Assured Guaranty Ltd

Assured Guaranty closed the first half of 2026 with record shareholders' equity, adjusted operating shareholders' equity, and adjusted book value per share, while new business production climbed to $152 million in present value of new business production, up from $103 million a year earlier. US public finance alone generated $106 million of PVP in the first half, more than the entire company produced in the first half of 2025, and global structured finance PVP more than doubled to $35 million from $15 million. Second quarter adjusted operating income rose 22% year-over-year to $55 million, or $1.23 per share, helped by loss expense falling to $4 million from $28 million. The company repurchased 554,000 shares for $45 million and paid $17 million in dividends, with the quarterly dividend per share now at $0.38. However, the Brightline transaction remained the biggest driver of economic loss development, and Thames Water stayed a live issue, while the alternative investment book took a $19 million mark-to-market loss tied to a CLO equity fund investment.

Assured Guaranty Europe has guaranteed principal and interest payments on €200 million of debt instruments as part of the refinancing of France’s A28 toll road. The guaranteed debt, issued by Autoroute de Liaison Seine-Sarthe Corporate, consists of a 30-year amortising floating-rate loan from four Spanish banks and a 35-year amortising fixed-rate note from a single UK institutional investor. These tranches are part of a larger financing package raised by a consortium of sponsors including Aberdeen, CVC, PGGM and Vauban to refinance the toll road, which began operations in 2006. AGE also provided a €55.5 million debt service reserve guarantee covering six months of debt service on ALiS’s entire debt. The transaction highlights growing demand for AGE’s AA-rated financial guarantee, which enabled lenders to offer very long-term financing at competitive pricing.

Assured Guaranty Ltd. reported net income attributable to the company of $39 million, or $0.88 per diluted share, for the second quarter of 2026. Adjusted operating income, a non-GAAP measure, was $55 million, or $1.23 per diluted share. Shareholders' equity per share reached a record $126.18, while adjusted operating shareholders' equity per share and adjusted book value per share also hit record highs of $129.94 and $189.72, respectively. The company returned $62 million to shareholders during the quarter, consisting of $45 million in share repurchases and $17 million in dividends. Gross written premiums were $81 million, and the present value of new business production was $79 million.

S&P Global Ratings has affirmed the AA financial strength, financial enhancement, and issuer credit ratings of Assured Guaranty’s insurance subsidiaries, along with the A issuer credit rating of parent company Assured Guaranty Ltd., with all outlooks remaining stable. In its July 17, 2026 report, S&P highlighted Assured Guaranty’s excellent capital and earnings, capital adequacy redundancy above its AAA stress level, very strong competitive position, exceptional liquidity, and a well-diversified global underwriting strategy dominated by U.S. public finance. The agency also noted rising demand in the global structured finance segment for private bilateral transactions with international banks and insurers seeking regulatory capital relief, and described management’s expansion into non-U.S. public finance markets as strategic and disciplined. President and CEO Dominic Frederico emphasized the company’s leadership in U.S. municipal bond insurance and its recent entry into the annuity reinsurance market through the launch of a new subsidiary, Assured Life Re.

Assured Guaranty reported first-quarter revenues of $261 million, a 24.3% decline year on year, yet exceeded analysts' expectations by 30.6%. The company also beat earnings per share estimates, marking a very strong quarter overall. Among the 32 property and casualty insurance stocks tracked, Assured Guaranty achieved the biggest analyst estimate beat but had the slowest revenue growth. Its stock has remained flat since reporting, trading at $82.47.