IGI Reports First Quarter 2021 Condensed and Unaudited Financial Results
International General Insurance Holdings Ltd. (NASDAQ: IGIC) reported solid Q1 2021 results, achieving gross written premiums of $100.6 million, up from $99.2 million in Q1 2020. Net premiums earned increased 20% to $82.3 million, while net profit reached $14.5 million, compared to a loss of $0.9 million a year earlier. The company’s combined ratio was 84.6%, slightly up from 81.3%. Core operating income rose to $14.7 million. The company is also expanding into the contingency market and establishing a European platform in Malta.
- Net premiums earned increased by 20% to $82.3 million.
- Net profit improved to $14.5 million, up from a loss of $0.9 million.
- Gross written premiums rose to $100.6 million from $99.2 million.
- Core operating income grew to $14.7 million, indicating strong underwriting capabilities.
- Book value per share increased by 15.1% year-over-year.
- Combined ratio increased to 84.6% from 81.3%, indicating higher underwriting costs.
- Core operating return on average equity decreased to 14.9% from 16.4%.
International General Insurance Holdings Ltd. (“IGI” or the “Company”) (NASDAQ: IGIC) today reported condensed and unaudited financial results for the first quarter 2021.
Highlights for the first quarter 2021 include:
(in millions of U.S. Dollars, except percentages and per share information) |
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Quarter Ended March 31, |
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2021 |
2020 |
Gross written premiums |
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Net premiums earned |
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Net underwriting results |
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Total investment income, net (1) |
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Profit (loss) for the period |
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( |
Combined ratio (2) |
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Earnings per share (Basic and Diluted) (3) |
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( |
Return on average equity (annualized) (4) |
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( |
Core operating income (4) |
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Core operating earnings per share (4) (Basic and Diluted) |
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Core operating return on average equity (annualized) (4) |
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- See Note (1) in the “Notes to the Condensed Consolidated Financial Statements (Unaudited)” below.
- See “Supplementary Financial Information” below.
- See Note (3) in the “Notes to the Condensed Consolidated Financial Statements (Unaudited)” below.
- See the section titled “Non-IFRS Financial Measures” below.
IGI Chairman and CEO Mr. Wasef Jabsheh said, “We have had a very solid start to 2021 on the back of our strong performance in 2020. Our results for the first quarter of 2021 clearly illustrate the strength of our underwriting capabilities and our agility in managing the portfolio to maximize returns. While rate momentum remained robust with increases of more than
“We recently announced our entry into the contingency market, which you’ll know from the headlines has experienced significant disruption globally as a result of the COVID-19 pandemic. Consistent with our underwriting philosophy, we will grow this book carefully and thoughtfully. We are also close to completing the process of establishing a European platform in Malta and we expect to be able to start writing business inside the European Union in the near future.”
“Having completed our first full year as a U.S. listed company, I am very pleased with our progress, having grown our book value per share by
Results for the Quarters Ended March 31, 2021 and 2020
Net profit for the quarter ended March 31, 2021 was
Core operating income, a non-IFRS measure defined below, was
Underwriting Results
Gross written premiums were
The claims and claims expense ratio was
The combined ratio for the quarter ended March 31, 2021 was
Segment Results
The Long-tail Segment, which represented approximately
Gross premiums written for the first quarter of 2021 in the Long-tail Segment were
The Short-tail Segment, which represented approximately
Gross premiums written for the first quarter of 2021 in the Short-tail Segment were
The Reinsurance Segment, which represented approximately
Gross and net premiums written for the first quarter of 2021 in the Reinsurance Segment were
Foreign Exchange Losses
The loss on foreign exchange for the quarter ended March 31, 2021 was
Investment Results
Total investment income was
Cash, cash equivalents and term deposits totaled
Total Equity
Total equity as at March 31, 2021 was
(in millions of U.S. Dollars) |
Quarter Ended March 31, |
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2021 |
Total Equity at beginning of period at January 1, 2021 |
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Profit for the period |
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Net change in fair value reserves for investments through other comprehensive income |
( |
Issuance of restricted share awards |
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Cash dividends declared during the period |
( |
Total Equity at March 31, 2021 |
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Total Equity includes
Book value per share was
International General Insurance Holdings Ltd.
Condensed Consolidated Statements of Income (Unaudited)
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Quarter Ended March 31, |
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(in millions of U.S. Dollars, except for percentages and per share data) |
2021 |
2020 |
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Gross written premiums....................................................... |
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Reinsurers’ share of insurance premiums.......................... |
( |
( |
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Net written premiums......................................................... |
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Net change in unearned premiums..................................... |
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( |
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Net premiums earned.......................................................... |
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Net claims and claim adjustment expenses........................ |
( |
( |
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Net policy acquisition expenses........................................... |
( |
( |
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Net underwriting results……………………………………………… |
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Net investment income (1)………………………………….…………… |
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( |
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Share of profit from associates (1)……….………………………….. |
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- |
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General and administrative expenses................................. |
( |
( |
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Other expenses, net (2).......................................................... |
( |
( |
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Listing related expenses....................................................... |
- |
( |
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Bargain Purchase |
- |
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Loss on foreign exchange .................................................... |
( |
( |
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Profit (loss) before tax......................................................... |
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( |
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Income tax ............................................................................ |
( |
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Profit (loss) for the period................................................... |
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( |
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Basic and diluted earnings per share attributable to equity holders(3)…………………………………………………………… |
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( |
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International General Insurance Holdings Ltd.
Condensed Consolidated Statements of Financial Position (Unaudited)
(in millions of U.S. Dollars) |
As at March 31, 2021 |
As at December 31, 2020 |
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ASSETS |
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Cash and cash equivalents |
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Term deposits |
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Insurance receivables |
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Investments (4) |
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Investments in associates (4) |
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Reinsurance share of outstanding claims |
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Reinsurance share of unearned premiums |
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Deferred excess of loss premiums |
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Deferred policy acquisition costs |
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Other assets |
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FAQ
What were IGIC's earnings for Q1 2021?
IGIC reported a net profit of $14.5 million for Q1 2021.
How did IGIC's premiums perform in Q1 2021?
Gross written premiums amounted to $100.6 million, while net premiums earned increased by 20% to $82.3 million.
What is IGIC's combined ratio for Q1 2021?
The combined ratio for Q1 2021 was 84.6%.
How much did IGIC's book value per share change?
Book value per share increased by 15.1% year-over-year to $8.71.
What new markets is IGIC entering?
IGIC announced its entry into the contingency market and is establishing a European platform in Malta.
International General Insurance Holdings Ltd. Ordinary Share
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IGIC Stock Data
1.17B
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Insurance - Diversified
Financial Services
United States of America
Amman
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