affordability and higher rates, but favorable demographics, supply constraints, and pent-up demand positive when affordability improves. • Reinsurance: P&C earnings expected to replace mortgage earnings over next few years, growth on MI side may resume if GSEs privatized and risk share returns to previous levels. • Capital allocation: Committed to measured and diversified capital strategy to optimize shareholder returns and preserve optionality for strategic growth opportunities

• Risks related to forward-looking statements: Actual results may differ due to risks and uncertainties, including those in press release, Form 10-K, and other SEC filings. • Consumer credit risks: Potential weakness in lower-end consumer, though Essent's book has higher FICO and average income, monitoring needed. • Competitive risks: Small market with some competitive reach around edges, unit economics important, capital allocation to other options like Lloyds considered. • Reinsurance business risks: P&C reinsurance combined ratio in mid to high 90s, impact on earnings, GSEs buying reinsurance higher in capital structure affecting rate online and reinsurance volume

Q: Thoughts on consumer credit?

A: Not seeing real cracks, book has high FICO and average income, defaults normalizing.

Q: Competitive trends?

A: Small market, some reach around edges, unit economics important, capital allocated to other options like Lloyds.

Q: Credit and seasonality?

A: Defaults continue to increase due to portfolio seasoning, nothing big picture alarming.

Q: Reinsurance segment provision?

A: Big change due to Lloyds and retro quota share in Q1, not driving much income in 2026 but setting stage for future.

Q: Loss ratio in reinsurance?

A: High level, mortgage loss ratio basically zero, P&C combined ratio mid to high 90s.

Q: Cure rate?

A: Relatively consistent quarter over quarter, no cliff fall off.

Q: Reserve releases and macro indicators?

A: Unemployment rate and home prices important, company in good cash flow position, allocating capital in S&RE and other invested assets, title business transitioning