Greenlight Re Announces Fourth Quarter and Year-End 2024 Financial Results
Greenlight Capital Re (NASDAQ: GLRE) reported its Q4 and full-year 2024 financial results, marking its fifth consecutive year of book value growth with a 7.2% increase to $17.95 per share. The company announced a restructuring of its reportable segments into Open Market and Innovations.
For Q4 2024, GLRE reported a net loss of $27.4 million ($-0.81 per diluted share), with gross premiums written increasing 28.0% to $143.8 million. The quarter saw a combined ratio of 112.1% and an underwriting loss of $18.0 million, primarily due to aviation losses from the Russia-Ukraine conflict and catastrophe events.
Full-year 2024 results showed gross premiums written up 9.7% to $698.3 million, with net income of $42.8 million ($1.24 per diluted share). The company's investment program, Solasglas, achieved a 9.8% return for 2024 with a year-ending net exposure of 33%.
Greenlight Capital Re (NASDAQ: GLRE) ha riportato i risultati finanziari del quarto trimestre e dell'intero anno 2024, segnando il quinto anno consecutivo di crescita del valore contabile con un incremento del 7,2% a $17,95 per azione. L'azienda ha annunciato una ristrutturazione dei suoi segmenti reportabili in Mercato Aperto e Innovazioni.
Per il quarto trimestre 2024, GLRE ha riportato una perdita netta di $27,4 milioni ($-0,81 per azione diluita), con i premi lordi scritti che sono aumentati del 28,0% a $143,8 milioni. Il trimestre ha registrato un rapporto combinato del 112,1% e una perdita da sottoscrizione di $18,0 milioni, principalmente a causa delle perdite nel settore aereo dovute al conflitto Russia-Ucraina e agli eventi catastrofici.
I risultati dell'intero anno 2024 hanno mostrato premi lordi scritti in aumento del 9,7% a $698,3 milioni, con un reddito netto di $42,8 milioni ($1,24 per azione diluita). Il programma di investimento dell'azienda, Solasglas, ha raggiunto un rendimento del 9,8% per il 2024 con un'esposizione netta finale del 33%.
Greenlight Capital Re (NASDAQ: GLRE) informó sus resultados financieros del cuarto trimestre y del año completo 2024, marcando su quinto año consecutivo de crecimiento en el valor contable con un aumento del 7.2% a $17.95 por acción. La compañía anunció una reestructuración de sus segmentos reportables en Mercado Abierto e Innovaciones.
Para el cuarto trimestre de 2024, GLRE reportó una pérdida neta de $27.4 millones ($-0.81 por acción diluida), con los premios brutos escritos aumentando un 28.0% a $143.8 millones. El trimestre vio un ratio combinado del 112.1% y una pérdida por suscripción de $18.0 millones, principalmente debido a pérdidas en la aviación por el conflicto Rusia-Ucrania y eventos catastróficos.
Los resultados del año completo 2024 mostraron premios brutos escritos en aumento del 9.7% a $698.3 millones, con un ingreso neto de $42.8 millones ($1.24 por acción diluida). El programa de inversión de la compañía, Solasglas, logró un retorno del 9.8% para 2024 con una exposición neta al final del año del 33%.
Greenlight Capital Re (NASDAQ: GLRE)는 2024년 4분기 및 연간 재무 결과를 발표하며, 주당 $17.95로 7.2% 증가한 장부 가치 성장을 5년 연속 기록했습니다. 회사는 보고 가능한 세그먼트를 오픈 마켓과 혁신으로 재구성한다고 발표했습니다.
2024년 4분기 동안 GLRE는 $27.4백만의 순손실 ($-0.81의 희석주당가)을 보고했으며, 총 인수 보험료는 28.0% 증가하여 $143.8백만에 달했습니다. 이 분기에는 112.1%의 결합 비율과 $18.0백만의 인수 손실이 발생했으며, 이는 주로 러시아-우크라이나 분쟁과 재난 사건으로 인한 항공 손실 때문입니다.
2024년 전체 결과는 총 인수 보험료가 9.7% 증가하여 $698.3백만에 이르고, 순이익은 $42.8백만 ($1.24의 희석주당가)을 기록했습니다. 회사의 투자 프로그램인 Solasglas는 2024년 동안 9.8%의 수익률을 기록했으며, 연말 기준 순 노출은 33%에 달했습니다.
Greenlight Capital Re (NASDAQ: GLRE) a annoncé ses résultats financiers pour le quatrième trimestre et l'année entière 2024, marquant sa cinquième année consécutive de croissance de la valeur comptable avec une augmentation de 7,2% à 17,95 $ par action. La société a annoncé une restructuration de ses segments reportables en Marché Ouvert et Innovations.
Pour le quatrième trimestre 2024, GLRE a déclaré une perte nette de 27,4 millions de dollars (-0,81 $ par action diluée), avec des primes brutes écrites en hausse de 28,0 % à 143,8 millions de dollars. Le trimestre a enregistré un ratio combiné de 112,1 % et une perte de souscription de 18,0 millions de dollars, principalement en raison de pertes aéronautiques dues au conflit Russie-Ukraine et à des événements catastrophiques.
Les résultats de l'année 2024 ont montré des primes brutes écrites en hausse de 9,7 % à 698,3 millions de dollars, avec un revenu net de 42,8 millions de dollars (1,24 $ par action diluée). Le programme d'investissement de l'entreprise, Solasglas, a réalisé un rendement de 9,8 % pour 2024 avec une exposition nette de 33 % à la fin de l'année.
Greenlight Capital Re (NASDAQ: GLRE) hat seine finanziellen Ergebnisse für das vierte Quartal und das gesamte Jahr 2024 veröffentlicht und verzeichnete das fünfte Jahr in Folge ein Wachstum des Buchwerts mit einem Anstieg von 7,2% auf $17,95 pro Aktie. Das Unternehmen kündigte eine Umstrukturierung seiner berichtspflichtigen Segmente in Offener Markt und Innovationen an.
Für das vierte Quartal 2024 meldete GLRE einen Nettoverlust von $27,4 Millionen ($-0,81 pro verwässerter Aktie), während die brutto geschriebenen Prämien um 28,0% auf $143,8 Millionen stiegen. Im Quartal wurde ein kombinierter Satz von 112,1% und ein Underwriting-Verlust von $18,0 Millionen verzeichnet, hauptsächlich aufgrund von Luftfahrtverlusten durch den Russland-Ukraine-Konflikt und Katastrophenereignissen.
Die Ergebnisse für das gesamte Jahr 2024 zeigten brutto geschriebene Prämien, die um 9,7% gestiegen sind auf $698,3 Millionen, mit einem Nettogewinn von $42,8 Millionen ($1,24 pro verwässerter Aktie). Das Investitionsprogramm des Unternehmens, Solasglas, erzielte 2024 eine Rendite von 9,8% mit einer Nettoexposition zum Jahresende von 33%.
- Fifth consecutive year of book value growth, up 7.2% to $17.95 per share
- Gross premiums written increased 28.0% in Q4 and 9.7% for full-year 2024
- Investment program Solasglas achieved 9.8% return for 2024
- Net income of $42.8 million for full-year 2024
- Q4 2024 net loss of $27.4 million compared to net income of $17.6 million in Q4 2023
- Q4 combined ratio deteriorated to 112.1% from 91.4% year-over-year
- Full-year net income declined to $42.8 million from $86.8 million in 2023
- Underwriting losses from Russia-Ukraine conflict and multiple catastrophe events
Insights
Greenlight Re's Q4 and full-year 2024 results present a complex picture with both concerning short-term underwriting challenges and encouraging long-term value creation. The fourth quarter was notably weak with a
This quarterly underperformance was largely driven by specific events rather than fundamental business issues: reserve strengthening for Russia-Ukraine aviation losses (
For the full year, while gross premiums written increased
What's particularly notable is this marks the fifth consecutive year of book value growth, indicating persistent long-term value creation despite periodic underwriting volatility. The Solasglas investment portfolio's
The introduction of new reporting segments (Open Market and Innovations) suggests improved strategic focus and transparency that could enhance accountability and performance visibility going forward. This operational evolution, combined with the CEO's comments about strengthening the organization, processes, and balance sheet, points to potential improvements in 2025.
Greenlight Re's 2024 results reveal the characteristic volatility of specialty reinsurance operations, particularly in catastrophe-exposed lines. The
What's more troubling is the continued adverse development from the Russia-Ukraine aviation losses dating back to 2022, contributing
The
The segmentation into Open Market and Innovations reporting lines provides welcome transparency into the company's strategic pillars. Open Market likely represents traditional reinsurance while Innovations encompasses their strategic investments in InsurTech and specialty program business. This reporting evolution should help investors better evaluate the performance and potential of these distinct business streams.
While Q4's
Grows Fully Diluted Book Value by
GRAND CAYMAN, Cayman Islands, March 10, 2025 (GLOBE NEWSWIRE) -- Greenlight Capital Re, Ltd. (NASDAQ: GLRE) (“Greenlight Re” or the “Company”) today reported its financial results for the fourth quarter and year ended December 31, 2024.
Effective December 31, 2024, the Company restructured its reportable segments to better align with its multi-pillar strategy. Moving forward, the Company will report financial results under two segments, Open Market and Innovations. Additionally, prior-period results have been revised to ensure consistency with the new reporting structure.
Fourth Quarter 2024 Highlights (all comparisons are to fourth quarter 2023 unless noted otherwise):
- Gross premiums written increased
28.0% to$143.8 million ; - Net premiums earned increased
7.8% to$148.1 million ; - Net underwriting loss of
$18.0 million , compared to net underwriting income of$11.8 million ; - Combined ratio of
112.1% , compared to91.4% ; - Total investment income of
$2.6 million , compared to$14.1 million ; and - Net loss of
$27.4 million , or$(0.81) per diluted ordinary share, compared to net income of$17.6 million , or$0.50 per diluted ordinary share.
The Company’s underwriting loss of
Full Year 2024 Highlights (all comparisons are to full year 2023):
- Gross premiums written increased
9.7% to$698.3 million ; - Net premiums earned increased
6.3% to$620.0 million ; - Net underwriting loss of
$8.2 million compared to a net underwriting income of$32.0 million ; - Combined ratio of
101.4% , compared to94.5% ; - Total investment income of
$79.6 million , compared to$72.1 million ; - Net income of
$42.8 million , or$1.24 per diluted ordinary share, compared to$86.8 million , or$2.50 per diluted ordinary share; and - Fully diluted book value per share increased
7.2% to$17.95 , from$16.74 at December 31, 2023.
The Company’s underwriting loss for 2024 was driven primarily by (i) strengthening of Open Market specialty reserves related to aviation losses from the 2022 Russia-Ukraine conflict, and (ii) catastrophe losses including the Baltimore Bridge collapse, Hurricanes Helene and Milton, the Jeju Air plane crash, and other marine and energy related events. The combined ratio for 2024 included
Greg Richardson, Chief Executive Officer of Greenlight Re, stated, “While our financial results for the fourth quarter and full year 2024 fell short of our expectations, we are proud of what we have accomplished during the year in terms of strengthening our organization, processes, and balance sheet. We are well positioned to deliver shareholder value in 2025 and beyond.”
David Einhorn, Chairman of the Board of Directors, said, “The fourth quarter was challenging for our investment program post U.S. election results. However, Solasglas’
Greenlight Capital Re, Ltd. Fourth Quarter and Year-End 2024 Earnings Call
Greenlight Re will host a live conference call to discuss its financial results on Tuesday, March 11, 2025, at 9:00 a.m. Eastern Time. Dial-in details:
U.S. toll free 1-877-407-9753
International 1-201-493-6739
The conference call can also be accessed via webcast at:
https://event.webcasts.com/starthere.jsp?ei=1703379&tp_key=8d103d18f7
A telephone replay will be available following the call through March 18, 2025. The replay of the call may be accessed by dialing 1-877-660-6853 (U.S. toll free) or 1-201-612-7415 (international), access code 13750849. An audio file of the call will also be available on the Company’s website, www.greenlightre.com.
Non-GAAP Financial Measures
In presenting the Company’s results, management has included fully diluted book value per share as a financial measure that is not calculated under standards or rules that comprise accounting principles generally accepted in the United States (GAAP). This measure is referred to as a non-GAAP measure. The non-GAAP measure may be defined or calculated differently by other companies. Management believes the measure allows for a more thorough understanding of the Company’s performance. The non-GAAP measure may not be comparable to similarly titled measures reported by other companies and should be used to monitor our results and should be considered in addition to, and not viewed as a substitute for those measures determined in accordance with GAAP. Reconciliation of the measure to the most comparable GAAP figures is included in the attached financial information in accordance with Regulation G.
Forward-Looking Statements
This news release contains forward-looking statements concerning Greenlight Capital Re, Ltd. and/or its subsidiaries (the “Company”) within the meaning of the U.S. federal securities laws. We intend these forward-looking statements to be covered by the safe harbor provisions for forward-looking statements in the U.S. federal securities laws. These statements involve risks and uncertainties that could cause actual results to differ materially from those contained in forward-looking statements made on the Company’s behalf. These risks and uncertainties include a downgrade or withdrawal of our A.M. Best ratings; any suspension or revocation of any of our licenses; losses from catastrophes; the loss of significant brokers; the performance of Solasglas Investments, LP; the carry values of our investments made under our Greenlight Re Innovations segment may differ significantly from those that would be used if we carried these investments at fair value; and other factors described in our most recent Annual Report on Form 10-K filed with the Securities and Exchange Commission (“SEC”), as those factors may be updated from time to time in our periodic and other filings with the SEC, which are accessible on the SEC’s website at www.sec.gov. The Company undertakes no obligation to publicly update or revise any forward-looking statements, which speak only as to the date of this release, whether as a result of new information, future events, or otherwise, except as provided by law.
About Greenlight Capital Re, Ltd.
Greenlight Re (www.greenlightre.com) provides multiline property and casualty insurance and reinsurance through its licensed and regulated reinsurance entities in the Cayman Islands and Ireland, and its Lloyd’s platform, Greenlight Innovation Syndicate 3456. The Company complements its underwriting activities with a non-traditional investment approach designed to achieve higher rates of return over the long term than reinsurance companies that exclusively employ more traditional investment strategies. The Company’s innovations unit, Greenlight Re Innovations, supports technology innovators in the (re)insurance space by providing investment capital, risk capacity, and access to a broad insurance network.
Investor Relations Contact
Karin Daly
Vice President, The Equity Group Inc.
(212) 836-9623
IR@greenlightre.ky
| GREENLIGHT CAPITAL RE, LTD. CONSOLIDATEDBALANCE SHEETS (expressed in thousands of U.S. dollars, except per share and share amounts) | |||||||
| December 31, 2024 | December 31, 2023 | ||||||
| Assets | |||||||
| Investments | |||||||
| Investment in related party investment fund, at fair value | $ | 387,144 | $ | 258,890 | |||
| Other investments | 73,160 | 73,293 | |||||
| Total investments | 460,304 | 332,183 | |||||
| Cash and cash equivalents | 64,685 | 51,082 | |||||
| Restricted cash and cash equivalents | 584,402 | 604,648 | |||||
| Reinsurance balances receivable (net of allowance for expected credit losses) | 704,483 | 619,401 | |||||
| Loss and loss adjustment expenses recoverable (net of allowance for expected credit losses) | 85,790 | 25,687 | |||||
| Deferred acquisition costs | 82,249 | 79,956 | |||||
| Unearned premiums ceded | 29,545 | 17,261 | |||||
| Other assets | 4,765 | 5,089 | |||||
| Total assets | $ | 2,016,223 | $ | 1,735,307 | |||
| Liabilities and equity | |||||||
| Liabilities | |||||||
| Loss and loss adjustment expense reserves | $ | 860,969 | $ | 661,554 | |||
| Unearned premium reserves | 324,551 | 306,310 | |||||
| Reinsurance balances payable | 105,892 | 68,983 | |||||
| Funds withheld | 21,878 | 17,289 | |||||
| Other liabilities | 6,305 | 11,795 | |||||
| Debt | 60,749 | 73,281 | |||||
| Total liabilities | 1,380,344 | 1,139,212 | |||||
| Shareholders' equity | |||||||
| Ordinary share capital (par value | $ | 3,483 | $ | 3,534 | |||
| Additional paid-in capital | 481,551 | 484,532 | |||||
| Retained earnings | 150,845 | 108,029 | |||||
| Total shareholders' equity | 635,879 | 596,095 | |||||
| Total liabilities and equity | $ | 2,016,223 | $ | 1,735,307 | |||
| GREENLIGHT CAPITAL RE, LTD. CONSOLIDATEDRESULTS OF OPERATIONS (expressed in thousands of U.S. dollars, except percentages and per share amounts) | |||||||||||||||
| Three months ended December 31 | Year ended December 31 | ||||||||||||||
| (Unaudited) | |||||||||||||||
| 2024 | 2023 | 2024 | 2023 | ||||||||||||
| Underwriting revenue | |||||||||||||||
| Gross premiums written | $ | 143,756 | $ | 112,338 | $ | 698,335 | $ | 636,810 | |||||||
| Gross premiums ceded | (12,459 | ) | (7,022 | ) | (77,070 | ) | (42,762 | ) | |||||||
| Net premiums written | 131,297 | 105,316 | 621,265 | 594,048 | |||||||||||
| Change in net unearned premium reserves | 16,839 | 32,129 | (1,311 | ) | (10,901 | ) | |||||||||
| Net premiums earned | $ | 148,136 | $ | 137,445 | $ | 619,954 | $ | 583,147 | |||||||
| Underwriting related expenses | |||||||||||||||
| Net loss and LAE incurred: | |||||||||||||||
| Current year | $ | (100,998 | ) | $ | (75,228 | ) | $ | (406,465 | ) | $ | (348,798 | ) | |||
| Prior year | (21,747 | ) | (704 | ) | (20,804 | ) | (11,206 | ) | |||||||
| Net loss and LAE incurred | (122,745 | ) | (75,932 | ) | (427,269 | ) | (360,004 | ) | |||||||
| Acquisition costs | (38,549 | ) | (42,175 | ) | (176,775 | ) | (168,877 | ) | |||||||
| Underwriting expenses | (4,634 | ) | (5,541 | ) | (22,857 | ) | (19,587 | ) | |||||||
| Deposit interest expense, net | (208 | ) | (2,042 | ) | (1,228 | ) | (2,687 | ) | |||||||
| Net underwriting income (loss) | $ | (18,000 | ) | $ | 11,755 | $ | (8,175 | ) | $ | 31,992 | |||||
| Income (loss) from investment in Solasglas | $ | (8,817 | ) | $ | 905 | $ | 33,605 | $ | 28,696 | ||||||
| Net investment income | 11,374 | 13,230 | 45,954 | 43,408 | |||||||||||
| Total investment income | $ | 2,557 | $ | 14,135 | $ | 79,559 | $ | 72,104 | |||||||
| Corporate and other expenses | $ | (3,043 | ) | $ | (9,833 | ) | $ | (16,377 | ) | $ | (23,653 | ) | |||
| Foreign exchange gains (losses) | (8,851 | ) | 3,905 | (5,606 | ) | 11,566 | |||||||||
| Other income, net | — | — | — | 265 | |||||||||||
| Interest expense | (1,009 | ) | (2,367 | ) | (5,836 | ) | (5,344 | ) | |||||||
| Income tax recovery (expense) | 928 | 11 | (749 | ) | (100 | ) | |||||||||
| Net income | $ | (27,418 | ) | $ | 17,606 | $ | 42,816 | $ | 86,830 | ||||||
| Earnings per share | |||||||||||||||
| Basic | $ | (0.81 | ) | $ | 0.52 | $ | 1.26 | $ | 2.55 | ||||||
| Diluted | $ | (0.81 | ) | $ | 0.50 | $ | 1.24 | $ | 2.50 | ||||||
| Underwriting ratios: | |||||||||||||||
| Current year loss ratio | 68.1 | % | 54.7 | % | 65.6 | % | 59.8 | % | |||||||
| Prior year reserve development ratio | 14.7 | % | 0.5 | % | 3.4 | % | 1.9 | % | |||||||
| Loss ratio | 82.8 | % | 55.2 | % | 69.0 | % | 61.7 | % | |||||||
| Acquisition cost ratio | 26.0 | % | 30.7 | % | 28.5 | % | 29.0 | % | |||||||
| Composite ratio | 108.8 | % | 85.9 | % | 97.5 | % | 90.7 | % | |||||||
| Underwriting expense ratio | 3.3 | % | 5.5 | % | 3.9 | % | 3.8 | % | |||||||
| Combined ratio | 112.1 | % | 91.4 | % | 101.4 | % | 94.5 | % | |||||||
The following tables present the Company’s results by segment and on a consolidated basis:
| Segment results for three months ended December 31, 2024 | |||||||||||||||
| Three months ended December 31, 2024: | Open Market | Innovations | Corporate | Total Consolidated | |||||||||||
| Gross premiums written | $ | 123,094 | $ | 20,663 | $ | (1 | ) | $ | 143,756 | ||||||
| Net premiums written | $ | 113,907 | $ | 17,391 | $ | (1 | ) | $ | 131,297 | ||||||
| Net premiums earned | 127,783 | 19,014 | 1,339 | 148,136 | |||||||||||
| Net loss and LAE incurred | (105,307 | ) | (12,955 | ) | (4,483 | ) | (122,745 | ) | |||||||
| Acquisition costs | (32,539 | ) | (5,729 | ) | (281 | ) | (38,549 | ) | |||||||
| Other underwriting expenses | (3,901 | ) | (733 | ) | — | (4,634 | ) | ||||||||
| Deposit interest expense, net | (208 | ) | — | — | (208 | ) | |||||||||
| Underwriting income (loss) | (14,172 | ) | (403 | ) | (3,425 | ) | (18,000 | ) | |||||||
| Net investment income (loss) | 10,959 | (208 | ) | 623 | 11,374 | ||||||||||
| Corporate and other expenses | — | (429 | ) | (2,614 | ) | (3,043 | ) | ||||||||
| Income (loss) from investment in Solasglas | (8,817 | ) | (8,817 | ) | |||||||||||
| Foreign exchange losses | (8,851 | ) | (8,851 | ) | |||||||||||
| Interest expense | (1,009 | ) | (1,009 | ) | |||||||||||
| Income (loss) before income taxes | (3,213 | ) | (1,040 | ) | (24,093 | ) | (28,346 | ) | |||||||
| Underwriting ratios: | |||||||||||||||
| Loss ratio | 82.4 | % | 68.1 | % | 334.8 | % | 82.8 | % | |||||||
| Acquisition cost ratio | 25.5 | % | 30.1 | % | 21.0 | % | 26.0 | % | |||||||
| Composite ratio | 107.9 | % | 98.2 | % | 355.8 | % | 108.8 | % | |||||||
| Underwriting expenses ratio | 3.2 | % | 3.9 | % | — | % | 3.3 | % | |||||||
| Combined ratio | 111.1 | % | 102.1 | % | 355.8 | % | 112.1 | % | |||||||
| Segment results for three months ended December 31, 2023 | |||||||||||||||
| Three months ended December 31, 2023: | Open Market | Innovations | Corporate | Total Consolidated | |||||||||||
| Gross premiums written | $ | 77,505 | $ | 22,618 | $ | 12,215 | $ | 112,338 | |||||||
| Net premiums written | $ | 72,094 | $ | 20,995 | $ | 12,227 | $ | 105,316 | |||||||
| Net premiums earned | 101,889 | 23,223 | 12,333 | 137,445 | |||||||||||
| Net loss and LAE incurred | (53,006 | ) | (14,160 | ) | (8,766 | ) | (75,932 | ) | |||||||
| Acquisition costs | (32,789 | ) | (6,823 | ) | (2,563 | ) | (42,175 | ) | |||||||
| Other underwriting expenses | (4,835 | ) | (706 | ) | — | (5,541 | ) | ||||||||
| Deposit interest expense, net | (2,042 | ) | — | — | (2,042 | ) | |||||||||
| Underwriting income (loss) | 9,217 | 1,534 | 1,004 | 11,755 | |||||||||||
| Net investment income | 8,230 | 4,333 | 667 | 13,230 | |||||||||||
| Corporate and other expenses | — | (812 | ) | (9,021 | ) | (9,833 | ) | ||||||||
| Income from investment in Solasglas | 905 | 905 | |||||||||||||
| Foreign exchange gains | 3,905 | 3,905 | |||||||||||||
| Interest expense | (2,367 | ) | (2,367 | ) | |||||||||||
| Income (loss) before income taxes | $ | 17,447 | $ | 5,055 | $ | (4,907 | ) | $ | 17,595 | ||||||
| Underwriting ratios: | |||||||||||||||
| Loss ratio | 52.0 | % | 61.0 | % | 71.1 | % | 55.2 | % | |||||||
| Acquisition cost ratio | 32.2 | % | 29.4 | % | 20.8 | % | 30.7 | % | |||||||
| Composite ratio | 84.2 | % | 90.4 | % | 91.9 | % | 85.9 | % | |||||||
| Underwriting expenses ratio | 6.7 | % | 3.0 | % | — | % | 5.5 | % | |||||||
| Combined ratio | 90.9 | % | 93.4 | % | 91.9 | % | 91.4 | % | |||||||
| Segment results for year ended December 31, 2024 | |||||||||||||||
| Year ended December 31, 2024: | Open Market | Innovations | Corporate | Total Consolidated | |||||||||||
| Gross premiums written | $ | 603,798 | $ | 94,725 | $ | (188 | ) | $ | 698,335 | ||||||
| Net premiums written | 541,446 | 80,016 | (197 | ) | $ | 621,265 | |||||||||
| Net premiums earned | 511,922 | 86,352 | 21,680 | $ | 619,954 | ||||||||||
| Net loss and LAE incurred | (341,586 | ) | (51,939 | ) | (33,744 | ) | $ | (427,269 | ) | ||||||
| Acquisition costs | (144,852 | ) | (27,151 | ) | (4,772 | ) | $ | (176,775 | ) | ||||||
| Other underwriting expenses | (19,175 | ) | (3,682 | ) | — | $ | (22,857 | ) | |||||||
| Deposit interest expense, net(1) | (1,228 | ) | — | — | $ | (1,228 | ) | ||||||||
| Underwriting income (loss) | 5,081 | 3,580 | (16,836 | ) | $ | (8,175 | ) | ||||||||
| Net investment income | 42,629 | 702 | 2,623 | $ | 45,954 | ||||||||||
| Corporate and other expenses | — | (2,445 | ) | (13,932 | ) | $ | (16,377 | ) | |||||||
| Income from investment in Solasglas | 33,605 | 33,605 | |||||||||||||
| Foreign exchange losses | (5,606 | ) | (5,606 | ) | |||||||||||
| Interest expense | (5,836 | ) | (5,836 | ) | |||||||||||
| Income (loss) before income taxes | $ | 47,710 | $ | 1,837 | $ | (5,982 | ) | $ | 43,565 | ||||||
| Underwriting ratios: | |||||||||||||||
| Loss ratio | 66.7 | % | 60.1 | % | 155.6 | % | 69.0 | % | |||||||
| Acquisition cost ratio | 28.3 | % | 31.4 | % | 22.0 | % | 28.5 | % | |||||||
| Composite ratio | 95.0 | % | 91.5 | % | 177.6 | % | 97.5 | % | |||||||
| Underwriting expenses ratio | 4.0 | % | 4.3 | % | — | % | 3.9 | % | |||||||
| Combined ratio | 99.0 | % | 95.8 | % | 177.6 | % | 101.4 | % | |||||||
| Segment results for year ended December 31, 2023 | |||||||||||||||
| Year ended December 31, 2023: | Open Market | Innovations | Corporate | Total Consolidated | |||||||||||
| Gross premiums written | $ | 504,435 | $ | 88,602 | $ | 43,773 | $ | 636,810 | |||||||
| Net premiums written | 466,544 | 83,608 | 43,896 | $ | 594,048 | ||||||||||
| Net premiums earned | 466,751 | 71,769 | 44,627 | $ | 583,147 | ||||||||||
| Net loss and LAE incurred | (262,290 | ) | (44,855 | ) | (52,859 | ) | $ | (360,004 | ) | ||||||
| Acquisition costs | (136,356 | ) | (22,381 | ) | (10,140 | ) | $ | (168,877 | ) | ||||||
| Other underwriting expenses | (16,827 | ) | (2,760 | ) | — | $ | (19,587 | ) | |||||||
| Deposit interest expense, net | (2,687 | ) | — | — | $ | (2,687 | ) | ||||||||
| Underwriting income (loss) | 48,591 | 1,773 | (18,372 | ) | $ | 31,992 | |||||||||
| Net investment income | 37,351 | 2,732 | 3,325 | $ | 43,408 | ||||||||||
| Corporate and other expenses | — | (3,080 | ) | (20,573 | ) | $ | (23,653 | ) | |||||||
| Income from investment in Solasglas | 28,696 | 28,696 | |||||||||||||
| Foreign exchange gains | 11,566 | 11,566 | |||||||||||||
| Other income, net | 265 | 265 | |||||||||||||
| Interest expense | (5,344 | ) | (5,344 | ) | |||||||||||
| Income (loss) before income taxes | $ | 85,942 | $ | 1,425 | $ | (437 | ) | $ | 86,930 | ||||||
| Underwriting ratios: | |||||||||||||||
| Loss ratio | 56.2 | % | 62.5 | % | 118.4 | % | 61.7 | % | |||||||
| Acquisition cost ratio | 29.2 | % | 31.2 | % | 22.7 | % | 29.0 | % | |||||||
| Composite ratio | 85.4 | % | 93.7 | % | 141.1 | % | 90.7 | % | |||||||
| Underwriting expenses ratio | 4.2 | % | 3.8 | % | — | % | 3.8 | % | |||||||
| Combined ratio | 89.6 | % | 97.5 | % | 141.1 | % | 94.5 | % | |||||||
| GREENLIGHT CAPITAL RE, LTD. KEY FINANCIAL MEASURES AND NON-GAAP MEASURES |
Management uses certain key financial measures, some of which are not prescribed under U.S. GAAP rules and standards (“non-GAAP financial measures”), to evaluate our financial performance, financial position, and the change in shareholder value. Generally, a non-GAAP financial measure, as defined in SEC Regulation G, is a numerical measure of a company’s historical or future financial performance, financial position, or cash flows that either excludes or includes amounts that are not normally excluded or included in the most directly comparable measure calculated and presented under U.S. GAAP. We believe that these measures, which may be calculated or defined differently by other companies, provide consistent and comparable metrics of our business performance to help shareholders understand performance trends and facilitate a more thorough understanding of the Company’s business. Non-GAAP financial measures should not be viewed as substitutes for those determined under U.S. GAAP.
The key non-GAAP financial measure used in this news release is:
- Fully diluted book value per share
This non-GAAP financial measure is described below.
Fully Diluted Book Value Per Share
Our primary financial goal is to increase fully diluted book value per share over the long term. We use fully diluted book value as a financial measure in our incentive compensation plan.
We believe that long-term growth in fully diluted book value per share is the most relevant measure of our financial performance because it provides management and investors a yardstick to monitor the shareholder value generated. Fully diluted book value per share may also help our investors, shareholders, and other interested parties form a basis of comparison with other companies within the property and casualty reinsurance industry. Fully diluted book value per share should not be viewed as a substitute for the most comparable U.S. GAAP measure, which in our view is the basic book value per share.
We calculate basic book value per share as (a) ending shareholders' equity, divided by (b) the total ordinary shares issued and outstanding, as reported in the consolidated financial statements. Fully diluted book value per share represents basic book value per share combined with any dilutive impact of in-the-money stock options (assuming net exercise) and all outstanding restricted stock units, “RSUs”. We believe these adjustments better reflect the ultimate dilution to our shareholders.
The following table presents a reconciliation of the fully diluted book value per share to basic book value per share (the most directly comparable U.S. GAAP financial measure):
| December 31, 2024 | September 30, 2024 | June 30, 2024 | March 31, 2024 | December 31, 2023 | ||||||||||
| Numerator for basic and fully diluted book value per share: | ||||||||||||||
| Total equity as reported under U.S. GAAP | $ | 635,879 | $ | 663,418 | $ | 634,020 | $ | 624,458 | $ | 596,095 | ||||
| Denominator for basic and fully diluted book value per share: | ||||||||||||||
| Ordinary shares issued and outstanding as reported and denominator for basic book value per share | 34,831,324 | 34,832,493 | 35,321,144 | 35,321,144 | 35,336,732 | |||||||||
| Add: In-the-money stock options(1)and all outstanding RSUs | 590,001 | 602,013 | 594,612 | 585,334 | 264,870 | |||||||||
| Denominator for fully diluted book value per share | 35,421,325 | 35,434,506 | 35,915,756 | 35,906,478 | 35,601,602 | |||||||||
| Basic book value per share | $ | 18.26 | $ | 19.05 | $ | 17.95 | $ | 17.68 | $ | 16.87 | ||||
| Fully diluted book value per share | $ | 17.95 | $ | 18.72 | $ | 17.65 | $ | 17.39 | $ | 16.74 | ||||
| (1)Assuming net exercise by the grantee. | ||||||||||||||
FAQ
What caused Greenlight Re's Q4 2024 underwriting loss of $18.0 million?
How much did GLRE's book value per share grow in 2024?
What was Greenlight Re's investment performance in 2024?
How did GLRE's premium growth perform in 2024?
What are GLRE's new reporting segments as of December 31, 2024?
