RLI (RL1) Q3 2026 Earnings Report
DE:RL1 Q3 2026 EPS Results
- Actual EPS
- EUR 0.77
- Consensus EPS
- EUR 0.48
- Beat/Miss
- Beat by +EUR 0.29
- One Year Ago EPS
- EUR 0.74
DE:RL1 Q3 2026 Revenue Results
- Actual Revenue
- EUR 427.07M
- Expected Revenue
- EUR 477.70M
- Beat/Miss
- Missed by -EUR 50.63M
- YoY Revenue Growth
- -6.34%
Earnings Announcement Details
- Quarter
- Q3 2026
- Date
- 10/19/2026
- Time
- After Close
- Conference Call
- Monday, October 19, 2026
DE:RL1 Upcoming Earnings
RLI's next earnings date is estimated for January 27, 2027, based on past reporting schedules.
Q3 2026 Earnings Call Audio
DE:RL1 Q3 2026 Earnings Call
0:00 / 0:00
Q3 2026 Earnings Slide Deck
No slide deck is available for this earnings event.
Q3 2026 Earnings Call Summary
Earnings Call Sentiment|Positive
The call was broadly positive, supported by consistent underwriting profitability, 2% premium growth, strong investment income growth, capital returns, favorable reserve development, and management's confidence in its diversified portfolio and 2026 finish. However, GAAP earnings and comprehensive earnings declined, the combined and loss ratios deteriorated modestly, and several businesses faced meaningful competitive pressure and premium declines. The positive operating results and management outlook significantly outweighed the challenges.
Company Guidance
Management expects personal umbrella rate increases to return to double-digit levels during 2027, with the next approved rate filing effective January 1; they expect to get some positive terms and conditions as reinsurance renews and expect a positive result for RLI for 1/1, while noting it is early days and a lot of negotiation yet to happen. RLI is well positioned for a strong finish to 2026, does not forecast a specific top line for Steadily, and expects E&S property’s market to continue to soften, with still a ways to go.
- Consistent Profitable Quarterly PerformanceRLI reported an overall combined ratio of 86.2%, gross premium growth of 2%, a 13% increase in net investment income to $46.7 million, and book value growth of 10% from year-end 2025, inclusive of dividends and share repurchases.
- Operating Earnings Increased Year Over YearThird-quarter operating earnings were $0.86 per share, compared with $0.82 in the prior-year period. Underwriting income totaled $58.8 million.
- Favorable Prior-Year Reserve DevelopmentResults benefited from $22.9 million of favorable development on prior-year loss reserves, up from $15.5 million in the third quarter of 2025. Casualty contributed $8.2 million, property contributed $10.4 million, and surety contributed $4.3 million.
- Strong Nine-Month ResultsThrough the first nine months of 2026, RLI generated $176 million of underwriting income on an 85.9% combined ratio. Net investment income increased 15%, and operating earnings were $2.52 per share, described as very consistent with the prior year.
- Strong Operating Cash Flow and Investment IncomeOperating cash flow was $195 million in the quarter, up 9% from last year. New investment purchases were concentrated in investment-grade fixed income with average yields of 5.5%, nearly 100 basis points above RLI's book yield.
- Capital Returns and Balance Sheet GrowthRLI paid its regular quarterly dividend of $0.18 per share and repurchased just under 104,000 shares at an average price of $60.51. Approximately $232 million remained available under the share repurchase authorization at September 30, and book value increased 10% from year-end 2025 after dividends and share repurchases.
- Property Segment Maintained Very Strong Underwriting ResultsThe property segment produced just over $50 million of underwriting income on a 60.1% combined ratio, equivalent to last year. Property also benefited from $10.4 million of favorable prior-year reserve development, including $4 million from prior-year storms.
- Surety Delivered Another Strong QuarterSurety reported a 79.8% combined ratio, compared with 85% last year, and underwriting income increased to $7.3 million from $5.6 million. The segment benefited from $4.3 million of favorable prior-year reserve development and lower loss activity.
- Marine Growth and Submission MomentumMarine premium increased 11% in the quarter and made a meaningful contribution to underwriting profit. Submissions increased by double digits, while the team continued to find opportunities through producer relationships and maintain selectivity in a competitive market. Marine rates were essentially flat for both the quarter and year.
- Hawaii Homeowners Rate-Driven GrowthHawaii homeowners premium increased 9% in the quarter, with rates up 13%. Although storm activity remained elevated, the associated financial impact to RLI was described as immaterial.
- Steadily Partnership Added Property PremiumRLI's partnership with Steadily, which specializes in landlord insurance, generated $9 million of premium during the quarter and helped offset premium declines in parts of the property segment. RLI stated that underwriting and claims performance had met expectations so far, although the relationship remains in its early days.
- Personal Umbrella Growth and Risk-Profile ImprovementsPersonal umbrella premium increased 22% in the quarter, with rates up 8%. Rates on the book had increased approximately 50% cumulatively over the last three years. Management reported positive signs in the current accident year and 2025 prior accident year, as well as improvements in geographic mix and driver characteristics, while continuing to hold loss-ratio picks pending more data.
- E&S Property Continues to Offer Selective Profit OpportunitiesDespite a 17% premium decline, new-business submissions increased again, and RLI stated that it could still bind business at rates and terms supporting a double-digit return. Rates were approximately around 2022 levels, and management described the market as still attractive despite continued softening.
- Encouraging Casualty and Excess Liability Pipeline ActivityCasualty premium increased 4%, and the underlying loss ratio was described as stable sequentially and just under 67% on a year-to-date basis. In E&S casualty, submissions increased double digits, RLI had a strong pipeline of quoted project business, and buying activity for excess liability increased at the end of the quarter.
- Expected Favorable Reinsurance Renewal ConditionsManagement described the reinsurance market as a buyer's market and expected positive terms and conditions for RLI's renewals, with a positive result anticipated for January 1, 2027, subject to further negotiations.
- Management Liability Market StabilizedManagement said the management liability market had stabilized, with rate change flat for the quarter and down just 1% for the year. The market was described as showing discipline, with pricing decisions increasingly based on individual risk.
- Disciplined Underwriting and Portfolio DiversificationManagement emphasized that underwriters are not subject to top-line budgets and are empowered to pull back when market conditions do not support profitability objectives. RLI stated that its diverse portfolio, customer relationships, and underwriting discipline positioned it for a strong finish to 2026.
DE:RL1 Earnings History
| Report Date | Fiscal Quarter | Forecast / EPS | Last Year's EPS | EPS YoY Change | Press Release |
|---|---|---|---|---|---|
| Jan 27, 2027 | 2026 (Q4) | 0.63- | 0.84 | ― | ― |
| Oct 19, 2026 | 2026 (Q3) | 0.480.77 | 0.74 | 3.61% (+0.03) | |
| Jul 22, 2026 | 2026 (Q2) | 0.650.74 | 0.75 | -1.19% (-0.01) | |
| Apr 22, 2026 | 2026 (Q1) | 0.700.74 | 0.82 | -9.78% (-0.08) | |
| Jan 22, 2026 | 2025 (Q4) | 0.730.84 | 0.37 | 129.27% (+0.47) | |
| Oct 21, 2025 | 2025 (Q3) | 0.640.74 | 0.59 | 26.72% (+0.16) | |
| Jul 22, 2025 | 2025 (Q2) | 0.700.75 | 0.77 | -2.33% (-0.02) | |
| Apr 23, 2025 | 2025 (Q1) | 0.760.82 | 0.85 | -2.65% (-0.02) | |
| Jan 22, 2025 | 2024 (Q4) | 0.460.37 | 0.69 | -46.75% (-0.32) | |
| Oct 21, 2024 | 2024 (Q3) | 0.430.59 | 0.27 | 114.75% (+0.31) |
The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.
Beat Missed
