The second quarter marked a pivotal milestone for Hippo, a proud moment that reflects the dedication, hard work, and steady progress we've made over the past several quarters. We unveiled our exciting long-term strategic plan at our Investor Day in New York City, and announced a new, transformative partnership that will accelerate this strategy.

The strategic plan is anchored in three powerful pillars: Strategic Diversification across personal and commercial lines; Unlocking Market Growth through our owned MGA and the Hippo Homeowners Insurance Program; and Optimized Risk Management leveraging our diverse portfolio across market cycles.

The strategic partnership with The Baldwin Group (NASDAQ: BWIN) is set to supercharge our momentum: Hippo's hybrid fronting carrier will extend capacity to a broader spectrum of Baldwin's MGA programs; we'll distribute our newly built homes product through Baldwin's Westwood Insurance Agency, tripling access to new home closings; and we closed a deal to transfer our homebuilder assets to The Baldwin Group for $100 million on July 1, 2025.

While we grew revenue by more than 30% year over year, fixed expenses decreased by 16% over the same period. We achieved a consolidated net loss ratio of 47% in Q2, supported by favorable reserve developments across multiple lines of business.

Most critically, Hippo posted positive net income from operating activities for the very first time. Our 2028 financial targets include gross written premium over $2 billion, adjusted net income over $125 million, and adjusted return on equity over 18%.