Root, Inc. (ROOT) financial statements: income statement, balance sheet and cash flow
Root, Inc.'s income statement, balance sheet and cash flow statement as filed with the SEC (10-K and 10-Q), with the latest fiscal years and quarters. In its latest fiscal year (Dec 31, 2025 · FY), Root, Inc. reported revenue of $1.5B (+29.0% year on year) and net income of $40.3M (+30.4% year on year).
Income statement
Root, Inc. income statement, fiscal years
Line item
Dec 31, 2025 · FY
Dec 31, 2024 · FY
Dec 31, 2023 · FY
Dec 31, 2022 · FY
Net premiums earned
$1.4B
$1.1B
$399.9M
$285.9M
Net investment income
$33.7M
$35.9M
$30.2M
$6.2M
Fee income
$78.3M
$66.0M
$23.4M
—
Other income
$3.4M
$3.7M
$1.5M
$1.7M
Total revenues
$1.5B
$1.2B
$455.0M
$310.8M
Loss and loss adjustment expenses
$924.2M
$733.0M
$331.3M
$351.0M
Sales and marketing
$174.8M
$135.8M
$49.3M
$48.0M
Other insurance expense
$206.3M
$106.4M
$47.6M
($8.0M)
Technology and development
$53.1M
$53.3M
$44.8M
$55.5M
General and administrative
$96.9M
$69.5M
$83.3M
$127.4M
Total operating expenses
$1.5B
$1.1B
$556.3M
$573.9M
Operating income (loss)
$61.8M
$78.5M
($101.3M)
($263.1M)
Interest expense
$21.0M
($42.2M)
($46.1M)
($34.6M)
Loss on extinguishment of debt
$0
($5.4M)
$0
$0
Income (loss) before income tax expense
$40.8M
$30.9M
($147.4M)
($297.7M)
Income tax expense
$500.0K
$0
$0
$0
Net income attributable to participating securities
$2.0M
($1.7M)
—
—
Net income (loss) attributable to common shareholders
$38.3M
$29.2M
—
—
Net income (loss)
$40.3M
$30.9M
($147.4M)
($297.7M)
Changes in net unrealized gains on investments
$6.2M
$200.0K
$3.3M
($6.2M)
Comprehensive income (loss)
$46.5M
$31.1M
($144.1M)
($303.9M)
Basic (in dollars per share)
$2.49
$1.96
-$10.24
-$21.11
Diluted (in dollars per share)
$2.36
$1.83
-$10.24
-$21.11
Basic (in shares)
15.4M
14.9M
14.4M
14.1M
Diluted (in shares)
17.1M
16.9M
14.4M
14.1M
Root, Inc. income statement, quarters
Line item
Jun 30, 2026 · Q2
Mar 31, 2026 · Q1
Sep 30, 2025 · Q3
Jun 30, 2025 · Q2
Net premiums earned
$363.5M
$363.7M
$360.1M
$353.0M
Net investment income
$5.0M
$8.7M
$7.0M
$9.4M
Net realized gains on investments
$0
$100.0K
—
—
Fee income
$19.8M
$20.3M
$19.8M
$19.7M
Other income
$900.0K
$700.0K
$900.0K
$800.0K
Total revenues
$389.2M
$393.5M
$387.8M
$382.9M
Loss and loss adjustment expenses
$239.9M
$226.2M
$239.4M
$233.3M
Sales and marketing
$25.3M
$27.3M
$40.6M
$37.1M
Other insurance expense
$58.4M
$59.4M
$67.0M
$47.9M
Technology and development
$15.5M
$15.2M
$14.7M
$13.7M
General and administrative
$15.5M
$24.5M
$25.8M
$23.6M
Total operating expenses
$354.6M
$352.6M
$387.5M
$355.6M
Operating income
$34.6M
$40.9M
$300.0K
$27.3M
Interest expense
$4.1M
$4.8M
($5.3M)
($5.3M)
Loss on extinguishment of debt
$4.9M
—
—
—
Income before income tax expense
$25.6M
$36.1M
($5.0M)
$22.0M
Income tax expense
$200.0K
$200.0K
($400.0K)
$0
Net income attributable to participating securities
$1.3M
$1.7M
$0
($1.1M)
Net income attributable to common shareholders
$24.1M
$34.2M
($5.4M)
$20.9M
Net income
$25.4M
$35.9M
($5.4M)
$22.0M
Changes in net unrealized (losses) gains on investments
($2.4M)
($3.5M)
$1.2M
$1.6M
Comprehensive income
$23.0M
$32.4M
($4.2M)
$23.6M
Basic (in dollars per share)
$1.54
$2.19
-$0.35
$1.36
Diluted (in dollars per share)
$1.49
$2.09
-$0.35
$1.29
Basic (in shares)
15.7M
15.6M
15.4M
15.4M
Diluted (in shares)
17.0M
17.2M
15.4M
17.1M
Balance sheet
Root, Inc. balance sheet, fiscal years
Line item
Dec 31, 2025 · FY
Dec 31, 2024 · FY
Dec 31, 2023 · FY
Dec 31, 2022 · FY
Fixed maturities available-for-sale, at fair value (amortized cost: $383.1 and $294.3 at December 31, 2025 and December 31, 2024, respectively)
$387.0M
$292.0M
—
—
Short-term investments (amortized cost: zero and $14.8 at December 31, 2025 and December 31, 2024, respectively)
$0
$14.8M
—
—
Other investments
$4.4M
$4.4M
$4.4M
$4.4M
Total investments
$391.4M
$311.2M
$171.2M
$133.2M
Cash and cash equivalents
$669.3M
$599.3M
$678.7M
$762.1M
Restricted cash and cash equivalents
$20.6M
—
—
—
Premiums receivable, net of allowance of $8.9 and $9.8 at December 31, 2025 and December 31, 2024, respectively
$332.8M
$305.3M
$247.1M
$111.9M
Reinsurance recoverable and receivable, net of allowance of $0.1 at December 31, 2025 and December 31, 2024
$129.8M
$150.6M
$125.3M
$148.8M
Prepaid reinsurance premiums
$6.3M
$25.1M
$48.2M
$74.2M
Other assets
$124.3M
$103.2M
$76.2M
$81.7M
Total assets
$1.7B
$1.5B
$1.3B
$1.3B
Loss and loss adjustment expense reserves
$483.6M
$413.2M
$284.2M
$287.4M
Unearned premiums
$393.7M
$353.9M
$283.7M
$136.5M
Long-term debt
$200.3M
$200.1M
$299.0M
$295.4M
Reinsurance premiums payable
$2.4M
$32.8M
$54.4M
$119.8M
Accounts payable and accrued expenses
$74.2M
$71.1M
$65.6M
$39.7M
Other liabilities
$124.0M
$108.9M
$83.1M
$45.0M
Total liabilities
$1.3B
$1.2B
$1.1B
$923.8M
Redeemable convertible preferred stock, $0.0001 par value, 14.1 shares issued and outstanding at December 31, 2025 and December 31, 2024 (redemption value of $126.5) (Note 11)
112.0M
112.0M
112.0M
112.0M
Common stock
$0
$0
$0
$0
Additional paid-in capital
$1.9B
$1.9B
$1.9B
$1.9B
Accumulated other comprehensive income (loss)
$3.9M
($2.3M)
($2.5M)
($5.8M)
Accumulated loss
($1.6B)
($1.7B)
($1.7B)
($1.6B)
Total stockholders’ equity
$284.3M
$203.7M
$165.7M
$277.1M
Total liabilities, redeemable convertible preferred stock and stockholders’ equity
$1.7B
$1.5B
$1.3B
$1.3B
Root, Inc. balance sheet, quarters
Line item
Jun 30, 2026
Mar 31, 2026
Sep 30, 2025
Jun 30, 2025
Fixed maturities available-for-sale, at fair value (amortized cost: $508.3 and $383.1 at June 30, 2026 and December 31, 2025, respectively)
$506.3M
$456.3M
$357.8M
$319.2M
Short-term investments (amortized cost: $10.8 and zero at June 30, 2026 and December 31, 2025, respectively)
$10.8M
$10.8M
$0
$3.5M
Other investments
$0
$4.4M
$4.4M
$4.4M
Total investments
$517.1M
$471.5M
$362.2M
$327.1M
Cash and cash equivalents
$509.6M
$597.2M
$653.3M
$641.4M
Restricted cash and cash equivalents
$65.2M
$11.7M
—
—
Premiums receivable, net of allowance of $8.5 and $8.9 at June 30, 2026 and December 31, 2025, respectively
$330.7M
$350.8M
$352.5M
$341.3M
Reinsurance premiums receivable, net of allowance of zero at June 30, 2026 and December 31, 2025
$87.0M
$94.4M
—
—
Reinsurance recoverable, net of allowance of $0.1 at June 30, 2026 and December 31, 2025
$25.2M
$27.7M
$142.3M
$145.5M
Deferred policy acquisition costs
$47.1M
$46.5M
—
—
Other assets
$86.6M
$85.1M
$119.3M
$116.4M
Total assets
$1.7B
$1.7B
$1.6B
$1.6B
Loss and loss adjustment expense reserves
$489.2M
$472.7M
$462.9M
$444.5M
Unearned premiums
$384.0M
$412.4M
$409.3M
$395.2M
Long-term debt
$197.8M
$200.3M
$200.4M
$200.1M
Premiums payable
$87.6M
$95.1M
—
—
Accounts payable and accrued expenses
$47.9M
$43.2M
$58.6M
$52.3M
Other liabilities
$22.1M
$23.3M
$122.2M
$123.3M
Total liabilities
$1.2B
$1.2B
$1.3B
$1.2B
Redeemable convertible preferred stock, $0.0001 par value, 100.0 shares authorized, 14.1 shares issued and outstanding at June 30, 2026 and December 31, 2025 (redemption value of $126.5)
112.0M
112.0M
112.0M
112.0M
Common stock
$0
$0
$0
$0
Additional paid-in capital
$1.9B
$1.9B
$1.9B
$1.9B
Accumulated other comprehensive (loss) income
($2.0M)
$400.0K
$3.5M
$2.3M
Accumulated loss
($1.6B)
($1.6B)
($1.6B)
($1.6B)
Total stockholders’ equity
$327.9M
$325.9M
$265.0M
$244.5M
Total liabilities, redeemable convertible preferred stock and stockholders’ equity
$1.7B
$1.7B
$1.6B
$1.6B
Cash flow statement
Root, Inc. cash flow statement, fiscal years
Line item
Dec 31, 2025 · FY
Dec 31, 2024 · FY
Dec 31, 2023 · FY
Dec 31, 2022 · FY
Net income (loss)
$40.3M
$30.9M
($147.4M)
($297.7M)
Share-based compensation
$40.1M
$18.5M
$17.3M
$30.5M
Warrant compensation expense
$19.2M
$3.8M
$17.4M
$14.5M
Depreciation and amortization
$11.8M
$14.9M
$12.6M
$13.8M
Bad debt expense
$36.7M
$33.6M
$14.1M
$17.4M
Loss on extinguishment of debt
$0
$5.4M
$0
$0
Gain on lease modification
$0
$0
($300.0K)
($900.0K)
Premiums receivable
($64.2M)
($92.3M)
($147.7M)
$18.8M
Reinsurance recoverable and receivable
$20.8M
($24.8M)
$21.9M
$6.2M
Prepaid reinsurance premiums
$18.8M
$23.1M
$26.0M
$26.6M
Other assets
($14.6M)
($25.0M)
$4.8M
($7.5M)
Losses and loss adjustment expenses reserves
$70.4M
$129.0M
($3.2M)
($32.8M)
Unearned premiums
$39.8M
$70.2M
$147.2M
($43.6M)
Reinsurance premiums payable
($30.4M)
($21.6M)
($65.4M)
$18.2M
Accounts payable and accrued expenses
$2.7M
$1.3M
$27.7M
$17.9M
Other liabilities
$15.1M
$28.7M
$41.4M
$8.5M
Net cash provided by (used in) operating activities
$206.5M
$195.7M
($33.6M)
($210.6M)
Purchases of investments
($147.4M)
($197.8M)
($76.0M)
($47.7M)
Proceeds from maturities, call and pay downs of investments
$67.8M
$54.6M
$37.5M
$34.1M
Sales of investments
$2.0M
$600.0K
$2.2M
$7.1M
Capitalization of internally developed software
($14.1M)
($11.4M)
($9.2M)
($8.8M)
Purchases of fixed assets
$0
($400.0K)
($200.0K)
$0
Net cash used in investing activities
($91.7M)
($154.4M)
($45.7M)
($16.6M)
Proceeds from exercise of stock options and restricted stock units
$300.0K
$100.0K
—
—
Taxes paid related to net share settlement of equity awards
($25.5M)
($15.1M)
($1.1M)
—
Payment of preferred stock and related warrants issuance costs
$0
($3.0M)
($3.0M)
($3.0M)
Proceeds from issuance of debt and related warrants, net of issuance costs
$0
$134.4M
$0
$286.0M
Repayments of long-term debt
$0
($237.1M)
$0
$0
Net cash used in financing activities
($25.2M)
($120.7M)
($4.1M)
$283.3M
Net increase (decrease) in cash, cash equivalents, restricted cash, and restricted cash equivalents
$89.6M
($79.4M)
($83.4M)
$56.1M
Cash, cash equivalents, restricted cash, and restricted cash equivalents at beginning of year
$600.3M
$679.7M
$763.1M
$707.0M
Cash, cash equivalents, restricted cash, and restricted cash equivalents at end of year
$689.9M
—
—
—
Root, Inc. cash flow statement, quarters
Line item
Jun 30, 2026 · YTD
Mar 31, 2026 · Q1
Sep 30, 2025 · YTD
Jun 30, 2025 · YTD
Net income
$61.3M
$35.9M
$35.0M
$40.4M
Share-based compensation
$16.0M
$11.0M
$26.4M
$14.8M
Warrant compensation expense
$3.5M
$1.9M
$17.2M
$0
Depreciation and amortization
$5.8M
$3.1M
$8.7M
$4.0M
Bad debt expense
$19.1M
$9.8M
$27.1M
$17.8M
Loss on extinguishment of debt
$4.9M
—
—
—
Net realized gains on investments
($100.0K)
($100.0K)
—
—
Change in fair value of equity securities
$4.4M
—
—
—
Premiums receivable
($17.0M)
($27.8M)
($74.3M)
($53.8M)
Reinsurance premiums receivable
$9.3M
$1.9M
—
—
Reinsurance recoverable
$8.3M
$5.8M
$8.3M
$5.1M
Deferred policy acquisition costs
($2.7M)
($2.1M)
—
—
Other assets
$4.3M
$1.1M
($10.3M)
($10.7M)
Losses and loss adjustment expenses reserves
$5.6M
($10.9M)
$49.7M
$31.3M
Unearned premiums
($9.7M)
$18.7M
$55.4M
$41.3M
Premiums payable
($9.1M)
($1.6M)
—
—
Accounts payable and accrued expenses
($28.9M)
($31.0M)
($12.7M)
($19.0M)
Other liabilities
($8.2M)
($6.4M)
$13.3M
$14.4M
Net cash provided by operating activities
$66.8M
$9.3M
$136.4M
$78.8M
Purchases of investments
($173.2M)
($100.1M)
($103.2M)
($45.9M)
Proceeds from maturities, calls and pay downs of investments
$29.4M
$12.3M
$53.6M
$34.2M
Sales of investments
$4.7M
$4.7M
$300.0K
$100.0K
Capitalization of internally developed software
($7.2M)
($3.5M)
($9.9M)
($6.0M)
Net cash used in investing activities
($146.3M)
($86.6M)
($59.2M)
($17.6M)
Proceeds from exercise of stock options and restricted stock units
$0
$0
$300.0K
$400.0K
Taxes paid related to net share settlement of equity awards
($10.5M)
($3.7M)
($23.4M)
($19.4M)
Repurchase and retirement of common stock
($20.7M)
—
—
—
Proceeds from issuance of debt, net of issuance costs
$197.7M
—
—
—
Repayments of long-term debt
($202.1M)
—
—
—
Net cash used in financing activities
($35.6M)
($3.7M)
($23.1M)
($19.0M)
Net (decrease) increase in cash, cash equivalents, restricted cash, and restricted cash equivalents
($115.1M)
($81.0M)
$54.1M
$42.2M
Cash, cash equivalents, restricted cash, and restricted cash equivalents at beginning of period
$689.9M
$689.9M
$600.3M
$600.3M
Cash, cash equivalents, restricted cash, and restricted cash equivalents at end of period