HOUSTON, Nov. 05, 2026 (GLOBE NEWSWIRE) — Skyward Specialty Insurance Group, Inc. (Nasdaq: SKWD) (“Skyward Group” or the “Company”) today reported third quarter 2026 results.

Summary Financial Data                
($ in thousands, except per share amounts)   Three months ended September 30,   Nine months ended September 30,
unaudited   2026   2025   2026   2025
Managed premiums(1)   $  1,320,600     $  1,174,191     $  3,346,984     $  2,884,425  
Gross written premiums(1)(2)   $  803,485     $  737,288     $  2,211,743     $  1,985,719  
Fee generating gross written premiums(1)(2)   $  517,115     $  436,903     $  1,135,241     $  898,706  
Net written premiums   $  501,778     $  441,167     $  1,420,277     $  1,123,651  
Net income   $  49,796     $  45,901     $  148,565     $  126,798  
Net operating income(3)   $  58,486     $  44,228     $  174,577     $  119,512  
Diluted earnings per share   $  1.09      $  1.10      $  3.26      $  3.03   
Diluted operating earnings per share   $  1.28      $  1.05      $  3.83      $  2.84   
Annualized ROE (4)      15.7  %      19.7  %      17.3  %      19.3  %
Annualized operating ROE (5)      18.4  %      19.0  %      20.4  %      18.2  %
(1) Select third quarter 2025 metrics for the Skyward Group and Apollo are presented on a pro forma basis for comparative purposes only and are not necessarily indicative of the operating results that Skyward Group would have recognized had the acquisition actually been completed on January 1, 2025. Pro forma information is unaudited.
(2) Prior year pro forma gross written premiums are adjusted for the impact of the change in participations. See “Reconciliation of Non-GAAP Financial Measures”.
(3) See “Reconciliation of Non-GAAP Financial Measures”
(4) Annualized ROE is net income expressed on an annualized basis as a percentage of average beginning and ending stockholders’ equity during the period.
(5) Annualized operating ROE is operating income expressed on an annualized basis as a percentage of average beginning and ending stockholders’ equity during the period.
                 

Highlights for the third quarter included:

  • Managed premiums increased 12.5%(2) compared to 2025;
  • Gross written premiums increased 9.0%(1)(2) compared to 2025;
  • Fee-generating gross written premiums(1)(2) increased 18.4% compared to 2025;
  • Combined ratio of 89.9%;
  • Ex-Cat combined ratio of 88.1%;
  • Annualized return on equity(4) and annualized operating return on equity(5) of 17.3% and 20.4%, respectively, for the nine months ended September 30, 2026; and,
  • Book value per share of $28.74, an increase of 15.3% compared to December 31, 2025.

Skyward Group Chairman and CEO Andrew Robinson commented, “The outstanding quarter and year to date performance reflects the strength of the Skyward Group Rule Our NicheTM strategy and the benefits of the diversified portfolio we have built. Through the first nine months of the year, we have delivered an annualized operating ROE of over 20% while growing managed premiums by 16%. In the quarter, gross written premiums grew 9.0%, while fee-generating gross written premiums increased 18%. The diversity of our portfolio and the complementary strength of our capital-light, fee-based platform continue to be meaningful differentiators, providing multiple avenues for profitable growth and enabling us to remain disciplined in deploying capital toward the most compelling opportunities as market conditions evolve. Across Skyward Group, we continue to execute at a high level, and we remain well positioned to continue to deliver top-quartile financial returns for our shareholders.”

Results of Operations

Gross Written Premiums By Underwriting Division

($ in thousands)   Three months ended September 30,   Nine months ended September 30,
    2026   2025   % Change   2026   2025   % Change
Skyward Specialty Segment                        
Accident & Health   $  99,131     $  63,147    57.0 %   $  286,596   $  186,805   53.4 %
Captives      50,185        67,956    (26.2 )%      172,350      211,879   (18.7 )%
Credit & Surety      67,210        52,785    27.3 %      195,143      152,944   27.6 %
Energy Solutions      55,646        66,576    (16.4 )%      167,202      216,992   (22.9 )%
Global Agriculture      192,161        159,057    20.8 %      406,452      296,853   36.9 %
Global Property      22,318        27,649    (19.3 )%      127,944      158,327   (19.2 )%
Professional Lines      31,323        34,637    (9.6 )%      102,529      112,409   (8.8 )%
Strategic Distribution Partners      109,565        82,771    32.4  %      315,773      231,401   36.5 %
Transactional E&S      40,745        50,950    (20.0 )%      143,105      156,417   (8.5 )%
Total continuing business   $  668,284     $  605,528    10.4 %   $  1,917,094   $  1,724,027   11.2 %
Exited business      (2 )      981   NM(1)      765      2,722   NM(1)
Total Skyward Specialty Segment gross written premiums   $  668,282     $  606,509    10.2 %   $  1,917,859   $  1,726,749   11.1 %
Apollo Segment(2)(3)                        
Syndicate 1969      67,520        61,105    10.5 %      191,959      160,164   19.9 %
Syndicate 1971      67,683        69,674    (2.9 )%      101,925      98,806   3.2 %
Total Apollo Segment gross written premiums      135,203        130,779   3.4 %      293,884      258,970   13.5 %
Total gross written premiums(2)(3)   $  803,485     $  737,288   9.0 %   $  2,211,743   $  1,985,719   11.4 %
                         
(1) Not meaningful.                        
(2) Prior year information is pro forma.
(3) Prior year information is adjusted for the impact of the change in participations. See “Reconciliation of Non-GAAP Financial Measures”.
                         

Effective in the third quarter, the Company renamed the Specialty Programs division to Strategic Distribution Partners (or “Strategic “Distribution”) to better reflect the breadth of its distribution model, the Company’s ownership interests in many of these distributors, and its ability to incorporate U.S. distribution activities related to ibott within the division.

Managed Premiums

Apollo provides managing agency services to nine syndicates within its Lloyd’s platform. The capital-aligned syndicates, Syndicate 1969, Syndicate 1971 and Syndicate 1972, are wholly managed and partly capitalized by Apollo with Apollo retaining a portion of the underwriting risk via its Lloyd’s Corporate Member, Apollo No. 16. Platform Partner syndicates are managed by Apollo on behalf of third‑party partners and Apollo does not currently provide capital for underwriting of these syndicates. Because managed premiums are a key management operating metric intended to reflect the scale of business managed by Apollo, inter-syndicate reinsurance transactions, including those involving Syndicate 1972 and other Apollo-managed syndicates, are not eliminated in the calculation of managed premiums. Apollo receives managing agency fees and performance‑based income for its managing agency services from all syndicates on its Lloyd’s platform.

($ in thousands)   Three months ended September 30,   Nine months ended September 30,
    2026   2025   % Change   2026   2025   % Change
Total gross written premiums(1)(2)   $  803,485   $  737,288   9.0 %   $  2,211,743   $  1,985,719   11.4 %
Fee generating gross written premiums(1)(2):                        
Aligned Syndicates(3)      401,468      369,548   8.6 %      855,183      717,178   19.2 %
Partner Syndicates(3)      115,647      67,355   71.7 %      280,058      181,528   54.3 %
Total fee generating gross written premiums   $  517,115   $  436,903   18.4 %   $  1,135,241   $  898,706   26.3 %
Total Skyward Group managed premiums   $  1,320,600   $  1,174,191   12.5 %   $  3,346,984   $  2,884,425   16.0 %
                         
(1) Prior year information is pro forma.
(2) Prior year information is adjusted for the impact of the change in participations. See “Reconciliation of Non-GAAP Financial Measures”.
(3) During the third quarter of 2026, the Company reclassified fee generating gross written premiums attributable to Syndicate 1972 from Partner Syndicates to Aligned Syndicates. Year to date 2026 amounts have been reclassified to conform to the current period presentation.
                         

Underwriting Results

($ in thousands)   Three Months Ended September 30, 2026   Nine Months Ended September 30, 2026
                                 
    Skyward Specialty   Apollo   Corporate   Total   Skyward Specialty   Apollo   Corporate   Total
Revenues:                                
Net earned premiums   $ 329,958     $ 76,906     $ —     $ 406,864     $ 1,072,247     $ 213,096     $ —     $ 1,285,343  
Underwriting fee income     —       11,000       —       11,000       —       33,666       —       33,666  
Commission and fee income     3,118       —       —       3,118       6,979       —       —       6,979  
Total revenues     333,076       87,906       —       420,982       1,079,226       246,762       —       1,325,988  
Expenses:                                
Losses and loss adjustment expenses     206,413       44,623       —       251,036       671,611       121,389       —       793,000  
Underwriting, acquisition and insurance expenses     88,051       24,986       4,965       118,002       279,145       72,506       14,246       365,897  
Fee‑based service expenses     —       4,075       —       4,075       —       12,807       —       12,807  
Total expenses     294,464       73,684       4,965       373,113       950,756       206,702       14,246       1,171,704  
Underwriting Income   $ 38,612     $ 14,222     $ —     $ 47,869     $ 128,470     $ 40,060     $ —     $ 154,284  
                                 
Combined Ratio                                
Non-cat loss and LAE     61.1 %     55.2 %     — %     59.9 %     60.9 %     54.3 %     — %     59.9 %
Cat loss and LAE     1.5 %     2.8 %     — %     1.8 %     1.7 %     2.7 %     — %     1.8 %
Loss Ratio     62.6 %     58.0 %     — %     61.7 %     62.6 %     57.0 %     — %     61.7 %
Net policy acquisition costs     14.2 %     19.0 %     — %     15.2 %     14.2 %     19.4 %     — %     14.9 %
Other operating and general expenses     12.4 %     13.5 %     — %     12.6 %     11.9 %     14.6 %     — %     12.4 %
Commission and fee income     (0.9
 )%     — %     — %     (0.8
 )%     (0.7
 )%     — %     — %     (0.5
 )%
Corporate expenses(1)     — %     — %     1.2 %     1.2 %     — %     — %     1.1 %     1.1 %
Expense ratio     25.7 %     32.5 %     1.2 %     28.2 %     25.4 %     34.0 %     1.1 %     27.9 %
Combined ratio     88.3 %     90.5 %     — %     89.9 %     88.0 %     91.0 %     — %     89.6 %
Ex-Cat Combined Ratio     86.8 %     87.7 %     — %     88.1 %     86.3 %     88.3 %     — %     87.8 %
(1) Calculated using consolidated net earned premiums

($ in thousands)   Three Months Ended September 30, 2025   Nine Months Ended September 30, 2025
                         
    Skyward Specialty   Corporate   Total   Skyward Specialty   Corporate   Total
Revenues:                        
Net earned premiums   $ 351,797     $ —     $ 351,797     $ 947,705     $ —     $ 947,705  
Commission and fee income     1,904       —       1,904       6,440       —       6,440  
Total revenues     353,701       —       353,701       954,145       —       954,145  
Expenses:                        
Losses and loss adjustment expenses     213,780       —       213,780       582,351       —       582,351  
Underwriting, acquisition and insurance expenses     98,079       3,597       101,676       263,083       10,740       273,823  
Total expenses     311,859       3,597       315,456       845,434       10,740       856,174  
Underwriting Income   $ 41,842     $ —     $ 38,245     $ 108,711     $ —     $ 97,971  
                         
Combined Ratio                        
Non-cat loss and LAE     60.2 %     — %     60.2 %     60.1 %     — %     60.1 %
Cat loss and LAE     0.6 %     — %     0.6 %     1.3 %     — %     1.3 %
Loss Ratio     60.8 %     — %     60.8 %     61.4 %     — %     61.4 %
Net policy acquisition costs     13.9 %     — %     14.0 %     14.6 %     — %     14.6 %
Other operating and general expenses     13.9 %     — %     13.9 %     13.2 %     — %     13.2 %
Commission and fee income     (0.5 )%     — %     (0.5 )%     (0.7 )%     — %     (0.7 )%
Corporate expenses(1)     — %     1.0 %     1.0 %     — %     1.1 %     1.1 %
Expense ratio     27.3 %     1.0 %     28.4 %     27.1 %     1.1 %     28.2 %
Combined ratio     88.1 %     — %     89.2 %     88.5 %     — %     89.6 %
Ex-Cat Combined Ratio     87.5 %     — %     88.6 %     87.2 %     — %     88.3 %
(1) Calculated using consolidated net earned premiums

The Skyward Specialty segment loss and LAE ratios for the third quarter and first nine months of 2026 increased 1.8 points and 1.2 points, respectively, when compared to the same 2025 periods primarily due to shifts in business mix driven by growth in the accident & health and global agriculture divisions. Both the Skyward Specialty and Apollo segments were impacted by catastrophe losses in the third quarter, predominantly convective storm activity.

The Skyward Group expense ratios for the third quarter and first nine months of 2026 improved when compared to the same 2025 periods. The Skyward Specialty segment’s expense ratios improved 1.6 points and 1.7 points, respectively, when compared to the same 2025 periods, driven by business mix shift, enhanced operating efficiencies, and scale as net earned premiums outpaced expense growth. In the first quarter of 2026, the Company revised its expense presentation to report corporate expenses separately from segment expenses following the closing of the Apollo acquisition. The prior year period has been recast to reflect this change.

Investment Results

Net Investment Income                
$ in thousands   Three months ended September 30,   Nine months ended September 30,
(unaudited)   2026   2025   2026   2025
Short-term investments   $ 2,381     $ 3,268     $ 7,338     $ 10,182  
Cash and cash equivalents     2,690       695       6,932       2,595  
Fixed income     30,338       20,806       87,013       55,358  
Alternative & strategic investments     (1,530 )     (2,755 )     (9,622 )     (7,995 )
Net investment income   $ 33,879     $ 22,014     $ 91,661     $ 60,140  
Net unrealized gains (losses) on securities still held   $ 2,444     $ (8,987 )   $ 6,146     $ (6,677 )
Net realized (losses) gains     (1,978 )     16,034       (3,096 )     23,564  
Net investment gains   $ 466     $ 7,047     $ 3,050     $ 16,887  
                 

In the first quarter of 2026, the Company revised its presentation of net investment income to (i) report short-term investments separately from cash and cash equivalents following the closing of the Apollo acquisition, and (ii) include equities in alternative & strategic investments after the sale of the majority of the equity portfolio in 2025. The prior year period has been recast to reflect this change.

Net investment income for the third quarter and first nine months of 2026 increased $11.9 million and $31.5 million, respectively, when compared to the same 2025 periods, driven by the addition of the Apollo portfolio, a higher yield, and a larger asset base. The increase in income from cash and cash equivalents was due to an overall increase in the invested asset base from the addition of Apollo when compared to the same 2025 periods.

The alternative & strategic investments portfolio continued to be impacted by the decline in the fair value of limited partnership investments.

Stockholders’ Equity

Stockholders’ equity was $1,276.3 million at September 30, 2026 which represented an increase of 0.7% when compared to stockholders’ equity of $1,267.5 million at June 30, 2026. The increase in stockholders’ equity was primarily attributable to net income, partially offset by unrealized losses on available-for-sale investment securities.

Conference Call

At 10:00 a.m. eastern time tomorrow, November 6, 2026, Company management will hold a conference call to discuss quarterly results with insurance industry analysts. Interested parties may listen to the discussion at investors.skywardinsurance.com under Events & Presentations. Additionally, investors can access the earnings call via conference call by registering via the conference link available on our website. Users will receive dial-in information and a unique PIN to join the call upon registering.

Non-GAAP Financial Measures

This release contains certain financial measures and ratios that are not required by, or presented in accordance with, generally accepted accounting principles in the United States (“GAAP”). We refer to these measures as “non-GAAP financial measures.” The non-GAAP financial measures included in this release are operating income, basic and diluted operating earnings per share, annualized operating return on equity, underwriting income, tangible stockholders’ equity, annualized return on tangible equity, annualized operating return on tangible equity, adjusted pro forma gross written premiums and adjusted pro forma fee generating gross written premiums. This release also includes managed premiums, a key management operating metric representing the sum of gross written premiums and fee generating gross written premiums. We use these non-GAAP financial measures when planning, monitoring, and evaluating our performance.

We consider these non-GAAP financial measures to be useful metrics for our management and investors to facilitate operating performance comparisons from period to period. While we believe that these non-GAAP financial measures are useful in evaluating our business, this information should be considered supplemental in nature and is not meant to be a substitute for revenue or net income, in each case as recognized in accordance with GAAP. In addition, other companies, including companies in our industry, may calculate such measures differently, which reduces their usefulness as comparative measures. For more information regarding these non-GAAP financial measures and a reconciliation of such measures to comparable GAAP financial measures, see the section entitled “Reconciliation of Non-GAAP Financial Measures.”

About Skyward Specialty Insurance Group, Inc.

Skyward Group is the holding company brand for its U.S. and U.K. businesses, Skyward Specialty Insurance Group, Inc.® and Apollo, respectively, delivering a comprehensive suite of specialized insurance solutions across global specialty property and casualty markets. Focused on the specialty industry’s most niche, complex risks of today and the emerging challenges of tomorrow, Skyward Group leverages the forward-looking insight and disciplined execution of each organization to drive sustainable growth and long-term value for its shareholders, distribution partners, and other stakeholders.

For more information about Skyward Group, Skyward Specialty and Apollo, please visit skywardgroup.com. 

Forward-Looking Statements

Except for historical information, this news release and statements made on the related conference call, contain consists of forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. The forward-looking statements are typically, but not always, identified through use of the words “believe,” “expect,” “enable,” “may,” “will,” “could,” “intends,” “estimate,” “anticipate,” “plan,” “predict,” “probable,” “potential,” “positioned,” “possible,” “should,” “continue,” and other words of similar meaning. These forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially from those projected, anticipated or implied. The most significant of these uncertainties are described in Skyward Group’s most recent Annual Report on Form 10-K and Quarterly Reports on Form 10-Q filed with the Securities and Exchange Commission, and include (but are not limited to) legislative and regulatory changes in the U.S. at both the state and federal level and in the U.K., class action litigation involving the insurance industry and judicial decisions affecting claims, policy coverages and the general costs of doing business, the potential loss of key members of our management team or key employees and our ability to attract and retain personnel, the impact of competition on products and pricing, inflation in the costs of the products and services insurance pays for, product development, geographic spread of risk, weather and weather-related events, other types of catastrophic events, our ability to obtain reinsurance coverage at prices and on terms that allow us to transfer risk and adequately protect our company against financial loss, losses resulting from reinsurance counterparties failing to pay us on reinsurance claims, our ability to successfully integrate Apollo and realize the anticipated benefits of the acquisition, risks related to our Lloyd’s operations, including changes in syndicate participations and Lloyd’s regulatory requirements, changes in interest rates, credit markets and the value of our investment portfolio, and fluctuations in foreign currency exchange rate. These forward-looking statements speak only as of the date of this release and the Company does not undertake any obligation to update or revise any forward-looking information to reflect changes in assumptions, the occurrence of unanticipated events, or otherwise.

Skyward Specialty Insurance Group, Inc.

Investor Contact
Jordan Arnold
Skyward Specialty Insurance Group
346-215-0250
jarnold@skywardinsurance.com 

Media Contact
Haley Doughty
Skyward Specialty Insurance Group
713-935-4944
hdoughty@skywardinsurance.com 

Consolidated Balance Sheets        
($ in thousands, except share and per share amounts)        
(unaudited)   September 30,
2026		   December 31,
2025
Assets        
Investments:        
Fixed maturity securities, available-for-sale, at fair value (net of allowance for credit losses of $5,910 and $7,000, respectively) (amortized cost of $2,265,283 and $1,848,755, respectively)   $ 2,191,576     $ 1,856,303
Fixed maturity securities, held-to-maturity, at amortized cost (net of allowance for credit losses of $4,228 and $468, respectively)     26,446       32,822
Equity securities, at fair value     1,088       1,174
Mortgage loans, at fair value     6,712       9,902
Equity method investments     62,686       77,365
Other long-term investments     66,847       58,650
Short-term investments, at fair value     531,449       264,299
Total investments     2,886,804       2,300,515
Cash and cash equivalents     187,615       168,544
Restricted cash     96,675       30,570
Funds at Lloyd’s     121,630       2,509
Options, at fair value     31,846       34,857
Premiums and commissions receivable, net     1,091,077       544,217
Reinsurance recoverables, net     1,460,189       1,119,880
Ceded unearned premium     389,749       238,948
Deferred policy acquisition costs and VOBA     190,373       136,100
Deferred tax assets     65,773       27,865
Goodwill and intangible assets, net     469,054       88,040
Other assets     155,661       99,807
Total assets   $ 7,146,446     $ 4,791,852
Liabilities and stockholders’ equity        
Liabilities:        
Reserves for losses and loss adjustment expenses   $ 3,208,137     $ 2,318,894
Unearned premiums     1,225,726       774,035
Deferred ceding commission     62,708       46,453
Reinsurance and premium payables     565,980       279,888
Funds held for others     151,163       128,003
Deferred tax liabilities     66,924       —
Accounts payable and accrued liabilities     152,910       115,034
Notes payable     417,037       100,411
Subordinated debt, net of debt issuance costs     19,593       19,569
Total liabilities     5,870,178       3,782,287
Stockholders’ equity        
Common stock, $0.01 par value, 500,000,000 shares authorized, 44,846,532 shares issued and 44,413,449 shares outstanding at September 30, 2026; 40,511,222 shares issued and outstanding at December 31, 2025     448       405
Treasury stock, at cost, 433,083 and 0 shares, respectively     (19,552 )     —
Additional paid-in capital     933,877       730,555
Accumulated other comprehensive (loss) income     (54,218 )     11,457
Retained earnings     415,713       267,148
Total stockholders’ equity     1,276,268       1,009,565
Total liabilities and stockholders’ equity   $ 7,146,446     $ 4,791,852
         

Condensed Consolidated Statements of Operations and Comprehensive Income
($ in thousands)   Three months ended September 30,   Nine months ended September 30,
(unaudited)   2026   2025   2026   2025
Revenues:                
Net earned premiums   $ 406,864     $ 351,797     $ 1,285,343     $ 947,705  
Underwriting fee income     11,000       —       33,666       —  
Commission and fee income     3,118       1,904       6,979       6,440  
Net investment income     33,879       22,014       91,661       60,140  
Net investment gains     466       7,047       3,050       16,887  
Other income (loss)     14       (236 )     42       (216 )
Total revenues     455,341       382,526       1,420,741       1,030,956  
Expenses:                
Losses and loss adjustment expenses     251,036       213,780       793,000       582,351  
Underwriting, acquisition and insurance expenses     118,002       101,676       365,897       273,823  
Fee‑based service expenses     4,075       —       12,807       —  
Interest expense     6,997       1,919       23,528       5,629  
Amortization expense     8,843       455       26,529       1,164  
Other expenses     2,744       4,149       9,703       6,212  
Total expenses     391,697       321,979       1,231,464       869,179  
Income before income taxes     63,644       60,547       189,277       161,777  
Income tax expense     13,848       14,646       40,712       34,979  
Net income   $ 49,796     $ 45,901     $ 148,565     $ 126,798  
Comprehensive income:                
Net income   $ 49,796     $ 45,901     $ 148,565     $ 126,798  
Other comprehensive (loss) income:                
Unrealized gains and losses on investments:                
Net change in unrealized (losses) gains on investments, net of tax     (47,742 )     6,740       (65,584 )     30,000  
Reclassification adjustment for gains on securities no longer held, net of tax     849       5,465       861       1,659  
Foreign currency translation adjustment     (234 )     —       (952 )     —  
Total other comprehensive (loss) income     (47,127 )     12,205       (65,675 )     31,659  
Comprehensive income   $ 2,669     $ 58,106     $ 82,890     $ 158,457  
                 

Share and Per Share Data                
($ in thousands, except share and per share amounts)   Three months ended September 30,   Nine months ended September 30,
(unaudited)   2026   2025   2026   2025
Weighted average basic shares     44,405,132       40,487,069       44,462,989       40,377,864  
Weighted average diluted shares     45,799,617       41,868,449       45,618,514       41,784,976  
                 
Basic earnings per share   $ 1.12     $ 1.13     $ 3.34     $ 3.14  
Diluted earnings per share   $ 1.09     $ 1.10     $ 3.26     $ 3.03  
Basic operating earnings per share   $ 1.32     $ 1.09     $ 3.93     $ 2.94  
Diluted operating earnings per share   $ 1.28     $ 1.05     $ 3.83     $ 2.84  
                 
Annualized ROE (1)     15.7 %     19.7 %     17.3 %     19.3 %
Annualized operating ROE (2)     18.4 %     19.0 %     20.4 %     18.2 %
Annualized ROTE (3)     23.0 %     21.8 %     22.1 %     21.4 %
Annualized operating ROTE (4)     27.0 %     21.0 %     25.9 %     20.2 %
                 
            September 30,   December 31,
            2026   2025
Shares outstanding             44,413,449       40,511,222  
Fully diluted shares outstanding             46,573,658       42,292,371  
                 
Book value per share           $ 28.74     $ 24.92  
Fully diluted book value per share           $ 27.40     $ 23.87  
                 
(1) Annualized ROE is net income expressed on an annualized basis as a percentage of average beginning and ending stockholders’ equity during the period.
(2) Annualized operating ROE is operating income expressed on an annualized basis as a percentage of average beginning and ending stockholders’ equity during the period.
(3) Annualized ROTE is net income expressed on an annualized basis as a percentage of average beginning and ending tangible stockholders’ equity during the period.
(4) Annualized operating ROTE is operating income expressed on an annualized basis as a percentage of average beginning and ending tangible stockholders’ equity during the period.

Operating income – We define operating income as net income excluding the impact of certain items that may not be indicative of underlying business trends, operating results, or future outlook, net of tax impact. We use operating income as an internal performance measure in the management of our operations because we believe it gives our management and other users of our financial information useful insight into our results of operations and our underlying business performance. Operating income should not be viewed as a substitute for net income calculated in accordance with GAAP, and other companies may define operating income differently. 

($ in thousands) Three months ended September 30,   Nine months ended September 30,
(unaudited) 2026   2025 2026   2025
  Pre-tax   After-tax   Pre-tax   After-tax   Pre-tax   After-tax   Pre-tax   After-tax
Income as reported $ 63,644     $ 49,796     $ 60,547     $ 45,901     $ 189,277     $ 148,565     $ 161,777     $ 126,798  
Less (add):                              
Net investment gains   466       365       7,047       5,342       3,050       2,394       16,887       13,236  
Amortization expense   (8,843 )     (6,919 )     (455 )     (345 )     (26,529 )     (20,823 )     (1,164 )     (912 )
Other income (loss)   14       11       (236 )     (179 )     42       33       (216 )     (169 )
Other expenses   (2,744 )     (2,147 )     (4,149 )     (3,145 )     (9,703 )     (7,616 )     (6,212 )     (4,869 )
Operating income $ 74,751     $ 58,486     $ 58,340     $ 44,228     $ 222,417     $ 174,577     $ 152,482     $ 119,512  
                               

Underwriting income – We define underwriting income as net income before income taxes excluding net investment income, net realized and unrealized gains and losses on investments, impairment charges, interest expense, amortization expense and other income and expenses. Underwriting income represents the pre-tax profitability of our underwriting operations and allows us to evaluate our underwriting performance without regard to investment income. We use this metric as we believe it gives our management and other users of our financial information useful insight into our underlying business performance. Underwriting income should not be viewed as a substitute for pre-tax income calculated in accordance with GAAP, and other companies may define underwriting income differently.

($ in thousands)   Three months ended September 30,   Nine months ended September 30,
(unaudited)   2026   2025   2026   2025
Income before income taxes   $ 63,644   $ 60,547     $ 189,277   $ 161,777  
Add:                
Interest expense     6,997     1,919       23,528     5,629  
Amortization expense     8,843     455       26,529     1,164  
Other expenses     2,744     4,149       9,703     6,212  
Less:                
Net investment income     33,879     22,014       91,661     60,140  
Net investment gains     466     7,047       3,050     16,887  
Other income     14     (236 )     42     (216 )
Underwriting income   $ 47,869   $ 38,245     $ 154,284   $ 97,971  
                 

Tangible Stockholders’ Equity – We define tangible stockholders’ equity as stockholders’ equity excluding goodwill and intangible assets and the related deferred tax impact. Our definition of tangible stockholders’ equity may not be comparable to that of other companies and should not be viewed as a substitute for stockholders’ equity calculated in accordance with GAAP. We use tangible stockholders’ equity internally to evaluate the strength of our balance sheet and to compare returns relative to this measure.

($ in thousands)   September 30,   December 31,
(unaudited)   2026   2025     2025
Stockholders’ equity   $  1,276,268   $  961,423   $  1,009,565 
Less: Goodwill and intangible assets      469,054      88,417      88,040
Add: Deferred tax impact      65,500      —      —
Tangible stockholders’ equity   $  872,714   $  873,006   $  921,525
             

Adjusted pro forma gross written premiums – We define adjusted pro forma gross written premiums as pro forma gross written premiums adjusted for the impact of changes in Apollo syndicate participation. We use this measure to evaluate premium growth trends on a consistent participation basis across periods. Adjusted pro forma gross written premiums is a non-GAAP financial measure and should not be considered a substitute for gross written premiums calculated in accordance with GAAP.

$ in thousands Three months ended September 30, 2025
  Syndicate 1969   Syndicate 1971   Total Apollo Segment   Total Skyward Group
Pro forma gross written premiums $ 73,525     $ 57,449   $ 130,974     $ 737,483  
Impact of the change in participations   (12,420 )     12,225     (195 )     (195 )
Adjusted pro forma gross written premiums $ 61,105     $ 69,674   $ 130,779     $ 737,288  
               

$ in thousands Nine months ended September 30, 2025
  Syndicate 1969   Syndicate 1971   Total Apollo Segment   Total Skyward Group
Pro forma gross written premiums $ 192,828     $ 86,727   $ 279,555     $ 2,006,304  
Impact of the change in participations   (32,664 )     12,079     (20,585 )     (20,585 )
Adjusted pro forma gross written premiums $ 160,164     $ 98,806   $ 258,970     $ 1,985,719  
               

Adjusted pro forma fee generating gross written premiums – We define adjusted pro forma fee generating gross written premiums as pro forma fee generating gross written premiums adjusted for the impact of changes in Apollo syndicate participation percentages. We believe this measure provides a more meaningful comparison of fee generating business on a consistent participation basis across periods. Adjusted pro forma fee generating gross written premiums is a non-GAAP financial measure and may not be comparable to similarly titled measures used by other companies.

$ in thousands Three months ended September 30, 2025
  Aligned Syndicates   Partner Syndicates   Total
Pro forma fee generating gross written premiums $ 369,353   $ 67,355   $ 436,708
Impact of the change in participations   195   N/A     195
Adjusted pro forma fee generating gross written premiums $ 369,548   $ 67,355   $ 436,903
           

$ in thousands Nine months ended September 30, 2025
  Aligned Syndicates   Partner Syndicates   Total
Pro forma fee generating gross written premiums $ 696,593   $ 181,528   $ 878,121
Impact of the change in participation(s)   20,585   N/A     20,585
Adjusted pro forma fee generating gross written premiums $ 717,178   $ 181,528   $ 898,706
           


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Skyward Specialty Insurance Group, Inc.