Root posts FY 2025 net income of USD 40 million, up 30%

Reuters02-26
Root posts FY 2025 net income of USD 40 million, up 30%

Root reported FY 2025 results showing gross premiums written of USD 1.5 billion (up 16%) and gross premiums earned of USD 1.5 billion (up 19%). Net income was USD 40 million (up USD 9 million), while operating income was USD 62 million and adjusted EBITDA was USD 132 million (up USD 20 million). Root ended FY 2025 with USD 312 million of unencumbered capital. For Q4 2025, Root said gross premiums written rose to USD 362 million (up 9%) and gross premiums earned increased to USD 377 million (up 14%). Net income was USD 5 million, with operating income of USD 11 million and adjusted EBITDA of USD 29 million. On business updates, Root said its new algorithms increased estimated average customer lifetime value by 20% over the last 12 months and that 82% of its eligible direct business opts in to telematics. The company also highlighted geographic expansion (operating in 36 states, covering 80% of the U.S. population, with a goal to reach the contiguous U.S. by end of 2027), rapid growth in its independent agent channel (more than tripled new writings year-over-year), and a connected-vehicle initiative, including a Q4 partnership enabling eligible connected Toyota and Lexus owners to opt in to share driving data for an instant telematics-based quote. Root said it expects accelerating annual policies-in-force growth in 2026 as it continues to invest in technology and distribution.

Disclaimer: This news brief was created by Public Technologies (PUBT) using generative artificial intelligence. While PUBT strives to provide accurate and timely information, this AI-generated content is for informational purposes only and should not be interpreted as financial, investment, or legal advice. Root Inc. published the original content used to generate this news brief via EDGAR, the Electronic Data Gathering, Analysis, and Retrieval system operated by the U.S. Securities and Exchange Commission (Ref. ID: 0001788882-26-000013), on February 25, 2026, and is solely responsible for the information contained therein.

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