Everest Group reported fourth-quarter net income of $446 million, or $10.77 per diluted share, a sharp turnaround from a $593 million loss, or ($13.96) per share, in the year-ago period. Net operating income reached $549 million, or $13.26 per diluted share, narrowly missing consensus estimates of $13.36. The firm’s net operating income return on average equity was 14.2% annualized, compared with a (20.6%) loss-adjusted return in Q4 2024.

Gross written premiums totaled $4.3 billion, down 8.6% year-over-year, driven by targeted reductions in U.S. casualty lines. Reinsurance premiums fell 3.6% while insurance segment volumes plunged 20.1% on a comparable basis. Despite the pull-back, Everest’s top-line slightly exceeded street estimates for the quarter, reflecting strong double-digit growth in specialty lines that more than offset declines in traditional casualty business.

Investment income rose 19% to a record $562 million, up from $473 million in the prior-year quarter, fueled by a larger asset base and robust returns in core fixed income and alternatives. For the full year, net investment income climbed $170 million to $2.1 billion. Operating cash flow for Q4 was negative $398 million, impacted by a $122 million premium payment for the second layer of adverse development cover; full-year operating cash flow remained strong at $3.1 billion.

Everest achieved a group combined ratio of 98.4%, an improvement of 37.1 percentage points year-over-year, with an attritional combined ratio of 89.9%. Reinsurance combined ratio improved to 91.2%, led by a 10 basis-point reduction in attritional loss ratio despite $200 million in net catastrophe losses from events including Hurricane Melissa. Insurance combined ratio remained elevated at 117.0%, reflecting continued reserve strengthening and ongoing portfolio repositioning.