For the quarter ended September 2025, Arch Capital Group (ACGL) reported revenue of $4.72 billion, up 7.7% over the same period last year. EPS came in at $2.77, compared to $1.99 in the year-ago quarter.
The reported revenue represents a surprise of -0.59% over the Zacks Consensus Estimate of $4.74 billion. With the consensus EPS estimate being $2.19, the EPS surprise was +26.48%.
While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to determine their next move, some key metrics always offer a more accurate picture of a company's financial health.
As these metrics influence top- and bottom-line performance, comparing them to the year-ago numbers and what analysts estimated helps investors project a stock's price performance more accurately.
Here is how Arch Capital performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:
- Expense Ratio - Other Operating Expense Ratio: 10% compared to the 9.8% average estimate based on four analysts.
- Expense Ratio - Total Acquisition Expense Ratio: 18.4% compared to the 18.1% average estimate based on four analysts.
- Underwriting Expense Ratio - Total: 28.4% compared to the 27.9% average estimate based on four analysts.
- Loss Ratio - Insurance Segment: 59% versus the four-analyst average estimate of 60.6%.
- Revenues- Net premiums earned- Mortgage Segment: $301 million versus the four-analyst average estimate of $295.81 million. The reported number represents a year-over-year change of -3.8%.
- Revenues- Other underwriting income (loss): $50 million versus the four-analyst average estimate of $34.56 million. The reported number represents a year-over-year change of +900%.
- Revenues- Net investment income: $408 million versus $413.08 million estimated by four analysts on average. Compared to the year-ago quarter, this number represents a +2.3% change.
- Revenues- Net premiums earned- Reinsurance Segment: $2.02 billion versus the four-analyst average estimate of $2.08 billion. The reported number represents a year-over-year change of +6.5%.
- Revenues- Net premiums earned- Insurance Segment: $1.97 billion versus the four-analyst average estimate of $2.02 billion. The reported number represents a year-over-year change of +11.6%.
- Revenues- Net premiums earned: $4.29 billion versus the four-analyst average estimate of $4.4 billion. The reported number represents a year-over-year change of +7.9%.
- Revenues- Equity in net income (loss) of investment funds accounted for using the equity method: $134 million versus the three-analyst average estimate of $148.74 million. The reported number represents a year-over-year change of -21.6%.
- Revenues- Other income (loss): $22 million versus the three-analyst average estimate of $8.33 million. The reported number represents a year-over-year change of +175%.
View all Key Company Metrics for Arch Capital here>>>
Shares of Arch Capital have returned -4.1% over the past month versus the Zacks S&P 500 composite's +2.5% change. The stock currently has a Zacks Rank #3 (Hold), indicating that it could perform in line with the broader market in the near term.
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Arch Capital Group Ltd. (ACGL): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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