-- Fourth quarter GAAP net income of $193 million, or $1.07 per diluted share, and full year GAAP net income of $601 million, or $3.16 per diluted share --

-- MI New Insurance Written of $92 billion for 2021; second highest annual volume in Company's history --

-- homegenius revenues increase 45% in 2021 to $149 million --

-- Provision for losses of $(46.2) million in the fourth quarter of 2021 favorably impacted by positive development on prior period defaults --

-- Book value per share grows 9% year-over-year to $24.28 --

-- Company purchases 17.8 million shares or $399.1 million of Radian Group common stock during 2021 --

Radian Group Inc. (NYSE:RDN) today reported net income for the quarter ended December 31, 2021, of $193.4 million, or $1.07 per diluted share. This compares with net income for the quarter ended December 31, 2020, of $148.0 million, or $0.76 per diluted share.

Net income for the full year 2021 was $600.7 million, or $3.16 per diluted share. This compares with net income for the full year 2020 of $393.6 million, or $2.00 per diluted share.

Key Financial Highlights (dollars in millions, except per-share amounts)

	Quarter ended			Year ended
	December 31, 2021	September 30, 2021	December 31, 2020	December 31, 2021	December 31, 2020
Net income ⁽¹⁾	$193.4	$126.4	$148.0	$600.7	$393.6
Diluted net income per share	$1.07	$0.67	$0.76	$3.16	$2.00
Consolidated pretax income	$246.5	$161.6	$179.2	$764.8	$479.4
Adjusted pretax operating income ⁽²⁾	$245.1	$160.6	$171.0	$757.7	$432.1
Adjusted diluted net operating income per share ⁽²⁾⁽³⁾	$1.07	$0.67	$0.69	$3.15	$1.74
Return on equity ⁽¹⁾⁽⁴⁾	18.2 %	11.8 %	14.1 %	14.1 %	9.4 %
Adjusted net operating return on equity ⁽²⁾⁽³⁾	18.2 %	11.8 %	12.9 %	14.0 %	8.2 %
New Insurance Written (NIW) - mortgage insurance	$23,710	$26,558	$29,781	$91,830	$105,024
Net premiums earned - mortgage insurance ⁽⁵⁾	$249.7	$236.9	$286.8	$998.3	$1,092.8
New defaults ⁽⁶⁾	9,342	8,132	14,552	37,470	108,025
Provision for losses - mortgage insurance	($46.6)	$16.8	$56.3	$19.4	$483.3
homegenius revenues	$44.7	$45.1	$23.6	$149.1	$102.4


	Quarter ended
	December 31, 2021	September 30, 2021	December 31, 2020
Book value per share ⁽⁷⁾	$24.28	$23.48	$22.36
PMIERs Available Assets ⁽⁸⁾	$5,406	$5,262	$4,700
PMIERs excess Available Assets ⁽⁹⁾	$2,077	$1,741	$1,338
Total Holding Company Liquidity ⁽¹⁰⁾	$880	$1,036	$1,371
Total investments	$6,514	$6,658	$6,788
Primary mortgage insurance in force	$245,972	$241,575	$246,144
Percentage of primary loans in default ⁽¹¹⁾	2.9 %	3.4 %	5.2 %
Mortgage insurance loss reserves	$823	$888	$844

(1)		Net income for the fourth quarter, third quarter and full year of 2021 includes a pretax net gain on investments and other financial instruments of $3.0 million, $2.1 million and $15.6 million, respectively, compared with a pretax net gain on investments and other financial instruments of $17.4 million and $60.3 million for the fourth quarter and full year of 2020, respectively.
(2)		Adjusted results, including adjusted pretax operating income, adjusted diluted net operating income per share and adjusted net operating return on equity, are non-GAAP financial measures. For definitions and reconciliations of these measures to the comparable GAAP measures, see Exhibits F and G.
(3)		Calculated using the company's statutory tax rate of 21 percent.
(4)		Calculated by dividing annualized net income by average stockholders' equity, based on the average of the beginning and ending balances for each period presented.
(5)		The fourth quarter of 2020 includes an increase to premiums earned of $11.3 million, related to changes in present value estimates for initial premiums on monthly policies that are deferred and not collected until cancellation. The impact of changes in these estimates in other periods is not material.
(6)		Represents the number of new defaults reported during the period on loans related to primary mortgage insurance policies.
(7)		Book value per share includes accumulated other comprehensive income (loss) of $0.68 as of December 31, 2021, $0.84 as of September 30, 2021 and $1.38 as of December 31, 2020.
(8)		Represents Radian Guaranty's Available Assets, calculated in accordance with the Private Mortgage Insurer Eligibility Requirements (PMIERs) financial requirements in effect for each date shown.
(9)		Represents Radian Guaranty's excess or "cushion" of Available Assets over its Minimum Required Assets, calculated in accordance with the PMIERs financial requirements in effect for each date shown.
(10)		Represents Radian Group's total liquidity, including available capacity under its unsecured revolving credit facility.
(11)		Represents the number of primary loans in default as a percentage of the total number of insured primary loans.

Adjusted pretax operating income for the quarter ended December 31, 2021, was $245.1 million, or $1.07 per diluted share. This compares with adjusted pretax operating income for the quarter ended December 31, 2020, of $171.0 million, or $0.69 per diluted share.

Adjusted pretax operating income for the full year 2021 was $757.7 million, or $3.15 per diluted share. This compares to adjusted pretax operating income for the full year 2020 of $432.1 million, or $1.74 per diluted share.

Book value as of December 31, 2021 was $4.3 billion, relatively flat compared to December 31, 2020. Book value per share at December 31, 2021, was $24.28, an increase of 9 percent compared to $22.36 at December 31, 2020. Partially offsetting the increase in book value per share in 2021 is: (i) a decrease of $0.75 per share due to unrealized losses in our available for sale securities, recorded in accumulated other comprehensive income and (ii) a $0.54 per share impact of dividends and dividend equivalents.

"Our excellent results for 2021 reflect strong growth in the housing and real estate markets; continued demand for our products and services; and the commitment of our talented team," said Radian's Chief Executive Officer Rick Thornberry. "For the full year, we reported net income of more than $600 million; grew book value per share by 9%; wrote the second-highest level of new mortgage insurance business in Radian's history; and increased homegenius revenue by 45%. Also in 2021, we continued to prudently manage our capital and returned more than $500 million to stockholders through a combination of dividends and stock repurchases."

Thornberry added, "We are pleased with our business momentum in 2022. We increased our quarterly dividend this month, which provides the highest dividend yield in the private MI industry, and we announced a new $400 million share repurchase authorization. Our team is focused on our mission of ensuring affordable, sustainable and equitable homeownership; and utilizing data, analytics and technology to help our customers succeed in a fast-moving, digital market."

FOURTH QUARTER HIGHLIGHTS

NIW was $23.7 billion in the fourth quarter of 2021, compared to $26.6 billion in the third quarter of 2021, and $29.8 billion in the fourth quarter of 2020. NIW was $91.8 billion for the full year 2021, compared to $105.0 billion for the prior year.
- Of the $23.7 billion in NIW in the fourth quarter of 2021, 93.5 percent was written with monthly and other recurring premiums, compared to 93.8 percent in the third quarter of 2021, and 91.4 percent in the fourth quarter of 2020.
- Refinances accounted for 8.9 percent of total NIW in the fourth quarter of 2021, compared to 10.2 percent in the third quarter of 2021, and 35.4 percent in the fourth quarter of 2020.
Total primary mortgage insurance in force as of December 31, 2021, increased to $246.0 billion, an increase of 1.8 percent compared to $241.6 billion as of September 30, 2021, and a decrease of 0.1 percent compared to $246.1 billion as of December 31, 2020. The year-over-year change reflects a 5.8 percent increase in monthly premium policy insurance in force and a 21.1 percent decline in single premium policy insurance in force.
- Persistency, which is the percentage of mortgage insurance that remains in force after a twelve-month period, was 64.3 percent for the twelve months ended December 31, 2021, compared to 60.8 percent for the twelve months ended September 30, 2021, and 61.2 percent for the twelve months ended December 31, 2020.
- Annualized persistency for the three months ended December 31, 2021, was 71.7 percent, compared to 67.5 percent for the three months ended September 30, 2021, and 60.4 percent for the three months ended December 31, 2020.
Net mortgage insurance premiums earned were $249.7 million for the quarter ended December 31, 2021, compared to $236.9 million for the quarter ended September 30, 2021, and $286.8 million for the quarter ended December 31, 2020. Net mortgage insurance premiums earned were $998.3 million for the year ended December 31, 2021, compared to $1.1 billion for the year ended December 31, 2020.
- Mortgage insurance in force portfolio premium yield was 41.0 basis points in the fourth quarter of 2021. This compares to 40.3 basis points in the third quarter of 2021, and 44.6 basis points in the fourth quarter of 2020, or 42.8 basis points excluding the impact of the fourth quarter 2020 premium adjustment described below
- The impact of single premium policy cancellations before consideration of reinsurance represented 3.4 basis points of direct premium yield in the fourth quarter of 2021, 4.3 basis points in the third quarter of 2021, and 8.7 basis points in the fourth quarter of 2020.
- Total net mortgage insurance premium yield, which includes the impact of ceded premiums and accrued profit commission, was 41.0 basis points in the fourth quarter of 2021. This compares to 39.6 basis points in the third quarter of 2021, and 46.7 basis points in the fourth quarter of 2020, or 44.8 basis points excluding the impact of the fourth quarter 2020 premium adjustment described below.
- The fourth quarter of 2020 includes an increase to premiums earned of $11.3 million related to changes in present value estimates for initial premiums on monthly policies that are deferred and not collected until cancellation.
- Additional details regarding premiums earned may be found in Exhibit D.
The mortgage insurance provision for losses was a benefit of $46.6 million in the fourth quarter of 2021, compared to provisions of $16.8 million in the third quarter of 2021, and $56.3 million in the fourth quarter of 2020. The mortgage insurance provision for losses was $19.4 million for the year ended December 31, 2021, compared to $483.3 million for the year ended December 31, 2020.
- The decrease in the fourth quarter of 2021 compared to both the third quarter of 2021 and the fourth quarter of 2020 was primarily related to more favorable development on prior period reserves, as compared to the third quarter of 2021 and fourth quarter of 2020. All periods were impacted by more favorable trends in cures than originally estimated. The decrease for the full year 2021 compared to the full year 2020 was driven primarily by a significant decrease in primary new default notices related to the effects of the COVID-19 pandemic, as well as a decrease in the default to claim rate applied to those defaults.
- The number of primary delinquent loans was 29,061 as of December 31, 2021, compared to 33,795 as of September 30, 2021, and 55,537 as of December 31, 2020.
- The loss ratio in the fourth quarter of 2021 was (18.6) percent, compared to 7.1 percent in the third quarter of 2021, and 19.6 percent in the fourth quarter of 2020.
- Total mortgage insurance claims paid were $10.4 million in the fourth quarter of 2021, compared to $10.2 million in the third quarter of 2021, and $40.6 million in the fourth quarter of 2020. Excluding the impact of commutations and settlements, claims paid were $3.8 million in the fourth quarter of 2021, compared to $6.3 million in the third quarter of 2021, and $8.4 million in the fourth quarter of 2020. For the full year 2021, total net claims paid were $35.3 million, compared to $97.6 million for the full year 2020.
Radian's homegenius segment offers an array of title, real estate and technology products and services to consumers, mortgage lenders, mortgage and real estate investors, GSEs, real estate brokers and agents.
- Total homegenius segment revenues for the fourth quarter of 2021 were $44.7 million, compared to $45.1 million for the third quarter of 2021, and $23.6 million for the fourth quarter of 2020. Total homegenius segment revenues for the full year of 2021 were $149.1 million, compared to $102.4 million for the full year of 2020.
- The 45.5 percent increase in revenues in the year 2021 compared to the year 2020 was primarily driven by a 72.6 percent increase in our title business and a 26.1 percent increase in our real estate services businesses.
homegenius Profitability Metrics
- Adjusted pretax operating loss, our primary segment measure of profitability for the homegenius segment, for the quarter ended December 31, 2021 was $2.1 million, compared to $5.6 million for the quarter ended September 30, 2021, and $11.1 million for the quarter ended December 31, 2020. Adjusted pretax operating loss for the full year 2021 was $27.3 million, compared to $23.2 million for the full year 2020.
- Adjusted pretax operating income before allocated corporate operating expenses for the homegenius segment for the quarter ended December 31, 2021 was $2.7 million, compared to a loss of $0.6 million for the quarter ended September 30, 2021, and a loss of $7.8 million for the quarter ended December 31, 2020. Adjusted pretax operating loss before allocated corporate operating expenses for the homegenius segment for the full year 2021 was $8.8 million, compared to $10.4 million for the full year 2020.
- Adjusted gross profit for the homegenius segment for the quarter ended December 31, 2021 was $19.7 million, compared to $17.9 million for the quarter ended September 30, 2021, and $7.5 million for the quarter ended December 31, 2020. Adjusted gross profit for the homegenius segment for the full year 2021 was $57.8 million, compared to $39.0 million for the full year 2020. Additional details regarding the homegenius results and related non-GAAP measures may be found in Exhibits F and G.
Other operating expenses were $80.5 million in the fourth quarter of 2021, compared to $86.5 million in the third quarter of 2021, and $81.6 million in the fourth quarter of 2020. Other operating expenses were $323.7 million for the full year 2021, compared to $280.7 million for the full year 2020.
- The increase for the full year of 2021 compared to the full year of 2020 was driven primarily by an increase in incentive compensation expense and a decrease in ceding commissions. Additional details regarding other operating expenses by segment may be found in Exhibit E.

CAPITAL AND LIQUIDITY UPDATE

Radian Group

As of December 31, 2021, Radian Group maintained $604.9 million of available liquidity. Total liquidity, which includes the company's $275.0 million unsecured revolving credit facility, was $879.9 million as of December 31, 2021.
During the fourth quarter of 2021, the company repurchased 6.4 million shares of Radian Group common stock at a total cost of $142.1 million, including commissions. For the full year 2021, the company repurchased 17.8 million shares of Radian Group common stock at a total cost of $399.1 million, including commissions.
On November 10, 2021, Radian Group's board of directors authorized a regular quarterly dividend on its common stock in the amount of $0.14 per share and the dividend was paid on December 3, 2021.

Radian Guaranty

As previously announced, in November 2021, Radian Guaranty entered into its sixth fully collateralized mortgage insurance-linked note (ILN) reinsurance transaction in which the company obtained $484.1 million of credit-risk protection from Eagle Re 2021-2 Ltd. (Eagle Re), covering an existing portfolio of mortgage insurance policies written predominantly from January 1, 2021 through and including July 31, 2021. Eagle Re financed the coverage through the issuance of ILNs to eligible capital markets investors of $484.1 million aggregate principal amount of 12.5-year mortgage insurance-linked notes, in an unregistered private offering. Eagle Re is a special purpose insurer domiciled in Bermuda and is not a subsidiary or affiliate of Radian Guaranty. Radian Guaranty's related PMIERs credit under this ILN transaction is determined by the GSE's.
At December 31, 2021, Radian Guaranty's Available Assets under PMIERs totaled approximately $5.4 billion, resulting in excess available resources or a "cushion" of $2.1 billion, or 62 percent, over its Minimum Required Assets.
As of December 31, 2021, 73 percent of Radian Guaranty's primary mortgage insurance risk in force is subject to some form of risk distribution, providing a $1.3 billion reduction of Minimum Required Assets under PMIERs.

RECENT EVENTS

As previously announced on February 9, 2022, Radian Group's Board of Directors authorized the following strategic capital actions based on the company's strong financial position and capital flexibility:
- A quarterly dividend of $0.20 per share, representing an increase of 43 percent from the previous quarterly dividend of $0.14 per share paid on December 3, 2021. The dividend is payable on March 3, 2022, to stockholders of record as of February 21, 2022.
- A new $400 million share repurchase authorization. The shares may be purchased in the open market or in privately negotiated transactions. Radian plans to utilize a value-based Rule 10b5-1 plan to execute the new authorization which, once implemented, would permit the company to purchase shares, at pre-determined price targets, when it may otherwise be precluded from doing so. The authorization will expire in February 2024.

CONFERENCE CALL

Radian will discuss fourth quarter and year-end 2021 financial results in a conference call tomorrow, Wednesday, February 23, 2022, at 10:00 a.m. Eastern standard time. The conference call will be broadcast live over the Internet at https://radian.com/who-we-are/for-investors/webcasts or at www.radian.com. The call may also be accessed by dialing 800.447.0521 inside the U.S., or 847.413.3238 for international callers, using passcode 50275325 by referencing Radian.

A digital replay of the webcast will be available on the Radian website approximately two hours after the live broadcast ends for a period of two weeks at https://radian.com/who-we-are/for-investors/webcasts using passcode 50275325.

In addition to the information provided in the company's earnings news release, other statistical and financial information, which is expected to be referred to during the conference call, will be available on Radian's website at www.radian.com, under Investors.

NON-GAAP FINANCIAL MEASURES

Radian believes that adjusted pretax operating income (loss), adjusted diluted net operating income (loss) per share and adjusted net operating return on equity (non-GAAP measures) facilitate evaluation of the company's fundamental financial performance and provide relevant and meaningful information to investors about the ongoing operating results of the company. On a consolidated basis, these measures are not recognized in accordance with accounting principles generally accepted in the United States of America (GAAP) and should not be considered in isolation or viewed as substitutes for GAAP measures of performance. The measures described below have been established in order to increase transparency for the purpose of evaluating the company's operating trends and enabling more meaningful comparisons with Radian's competitors.

Adjusted pretax operating income (loss) is defined as GAAP consolidated pretax income (loss) excluding the effects of: (i) net gains (losses) on investments and other financial instruments, except for certain investments attributable to our reportable segments; (ii) loss on extinguishment of debt; (iii) amortization and impairment of goodwill and other acquired intangible assets; and (iv) impairment of other long-lived assets and other non-operating items, such as impairment of internal-use software, gains (losses) from the sale of lines of business and acquisition-related income and expenses. Adjusted diluted net operating income (loss) per share is calculated by dividing (i) adjusted pretax operating income (loss) attributable to common stockholders, net of taxes computed using the company's statutory tax rate, by (ii) the sum of the weighted average number of common shares outstanding and all dilutive potential common shares outstanding. Adjusted net operating return on equity is calculated by dividing annualized adjusted pretax operating income (loss), net of taxes computed using the company's statutory tax rate, by average stockholders' equity, based on the average of the beginning and ending balances for each period presented.

In addition to the above non-GAAP measures for the consolidated company, we also have presented as supplemental information non-GAAP measures for our homegenius segment of adjusted pretax operating income (loss) before allocated corporate operating expenses and adjusted gross profit. Adjusted pretax operating income (loss) before allocated corporate operating expenses is calculated as adjusted pretax operating income (loss) as described above (which is the segment's ASC 280 GAAP measure of operating performance), adjusted to remove the impact of corporate allocations of other operating expenses for the homegenius segment. Adjusted gross profit is further adjusted to remove other operating expenses. In addition, homegenius adjusted pretax operating margin before allocated corporate operating expenses and homegenius adjusted gross profit margin are calculated by dividing homegenius adjusted pretax operating margin before allocated corporate operating expenses and homegenius adjusted gross profit, respectively, by GAAP total revenue for the homegenius segment. For the homegenius segment, adjusted pretax operating income (loss) before allocated corporate operating expenses, adjusted gross profit, and the related homegenius profit margins are used to facilitate comparisons with other services companies, since they are widely accepted measures of performance in the services industry and are used internally as supplemental measures to evaluate the performance of our homegenius segment.

See Exhibit F or Radian's website for a description of these items, as well as Exhibit G for reconciliations to the most comparable consolidated GAAP measures.

ABOUT RADIAN

Radian Group Inc. (NYSE:RDN) is ensuring the American dream of homeownership responsibly and sustainably through products and services that include industry-leading mortgage insurance and a comprehensive suite of mortgage, risk, title, real estate and technology products and services. We are powered by technology, informed by data and driven to deliver new and better ways to transact and manage risk. Visit www.radian.com to learn more about how Radian is shaping the future of mortgage and real estate services.

FINANCIAL RESULTS AND SUPPLEMENTAL INFORMATION CONTENTS (Unaudited)

Exhibit A:		Condensed Consolidated Statements of Operations Trend Schedule
Exhibit B:		Net Income Per Share Trend Schedule
Exhibit C:		Condensed Consolidated Balance Sheets
Exhibit D:		Net Premiums Earned
Exhibit E:		Segment Information
Exhibit F:		Definition of Consolidated Non-GAAP Financial Measures
Exhibit G:		Consolidated Non-GAAP Financial Measure Reconciliations
Exhibit H:		Mortgage Supplemental Information
		New Insurance Written
Exhibit I:		Mortgage Supplemental Information
		Primary Insurance in Force and Risk in Force
Exhibit J:		Mortgage Supplemental Information
		Claims and Reserves
Exhibit K:		Mortgage Supplemental Information
		Default Statistics
Exhibit L:		Mortgage Supplemental Information
		Reinsurance Programs

Radian Group Inc. and Subsidiaries
Condensed Consolidated Statements of Operations Trend Schedule
Exhibit A (page 1 of 2)

	2021										2020
(In thousands, except per-share amounts)	Qtr 4			Qtr 3		Qtr 2		Qtr 1			Qtr 4

Revenues:
Net premiums earned	$	261,437		$	249,118	$	254,756	$	271,872		$	302,140	(1)
Services revenue		35,693			37,773		29,464		22,895			11,440	(1)
Net investment income		37,407			35,960		36,291		38,251			38,115
Net gains (losses) on investments and other financial instruments		3,025			2,098		15,661		(5,181	)		17,376
Other income		805			809		822		976			790
Total revenues		338,367			325,758		336,994		328,813			369,861

Expenses:
Provision for losses		(46,219	)		17,305		3,648		46,143			56,664
Policy acquisition costs		7,271			7,924		4,838		8,996			7,395
Cost of services		28,333			30,520		24,615		20,246			21,600
Other operating expenses		80,476			86,479		86,469		70,262			81,641
Interest expense		21,137			21,027		21,065		21,115			21,169
Amortization and impairment of other acquired intangible assets		863			862		863		862			2,225
Total expenses		91,861			164,117		141,498		167,624			190,694

Pretax income		246,506			161,641		195,496		161,189			179,167
Income tax provision		53,061			35,229		40,290		35,581			31,154
Net income	$	193,445		$	126,412	$	155,206	$	125,608		$	148,013

Diluted net income per share	$	1.07		$	0.67	$	0.80	$	0.64		$	0.76

(1)

Includes the impact of a line item reclassification recorded in the fourth quarter to correct earlier periods in 2020, which increased net premiums earned and decreased services revenue by $7.8 million each. See Exhibit E for additional detail by period related to this out-of-period adjustment reflected in our All Other results.

Selected Mortgage Key Ratios

	2021								2020
	Qtr 4		Qtr 3		Qtr 2		Qtr 1		Qtr 4
Loss ratio ⁽¹⁾	(18.6	) %	7.1	%	1.3	%	17.3	%	19.6	%
Expense ratio⁽²⁾	25.6	%	28.6	%	25.4	%	21.9	%	20.6	%

(1)		Calculated as provision for losses on a GAAP basis expressed as a percentage of net premiums earned.
(2)		Calculated as operating expenses (which include policy acquisition costs and other operating expenses, as well as allocated corporate operating expenses) on a GAAP basis expressed as a percentage of net premiums earned.

Radian Group Inc. and Subsidiaries
Condensed Consolidated Statements of Operations
Exhibit A (page 2 of 2)

	Year Ended December 31,
(In thousands, except per-share amounts)	2021		2020

Revenues:
Net premiums earned	$	1,037,183	$	1,115,321
Services revenue		125,825		105,385
Net investment income		147,909		154,037
Net gains (losses) on investments and other financial instruments		15,603		60,277
Other income		3,412		3,597
Total revenues		1,329,932		1,438,617

Expenses:
Provision for losses		20,877		485,117
Policy acquisition costs		29,029		30,989
Cost of services		103,714		86,066
Other operating expenses		323,686		280,710
Interest expense		84,344		71,150
Amortization and impairment of other acquired intangible assets		3,450		5,144
Total expenses		565,100		959,176

Pretax income		764,832		479,441
Income tax provision		164,161		85,815
Net income	$	600,671	$	393,626

Diluted net income per share	$	3.16	$	2.00

Selected Mortgage Key Ratios

	Year Ended December 31,
	2021		2020
Loss ratio ⁽¹⁾	1.9	%	44.2	%
Expense ratio ⁽²⁾	25.3	%	21.0	%

(1)		Calculated as provision for losses on a GAAP basis expressed as a percentage of net premiums earned.
(2)		Calculated as operating expenses (which include policy acquisition costs and other operating expenses, as well as allocated corporate operating expenses) on a GAAP basis expressed as a percentage of net premiums earned.

Radian Group Inc. and Subsidiaries
Net Income Per Share Trend Schedule
Exhibit B

The calculation of basic and diluted net income per share was as follows:

	2021								2020
(In thousands, except per-share amounts)	Qtr 4		Qtr 3		Qtr 2		Qtr 1		Qtr 4
Net income —basic and diluted	$	193,445	$	126,412	$	155,206	$	125,608	$	148,013

Average common shares outstanding—basic		179,500		186,741		193,436		193,439		193,248
Dilutive effect of stock-based compensation arrangements ⁽¹⁾		1,628		1,301		1,202		1,764		1,415
Adjusted average common shares outstanding—diluted		181,128		188,042		194,638		195,203		194,663

Basic net income per share	$	1.08	$	0.68	$	0.80	$	0.65	$	0.77

Diluted net income per share	$	1.07	$	0.67	$	0.80	$	0.64	$	0.76

(1)

The following number of shares of our common stock equivalents issued under our share-based compensation arrangements were not included in the calculation of diluted net income (loss) per share because they were anti-dilutive:

	2021				2020
(In thousands)	Qtr 4	Qtr 3	Qtr 2	Qtr 1	Qtr 4
Shares of common stock equivalents	35	—	—	—	324

	Year Ended December 31,
(In thousands, except per-share amounts)	2021		2020
Net income - basic and diluted	$	600,671	$	393,626

Average common shares outstanding—basic		188,370		195,443
Dilutive effect of stock-

Radian Announces Fourth Quarter and Full Year 2021 Financial Results