Overview

* Employers Holdings ( EIG ) Q3 revenue grows 1%, driven by higher renewal business writings

* EPS for Q3 misses analyst expectations

* Company announces $125 mln recapitalization plan and $125 mln increase in share repurchase authorization

Result Drivers

* RESERVE ADJUSTMENTS - Co increased reserves by $38.2 mln due to higher California claim frequency, impacting loss and LAE ratio

* PREMIUM GROWTH - Gross premiums written rose 1% due to higher renewal business and smaller policy size growth

* EXPENSE RATIO IMPROVEMENTS - Co improved commission and underwriting expense ratios through cost-saving measures

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q3 $183.90

Revenue mln

Q3 EPS Miss -$0.41 $0.54 (4

ex LPT Analysts

)

Q3 EPS -$0.36

Q3 Net Miss -$9.60 $18.80

Income mln mln (1

Ex LPT Analyst)

Q3 Net -$8.30

Income mln

Analyst Coverage

* The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 1 "strong buy" or "buy", 2 "hold" and no "sell" or "strong sell"

* The average consensus recommendation for the property & casualty insurance peer group is "buy."

* Wall Street's median 12-month price target for Employers Holdings Inc ( EIG ) is $46.00, about 12.4% above its October 29 closing price of $40.29

Press Release:

For questions concerning the data in this report, contact [email protected]. For any other questions or feedback, contact .

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)