We could not find any results for:
Make sure your spelling is correct or try broadening your search.
Share Name | Share Symbol | Market | Type |
---|---|---|---|
Global Indemnity Group LLC | NYSE:GBLI | NYSE | Common Stock |
Price Change | % Change | Share Price | High Price | Low Price | Open Price | Shares Traded | Last Trade | |
---|---|---|---|---|---|---|---|---|
0.1301 | 0.42% | 30.7601 | 31.195 | 30.76 | 31.00 | 1,107 | 15:43:30 |
Global Indemnity Group, LLC (NYSE:GBLI) (the “Company”) today reported net income available to shareholders for the twelve months ended December 31, 2023, of $25.0 million compared to net loss available to shareholders of $1.3 million for the corresponding period in 2022. Adjusted operating income per share was $1.96 in 2023, an increase of 125% over $0.87 in 2022, driven by a 95.2% accident year combined ratio in the Company’s Penn-America excess and surplus lines insurance business and $55.4 million of net investment income, which increased 101% over 2022. The Company also reduced gross written premium of its Non-Core Operations by 86%. Book value per share increased 8.2% (including $1.00 per share of dividends paid during 2023) to $47.53 at December 31, 2023.
Selected Operating and Balance Sheet Information
Consolidated Results Including Penn-America and Non-Core Operations
(Dollars in millions, except per share data)
For the Twelve Months Ended
December 31,
2023
2022
Gross Written Premiums
$
416.4
$
727.6
Net Written Premiums
$
399.3
$
591.3
Net Earned Premiums
$
473.4
$
602.5
Net income (loss) available to shareholders
$
25.0
$
(1.3
)
Net income (loss) available to shareholders per share
$
1.83
$
(0.09
)
Combined ratio analysis:
Loss ratio
61.1
%
59.6
%
Expense ratio
38.6
%
39.2
%
Combined ratio (1)
99.7
%
98.8
%
As of December 31,
2023
2022
Book value per share (2)
$
47.53
$
44.87
Book value per share plus cumulative dividends and excluding AOCI
$
55.22
$
52.98
Shareholders’ equity (3)
$
648.8
$
626.2
Cash and invested assets (4)
$
1,390.4
$
1,342.6
Shares Outstanding (in millions)
$
13.6
$
13.9
(1)
The loss ratio, expense ratio and combined ratio are GAAP financial measures that are generally viewed in the insurance industry as indicators of underwriting profitability. The loss ratio is the ratio of net losses and loss adjustment expenses to net earned premiums. The expense ratio is the ratio of acquisition costs and other underwriting expenses to net earned premiums. The combined ratio is the sum of the loss and expense ratios.
(2)
Net of cumulative Company distributions to common shareholders totaling $6.00 per share and $5.00 per share as of December 31, 2023 and December 31, 2022, respectively.
(3)
Shareholders’ equity includes $4 million of series A cumulative fixed rate preferred shares.
(4)
Including receivable/(payable) for securities sold/(purchased).
Business Highlights
Business Segments
During the 4th quarter of 2023, the Company re-evaluated its segments and determined that the Company is managing the business through two reportable segments: Penn-America and Non-Core Operations. The Penn-America segment comprises the Company’s core products which include Wholesale Commercial, Programs, InsurTech, and Assumed Reinsurance. The Non-Core Operations segment contains lines of business that have been de-emphasized or are no longer being written.
Global Indemnity Group, LLC’s Business Segment Information for the Twelve Months Ended December 31, 2023 and 2022
Twelve Months Ended December 31, 2023
Penn-America
Non-Core
Operations
Total
(Dollars in thousands)
Revenues:
Gross written premiums
$
369,660
$
46,737
$
416,397
Net written premiums
$
356,796
$
42,523
$
399,319
Net earned premiums
$
354,518
$
118,839
$
473,357
Other income
1,257
178
1,435
Total revenues
355,775
119,017
474,792
Losses and Expenses:
Net losses and loss adjustment expenses
Current accident year
203,359
76,250
279,609
Prior accident year
29,880
(20,336
)
9,544
Total net losses and loss adjustment expenses
233,239
55,914
289,153
Acquisition costs and other underwriting expenses
134,155
48,462
182,617
Income (loss) from segments
$
(11,619
)
$
14,641
$
3,022
Combined ratio analysis:
Loss ratio
Current accident year
57.4
%
64.2
%
59.1
%
Prior accident year
8.4
%
(17.1
%)
2.0
%
Calendar year loss ratio
65.8
%
47.1
%
61.1
%
Expense ratio
37.8
%
40.8
%
38.6
%
Combined ratio
103.6
%
87.9
%
99.7
%
Accident year combined ratio(1)
95.2
%
103.7
%
97.3
%
Twelve Months Ended December 31, 2022
Penn-America
Non-Core
Operations
Total
(Dollars in thousands)
Revenues:
Gross written premiums
$
387,967
$
339,636
$
727,603
Net written premiums
$
370,306
$
221,025
$
591,331
Net earned premiums
$
359,597
$
242,874
$
602,471
Other income
1,029
433
1,462
Total revenues
360,626
243,307
603,933
Losses and Expenses:
Net losses and loss adjustment expenses
Current accident year
212,058
155,240
367,298
Prior accident year
2,796
(10,866
)
(8,070
)
Total net losses and loss adjustment expenses
214,854
144,374
359,228
Acquisition costs and other underwriting expenses
135,145
101,236
236,381
Income (loss) from segments
$
10,627
$
(2,303
)
$
8,324
Combined ratio analysis:
Loss ratio
Current accident year
59.0
%
63.9
%
60.9
%
Prior accident year
0.8
%
(4.5
%)
(1.3
%)
Calendar year loss ratio
59.8
%
59.4
%
59.6
%
Expense ratio
37.6
%
41.7
%
39.2
%
Combined ratio
97.4
%
101.1
%
98.8
%
Accident year combined ratio(1)
96.5
%
104.1
%
99.6
%
(1) Excludes the impact of net losses and loss adjustment expenses and contingent commissions related to prior accident years.
Global Indemnity Group, LLC’s Gross Written and Net Written Premiums Results by Segment for the Twelve Months Ended December 31, 2023 and 2022
Twelve Months Ended December 31,
Gross Written Premiums
Net Written Premiums
2023
2022
% Change
2023
2022
% Change
Penn-America:
Wholesale Commercial
$
234,941
$
219,688
6.9
%
$
229,476
$
213,165
7.7
%
InsurTech
48,309
40,977
17.9
%
45,713
36,950
23.7
%
Assumed Reinsurance
13,875
5,464
153.9
%
13,875
5,464
153.9
%
297,125
266,129
11.6
%
289,064
255,579
13.1
%
Programs
72,535
121,838
(40.5
%)
67,732
114,727
(41.0
%)
Penn-America
369,660
387,967
(4.7
%)
356,796
370,306
(3.6
%)
Non-Core Operations
46,737
339,636
(86.2
%)
42,523
221,025
(80.8
%)
Total
$
416,397
$
727,603
(42.8
%)
$
399,319
$
591,331
(32.5
%)
Penn-America: Gross written premiums and net written premiums of Penn-America’s Wholesale Commercial, InsurTech, and Assumed Reinsurance business grew by 11.6% and 13.1%, respectively, for the twelve months ended December 31, 2023 as compared to the same period in 2022. The growth in Wholesale Commercial is driven by new agency appointments, strong rate increases as well as exposure growth in both property and general liability. The growth in InsurTech is primarily due to new agent appointments and focused marketing efforts. The growth in Assumed Reinsurance is primarily due to new treaties assumed in 2023. Gross written premiums for Programs decreased 40.5% due to rate and underwriting actions taken to improve profitability which were initiated by the Company’s new CEO following his appointment in October 2022. Penn-America’s gross written premiums and net written premiums declined by 4.7% and 3.6%, respectively, for the twelve months ended December 31, 2023 as compared to the same period in 2022.
Non-Core Operations: Gross written premiums and net written premiums decreased 86.2% and 80.8%, respectively, for the twelve months ended December 31, 2023 as compared to the same period in 2022. The decrease in gross written premiums and net written premiums was primarily due to selling the manufactured home & dwelling and farm businesses and the non-renewal of a casualty reinsurance treaty.
Global Indemnity Group, LLC’s Combined Ratio for the Twelve Months Ended December 31, 2023 and 2022
The consolidated combined ratio was 99.7% for the twelve months ended December 31, 2023, (Loss Ratio 61.1% and Expense Ratio 38.6%) as compared to 98.8% (Loss Ratio 59.6% and Expense Ratio 39.2%) for the twelve months ended December 31, 2022.
Penn-America: The accident year combined ratio was 95.2% for the twelve months ended December 31, 2023, (Loss Ratio 57.4% and Expense Ratio 37.8%) as compared to 96.5% (Loss Ratio 59.0% and Expense Ratio 37.5%) for the twelve months ended December 31, 2022. The calendar year combined ratio for Penn-America was 103.6% for the twelve months ended December 31, 2023, (Loss Ratio 65.8% and Expense Ratio 37.8%) as compared to 97.4% (Loss Ratio 59.8% and Expense Ratio 37.6%) for the twelve months ended December 31, 2022.
Non-Core Operations: The calendar year combined ratio was 87.9% for the twelve months ended December 31, 2023, (Loss Ratio 47.1% and Expense Ratio 40.8%) as compared to 101.1% (Loss Ratio 59.4% and Expense Ratio 41.7%) for the twelve months ended December 31, 2022. The decline in the loss ratio resulted from the commutation of a reinsurance treaty and favorable development in the Farm, Ranch & Stable business.
GLOBAL INDEMNITY GROUP, LLC
CONSOLIDATED STATEMENTS OF OPERATIONS
(Dollars and shares in thousands, except per share data)
For the Twelve Months Ended
December 31,
2023
2022
Gross written premiums
$
416,397
$
727,603
Net written premiums
$
399,319
$
591,331
Net earned premiums
$
473,357
$
602,471
Net investment income
55,444
27,627
Net realized investment losses
(2,107
)
(32,929
)
Other income
1,435
31,365
Total revenues
528,129
628,534
Net losses and loss adjustment expenses
289,153
359,228
Acquisition costs and other underwriting expenses
182,617
236,381
Corporate and other operating expenses
23,383
24,421
Interest expense
-
3,004
Loss on extinguishment of debt
-
3,529
Income before income taxes
32,976
1,971
Income tax expense
7,547
2,821
Net income (loss)
25,429
(850
)
Less: Preferred stock distributions
440
440
Net income (loss) available to common shareholders
$
24,989
$
(1,290
)
Per share data:
Net income (loss) available to common shareholders
Basic
$
1.84
$
(0.09
)
Diluted (1)
$
1.83
$
(0.09
)
Weighted-average number of shares outstanding
Basic
13,553
14,482
Diluted (1)
13,666
14,482
Cash distributions declared per common share
$
1.00
$
1.00
Combined ratio analysis:
Loss ratio
61.1
%
59.6
%
Expense ratio
38.6
%
39.2
%
Combined ratio
99.7
%
98.8
%
(1)
For the twelve months ended December 31, 2022, weighted-average shares outstanding – basic was used to calculate diluted earnings per share due to a net loss for the period.
GLOBAL INDEMNITY GROUP, LLC
CONSOLIDATED BALANCE SHEETS
(Dollars in thousands)
December 31,
2023
December 31,
2022
ASSETS
Fixed maturities:
Available for sale, at fair value (amortized cost: $1,322,092 and $1,301,723; net of allowance for expected credit losses of: $0 at December 31, 2023 and 2022
$
1,293,793
$
1,248,198
Equity securities, at fair value
16,508
17,520
Other invested assets
38,236
38,176
Total investments
1,348,537
1,303,894
Cash and cash equivalents
38,037
38,846
Premium receivables, net of allowance for expected credit losses of $4,796 at December 31, 2023 and $3,322 at
December 31, 2022
102,158
168,743
Reinsurance receivables, net of allowance for expected credit losses of $8,992 at December 31, 2023 and December 31,
2022
80,439
85,721
Funds held by ceding insurers
16,989
19,191
Deferred federal income taxes
36,802
47,099
Deferred acquisition costs
42,445
64,894
Intangible assets
14,456
14,810
Goodwill
4,820
4,820
Prepaid reinsurance premiums
4,958
17,421
Receivable for securities sold
3,858
—
Lease right of use assets
9,715
11,739
Other assets
26,362
23,597
Total assets
$
1,729,576
$
1,800,775
LIABILITIES AND SHAREHOLDERS’ EQUITY
Liabilities:
Unpaid losses and loss adjustment expenses
$
850,599
$
832,404
Unearned premiums
182,852
269,353
Ceded balances payable
2,642
17,241
Payable for securities purchased
—
66
Federal income tax payable
1,595
—
Contingent commissions
5,632
8,816
Lease liabilities
12,733
15,701
Other liabilities
24,770
30,965
Total liabilities
$
1,080,823
$
1,174,546
Shareholders’ equity:
Series A cumulative fixed rate preferred shares, $1,000 par value; 100,000,000 shares authorized, shares issued and
outstanding: 4,000 and 4,000 shares, respectively, liquidation preference: $1,000 per share and $1,000 per share,
respectively
4,000
4,000
Common shares: no par value; 900,000,000 common shares authorized; class A common shares issued: 11,042,670 and
10,876,041 respectively; class A common shares outstanding: 9,771,429 and 10,073,660, respectively; class B common
shares issued and outstanding: 3,793,612 and 3,793,612, respectively
—
—
Additional paid-in capital (1)
454,791
451,305
Accumulated other comprehensive income (loss), net of tax
(22,863
)
(43,058
)
Retained earnings (1)
244,988
233,468
Class A common shares in treasury, at cost: 1,271,241 and 802,381 shares, respectively
(32,163
)
(19,486
)
Total shareholders’ equity
648,753
626,229
Total liabilities and shareholders’ equity
$
1,729,576
$
1,800,775
(1)
Since the Company’s initial public offering in 2003, the Company has returned $609 million to shareholders, including $522 million in share repurchases and $87 million in dividends/distributions.
GLOBAL INDEMNITY GROUP, LLC
SELECTED INVESTMENT DATA
(Dollars in millions)
Market Value as of
December 31, 2023
December 31, 2022
Fixed maturities
$
1,293.8
$
1,248.2
Cash and cash equivalents
38.0
38.8
Total bonds and cash and cash equivalents
1,331.8
1,287.0
Equities and other invested assets
54.7
55.7
Total cash and invested assets, gross
1,386.5
1,342.7
Receivable/(payable) for securities sold/(purchased)
3.9
(0.1
)
Total cash and invested assets, net
$
1,390.4
$
1,342.6
Total Investment Return (1)
For the Twelve Months Ended December 31,
2023
2022
Net investment income
$
55.4
$
27.6
Net realized investment losses
(2.1
)
(32.9
)
Net unrealized investment gains (losses)
25.2
(61.6
)
Net realized and unrealized investment return
23.1
(94.5
)
Total investment return
$
78.5
$
(66.9
)
Average total cash and invested assets
$
1,366.6
$
1,437.3
Total investment return %
5.7
%
(4.7
%)
(1) Amounts in this table are shown on a pre-tax basis.
GLOBAL INDEMNITY GROUP, LLC
SUMMARY OF ADJUSTED OPERATING INCOME
(Dollars and shares in thousands, except per share data)
For the Twelve Months Ended
December 31,
2023
2022
Adjusted operating income, net of tax (1)
27,181
13,213
Net realized investment losses
(1,752
)
(26,985
)
Impact of the sale of renewal rights
—
16,451
Loss on extinguishment of debt
—
(3,529
)
Net income (loss)
$
25,429
$
(850
)
Weighted average shares outstanding – basic
13,553
14,482
Weighted average shares outstanding – diluted
13,666
14,644
Adjusted operating income per share – basic (2)
$
1.97
$
0.88
Adjusted operating income per share – diluted (2)
$
1.96
$
0.87
(1)
Adjusted operating income, net of tax, excludes preferred shareholder distributions of $0.44 million for each of the twelve months ended December 31, 2023 and 2022.
(2)
The adjusted operating income per share calculation is net of preferred shareholder distributions of $0.44 million for each of the twelve months ended December 31, 2023 and 2022.
Note Regarding Adjusted Operating Income
Adjusted operating income, a non-GAAP financial measure, is equal to net income (loss) excluding after-tax net realized investment losses and other unique charges not related to operations. Adjusted operating income is not a substitute for net income (loss) determined in accordance with GAAP, and investors should not place undue reliance on this measure.
About Global Indemnity Group, LLC and its subsidiaries
Global Indemnity Group, LLC (NYSE:GBLI), through its several direct and indirect wholly owned subsidiary insurance companies, provides both admitted and non-admitted specialty property and specialty casualty insurance coverages and individual policyholder coverages in the United States, as well as reinsurance worldwide. The insurance companies manage the distribution of the Company's core product offerings through Penn-America (formerly known as Commercial Specialty). The Company also has a Non-Core Operations segment that contains lines of business that have been de-emphasized or are no longer being written.
Forward-Looking Information
The forward-looking statements contained in this press release3 do not address a number of risks and uncertainties including COVID-19. Investors are cautioned that Global Indemnity’s actual results may be materially different from the estimates expressed in, or implied, or projected by, the forward looking statements. These statements are based on estimates and information available to us at the time of this press release. All forward-looking statements in this press release are based on information available to Global Indemnity as of the date hereof. Please see Global Indemnity’s filings with the Securities and Exchange Commission for a discussion of risks and uncertainties which could impact the Company and for a more detailed explication regarding forward-looking statements. Global Indemnity does not assume any obligation to update the forward-looking statements provided to reflect events that occur or circumstances that exist after the date on which they were made.
[3] Disseminated pursuant to the "safe harbor" provisions of Section 21E of the Security Exchange Act of 1934.
View source version on businesswire.com: https://www.businesswire.com/news/home/20240312109158/en/
Stephen W. Ries Head of Investor Relations (610) 668-3270 sries@gbli.com
1 Year Global Indemnity Chart |
1 Month Global Indemnity Chart |
It looks like you are not logged in. Click the button below to log in and keep track of your recent history.
Support: +44 (0) 203 8794 460 | support@advfn.com
By accessing the services available at ADVFN you are agreeing to be bound by ADVFN's Terms & Conditions