Kinsale Capital Group Q4 Combined Ratio Of 71.7% Reinforces Quality Underwriting Narrative

Kinsale Capital Group (KNSL) has wrapped up FY 2025 with fourth quarter revenue of US$483.3 million and EPS of US$6.01, underpinned by net income of US$138.6 million and a combined ratio of 71.7%. The company has seen quarterly revenue move from US$412.1 million in Q4 2024 to US$423.4 million in Q1 2025, US$469.8 million in Q2, US$497.5 million in Q3 and US$483.3 million in Q4 2025. EPS shifted from US$4.71 in Q4 2024 through US$3.85, US$5.79 and US$6.12 across the first three quarters of 2025 before landing at US$6.01 in Q4. With a trailing net margin of 26.3% versus 26.8% a year earlier, investors are likely to read this set of results through the lens of how consistently Kinsale is converting premium growth into underwriting and bottom line profitability.

See our full analysis for Kinsale Capital Group.

With the latest earnings on the table, the next step is to see how these results line up with the key stories investors tell about Kinsale, and where the numbers start to question those narratives.

See what the community is saying about Kinsale Capital Group

75.9% combined ratio keeps underwriting tight

• For the trailing twelve months, Kinsale reports a 75.9% combined ratio compared with 76.4% a year earlier, while the quarterly combined ratio moved within a range of 71.7% to 82.1% across 2025.
• Consensus narrative argues that tight underwriting and expense discipline support resilient earnings, and the current figures speak to both sides of that claim:
  • The 75.9% trailing combined ratio lines up with the idea of disciplined underwriting, while the higher 82.1% reading in Q1 2025 shows that results can still vary from quarter to quarter.
  • Net income between US$89.2 million and US$141.6 million across 2025 quarters, together with a 26.3% trailing net margin versus 26.8% last year, suggests profitability has stayed high even as margins have edged slightly lower.

EPS growth cools from five year pace

• Over the last year, earnings grew 15.9% compared with a 33.4% per year average over five years, and trailing twelve month EPS reached US$20.46 at Q3 2025 versus US$17.92 at Q4 2024.
• Analysts' consensus view highlights strong multi year growth but flags slower recent momentum, and the data backs that mixed picture:
  • Quarterly EPS in 2025 stepped from US$3.85 in Q1 to US$6.12 in Q3 and US$6.01 in Q4, which supports the idea that earnings are still rising, just not at the earlier five year pace.
  • The forecast that EPS could grow about 6.7% per year, below both the historical 33.4% clip and the cited broader US market growth rates, fits with the concern that past growth may not be a simple guide to what happens next.

Premium valuation versus peers and DCF

• The shares trade on a trailing P/E of 18.2x versus 12.3x for the US Insurance industry and 9.1x for peers, while the current price of US$371.32 sits below both a DCF fair value of about US$534.16 and an analyst target of US$446.60.
• Consensus narrative talks about a trade off between quality and price, and the current numbers illustrate that tension clearly:
  • On one side, the stock carries a higher P/E than the industry and peer averages even though revenue is forecast to grow about 9.9% per year and earnings about 6.7% per year, both below the cited US market growth rate of 10.3% for revenue.
  • On the other side, the DCF fair value of roughly US$534.16 and analyst target of US$446.60 are above the current US$371.32 share price, which aligns with the idea that the market price sits below what those models imply.

If you want to see how other investors are weighing that growth track record against valuation today, you can read the full community view in See what the community is saying about Kinsale Capital Group

Next Steps

To see how these results tie into long-term growth, risks, and valuation, check out the full range of community narratives for Kinsale Capital Group on Simply Wall St. Add the company to your watchlist or portfolio so you'll be alerted when the story evolves.

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A good starting point is our analysis highlighting 4 key rewards investors are optimistic about regarding Kinsale Capital Group.

See What Else Is Out There

Kinsale pairs a relatively high P/E with earnings growth that trails its five year pace and the cited broader US market estimates, which raises questions about paying up for slower momentum.

If that trade off feels uncomfortable, take a focused look at 53 high quality undervalued stocks, where you can quickly compare companies that pair stronger value signals with fundamentals that better fit what you want today.

This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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