Markel Group reports 2026 first quarter results

Apr 28 2026 21:51 BST

RICHMOND, Va. , April 28, 2026 /PRNewswire/ -- Markel Group Inc. (NYSE:MKL) today reported its financial results for the first quarter of 2026. The Company also announced today it filed its Form 10-Q for the quarter ended March 31, 2026 with the Securities and Exchange Commission.

"In the first quarter of 2026, we generated strong results across the company. We are pleased with the continued progress of our ongoing operations," said Tom Gayner, Chief Executive Officer. "We continue to do more of what's working and less of what's not, while focusing on balance sheet strength, disciplined capital allocation, and ongoing share repurchases."

Highlights of our 2026 first quarter results:

Operating revenues were consistent quarter over quarter.
Operating loss, which includes market movements in our equity portfolio, was $273 million for the quarter.
Adjusted operating income, which excludes market movements in our equity portfolio, was $498 million for the quarter, which represents a 4% increase compared to the first quarter of 2025.
For Markel Insurance, our cornerstone business:
- The combined ratio for the quarter, which included two points of net losses attributed to the Middle East conflict, was 93%, which represents a three point improvement compared to the first quarter of 2025.
- Adjusted operating income increased 31% for the quarter to $369 million with each of our three ongoing underwriting divisions meaningfully contributing to our overall profitability.
- Underwriting gross premium volume decreased 21% for the quarter, as expected, due to the impact of the sale of the renewal rights of our Global Reinsurance division in 2025 and the transition of our Hagerty business to a fronting arrangement in 2026. Excluding these items, underwriting gross premium volume increased 10% for the quarter.
- Our global specialty product diversification was on full display. Although our Wholesale and Specialty E&S platform faced difficult market conditions, we had robust growth within our International operations, our Bermuda platform, and within our personal lines and programs business units.
Comprehensive loss to shareholders was $340 million for the quarter primarily due to unrealized losses on our investment portfolio.
Share repurchases were $134 million for the quarter.

The following table presents summary consolidated financial data.

	Three Months Ended March 31,
(dollars in thousands)	2026	2025
Operating revenues	$ 3,550,605	$ 3,548,176

Operating income (loss)	$ (273,329)	$ 282,524
Add: Amortization of acquired intangible assets	43,513	46,942
Less: Net investment losses	(727,562)	(149,071)
Adjusted operating income ⁽¹⁾	$ 497,746	$ 478,537

Comprehensive income (loss) to shareholders	$ (340,430)	$ 347,670

⁽¹⁾ See "Non-GAAP Financial Measures" for additional information on this non-GAAP measure.

Markel Insurance Segment

	Three Months Ended March 31,
(dollars in thousands)	2026	2025	% Change
Gross premium volume:
Underwriting	$ 2,215,573	$ 2,793,406	(21) %
Adjusted underwriting ⁽¹⁾	$ 2,192,993	$ 1,996,551	10 %
Fronting	$ 587,422	$ 378,145	55 %

Operating revenues:
Earned premiums	$ 1,969,339	$ 2,016,539	(2) %
Net investment income	229,619	207,517	11 %
Services and other revenues	2,727	2,620	4 %
Operating revenues	$ 2,201,685	$ 2,226,676	(1) %

Adjusted operating income:
Underwriting profit	$ 142,249	$ 80,162	77 %
Net investment income	229,619	207,517	11 %
Services and other income	(2,378)	(5,564)	(57) %
Adjusted operating income	$ 369,490	$ 282,115	31 %

Combined ratio	93 %	96 %

⁽¹⁾ See "Non-GAAP Financial Measures" for additional information on this non-GAAP measure.

Industrial Segment

	Three Months Ended March 31,
(dollars in thousands)	2026	2025	% Change
Operating revenues	$ 883,058	$ 829,574	6 %
Adjusted operating income	$ 49,286	$ 58,764	(16) %

Financial Segment

	Three Months Ended March 31,
(dollars in thousands)	2026	2025	% Change
Operating revenues	$ 161,530	$ 178,481	(9) %
Adjusted operating income	$ 36,205	$ 79,611	(55) %

Consumer and Other Segment

	Three Months Ended March 31,
(dollars in thousands)	2026	2025	% Change
Operating revenues	$ 280,497	$ 287,786	(3) %
Adjusted operating income	$ 39,755	$ 32,388	23 %

* * * * * * * *

A copy of our Form 10-Q is available on our website at mklgroup.com, under Investor Relations-Financials, or on the SEC website at www.sec.gov. Readers are urged to review the Form 10-Q for a more complete discussion of our financial performance. Our quarterly conference call, which will involve discussion of our financial results and business developments and may include forward-looking information, will be held Wednesday, April 29, 2026, beginning at 9:30 a.m. (Eastern Time). Investors, analysts, and the general public may listen to the call via live webcast at ir.mklgroup.com. The call may be accessed telephonically by dialing (888) 660-9916 in the U.S., or +1 (646) 960-0452 internationally, and providing Conference ID: 4614568. A replay of the call will be available on our website approximately one hour after the conclusion of the call. Any person needing additional information can contact Markel Group's Investor Relations Department at IR@markel.com.

Additionally, we will be discussing financial results and related business and investments updates at our shareholders meeting on May 20, 2026 at the University of Richmond Robins Center at 2:00 p.m. (Eastern Time). The shareholders meeting will be part of the 2026 Reunion, which is open to shareholders, employees, and friends of Markel Group. More information on the 2026 Reunion, including the agenda and registration, is available at mklreunion.com.

Supplemental Financial Information

The following table summarizes our results by segment.

	Three Months Ended March 31,
(dollars in thousands)	2026	2025	% Change
Operating revenues:
Markel Insurance	$ 2,201,685	$ 2,226,676	(1) %
Industrial	883,058	829,574	6 %
Financial	161,530	178,481	(9) %
Consumer and Other	280,497	287,786	(3) %
Corporate and eliminations	23,835	25,659	(7) %
Total operating revenues	$ 3,550,605	$ 3,548,176	0 %

Operating income (loss)	$ (273,329)	$ 282,524	NM ⁽¹⁾
Add: Amortization of acquired intangible assets	43,513	46,942	(7) %
Less: Net investment losses	(727,562)	(149,071)	388 %
Adjusted operating income ⁽²⁾	$ 497,746	$ 478,537	4 %

Markel Insurance	$ 369,490	$ 282,115	31 %
Industrial	49,286	58,764	(16) %
Financial	36,205	79,611	(55) %
Consumer and Other	39,755	32,388	23 %
Corporate and eliminations	3,010	25,659	(88) %
Adjusted operating income ⁽²⁾	$ 497,746	$ 478,537	4 %

⁽¹⁾ NM - Not meaningful

⁽²⁾ See "Non-GAAP Financial Measures" for additional information on this non-GAAP measure.

We believe our financial performance is most meaningfully measured over longer periods of time, which tends to mitigate the effects of short-term volatility and better aligns with the long-term perspective we apply to operating our businesses and making investment decisions. The following table presents a long-term view of our performance.

	Three Months Ended March 31, 2026	Year Ended December 31,
(dollars in thousands)	Three Months Ended March 31, 2026	2025	2024	2023	2022
Operating revenues	$ 3,550,605	$ 15,513,233	$ 14,813,544	$ 14,279,576	$ 13,271,068

Operating income (loss)	$ (273,329)	$ 3,194,852	$ 3,712,562	$ 2,928,828	$ (93,336)
Add: Amortization of acquired intangible assets	43,513	185,007	181,472	180,614	178,778
Add: Impairment of goodwill	—	—	—	—	80,000
Less: Net investment gains (losses)	(727,562)	1,076,081	1,807,219	1,524,054	(1,595,733)
Adjusted operating income ⁽¹⁾	$ 497,746	$ 2,303,778	$ 2,086,815	$ 1,585,388	$ 1,761,175

⁽¹⁾ See "Non-GAAP Financial Measures" for additional information on this non-GAAP measure.

Non-GAAP Financial Measures

Markel Group utilizes certain non-GAAP measures that we believe enhance the understanding of our performance. These measures should not be viewed as a substitute for measures determined in accordance with U.S. GAAP.

Consolidated Adjusted Operating Income

Consolidated adjusted operating income, which excludes net investment gains and losses, amortization of acquired intangible assets, and impairment of goodwill, is a non-GAAP financial measure. We believe adjusted operating income is generally an accurate representation of the operating performance of our businesses in our periodic results. Net investment gains and losses are predominantly derived from our investments in publicly traded equity securities and include significant unrealized gains and losses from market value movements. We believe that net investment gains and losses, whether realized from sales or unrealized from market value movements, are distortive in understanding the short-term operating performance of our businesses. We do not view amortization of intangible assets and impairment of goodwill, which arise from purchase accounting for acquisitions, as ongoing costs of operating our businesses, and therefore exclude those amounts from our adjusted operating income metric.

Adjusted Underwriting Gross Premium Volume

Adjusted underwriting gross premium volume is a non-GAAP measure that excludes underwriting gross premium volume from the Global Reinsurance division and our business with Hagerty for both periods. In August 2025, Markel Insurance sold the renewal rights for contracts written through its Global Reinsurance division, and the division entered into run-off, which resulted in a significant decline in underwriting gross premium volume. Beginning on January 1, 2026, Markel Insurance's business written on behalf of Hagerty transitioned from being an underwriting product to a fronting arrangement, which resulted in a change in the presentation of the related gross premium volume and therefore, a significant decline in underwriting gross premium volume. We believe adjusted underwriting gross premium volume is a meaningful measure when comparing underwriting gross premium volume from period-to-period as it adjusts for the impact of these significant contractual restructuring changes within the Markel Insurance segment. The following table reconciles underwriting gross premium volume to adjusted underwriting gross premium volume.

	Three Months Ended March 31,
(dollars in thousands)	2026	2025	% Change
Underwriting gross premium volume	$ 2,215,573	$ 2,793,406	(21) %
Less: Global Reinsurance division underwriting gross premium volume	22,580	576,928
Less: Hagerty underwriting gross premium volume	—	219,927
Adjusted underwriting gross premium volume	$ 2,192,993	$ 1,996,551	10 %

About Markel Group
Markel Group Inc. is a diverse family of companies that includes everything from insurance to bakery equipment, building supplies, houseplants, and more. The leadership teams of these businesses operate with a high degree of independence, while at the same time living the values that we call the Markel Style. Our specialty insurance business sits at the core of our company. Through decades of sound underwriting, the Markel Insurance team has provided the capital base from which we built a system of businesses and investments that collectively increase Markel Group's durability and adaptability. It's a system that provides diverse income streams, access to a wide range of investment opportunities, and the ability to efficiently move capital to the best ideas across the company. Most importantly though, this system enables each of our businesses to advance our shared goal of helping our customers, associates, and shareholders win over the long term. Visit mklgroup.com to learn more.

Cautionary Statement
Certain of the statements in this release may be considered forward-looking statements as defined in the Private Securities Litigation Reform Act of 1995, as amended. Statements that are not historical facts, including statements about our beliefs, plans or expectations, are forward-looking statements. These statements are based on our current plans, estimates, and expectations. There are risks and uncertainties that could cause actual results to differ materially from those expressed in or suggested by such statements. Factors that may cause actual results to differ are often presented with the forward-looking statements themselves. Additional factors that could cause actual results to differ from those predicted are set forth in our Annual Report on Form 10-K for the year ended December 31, 2025, including under "Business Overview," "Risk Factors," "Management's Discussion and Analysis of Financial Condition and Results of Operations," "Safe Harbor and Cautionary Statement," and "Quantitative and Qualitative Disclosures About Market Risk," and in our Quarterly Report on Form 10-Q for the quarter ended March 31, 2026, including under "Management's Discussion and Analysis of Financial Condition and Results of Operations," "Safe Harbor and Cautionary Statement," "Quantitative and Qualitative Disclosures About Market Risk," and "Risk Factors." We assume no obligation to update this release (including any forward-looking statements) as a result of new information, developments, or otherwise. This release speaks only as of the date issued.

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Markel Group reports 2026 first quarter results