Shares of Bowhead Specialty Holdings (NYSE: BOW) jumped 6.28% in pre-market trading on Tuesday following the release of the company's strong third-quarter financial results. The specialty insurance provider reported significant growth in gross written premiums and a substantial increase in adjusted net income.
Bowhead Specialty Holdings announced that its gross written premiums rose 17.5% year-over-year to $231.5 million in Q3 2025. The company's net income reached $15.2 million, or $0.45 per diluted share. More impressively, adjusted net income climbed to $15.8 million, or $0.47 per diluted share, representing a 25.5% increase compared to the same period last year.
The robust performance was primarily driven by the company's Casualty division, which saw a 20.4% increase in gross written premiums to $144.7 million. Additionally, the Professional Liability segment grew by 1.7% to $45.7 million. Bowhead Specialty Holdings also reported a strong return on equity of 14.5% and an adjusted return on equity of 15.1%, further emphasizing the company's efficient capital management and profitability.
Investors are likely responding positively to these results, which exceeded analyst expectations. The significant growth in premiums and the substantial increase in adjusted net income demonstrate Bowhead Specialty Holdings' ability to expand its business while maintaining profitability in the competitive specialty insurance market.
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