AMERISAFE INC (NASDAQ:AMSF) Q3 2025 Earnings Miss Revenue and EPS Estimates

AMERISAFE INC (NASDAQ:AMSF) reported its financial results for the third quarter of 2025, revealing a performance that fell short of analyst expectations on the top line while delivering a mixed outcome on profitability. The market's initial reaction to the earnings release has been negative, with the stock declining in after-market trading.

Earnings and Revenue Versus Estimates

The company's quarterly results presented a divergence between its revenue performance and its core earnings per share. AMERISAFE reported revenue of $77.86 million for the quarter, which came in below the analyst consensus estimate of $79.87 million. This represents a revenue miss of approximately 2.5%.

On the profitability front, the company reported operating earnings per share of $0.55. This figure slightly trailed the analyst estimate of $0.57 per share, representing a minor shortfall of approximately 4.2%. The key financial metrics from the quarter are summarized below:

• Reported Revenue: $77.86 million
• Estimated Revenue: $79.87 million
• Reported Operating EPS: $0.55
• Estimated EPS: $0.57

The negative after-market price action appears to be a direct response to this dual miss against market expectations, with investors likely weighing the implications of both lower-than-anticipated top-line growth and a slight underperformance on the bottom line.

Core Performance Highlights

Despite the earnings miss, the company's core insurance operations demonstrated resilience. The press release highlighted several consecutive quarters of growth in key underwriting metrics. Gross premiums written increased by 7.2% year-over-year to $80.3 million, while net premiums earned rose 6.2% to $71.2 million. The company's underwriting discipline remained intact, with a net combined ratio of 90.6%, a slight improvement from 90.9% in the prior year period.

The investment portfolio presented a mixed picture. Net investment income declined by 12.3% to $6.6 million, which the company attributed to a decrease in investable assets following a special dividend paid in late 2024. This was partially offset by net unrealized gains on equity securities of $4.1 million.

Capital Management and Shareholder Returns

AMERISAFE maintained its commitment to returning capital to shareholders. Concurrent with the earnings announcement, the Board of Directors declared a special cash dividend of $1.00 per share alongside a regular quarterly dividend of $0.39 per share. The company also continued its share repurchase program, buying back 30,860 shares during the quarter at an average cost of $43.72 per share. Book value per share increased to $14.47 as of September 30, 2025, up 7.1% from the end of 2024.

Forward Outlook and Analyst Estimates

The press release did not provide a specific quantitative financial outlook for the coming periods. Looking ahead, analyst estimates currently project the following for AMERISAFE:

• Q4 2025 Revenue Estimate: $81.46 million
• Q4 2025 EPS Estimate: $0.60
• Full-Year 2025 Revenue Estimate: $318.08 million
• Full-Year 2025 EPS Estimate: $2.31

The absence of company-provided guidance for the next quarter and full year means the market will rely heavily on these analyst projections to gauge future performance.

For a detailed look at historical earnings and future analyst estimates for AMERISAFE, you can review the data available here.

Disclaimer: This article is for informational purposes only and is not intended as investment advice. The analysis is based on publicly available data and should not be construed as a recommendation to buy or sell any security. Investors should conduct their own research and consult with a qualified financial advisor before making any investment decisions.