Root Reports Q2 Net Income of $22M, Revenue Rises 32.4%

Root, a technology-driven auto insurer, reported Q2 net income of $22.0 million, reversing a prior-year loss, and delivered diluted earnings per share (GAAP) of $1.29. Gross loss and combined ratios improved, showing continued gains in underwriting discipline and cost management. Revenue reached $382.9 million, a 32.4% increase compared to Q2 2024.

Root Inc. (NASDAQ: ROOT), the parent company of Root Insurance, has released its financial results for the second quarter of 2025, showcasing robust growth and improved financial health. The company reported a net income of $22.0 million, reversing a prior-year loss, and delivered diluted earnings per share (GAAP) of $1.29 [5]. Gross loss and combined ratios improved, indicating continued gains in underwriting discipline and cost management. Revenue reached $382.9 million, representing a 32.4% increase compared to the same period last year [5].

The company's performance was driven by a 37.1% year-over-year increase in revenues, reaching $349.4 million in the previous quarter, which exceeded analyst expectations by 9.1% [3]. This quarter, analysts are expecting Root’s revenue to grow by 23.1% year-over-year to $356.1 million [3]. Adjusted earnings are anticipated to come in at $0.22 per share, with the majority of analysts maintaining their estimates [3].

Root’s second quarter financial results and management commentary are available through a shareholder letter on their investor relations website at ir.joinroot.com. The company will host a conference call and earnings webcast on August 6, 2025, at 5:00 p.m. Eastern Time to discuss the results and provide operational updates [1].

Root Inc. is based in Columbus, Ohio, and has revolutionized insurance through data science and technology. The Root app has more than 15 million app downloads and has collected over 32 billion miles of driving data to inform its insurance offerings [1].

References:
[1] https://www.stocktitan.net/news/ROOT/root-inc-announces-2025-second-quarter-bonvc0zb17ja.html
[2] https://www.ainvest.com/news/madrigal-pharmaceuticals-q2-2025-contradictions-surrounding-glp-1-market-impact-rezdiffra-growth-2508/
[3] https://finance.yahoo.com/news/root-root-reports-q2-everything-031237441.html
[4] https://www.ainvest.com/news/hackett-group-q2-2025-earnings-call-highlights-revenue-2-sap-solution-segment-sees-11-growth-2508/
[5] https://www.mitrade.com/insights/news/live-news/article-8-1018160-20250807