Kingstone Companies, Inc. reported significant financial improvements for the three and nine months ended September 30, 2024, compared to the same periods in 2023. The company achieved a net income of $6.98 million for the third quarter of 2024, a substantial recovery from a net loss of $3.54 million in the prior year. For the nine-month period, net income reached $12.92 million, reversing a loss of $9.11 million in 2023.

Total revenues for the third quarter of 2024 increased to $40.77 million, up from $34.24 million in 2023, while revenues for the nine months rose to $113.04 million from $107.58 million. This growth was driven by a rise in net premiums earned, which reached $33.41 million for the third quarter and $92.53 million for the nine months, compared to $27.94 million and $85.70 million, respectively, in the previous year.

The company’s total expenses decreased significantly, from $38.63 million in Q3 2023 to $31.69 million in Q3 2024, and from $118.85 million for the nine months in 2023 to $96.43 million in 2024. This reduction in expenses contributed to a notable improvement in income from operations, which was $9.08 million for the third quarter of 2024, compared to a loss of $4.40 million in the same quarter of 2023.

Kingstone's underwriting performance also showed marked improvement, with a net loss ratio of 39.0% for Q3 2024, down from 78.5% in Q3 2023. The nine-month net loss ratio improved to 48.8% from 77.7% in the prior year. The net combined ratio for the third quarter was 72.0%, significantly better than 110.2% in the same quarter of 2023, indicating enhanced underwriting profitability.

Strategically, Kingstone has focused on optimizing its business model through initiatives like Kingstone 2.0 and Kingstone 3.0, which aim to modernize operations and improve profitability. The company has also entered into a new 27% quota share reinsurance treaty for its personal lines business, effective January 1, 2024, and has seen a significant reduction in non-Core policies, which decreased by 58.8% year-over-year.

As of September 30, 2024, Kingstone's total debt was reported at $17.30 million, down from $25.24 million at the end of 2023, reflecting ongoing efforts to manage liabilities effectively. The company also successfully refinanced its senior notes, reducing the principal amount and extending the maturity date.

Overall, Kingstone Companies, Inc. has demonstrated a strong recovery in financial performance, driven by strategic initiatives, improved underwriting results, and effective cost management.