Investing.com -- RLI Corp (NYSE: RLI) reported mixed third quarter results, with adjusted earnings per share beating analyst expectations while revenue fell short of estimates. Shares rose 0.2% in after hours trading following the announcement.

The specialty insurer posted adjusted EPS of $0.86 for the third quarter, surpassing the analyst consensus of $0.51 by $0.35. However, revenue of $476.96 million missed the estimate of $533.51 million. Net premiums earned increased 4.2% to $424.9 million compared to the same quarter last year.

The company achieved an 86.2 combined ratio with underwriting income of $58.8 million, compared to an 85.1 combined ratio and $60.5 million in underwriting income in the third quarter of 2025. Favorable development in prior years’ loss reserves contributed $20.1 million to underwriting income. Gross premiums written increased 2%, while net investment income grew 13% to $46.7 million.

"Our third-quarter results reflect consistent, disciplined execution across the business," said RLI Corp. President & CEO Craig Kliethermes. "We delivered an 86 combined ratio, with strong underwriting performance in our property and surety segments."

The property segment posted a 60.1 combined ratio with $50.5 million in underwriting income. The surety segment improved to a 79.8 combined ratio from 85.0 in the prior year, generating $7.3 million in underwriting income. The casualty segment reported a 99.6 combined ratio with $1.0 million in underwriting income.

During the quarter, RLI repurchased 103,573 shares at an average price of $60.51 per share for $6.3 million. The company paid a quarterly dividend of $0.18 per share on September 15, 2026.

Original Article