Key Highlights

  • The third-quarter net loss attributable to MBIA was USD 24 million, or USD 0.49 per share, compared with USD 8 million, or USD 0.17, in the same quarter a year earlier.
  • Adjusted net loss, a non-GAAP measure, was USD 3 million, or USD 0.06 per diluted share, against adjusted Net Income of USD 51 million, or USD 1.03.
  • Total revenues rose to USD 26 million from USD 15 million, while losses and loss adjustment benefits shrank to USD 12 million from USD 50 million.
  • Nine-month net loss attributable to MBIA narrowed to USD 110 million, or USD 2.20 per share, from USD 126 million, or USD 2.57.

Smaller Reserve Benefit Widens the Quarterly Loss

MBIA (NYSE:MBI) filed its Quarterly Report on November 4, 2026, covering the period to September 30. The loss from continuing operations before taxes widened to USD 23 million from USD 7 million. Revenue improved, mainly through a USD 7 million consolidated VIE gain, tied to a litigation trust, versus USD 2 million, and USD 11 million of Fair Value Investment losses against USD 14 million a year earlier. Total expenses were USD 49 million versus USD 22 million because the losses and loss adjustment benefit dropped to USD 12 million from USD 50 million. The company says the change came mainly from its insured PREPA and first-lien residential mortgage-backed securities exposures. The filing rounds figures to the nearest million.

PREPA Defaults Keep Claims in Focus

MBIA (NYSE:MBI) is a financial guarantee insurer whose National Subsidiary insures U.S. public finance bonds, while MBIA Corp. covers international and structured finance. The Puerto Rico Electric Power Authority defaulted on insured Debt service on January 1, 2026, leading to gross claims of USD 11 million, and again on July 1, 2026, with claims of USD 46 million. National had USD 508 million of insured debt service outstanding related to PREPA at September 30. The matter remains in litigation after the Oversight Board moved to modify National's settlement, and the filing describes ongoing court proceedings over an administrative expense claim. Outcomes could change loss reserves materially.

Nine-Month Results, Liquidity and Claims-Paying Resources

For the nine months, the net loss attributable to the company narrowed to USD 110 million from USD 126 million, helped by foreign currency gains of USD 3 million versus losses of USD 13 million and USD 5 million of translation losses reclassified in 2025. Adjusted net loss was USD 18 million, or USD 0.36 per share, against adjusted income of USD 35 million, or USD 0.70. National held cash and investments of USD 1.2 billion, and its total claims-paying resources were USD 1,400 million versus USD 1,423 million at year-end. MBIA Corp. had statutory Capital of USD 102 million, up from USD 79 million. Interest expense in the corporate segment declined on lower average debt.

Where Things Stand

The loss grew mainly because a large reserve benefit from a year earlier shrank, not because revenue weakened. MBIA (NYSE:MBI) recorded a USD 0.49 loss per share against USD 0.17, with adjusted results swinging from a USD 1.03 profit to a USD 0.06 loss, while the nine-month loss narrowed. No guidance figures appeared in the extract reviewed. Watch PREPA litigation and claim payments, movements in fair value investments, the corporate segment's debt service, and the capital position of National and MBIA Corp.