Earnings

Neptune Sets 2026 Revenue Outlook at $204 Million

The Tip Desk · November 8, 2026 · 3 min read

The flood insurer posted third-quarter revenue of $59.6 million and a 61.7% adjusted EBITDA margin, and set initial 2027 guidance of $238 million.

Neptune Insurance Holdings Inc. (NP), the parent of Neptune Flood Incorporated, reported record third-quarter 2026 revenue of $59.6 million. It expects full-year 2026 revenue of $204 million at an adjusted EBITDA margin in excess of 61% and is setting initial 2027 full-year guidance of $238 million at a 61% adjusted EBITDA margin.

The AI-native managing general agent, which underwrites flood coverage without human underwriters through its Triton platform, said third-quarter revenue reached $59.6 million, up 34% from $44.4 million a year earlier. Net income rose 50% to a record $17.3 million, or $0.13 a share basic and $0.12 diluted. Adjusted net income increased 52% to a record $24.3 million. Adjusted EBITDA grew 38% to a record $36.8 million, matching the company’s prior high for the margin at 61.7%.

Written premium rose 31% to a record $132.7 million. Commission income was $45.9 million and fee income $13.7 million. The company said the $15.2 million year-over-year revenue increase reflected continued growth of the renewal portfolio, a higher commission income as a percent of written premium, record new business sales, technology tools to engage agents, increased agent adoption driven in part by NFIP uncertainty, product enhancements, and additional new business from the Palomar agreement, with those sales concluded in the quarter. It also cited a slow real estate market and a below-average 2026 Atlantic hurricane season as offsets.

Adjusted EBITDA, the company said, was supported by normalized commission expense as a percent of written premium, the higher commission income ratio, and operating leverage, offset by higher public-company costs and technology development. Agent commissions were $17.4 million. General and administrative expense was $3.9 million. Share-based compensation was $7.0 million, versus $111 thousand a year earlier. Corporate transaction costs were $172 thousand.

Premium in force increased 32% year over year to $450 million, and policies in force grew 29% to more than 336,000. The company said it now works with 45 capacity providers across 8 programs and 11 products. Over the last twelve months, revenue per employee increased 28% to $3.2 million and adjusted EBITDA per employee increased 28% to $2.0 million. The company said its Rule of 40 reached 94.

The quarter marked one year since Neptune’s IPO and its first earnings call as a public company. Sequentially, revenue had been $55.9 million in the second quarter and $37.8 million in the first, with adjusted EBITDA of $34.5 million and $21.6 million, respectively. Second-quarter adjusted EBITDA margin was 62%. First-quarter adjusted EBITDA margin was 57%.

The company said it expects full-year 2026 revenue of $204 million at an adjusted EBITDA margin in excess of 61% and is setting initial 2027 full-year guidance of $238 million at a 61% adjusted EBITDA margin. It said it has not provided a reconciliation of those outlooks to net income margin because certain reconciling items, including share-based compensation, corporate transaction costs and income taxes, depend on future events.

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