[Management View]
Net income was $401 million, translating to $1 per diluted share, an 8.7% increase YoY. Operating earnings were $420 million, or $1.05 per share, with an annualized return on beginning equity of 20%. The combined ratio (current accident year, pre-catastrophes) was 88.4%. Catastrophe losses were $99 million. Net premiums earned reached a quarterly record of $3.1 billion, and net premiums written were $3.4 billion. The investment portfolio maintained a credit quality of AA- with a duration increase to 2.8 years.

[Outlook]
Management adjusted growth outlook to an 8%-12% range, noting increasing competitiveness and rate deceleration in property. They emphasized disciplined underwriting in casualty and workers’ compensation. The definition of operating earnings was changed to exclude after-tax foreign currency gains and losses. Shareholder returns were met through dividends, with share repurchases remaining under consideration.

[Financial Performance]
Net income per diluted share increased 8.7% YoY. Operating earnings were $420 million, or $1.05 per share. The combined ratio (current accident year, pre-catastrophes) was 88.4%. Catastrophe losses were $99 million, up from $90 million in Q2 2024. Net premiums earned reached $3.1 billion, and net premiums written were $3.4 billion. Net investment income was $379 million, up 16.5% YoY.

[Q&A Highlights]
Question 1: Has the growth potential changed given the property pricing deceleration?
Answer: The growth outlook has been adjusted to 8%-12% from the previous 10%-15% due to recent market conditions.

Question 2: Are tariffs and labor costs impacting current results?
Answer: These are forward-looking concerns, not currently impacting results, but adjustments are being made to anticipate potential effects.

Question 3: Why were no shares repurchased this quarter?
Answer: The decision was based on maintaining a surplus of capital and returning it through special dividends. Share repurchases remain under consideration.

Question 4: Any updates on the Mitsui stake?
Answer: No new information beyond SEC filings. The company is not privy to Mitsui's process to avoid restrictions on stock repurchases.

Question 5: How is medical inflation impacting workers' compensation and other lines?
Answer: The company is monitoring potential impacts, including the administration's stance on onshoring pharmaceuticals, which could affect costs.

Question 6: Why change the definition of operating earnings?
Answer: To reduce volatility from foreign currency gains and losses, aligning with equity analysts' modeling practices.

Question 7: How is the workers' comp pricing environment?
Answer: Higher hazard segments are seeing growth opportunities, while main street segments are more defensive.

Question 8: What are the competitive dynamics in the private client business?
Answer: The company is leveraging expertise and value, not just brand, to gain traction in the market.

Question 9: Are there any unusual factors affecting the reinsurance segment's combined ratio?
Answer: The increase is due to lower ceding commissions and property rates.

Question 10: How often does the company reassess risk-adjusted returns?
Answer: Continuously, with formal reviews monthly and quarterly, and adjustments made as needed.

[Sentiment Analysis]
Analysts' tone was inquisitive and focused on understanding the company's strategic adjustments and market dynamics. Management's tone was confident, emphasizing resilience and disciplined growth.

[Quarterly Comparison]
| Metric | Q2 2025 | Q2 2024 |
|--------|---------|---------|
| Net Income | $401M | N/A |
| Operating Earnings | $420M | N/A |
| Combined Ratio | 88.4% | N/A |
| Catastrophe Losses | $99M | $90M |
| Net Premiums Earned | $3.1B | N/A |
| Net Premiums Written | $3.4B | N/A |
| Net Investment Income | $379M | N/A |

[Risks and Concerns]
- Increasing competition in the property market, particularly for larger accounts.
- Potential impacts of tariffs and labor costs on future results.
- Medical inflation and its effects on workers' compensation and other lines.
- Volatility from foreign currency gains and losses.

[Final Takeaway]
W. R. Berkley reported strong financial performance with record net premiums and investment income. The company is navigating competitive market dynamics with a disciplined approach to underwriting and strategic adjustments to growth outlook. Management remains confident in their ability to generate high returns and continue delivering value to shareholders.