Revenue: As of FY2026 Q1, the actual value is USD 236 M.EPS: As of FY2026 Q1, the actual value is USD 0.31.EBIT: As of FY2026 Q1, the actual value is USD 14.46 M.<h4>Segment Revenue</h4><ul><li>Net Premiums Earned decreased by $11.3 million (-4.9%) to $221.4 million for Q1 2026, from $232.7 million for Q1 2025. Commercial Lines net premiums earned were $139.0 million for Q1 2026, compared to $136.2 million for Q1 2025. Personal Lines net premiums earned were $82.4 million for Q1 2026, down from $96.5 million for Q1 2025.</li><li>Net Investment Income increased by $2.3 million (19.2%) to $14.3 million for Q1 2026, from $12.0 million for Q1 2025. The Investment Function segment reported $14.3 million in net investment income for Q1 2026, compared to $12.0 million for Q1 2025.</li><li>Net Investment Losses were -$479,224 for Q1 2026, compared to -$470,861 for Q1 2025. The Investment Function segment reported net investment losses of -$479,000 for Q1 2026, compared to -$471,000 for Q1 2025.</li><li>Total Segment Revenues for the Investment Function were $13.8 million for Q1 2026, up from $11.5 million for Q1 2025. Commercial Lines reported total segment revenues of $139.0 million for Q1 2026, compared to $136.2 million for Q1 2025. Personal Lines total segment revenues were $82.4 million for Q1 2026, compared to $96.5 million for Q1 2025.</li></ul><h4>Operational Metrics</h4><ul><li>Net Losses and Loss Expenses increased to $142.0 million for Q1 2026, from $132.0 million for Q1 2025. Commercial Lines experienced $95.4 million in net losses and loss expenses for Q1 2026, compared to $81.3 million for Q1 2025. Personal Lines recorded $46.1 million for Q1 2026, compared to $50.7 million for Q1 2025.</li><li>Other Underwriting Expenses totaled $81.4 million for Q1 2026, a decrease from $83.0 million for Q1 2025. Commercial Lines’ other underwriting expenses were $58.5 million for Q1 2026, compared to $55.5 million for Q1 2025. Personal Lines reported $22.9 million for Q1 2026, compared to $27.5 million for Q1 2025.</li><li>Policyholder Dividends were $652,000 for Q1 2026, down from $759,000 for Q1 2025, with Commercial Lines accounting for the entire amount.</li><li>Total Segment Expenses for Commercial Lines were $154.5 million for Q1 2026, up from $137.6 million for Q1 2025. Personal Lines total segment expenses were $69.0 million for Q1 2026, compared to $78.2 million for Q1 2025.</li><li>SAP Underwriting (Loss) Income was -$2.1 million for Q1 2026, a significant decrease from $16.9 million for Q1 2025. Commercial Lines recorded an SAP underwriting loss of -$15.5 million for Q1 2026, compared to -$1.4 million for Q1 2025. Personal Lines generated $13.4 million in SAP underwriting income for Q1 2026, compared to $18.3 million for Q1 2025.</li><li>GAAP Underwriting Income was $395,000 for Q1 2026, compared to $19.5 million for Q1 2025.</li><li>Income Before Income Tax Expense decreased to $14.1 million for Q1 2026, from $31.2 million for Q1 2025.</li><li>Net Income was $11.5 million for Q1 2026, compared to $25.2 million for Q1 2025.</li></ul><h4>Combined Ratios</h4><ul><li>GAAP Combined Ratios (Total Lines): The Loss Ratio increased to 64.1% for Q1 2026 from 56.7% for Q1 2025, primarily due to higher Weather-Related Losses (7.8% vs 3.7%) and Large Fire Losses (5.5% vs 3.3%), while Core Losses slightly decreased (53.4% vs 54.2%). The Expense Ratio rose to 35.4% for Q1 2026 from 34.6% for Q1 2025, and the Dividend Ratio remained consistent at 0.3%. The total Combined Ratio increased to 99.8% for Q1 2026 from 91.6% for Q1 2025.</li><li>Statutory Combined Ratios: Commercial Lines combined ratio increased to 104.6% for Q1 2026 from 94.7% for Q1 2025, with Commercial Multi-Peril showing a significant increase to 113.9% from 90.3%. Personal Lines combined ratio increased to 85.7% for Q1 2026 from 83.6% for Q1 2025, with Homeowners increasing to 94.6% from 83.8%. The Total Commercial and Personal Lines combined ratio was 97.9% for Q1 2026, up from 90.3% for Q1 2025.</li></ul><h4>Cash Flow</h4><ul><li>Net Cash Provided by Operating Activities decreased to $20.2 million for Q1 2026, from $25.7 million for Q1 2025.</li><li>Net Cash Used in Investing Activities was -$5.4 million for Q1 2026, an improvement from -$14.9 million for Q1 2025.</li><li>Net Cash (Used in) Provided by Financing Activities was -$6.0 million for Q1 2026, compared to $561,770 for Q1 2025.</li><li>Net Increase in Cash was $8.7 million for Q1 2026, compared to $11.4 million for Q1 2025.</li></ul><h4>Unique Metrics</h4><ul><li>Liabilities for Losses and Loss Expenses by Segment (Net of Reinsurance): Commercial Lines were $587.0 million at March 31, 2026, up from $574.4 million at December 31, 2025. Personal Lines were $129.1 million at March 31, 2026, compared to $130.8 million at December 31, 2025.</li><li>Allowance for Expected Credit Losses: Held-to-Maturity Fixed Maturities remained at $1.3 million at March 31, 2026, consistent with March 31, 2025. Reinsurance Receivable allowance was $402,000 at March 31, 2026, compared to $434,000 at March 31, 2025.</li><li>Share-Based Compensation Expense was $326,859 for Q1 2026, compared to $296,936 for Q1 2025.</li><li>Unrecognized Compensation Expense related to nonvested share-based compensation was $2.1 million, expected to be recognized over approximately 2.3 years.</li></ul><h4>Future Outlook and Strategy</h4>多尼戈尔集团-B (Donegal Group Inc.) plans to non-renew farm policies starting Q2 2026 due to high modernization costs and low projected return on investment, which represents approximately $6 million in premiums, and has entered a renewal rights agreement to provide a continuation option for affected policyholders. The company anticipates that the decrease in personal lines net premiums written will gradually taper over 2026 as implemented actions take effect. An expense ratio impact of 1.4 percentage points for the full year 2026 is expected from allocated costs related to the ongoing systems modernization project, with this impact gradually subsiding over the next several years.

Donegal-B | 10-Q: FY2026 Q1 Revenue: USD 236 M