— GAAP net income of $198 million, or $1.20 per diluted share —

— Adjusted diluted net operating income of $1.31 per diluted share —

— Return on equity of 20.7% and adjusted net operating return on equity of 22.5% —

— Purchased 19.5 million shares, or 11.1% of total shares outstanding of Radian Group common stock year-to-date through October 31st —

— Primary mortgage insurance in force increases 7.3% year-over-year to $259 billion —

Radian Group Inc. (NYSE:RDN) today reported net income for the quarter ended September 30, 2022, of $198.3 million, or $1.20 per diluted share. This compares with net income for the quarter ended September 30, 2021, of $126.4 million, or $0.67 per diluted share.

Key Financial Highlights	Quarter ended
($ in millions, except per-share amounts)	September 30, 2022	June 30, 2022	September 30, 2021
Net income ⁽¹⁾	$198.3	$201.2	$126.4
Diluted net income per share	$1.20	$1.15	$0.67
Consolidated pretax income	$255.5	$259.9	$161.6
Adjusted pretax operating income ⁽²⁾	$272.7	$302.0	$160.6
Adjusted diluted net operating income per share ⁽²⁾⁽³⁾	$1.31	$1.36	$0.67
Return on equity ⁽¹⁾⁽⁴⁾	20.7 %	19.9 %	11.8 %
Adjusted net operating return on equity ⁽²⁾⁽³⁾	22.5 %	23.6 %	11.8 %
New Insurance Written (NIW) - mortgage insurance	$17,616	$18,935	$26,558
Net premiums earned - mortgage insurance	$235.2	$246.9	$236.9
New defaults ⁽⁵⁾	9,601	8,009	8,132
Provision for losses - mortgage insurance	($97.5)	($114.2)	$16.8
homegenius revenues	$25.1	$32.3	$45.1
Book value per share	$23.80	$23.63	$23.48
Accumulated other comprehensive income (loss) value per share ⁽⁶⁾	($3.20)	($1.98)	$0.84
PMIERs Available Assets ⁽⁷⁾	$5,358	$5,175	$5,262
PMIERs excess Available Assets ⁽⁸⁾	$1,628	$1,424	$1,741
Total Holding Company Liquidity ⁽⁹⁾	$848	$1,048	$1,036
Total investments	$5,592	$5,906	$6,658
Primary mortgage insurance in force	$259,121	$254,226	$241,575
Percentage of primary loans in default ⁽¹⁰⁾	2.1 %	2.2 %	3.4 %
Mortgage insurance loss reserves	$478	$589	$888

(1)		Net income for the third quarter of 2022 includes a pretax net loss on investments and other financial instruments of $16.3 million, compared with a $41.9 million pretax net loss on investments and other financial instruments in the second quarter of 2022 and a pretax net gain on investments and other financial instruments of $2.1 million for the third quarter of 2021.
(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%.
(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)		Represents the number of new defaults reported during the period on loans related to primary mortgage insurance policies.
(6)		Included in book value per share for each period presented.
(7)		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.
(8)		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.
(9)		Represents Radian Group's total liquidity, including available capacity under its unsecured revolving credit facility.
(10)		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 September 30, 2022, was $272.7 million, or $1.31 per diluted share. This compares with adjusted pretax operating income for the quarter ended September 30, 2021, of $160.6 million, or $0.67 per diluted share.

Book value per share at September 30, 2022, was $23.80, compared to $23.63 at June 30, 2022, and $23.48 at September 30, 2021. This represents a 1.4% growth in book value per share at September 30, 2022, as compared to September 30, 2021, and includes accumulated other comprehensive income (loss) of $(3.20) per share as of September 30, 2022 and $0.84 per share as of September 30, 2021, which, if excluded as of both dates, would represent 19.3% growth for the period. Changes in accumulated other comprehensive income (loss) for the period are primarily from net unrealized losses on investments as a result of an increase in market interest rates during the period. We do not expect to realize these losses given that we have the ability and the expectation to hold these securities until recovery.

"Despite a challenging macroeconomic environment and cooling of the mortgage and real estate markets, we are pleased to report on another excellent quarter for Radian with net income of $198 million, return on equity of 20.7% and total holding company liquidity of $848 million. Our primary mortgage insurance in force portfolio, which is the main driver of future earnings for our company, grew more than 7% year-over-year to $259 billion and credit performance remained strong," said Radian's Chief Executive Officer Rick Thornberry. "We are managing our expense structure to align to today's operating environment and strategically managing our capital. We believe we are well positioned to continue our mission of ensuring affordable, sustainable and equitable homeownership."

THIRD QUARTER HIGHLIGHTS

NIW was $17.6 billion in the third quarter of 2022, compared to $18.9 billion in the second quarter of 2022, and $26.6 billion in the third quarter of 2021.
- Purchase NIW decreased 5.7% in the third quarter of 2022 compared to the second quarter of 2022 and decreased 27.3% compared to the third quarter of 2021.
- Refinances accounted for 1.6% of total NIW in the third quarter of 2022, compared to 2.9% in the second quarter of 2022, and 10.2% in the third quarter of 2021.
- Of the $17.6 billion in NIW in the third quarter of 2022, 95.5% was written with monthly and other recurring premiums, compared to 95.4% in the second quarter of 2022, and 93.8% in the third quarter of 2021.
Total primary mortgage insurance in force as of September 30, 2022, increased to $259.1 billion, an increase of 1.9% compared to $254.2 billion as of June 30, 2022, and an increase of 7.3% compared to $241.6 billion as of September 30, 2021. The year-over-year change reflects an 11.8% increase in monthly premium policy insurance in force and a 13.2% 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 75.9% for the twelve months ended September 30, 2022, compared to 71.7% for the twelve months ended June 30, 2022, and 60.8% for the twelve months ended September 30, 2021.
- Annualized persistency for the three months ended September 30, 2022, was 81.6%, compared to 79.8% for the three months ended June 30, 2022, and 67.5% for the three months ended September 30, 2021.
Net mortgage insurance premiums earned were $235.2 million for the quarter ended September 30, 2022, compared to $246.9 million for the quarter ended June 30, 2022, and $236.9 million for the quarter ended September 30, 2021.
- Mortgage insurance in force portfolio premium yield was 39.2 basis points in the third quarter of 2022. This compares to 40.0 basis points in the second quarter of 2022, and 40.3 basis points in the third quarter of 2021.
- The impact of single premium policy cancellations before consideration of reinsurance represented 1.0 basis points of direct premium yield in the third quarter of 2022, 1.1 basis points in the second quarter of 2022, and 4.3 basis points in the third quarter of 2021.
- Total net mortgage insurance premium yield, which includes the impact of ceded premiums and accrued profit commission, was 36.7 basis points in the third quarter of 2022. This compares to 39.3 basis points in the second quarter of 2022, and 39.6 basis points in the third quarter of 2021.
- Details regarding premiums earned may be found in Exhibit D.
The mortgage insurance provision for losses was a benefit of $97.5 million in the third quarter of 2022, compared to a benefit of $114.2 million in the second quarter of 2022, and a provision of $16.8 million in the third quarter of 2021.
- The decreased benefit in the third quarter of 2022 compared to the second quarter of 2022 was primarily related to less favorable development on prior period reserves, as compared to the second quarter of 2022. The benefit compared to the provision recorded in the same quarter prior year is primarily related to more favorable development on prior period reserves, as compared to the third quarter of 2021. All periods were impacted by more favorable trends in cures than originally estimated.
- The number of primary delinquent loans was 21,077 as of September 30, 2022, compared to 21,861 as of June 30, 2022, and 33,795 as of September 30, 2021.
- The loss ratio in the third quarter of 2022 was (41.5)% compared to (46.2)% in the second quarter of 2022, and 7.1% in the third quarter of 2021.
- Total mortgage insurance claims paid were $4.5 million in the third quarter of 2022, compared to $3.3 million in the second quarter of 2022, and $10.2 million in the third quarter of 2021.
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 third quarter of 2022 were $25.1 million, compared to $32.3 million for the second quarter of 2022, and $45.1 million for the third quarter of 2021.
- Adjusted pretax operating loss, our primary segment measure of profitability for the homegenius segment, was $25.5 million for the quarter ended September 30, 2022, compared to $17.7 million for the quarter ended June 30, 2022, and $5.6 million for the quarter ended September 30, 2021.
- Additional details regarding related non-GAAP measures may be found in Exhibits F and G.
Other operating expenses were $91.3 million in the third quarter of 2022, compared to $90.5 million in the second quarter of 2022, and $86.5 million in the third quarter of 2021.
- The increase in the third quarter of 2022 compared to the third quarter of 2021 was driven primarily by an increase in other general operating expenses 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 September 30, 2022, Radian Group maintained $572.6 million of available liquidity. Total Holding Company Liquidity, which includes the company's $275.0 million unsecured revolving credit facility, was $847.6 million as of September 30, 2022.
During the third quarter of 2022, the company repurchased 9.5 million shares of Radian Group common stock at a total cost of $194.1 million, including commissions. This represented 5.7% in the aggregate of total shares outstanding as of the end of the second quarter.
In addition, in October 2022 the Company purchased an additional 49 thousand shares of Radian Group common stock at a total cost of approximately $1.0 million, including commissions. After the repurchases in October, no purchase authority remained available under our most recent repurchase authorization.
On August 10, 2022, Radian Group's board of directors authorized a regular quarterly dividend on its common stock in the amount of $0.20 per share and the dividend was paid on September 1, 2022.
Radian Reinsurance paid an ordinary dividend of $32.5 million to Radian Group in September 2022.

Radian Guaranty

At September 30, 2022, Radian Guaranty's Available Assets under PMIERs totaled approximately $5.4 billion, resulting in excess available resources or a "cushion" of $1.6 billion, or 44%, over its Minimum Required Assets.
As of September 30, 2022, 68% of Radian Guaranty's primary mortgage insurance risk in force is subject to some form of risk distribution, providing a $1.2 billion reduction of Minimum Required Assets under PMIERs.
As previously announced, consistent with our use of risk distribution strategies to effectively manage capital and proactively mitigate risk, Radian Guaranty entered into a quota share reinsurance arrangement ("2022 QSR Agreement") with a panel of third-party reinsurance providers in the third quarter of 2022. Under the 2022 QSR Agreement, starting July 1, 2022, we began to cede 20% of policies issued between January 1, 2022, and June 30, 2023, subject to certain conditions.

CONFERENCE CALL

Radian will discuss third quarter 2022 financial results in a conference call tomorrow, Thursday, November 3, 2022, at 12:00 p.m. Eastern time. The conference call will be webcast live on the company's website at https://radian.com/who-we-are/for-investors/webcasts or at www.radian.com. The webcast is listen-only. Those interested in participating in the question-and-answer session should follow the conference call dial-in instructions below.

Please note that there is a new process to access the call via telephone. The call may be accessed via telephone by registering for the call here to receive the dial-in numbers and unique PIN. It is recommended that you join 10 minutes prior to the event start (although you may register and dial in at any time during the call).

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

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) gains (losses) 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 adjusted gross profit margin are calculated by dividing homegenius adjusted pretax operating margin before allocated corporate operating expenses and 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 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, Default Statistics
Exhibit K:		Mortgage Supplemental Information
		Reinsurance Programs


Radian Group Inc. and Subsidiaries
Condensed Consolidated Statements of Operations Trend Schedule
Exhibit A

	2022									2021
(In thousands, except per-share amounts)	Qtr 3			Qtr 2			Qtr 1			Qtr 4			Qtr 3
Revenues
Net premiums earned	$	240,222		$	253,892		$	254,190		$	261,437		$	249,118
Services revenue		20,146			27,281			29,348			35,693			37,773
Net investment income		51,414			46,957			38,196			37,407			35,960
Net gains (losses) on investments and other financial instruments		(16,252	)		(41,869	)		(29,457	)		3,025			2,098
Other income		659			572			703			805			809
Total revenues		296,189			286,833			292,980			338,367			325,758
Expenses
Provision for losses		(96,964	)		(113,922	)		(83,754	)		(46,219	)		17,305
Policy acquisition costs		5,442			5,940			6,605			7,271			7,924
Cost of services		18,717			22,760			24,753			28,333			30,520
Other operating expenses		91,327			90,495			89,541			80,476			86,479
Interest expense		21,183			20,831			20,846			21,137			21,027
Amortization of other acquired intangible assets		1,023			849			849			863			862
Total expenses		40,728			26,953			58,840			91,861			164,117
Pretax income		255,461			259,880			234,140			246,506			161,641
Income tax provision		57,181			58,687			53,009			53,061			35,229
Net income	$	198,280		$	201,193		$	181,131		$	193,445		$	126,412
Diluted net income per share	$	1.20		$	1.15		$	1.01		$	1.07		$	0.67


Selected Mortgage Key Ratios

	2022						2021
	Qtr 3		Qtr 2		Qtr 1		Qtr 4		Qtr 3
Loss ratio ⁽¹⁾	(41.5	)%	(46.2	)%	(34.3	)%	(18.6	)%	7.1	%
Expense ratio⁽²⁾	26.1	%	26.2	%	27.2	%	25.6	%	28.6	%

(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
Net Income Per Share Trend Schedule
Exhibit B

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

	2022						2021
(In thousands, except per-share amounts)	Qtr 3		Qtr 2		Qtr 1		Qtr 4		Qtr 3
Net income—basic and diluted	$	198,280	$	201,193	$	181,131	$	193,445	$	126,412
Average common shares outstanding—basic		162,506		173,705		176,816		179,500		186,741
Dilutive effect of stock-based compensation arrangements ⁽¹⁾		2,232		1,714		2,263		1,628		1,301
Adjusted average common shares outstanding—diluted		164,738		175,419		179,079		181,128		188,042
Basic net income per share	$	1.22	$	1.16	$	1.02	$	1.08	$	0.68
Diluted net income per share	$	1.20	$	1.15	$	1.01	$	1.07	$	0.67

(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 would be anti-dilutive.

2022

2021

(In thousands)

Qtr 3

Qtr 2

Qtr 1

Qtr 4

Qtr 3

Shares of common stock equivalents

—

189

—


Radian Group Inc. and Subsidiaries
Condensed Consolidated Balance Sheets
Exhibit C

	September 30,			June 30			March 31,			December 31,			September 30,
(In thousands, except per-share amounts)	2022			2022			2022			2021			2021
Assets
Investments	$	5,591,881		$	5,906,147		$	6,334,950		$	6,513,542		$	6,658,487
Cash		54,701			135,262			131,853			151,145			154,709
Restricted cash		1,107			561			1,651			1,475			1,866
Accrued investment income		38,596			35,774			35,531			32,812			33,258
Accounts and notes receivable		174,041			166,380			142,579			124,016			166,730
Reinsurance recoverables		30,569			39,876			55,015			67,896			76,048
Deferred policy acquisition costs		17,920			16,983			16,383			16,317			16,823
Property and equipment, net		75,740			74,874			75,275			75,086			74,170
Goodwill and other acquired intangible assets, net		16,873			17,895			18,744			19,593			20,456
Prepaid federal income taxes		526,123			466,123			354,123			354,123			313,123
Other assets		458,292			414,412			449,642			483,180			525,938
Total assets	$	6,985,843		$	7,274,287		$	7,615,746		$	7,839,185		$	8,041,608
Liabilities and stockholders' equity
Unearned premiums	$	285,290		$	298,991		$	312,013		$	329,090		$	348,322
Reserve for losses and loss adjustment expense		483,664			594,808			727,247			828,642			893,155
Senior notes		1,412,473			1,411,458			1,410,458			1,409,473			1,408,502
FHLB advances		153,550			184,284			148,983			150,983			172,649
Reinsurance funds withheld		218,777			223,649			225,363			228,078			290,502
Net deferred tax liability		335,374			324,866			324,004			337,509			286,957
Other liabilities		358,665			305,269			320,114			296,614			383,585
Total liabilities		3,247,793			3,343,325			3,468,182			3,580,389			3,783,672
Common stock		176			186			193			194			200
Treasury stock		(930,396	)		(930,284	)		(920,958	)		(920,798	)		(920,355	)
Additional paid-in capital		1,513,615			1,698,490			1,871,763			1,878,372			2,012,870
Retained earnings		3,656,870			3,491,675			3,326,119			3,180,935			3,012,997
Accumulated other comprehensive income (loss)		(502,215	)		(329,105	)		(129,553	)		120,093			152,224
Total stockholders' equity		3,738,050			3,930,962			4,147,564			4,258,796			4,257,936
Total liabilities and stockholders' equity	$	6,985,843		$	7,274,287		$	7,615,746		$	7,839,185		$	8,041,608
Shares outstanding		157,058			166,388			174,648			175,421			181,336
Book value per share	$	23.80		$	23.63		$	23.75		$	24.28		$	23.48

Debt to capital ratio ⁽¹⁾		27.4	%		26.4	%		25.4	%		24.9	%		24.9	%
Risk to capital ratio-Radian Guaranty only		11.1:1			11.9:1			12.1:1			11.1:1			11.4:1

(1)

Calculated as senior notes divided by senior notes and stockholders' equity.


Radian Group Inc. and Subsidiaries
Net Premiums Earned
Exhibit D

	2022									2021
(In thousands)	Qtr 3			Qtr 2			Qtr 1			Qtr 4			Qtr 3
Premiums earned
Direct - Mortgage
Premiums earned, excluding revenue from cancellations	$	250,140		$	249,936		$	243,600		$	248,704		$	239,786
Single Premium Policy cancellations		6,705			6,894			14,696			20,530			25,592
Total direct - Mortgage		256,845			256,830			258,296			269,234			265,378
Assumed - Mortgage ⁽¹⁾		1,211			1,539			1,331			1,470			1,683
Ceded - Mortgage
Premiums earned, excluding revenue from cancellations		(38,879	)		(28,565	)		(27,339	)		(28,333	)		(27,662	)
Single Premium Policy cancellations ⁽²⁾		(1,844	)		(1,965	)		(4,192	)		(5,905	)		(7,338	)
Profit commission - other ⁽³⁾		17,864			19,070			17,078			13,199			4,806
Total ceded premiums - Mortgage ⁽⁴⁾		(22,859	)		(11,460	)		(14,453	)		(21,039	)		(30,194	)
Net premiums earned - Mortgage		235,197			246,909			245,174			249,665			236,867
Net premiums earned - homegenius		5,025			6,983			9,016			11,772			12,251
Net premiums earned	$	240,222		$	253,892		$	254,190		$	261,437		$	249,118

(1)		Represents premiums from our participation in certain credit risk transfer programs.
(2)		Includes the impact of related profit commissions.
(3)		The amounts represent the profit commission on the Single Premium QSR Program and 2022 QSR Agreement, excluding the impact of Single Premium Policy cancellations.
(4)		See Exhibit K for additional information on ceded premiums for our various reinsurance programs.


Radian Group Inc. and Subsidiaries
Segment Information
Exhibit E (page 1 of 6)

Summarized financial information concerning our operating segments as of and for the periods indicated is as follows. For a definition of adjusted pretax operating income (loss), homegenius adjusted pretax operating income (loss) before allocated corporate operating expenses and homegenius adjusted gross profit, along with reconciliations to consolidated GAAP measures, see Exhibits F and G.

	Three Months Ended September 30, 2022
(In thousands)	Mortgage			homegenius			All Other ⁽¹⁾		Inter- segment ⁽²⁾			Total
Net premiums written ⁽³⁾	$	235,076		$	5,025		$	—	$	—		$	240,101
Decrease in unearned premiums		121			—			—		—			121
Net premiums earned		235,197			5,025			—		—			240,222
Services revenue		405			19,812			—		(71	)		20,146
Net investment income		44,842			246			6,326		—			51,414
Other income		589			—			70		—			659
Total		281,033			25,083			6,396		(71	)		312,441
Provision for losses		(97,493	)		435			—		94			(96,964	)
Policy acquisition costs		5,442			—			—		—			5,442
Cost of services		373			18,344			—		—			18,717
Other operating expenses before allocated corporate operating expenses ⁽⁴⁾		23,396			26,285			3,444		(165	)		52,960
Interest expense⁽⁵⁾		21,183			—			—		—			21,183
Total		(47,099	)		45,064			3,444		(71	)		1,338
Adjusted pretax operating income (loss) before allocated corporate operating expenses		328,132			(19,981	)		2,952		—			311,103
Allocation of corporate operating expenses		32,457			5,555			371		—			38,383
Adjusted pretax operating income (loss)	$	295,675		$	(25,536	)	$	2,581	$	—		$	272,720

	Three Months Ended September 30, 2021
(In thousands)	Mortgage		homegenius			All Other ⁽¹⁾		Inter- segment ⁽²⁾			Total
Net premiums written ⁽³⁾	$	228,116	$	12,251		$	—	$	—		$	240,367
Decrease in unearned premiums		8,751		—			—		—			8,751
Net premiums earned		236,867		12,251			—		—			249,118
Services revenue		5,027		32,805			27		(86	)		37,773
Net investment income		32,158		35			3,767		—			35,960
Other income		607		—			202		—			809
Total		274,659		45,091			3,996		(86	)		323,660
Provision for losses		16,794		540			—		(29	)		17,305
Policy acquisition costs		7,924		—			—		—			7,924
Cost of services		3,865		26,646			9		—			30,520
Other operating expenses before allocated corporate operating expenses ⁽⁴⁾		25,866		18,544			2,623		(57	)		46,976
Interest expense⁽⁵⁾		21,027		—			—		—			21,027
Total		75,476		45,730			2,632		(86	)		123,752
Adjusted pretax operating income (loss) before allocated corporate operating expenses		199,183		(639	)		1,364		—			199,908
Allocation of corporate operating expenses		33,963		4,918			378		—			39,259
Adjusted pretax operating income (loss)	$	165,220	$	(5,557	)	$	986	$	—		$	160,649


Radian Group Inc. and Subsidiaries
Segment Information
Exhibit E (page 2 of 6)

(1)		All Other activities include: (i) income (losses) from assets held by our holding company; (ii) related general corporate operating expenses not attributable or allocated to our reportable segments; and (iii) certain investments in new business opportunities, including activities and investments associated with Radian Mortgage Capital, and other immaterial activities.
(2)		Includes immaterial inter-segment services revenue for our homegenius segment and immaterial inter-segment provision for losses and other operating expenses for our Mortgage segment.
(3)		Net of ceded premiums written under under our quota share and excess-of-loss reinsurance agreements. See Exhibit K for additional information.
(4)		Does not include impairment of long-lived assets and other non-operating items, which are not considered components of adjusted pretax operating income (loss).
(5)		Relates to interest on our borrowing and financing activities including our Senior Notes issued by our holding company and FHLB borrowings made by our mortgage insurance subsidiaries.

Radian Group Inc. and Subsidiaries
Segment Information
Exhibit E (page 3 of 6)

	Mortgage
	2022									2021
(In thousands)	Qtr 3			Qtr 2			Qtr 1			Qtr 4			Qtr 3
Net premiums written⁽¹⁾	$	235,076		$	248,645		$	248,360		$	238,529		$	228,116
(Increase) decrease in unearned premiums		121			(1,736	)		(3,186	)		11,136			8,751
Net premiums earned		235,197			246,909			245,174			249,665			236,867
Services revenue		405			2,105			4,552			4,560			5,027
Net investment income		44,842			40,197			34,017			33,916			32,158
Other income		589			572			703			661			607
Total		281,033			289,783			284,446			288,802			274,659

Provision for losses⁽²⁾		(97,493	)		(114,179	)		(84,193	)		(46,560	)		16,794
Policy acquisition costs		5,442			5,940			6,605			7,271			7,924
Cost of services		373			1,960			3,383			3,710			3,865
Other operating expenses before allocated corporate operating expenses^{(2) (3)}		23,396			25,474			23,755			23,365			25,866
Interest expense⁽⁴⁾		21,183			20,831			20,846			21,137			21,027
Total ⁽²⁾		(47,099	)		(59,974	)		(29,604	)		8,923			75,476
Adjusted pretax operating income before allocated corporate operating expenses		328,132			349,757			314,050			279,879			199,183
Allocation of corporate operating expenses		32,457			33,237			36,209			33,305			33,963
Adjusted pretax operating income	$	295,675		$	316,520		$	277,841		$	246,574		$	165,220

	homegenius
	2022									2021
(In thousands)	Qtr 3			Qtr 2			Qtr 1			Qtr 4			Qtr 3
Net premiums earned	$	5,025		$	6,983		$	9,016		$	11,772		$	12,251
Services revenue ⁽²⁾		19,812			25,261			24,878			31,177			32,805
Net investment income		246			99			18			255			35
Net gains (losses) on investments		—			—			—			1,509			—
Total ⁽²⁾		25,083			32,343			33,912			44,713			45,091

Provision for losses		435			309			481			369			540
Cost of services		18,344			20,800			21,370			24,615			26,646
Other operating expenses before allocated corporate operating expenses ⁽³⁾		26,285			23,205			20,287			16,998			18,544
Total		45,064			44,314			42,138			41,982			45,730
Adjusted pretax operating income (loss) before allocated corporate operating expenses		(19,981	)		(11,971	)		(8,226	)		2,731			(639	)
Allocation of corporate operating expenses		5,555			5,719			5,280			4,847			4,918
Adjusted pretax operating income (loss)	$	(25,536	)	$	(17,690	)	$	(13,506	)	$	(2,116	)	$	(5,557	)


Radian Group Inc. and Subsidiaries
Segment Information
Exhibit E (page 4 of 6)

	All Other⁽⁵⁾
	2022						2021
(In thousands)	Qtr 3		Qtr 2		Qtr 1		Qtr 4		Qtr 3
Services revenue	$	—	$	—	$	—	$	30	$	27
Net investment income		6,326		6,661		4,161		3,236		3,767
Other income		70		—		—		144		202
Total		6,396		6,661		4,161		3,410		3,996

Cost of services		—		—		—		8		9
Other operating expenses before allocated corporate operating expenses ⁽³⁾		3,444		3,077		3,142		2,422		2,623
Total		3,444		3,077		3,142		2,430		2,632
Adjusted pretax operating income before allocated corporate operating expenses		2,952		3,584		1,019		980		1,364
Allocation of corporate operating expenses		371		381

Radian Announces Third Quarter 2022 Financial Results