Fri, May 9, 5:17 PM (13 days ago)
**Safety Insurance Group, Inc. (SAFT) Q1 2025 Financial Summary** **Financial Health and Performance:** - **Revenue:** $301.4 million, up from $268.2 million in Q1 2024. - **Net Income:** $21.9 million, an increase from $20.1 million in Q1 2024. - **Earnings per Share (EPS):** $1.48, up from $1.36 in Q1 2024. - **Profit Margins:** Income before taxes at $28.2 million, up from $25.6 million. - **Cash Flow:** Positive operating cash flow of $3.2 million, a reversal from a negative $21.1 million in Q1 2024. **Key Metrics:** - **Net Earned Premiums:** $272.7 million, up 15.5% from Q1 2024. - **Net Investment Income:** $14.6 million, down 4.3% from Q1 2024. - **Losses and Loss Adjustment Expenses:** $190.3 million, up 13.0% from Q1 2024. - **Underwriting Expenses:** $80.9 million, up 11.9% from Q1 2024. **Trends and Uncertainties:** - **Growth:** Double-digit growth in direct written premiums for the tenth consecutive quarter. - **Market Conditions:** Positive trends in policy counts and average written premiums. - **Investments:** Gross unrealized gains and losses on investments indicate market volatility. - **Regulatory Environment:** Compliance with Massachusetts insurance regulations and dividend restrictions. **Future Operations Impact:** - **Dividends:** Quarterly dividend of $0.90 per share, with plans to continue regular dividends. - **Share Repurchase:** No share repurchases in Q1 2025, but $200 million authorized for future repurchases. - **Liquidity:** Positive operating cash flows expected to meet liquidity requirements. **Conclusion:** Safety Insurance Group, Inc. demonstrated strong financial performance in Q1 2025, with significant revenue growth, increased net income, and positive cash flow. The company continues to navigate market uncertainties and regulatory environments while maintaining a focus on shareholder value through dividends and potential share repurchases.