Essent Group (ESNT) FY2017 results: revenue $577 million, up 25.8% on the year

Essent Group Ltd. (ESNT) reported revenue of $577 million for fiscal 2017, the year ended 31 December 2017, up 25.8% on the year before. Net income was $380 million, up 70.6%, and diluted earnings per share $3.99. The figures are the company's own, from the 10-K it filed with the SEC on 20 February 2018.

Revenue

$577 million

+25.8% on the year

FY2012FY2017

Operating margin

69.1%

68.1% a year earlier

FY2012FY2017

Net income

$380 million

+70.6% on the year

FY2012FY2017

Diluted EPS

$3.99

+65.6% on the year

FY2012FY2017

this yearthe year beforeHover a bar for its figure.

The year in brief

Income statement (profit and loss)

$ million	FY2017	FY2016	FY2015	On the year
Revenue	577	458	353	+25.8%
Operating income	399	312	228	+27.8%
Operating margin	69.1%	68.1%	64.6%
Interest expense	5.2	0.4	0.0	+1,115.5%
Pre-tax income	399	312	228	+27.8%
Income tax	18.8	89.3	71.1	-78.9%
Effective tax rate	4.7%	28.6%	31.1%
Net income	380	223	157	+70.6%
Net margin	65.9%	48.6%	44.5%
Diluted EPS	$3.99	$2.41	$1.72	+65.6%

$ million except per share.

Free cash flow is operating cash flow less capital expenditure; the effective tax rate is income tax over pre-tax income; margins are the line over revenue. Gross profit is revenue less cost of revenue, and operating income is revenue less the company's own total costs, where the statement does not print those lines. Those four are arithmetic on the filed numbers; everything else is as filed. Money is in $ million as the company files it, or in $ billion by the switch above the tables; per share figures and share counts are as they are.

Cash flow

$ million	FY2017	FY2016	FY2015	On the year
Operating cash flow	369	275	227	+34.2%
Capital expenditure	2.8	3.2	5.0	-12.0%
Free cash flow	366	271	222	+34.8%
Free cash flow margin	63.4%	59.2%	62.7%
Cash from investing	-690	-365	-221
Cash from financing	338	93.7	-5.7	+260.3%
Depreciation and amortisation	3.9	4.1	3.2	-3.5%
Share-based compensation	18.7	16.9	13.6	+10.7%
Buybacks	7.6	4.0	5.2	+88.3%
Dividends paid	0.0	n/a	n/a
Diluted shares, weighted	95m	92m	92m	+3.2%
Shares outstanding at period end	98m	93m	93m	+5.7%

Balance sheet

$ million	FY2017	FY2016	FY2015	On the year
Shareholders' equity	1,940	1,344	1,119	+44.4%
Debt	250	n/a	n/a
Other liabilities	484	539	350	-10.3%
Total liabilities and equity	2,674	1,883	1,469	+42.0%
Fixed assets	7.0	8.1	9.0	-14.0%
Investments	313	132	86.0	+136.3%
Cash and equivalents	43.5	27.5	24.6	+58.1%
Other assets	2,311	1,715	1,349	+34.8%
Total assets	2,674	1,883	1,469	+42.0%

10-K for the year ended 31 December 2017, filed 20 February 2018: the filing.