The business behind the dividend
| Measure | ESNT | Median | Formula |
|---|---|---|---|
| Return on equity | 12.0% | 10.6% | Net income ÷ shareholders’ equity |
| Return on capital employed | — | — | Operating income ÷ (equity + total debt) |
| Owner earnings | $687.84m | $120.90m | Net income + depreciation & amortisation − capital expenditure |
| Free cash flow | $848.69m | $155.08m | Operating cash flow − capital expenditure |
| Operating margin | 65.2% | 14.3% | Operating income ÷ revenue |
| Net margin | 54.7% | 10.1% | Net income ÷ revenue |
| Debt to equity | — | — | Total debt ÷ shareholders’ equity |
| Interest cover | — | — | Operating income ÷ interest expense |
| Current ratio | — | — | Current assets ÷ current liabilities |
| Long-term debt to working capital | — | — | Long-term debt ÷ (current assets − current liabilities) |
| Cash conversion | — | — | Operating cash flow ÷ net income |
| Accruals | -2.2% | -3.1% | (Net income − operating cash flow) ÷ total assets |
Not computed here: Cash conversion, Current ratio, Debt to equity, Long-term debt to working capital, Interest cover, Return on capital employed — why a blank is not a zero.
Ten years of it
The same measures, for every year the filings support. One year is a fact; a row is a business.
| Measure | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | Median |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Return on equity | 12.0% | 13.0% | 13.6% | 18.6% | 16.1% | 10.7% | 18.6% | 19.8% | 19.6% | 16.6% | 16.1% |
| Operating margin | 65.2% | 68.8% | 74.2% | 98.7% | 80.0% | 51.3% | 76.0% | — | — | — | 74.2% |
| Net margin | 54.7% | 58.7% | 62.8% | 83.1% | 66.3% | 43.2% | 64.1% | 65.0% | 65.9% | 48.6% | 62.8% |
How it compares in banks & insurers
Among the 377 banks & insurers companies here measured on GAAP earnings, Essent Group pays out less than 301 of them. The median for that group is 30.6%, against this company’s 18.0%.
Closest on GAAP earnings
- Mgic Investment (MTG) 17.9%
- SEI Investments (SEIC) 17.9%
- Bankwell Financial Group (BWFG) 18.0%
- South Plains Financial (SPFI) 18.0%
Same sector and same denominator, so the figures are comparable. All 377 in banks & insurers →