SiriusPoint Ltd. (“SiriusPoint” or the “Company”) (NYSE:SPNT) today
announced results for its fourth quarter ended December 31, 2024
- Combined ratio of
90.2% in the fourth quarter for Core business, representing a 3.2
point improvement versus prior year, resulting in a full year 2024
Core combined ratio of 91.0% and Core underwriting income of
$200 million
- Growth in the
quarter of 21% on gross premiums written for continuing lines
business (excluding 2023 exited programs), contributing to 10%
growth for the full year
- Fourth quarter net
loss of $21 million, materially impacted by three significant items
linked to our efforts to reposition the Company, including the CM
Bermuda repurchase transaction, closure of previously announced LPT
transaction with Enstar, and the write-down of a single MGA
investment. This marks the end of the significant reshaping of the
Company
- Underlying net
income of $44 million in the fourth quarter contributing to $304
million for the full year, up 14% versus prior year
- Return on equity
for 2024 of 9.1%, or 14.6% on an underlying basis and at the upper
end of the target range of 12-15%
- Book value per
diluted common share (ex. AOCI) of $14.64, up 2.7% in the quarter
and up 9.8% from December 31, 2023. Balance sheet remains strong
post CM Bermuda transaction with Q4’24 BSCR estimate at 214%
- Permanent
retirement of the 45.7 million common shares repurchased from CM
Bermuda on closure of the transaction, driving greater than 20%
earnings per share accretion
Scott Egan, Chief Executive Officer, said: “2024
has been a remarkable year of delivery for SiriusPoint. Despite
increased catastrophe activity, our Core combined ratio has
improved meaningfully from last year to 91.0%, excluding the impact
from the loss portfolio transfer in 2023. Our 4.2 point improvement
in attritional loss ratio demonstrates our focus on improving the
quality of our underwriting. We saw 21% growth of gross premiums
written for the quarter and 10% for the full year for our
continuing lines business.
Our underlying return on equity of 14.6% is at
the upper end of the 12-15% target range set out a year ago. In
optimizing our capital position, we have returned over $1 billion
to investors during 2024 while maintaining robust capital ratios,
due to our strong performance, reshaping actions, and capital
generation over the past two years.
We have strengthened our underlying business
performance year-over-year, providing a strong basis for 2025.
While this quarter our net income was impacted by several one-off
items, we see 2024 as the end of the repositioning and reshaping of
the Company. Our efforts are now fully focused on both growing the
business and continuing to enhance performance.
I take great pride in the accomplishments of the
SiriusPoint team, who have worked with commitment and dedication to
produce improvements in our underlying results, quarter after
quarter. I am immensely grateful for all that they do every day for
our customers, partners and shareholders.”
Fourth Quarter
2024 Highlights
- Net loss
attributable to SiriusPoint common shareholders of $21.3 million,
or $0.13 per diluted common share
- Core income of
$66.7 million, including underwriting income of $56.3 million, Core
combined ratio of 90.2%
- Core net services
fee income of $10.4 million, with service margin of 20.2%
- Net investment
income of $68.9 million and total investment result of $29.0
million
- Book value per
diluted common share decreased $0.13 per share, or 0.9%, from
September 30, 2024 to $14.60
- Annualized return
on average common equity of (4.0)%
Year Ended December 31, 2024
- Net income
available to SiriusPoint common shareholders of $183.9 million, or
$1.04 per diluted common share
- Core income of
$244.6 million, including underwriting income of $200.0 million,
Core combined ratio of 91.0%
- Core net services
fee income of $46.7 million, with service margin of 21.0%
- Net investment
income of $303.6 million and total investment result of $224.6
million
- Book value per
diluted common share increased $1.25 per share, or 9.4%, from
December 31, 2023 to $14.60
- Return on average
common equity of 9.1%
- Debt to capital
ratio increased to 24.8% compared to 23.8% as of December 31,
2023
Key Financial Metrics
The following table shows certain key financial
metrics for the three and twelve months ended December 31, 2024 and
2023:
| |
|
|
|
| |
Three months ended |
|
Twelve months ended |
| |
December 31, 2024 |
|
December 31, 2023 |
|
December 31, 2024 |
|
December 31, 2023 |
| |
($ in millions, except for per share data and
ratios) |
|
Combined ratio |
|
94.4 |
% |
|
|
93.6 |
% |
|
|
88.3 |
% |
|
|
84.5 |
% |
| Core underwriting income
(1) |
$ |
56.3 |
|
|
$ |
37.0 |
|
|
$ |
200.0 |
|
|
$ |
250.2 |
|
| Core net services income
(1) |
$ |
10.4 |
|
|
$ |
9.3 |
|
|
$ |
44.6 |
|
|
$ |
41.2 |
|
| Core income (1) |
$ |
66.7 |
|
|
$ |
46.3 |
|
|
$ |
244.6 |
|
|
$ |
291.4 |
|
| Core combined ratio (1) |
|
90.2 |
% |
|
|
93.4 |
% |
|
|
91.0 |
% |
|
|
89.1 |
% |
| Annualized return on average
common shareholders’ equity attributable to SiriusPoint common
shareholders |
(4.0 |
)% |
|
|
17.1 |
% |
|
|
9.1 |
% |
|
|
16.2 |
% |
| Book value per common
share |
$ |
14.92 |
|
|
$ |
13.76 |
|
|
$ |
14.92 |
|
|
$ |
13.76 |
|
| Book value per diluted common
share |
$ |
14.60 |
|
|
$ |
13.35 |
|
|
$ |
14.60 |
|
|
$ |
13.35 |
|
| Book value per diluted common
share ex. AOCI (1) |
$ |
14.64 |
|
|
$ |
13.33 |
|
|
$ |
14.64 |
|
|
$ |
13.33 |
|
| Tangible book value per
diluted common share (1) |
$ |
13.42 |
|
|
$ |
12.47 |
|
|
$ |
13.42 |
|
|
$ |
12.47 |
|
|
(1) |
Core underwriting income, Core net services income, Core income and
Core combined ratio are non-GAAP financial measures. See
definitions in “Non-GAAP Financial Measures” and reconciliations in
“Segment Reporting.” Book value per diluted common share ex. AOCI
and tangible book value per diluted common share are non-GAAP
financial measures. See definition and reconciliation in “Non-GAAP
Financial Measures.” |
|
|
|
Fourth Quarter
2024 Summary
Consolidated underwriting income for the three
months ended December 31, 2024 was $32.7 million compared to $36.7
million for the three months ended December 31, 2023. The decrease
was primarily driven by higher catastrophe losses, partially offset
by an increase in favorable prior year loss reserve development.
Catastrophe losses, net of reinsurance and reinstatement premiums,
were $38.6 million, or 6.5 percentage points on the combined ratio,
for the three months ended December 31, 2024 mainly from Hurricane
Milton, compared to minimal losses for the three months ended
December 31, 2023. Favorable prior year reserve development was
$37.3 million primarily driven by favorable development in
Reinsurance, mainly in Property and Specialty from reserve releases
relating to prior year’s catastrophe events, as well as in
Insurance & Services, mainly due to lower than expected
reported attritional losses in A&H, compared to
$11.1 million for the three months ended December 31, 2023
which included reserve strengthening for specific areas of
uncertainty for the loss reserves.
Consolidated underwriting income for the year
ended December 31, 2024 was $276.4 million compared to $375.9
million for the year ended December 31, 2023. The decrease was
primarily driven by lower favorable prior year loss reserve
development as the year ended December 31, 2023 included
$127.8 million driven by reserving analyses performed in
connection with the loss portfolio transfer transaction with Pallas
Reinsurance Company Ltd that closed on June 30, 2023 (“2023 LPT”).
Excluding the favorable development linked to the 2023 LPT,
underwriting income increased by $15.8 million primarily
driven by favorable development in Reinsurance, as well as lower
attritional losses in both Reinsurance and Insurance &
Services, partially offset by higher acquisition costs from
business mix changes, including the growth of Insurance &
Services, and higher catastrophe losses. Catastrophe losses, net of
reinsurance and reinstatement premiums, were $54.8 million, or 2.3
percentage points on the combined ratio, for the year ended
December 31, 2024, primarily driven by Hurricanes Milton and
Helene, compared to $24.8 million, or 1.0 percentage points on the
combined ratio, for the year ended December 31, 2023, primarily
driven by the Turkey Earthquake and Chile Wildfire.
Reportable Segments
The determination of our reportable segments is
based on the manner in which management monitors the performance of
our operations, which consist of two reportable segments -
Reinsurance and Insurance & Services.
Collectively, the sum of our two segments,
Reinsurance and Insurance & Services, constitute our “Core”
results. Core underwriting income, Core net services income, Core
income and Core combined ratio are non-GAAP financial measures. See
reconciliations in “Segment Reporting”. We believe it is useful to
review Core results as it better reflects how management views the
business and reflects our decision to exit the runoff business. The
sum of Core results and Corporate results are equal to the
consolidated results of operations.
Three months ended December 31, 2024 and
2023
Core Premium Volume
Gross premiums written increased by
$42.7 million, or 5.9%, to $762.5 million for the three
months ended December 31, 2024 compared to $719.8 million for
the three months ended December 31, 2023. Net premiums earned
increased by $23.2 million, or 4.2%, to $581.6 million
for the three months ended December 31, 2024 compared to
$558.4 million for the three months ended December 31, 2023.
The increases in premium volume were primarily driven by increases
in Insurance & Services from strategic organic and new program
growth, as well higher A&H premiums, and in Reinsurance in
Specialty and Property from new business and renewal growth. These
increases were partially offset by the movement of certain lines
from Insurance & Services to Corporate, including the
non-renewal of a Workers’ Compensation program and the planned
transition of a Cyber program to another carrier, representing
$89.9 million of gross premiums written for the three months
ended December 31, 2023.
Core Results
Core results for the three months ended December
31, 2024 included income of $66.7 million compared to $46.3 million
for the three months ended December 31, 2023. Income for the three
months ended December 31, 2024 consists of underwriting income of
$56.3 million (90.2% combined ratio) and net services income of
$10.4 million, compared to underwriting income of $37.0 million
(93.4% combined ratio) and net services income of $9.3 million for
the three months ended December 31, 2023. The improvement in net
underwriting results was primarily driven by increased favorable
prior year loss reserve development and lower attritional losses,
partially offset by higher catastrophe losses.
Losses incurred included $58.1 million of
favorable prior year loss reserve development for the three months
ended December 31, 2024 mainly in Property and Specialty from
reserve releases relating to prior year’s catastrophe events,
compared to $37.7 million for the three months ended December
31, 2023 driven by management reflecting the continued favorable
reported loss emergence through December 31, 2023 in its best
estimate of reserves.
Catastrophe losses, net of reinsurance and
reinstatement premiums, for the three months ended December 31,
2024, were $38.6 million, or 6.6 percentage points on the combined
ratio, mainly from Hurricane Milton, compared to minimal losses for
the three months ended December 31, 2023. Despite increased
catastrophe losses for the three months ended December 31, 2024,
catastrophe losses for the year ended December 31, 2024 were in
line with our expectations evidencing our actions to reduce our
catastrophe exposed business during the last two years.
Year ended December 31, 2024 and 2023
Core Premium Volume
Gross premiums written decreased by $134.3
million, or 4.1%, to $3,176.4 million for the year ended December
31, 2024 compared to $3,310.7 million for the year ended December
31, 2023. Net premiums earned decreased by $81.5 million, or 3.6%,
to $2,199.1 million for the year ended December 31, 2024 compared
to $2,280.6 million for the year ended December 31, 2023. The
decreases in premium volume were primarily due to the movement of
certain lines from Insurance & Services to Corporate, including
the non-renewal of a Workers’ Compensation program and the planned
transition of a Cyber program to another carrier, representing
$421.8 million of gross premiums written for the year ended
December 31, 2023, with the most significant offset being strategic
organic and new program growth within Insurance & Services.
Core Results
Core results for the year ended December 31,
2024 included income of $244.6 million compared to
$291.4 million for the year ended December 31, 2023. Income
for the year ended December 31, 2024 consists of underwriting
income of $200.0 million (91.0% combined ratio) and net
services income of $44.6 million, compared to underwriting
income of $250.2 million (89.1% combined ratio) and net
services income of $41.2 million for the year ended December
31, 2023. The decrease in net underwriting results was primarily
driven by lower favorable prior year loss reserve development as
the year ended December 31, 2023 included $104.8 million driven by
reserving analyses performed in connection with the 2023 LPT.
Excluding the favorable development linked to
the 2023 LPT, net underwriting income increased by $49.0 million
primarily driven by favorable development in Reinsurance, mainly in
Property and Specialty from reserve releases relating to prior
year’s catastrophe events, as well as lower attritional losses in
both Reinsurance and Insurance & Services, partially offset by
higher acquisition costs from business mix changes, including the
growth of Insurance & Services, and higher catastrophe
losses.
For the year ended December 31, 2024 catastrophe
losses, net of reinsurance and reinstatement premiums, were
$54.8 million, or 2.5 percentage points on the combined ratio,
which includes losses from Hurricanes Milton and Helene compared to
$13.5 million, or 0.6 percentage points on the combined ratio,
including losses from the Turkey Earthquake, Hawaii wildfires and
Hurricane Idalia, for the year ended December 31, 2023.
Reinsurance Segment
Three months ended December 31, 2024 and
2023
Reinsurance gross premiums written were
$312.2 million for the three months ended December 31, 2024,
an increase of $60.5 million, or 24.0%, compared to the three
months ended December 31, 2023, primarily driven by new business
and renewal growth across Specialty and Property, partially offset
by reduced premiums written in Casualty reflecting underwriting
actions to improve profitability.
Reinsurance generated underwriting income of
$18.3 million (93.2% combined ratio) for the three months
ended December 31, 2024, compared to underwriting income of
$27.8 million (88.6% combined ratio) for the three months
ended December 31, 2023. The decrease in net underwriting results
was primarily due to higher catastrophe losses, partially offset by
increased favorable development. Catastrophe losses, net of
reinsurance and reinstatement premiums, for the three months ended
December 31, 2024, were $35.2 million, or 13.2 percentage points on
the combined ratio, mainly from Hurricane Milton, compared to
minimal losses for the three months ended December 31, 2023. Losses
incurred included $41.8 million of favorable prior year loss
reserve development for the three months ended December 31, 2024
mainly in Property and Specialty from reserve releases relating to
prior year’s catastrophe events, compared to $21.1 million for
the three months ended December 31, 2023 driven by management
reflecting the continued favorable reported loss emergence through
December 31, 2023 in its best estimate of reserves.
Year ended December 31, 2024 and 2023
Reinsurance gross premiums written were $1,335.6
million for the year ended December 31, 2024, an increase of
$64.6 million, or 5.1%, compared to the year ended December
31, 2023, primarily driven by new business and renewal growth
across Specialty and Property, partially offset by reduced premiums
written in Casualty reflecting underwriting actions to improve
profitability.
Reinsurance generated underwriting income of
$124.8 million (88.0% combined ratio) for the year ended December
31, 2024, compared to underwriting income of $206.2 million (80.0%
combined ratio) for the year ended December 31, 2023. The decrease
in net underwriting results was primarily due to decreased
favorable prior year loss reserve development and higher
catastrophe losses, partially offset by lower attritional losses.
Net favorable prior year loss reserve development was $75.0 million
for the year ended December 31, 2024 primarily driven by favorable
development in Property and Specialty from reserve releases
relating to prior year’s catastrophe events, compared to $140.8
million for the year ended December 31, 2023, which included $93.0
million driven by reserving analyses performed in connection with
the 2023 LPT.
For the year ended December 31, 2024,
catastrophe losses, net of reinsurance and reinstatement premiums,
were $49.5 million, or 4.7 percentage points on the combined
ratio, which includes losses from Hurricanes Milton and Helene
compared to $12.2 million, or 1.2 percentage points on the combined
ratio, including losses from the Turkey Earthquake, Hawaii
wildfires and Hurricane Idalia for the year ended December 31,
2023.
Insurance & Services Segment
Three months ended December 31, 2024 and
2023
Insurance & Services gross premiums written
were $450.3 million for the three months ended December 31, 2024, a
decrease of $17.8 million, or 3.8%, compared to the three months
ended December 31, 2023, primarily driven by the movement of
certain lines from Insurance & Services to Corporate, including
the non-renewal of a Workers’ Compensation program and the planned
transition of a Cyber program to another carrier, representing
$89.9 million of gross premiums written for the three months
ended December 31, 2023, partially offset by strategic organic and
new program growth, as well higher A&H premiums.
Insurance & Services generated segment
income of $48.4 million for the three months ended December
31, 2024, compared to $16.8 million for the three months ended
December 31, 2023. Segment income for the three months ended
December 31, 2024 consists of underwriting income of
$38.0 million (87.9% combined ratio) and net services income
of $10.4 million, compared to underwriting income of
$9.2 million (97.0% combined ratio) and net services income of
$7.6 million for the three months ended December 31, 2023. The
improvement in underwriting results was primarily driven by our
decreased loss ratio mainly from lower attritional losses,
partially offset by higher acquisition costs from business mix
changes as we grow our Insurance & Services segment.
Year ended December 31, 2024 and 2023
Insurance & Services gross premiums written
were $1,840.8 million for the year ended December 31, 2024, a
decrease of $198.9 million, or 9.8%, compared to the year ended
December 31, 2023, primarily driven by the movement of certain
lines from Insurance & Services to Corporate, including the
non-renewal of a Workers’ Compensation program and the planned
transition of a Cyber program to another carrier, representing
$421.8 million of gross premiums written for the year ended
December 31, 2023, as well as lower A&H premiums, partially
offset by strategic organic and new program growth.
Insurance & Services generated segment
income of $119.8 million for the year ended December 31, 2024,
compared to income of $86.3 million for the year ended December 31,
2023. Segment income for the year ended December 31, 2024 consists
of underwriting income of $75.2 million (93.5% combined ratio) and
net services income of $44.6 million, compared to underwriting
income of $44.0 million (96.5% combined ratio) and net services
income of $42.3 million for the year ended December 31, 2023. The
improvement in underwriting income of $31.2 million for the year
ended December 31, 2024 compared to the year ended December 31,
2023 was primarily driven by our decreased loss ratio mainly from
lower attritional losses, partially offset by higher acquisition
costs from business mix changes as we grow our Insurance &
Services segment.
As of December 31, 2024, we have equity stakes
in 20 entities (managing general agents (“MGAs”), Insurtech and
Other) compared to 36 at the start of 2023. We continue to
rationalize our MGA equity stakes and realize the significant
off-balance sheet value of our consolidated MGAs, with 6 of these
rationalized in 2024. Book value for our three consolidated MGAs
was $90.1 million as of December 31, 2024, compared to $76.3
million at December 31, 2023, when adjusted to exclude Arcadian
Risk Capital Ltd. which we deconsolidated on June 30, 2024.
Investments
Three months ended December 31, 2024 and
2023
Total net investment income and realized and
unrealized investment gains (losses) for the three months ended
December 31, 2024 was primarily attributable to net investment
income related to interest income from our debt portfolio of
$61.2 million, partially offset by unrealized losses resulting
from fair value analyses on our strategic investment portfolio.
Total net investment income and realized and
unrealized investment gains (losses) for the three months ended
December 31, 2023 was primarily attributable to investment results
from our debt and short-term investment portfolio of
$68.5 million. This result was driven by interest income
primarily on securitized assets and corporate debt positions, which
made up 65.6% of our total investments as of December 31, 2023.
Year ended December 31, 2024 and 2023
Total net investment income and realized and
unrealized investment gains (losses) for the year ended December
31, 2024 was primarily attributable to net investment income
related to interest income from our debt and short-term investment
portfolio of $289.7 million, partially offset by unrealized
losses on other long-term investments of $70.0 million.
Increased investment income is primarily due to the rotation of the
portfolio from cash and cash equivalents and U.S. government and
government agency positions to high-grade corporate debt and other
securitized assets, in an effort to better diversify our portfolio.
Losses on private other long-term investments were the result of
updated fair value analyses consistent with the current insurtech
market trends and disposals of positions as we execute our strategy
to focus on underwriting relationships with MGAs.
Total net investment income and realized and
unrealized investment gains (losses) for the year ended December
31, 2023 was primarily attributable to net investment income
related to interest income from our debt and short-term investment
portfolio of $277.0 million.
Webcast Details
The Company will hold a webcast to discuss its
fourth quarter 2024 results at 8:30 a.m. Eastern Time on February
19, 2025. The webcast of the conference call will be available over
the Internet from the Company’s website at www.siriuspt.com under
the “Investor Relations” section. Participants should follow the
instructions provided on the website to download and install any
necessary audio applications. The conference call will be available
by dialing 1-877-451-6152 (domestic) or 1-201-389-0879
(international). Participants should ask for the SiriusPoint Ltd.
fourth quarter 2024 earnings call.
The online replay will be available on the
Company's website immediately following the call at
www.siriuspt.com under the “Investor Relations” section.
Safe Harbor Statement Regarding
Forward-Looking Statements This press release includes
“forward-looking statements” within the meaning of the Private
Securities Litigation Reform Act of 1995. Forward-looking
statements are subject to known and unknown risks and
uncertainties, many of which may be beyond the Company’s control.
The Company cautions you that the forward-looking information
presented in this press release is not a guarantee of future
events, and that actual events may differ materially from those
made in or suggested by the forward-looking information contained
in this press release. In addition, forward-looking statements
generally can be identified by the use of forward-looking
terminology such as “believes,” “intends,” “seeks,” “anticipates,”
“aims,” “plans,” “targets,” “estimates,” “expects,” “assumes,”
“continues,” “guidance,” “should,” “could,” “will,” “may” and the
negative of these or similar terms and phrases. Specific
forward-looking statements in this press release include, but are
not limited to, statements regarding the trend of our performance
as compared to the previous guidance, the success of our strategic
transaction with CMIG International Holding Pte. Ltd., the current
insurtech market trends, our ability to generate shareholder value
and whether we will continue to have momentum in our business in
the future. Actual events, results and outcomes may differ
materially from the Company’s expectations due to a variety of
known and unknown risks, uncertainties and other factors. Among the
risks and uncertainties that could cause actual results to differ
from those described in the forward-looking statements are the
following: our ability to execute on our strategic transformation,
including re-underwriting to reduce volatility and improve
underwriting performance, de-risking our investment portfolio, and
transforming our business; the impact of unpredictable catastrophic
events, including uncertainties with respect to current and future
COVID-19 losses across many classes of insurance business and the
amount of insurance losses that may ultimately be ceded to the
reinsurance market, supply chain issues, labor shortages and
related increased costs, changing interest rates and equity market
volatility; inadequacy of loss and loss adjustment expense
reserves, the lack of available capital, and periods characterized
by excess underwriting capacity and unfavorable premium rates; the
performance of financial markets, impact of inflation and interest
rates, and foreign currency fluctuations; our ability to compete
successfully in the insurance and reinsurance market and the effect
of consolidation in the insurance and reinsurance industry;
technology breaches or failures, including those resulting from a
malicious cyber-attack on us, our business partners or service
providers; the effects of global climate change, including
increased severity and frequency of weather-related natural
disasters and catastrophes, including wildfires, and increased
coastal flooding in many geographic areas; geopolitical
uncertainty, including the ongoing conflicts in Europe and the
Middle East and the new presidential administration in the U.S.;
our ability to retain key senior management and key employees; a
downgrade or withdrawal of our financial ratings; fluctuations in
our results of operations; legal restrictions on certain of
SiriusPoint’s insurance and reinsurance subsidiaries’ ability to
pay dividends and other distributions to SiriusPoint; the outcome
of legal and regulatory proceedings and regulatory constraints on
our business; reduced returns or losses in SiriusPoint’s investment
portfolio; our exposure or potential exposure to corporate income
tax in Bermuda and the E.U., U.S. federal income and withholding
taxes and our significant deferred tax assets, which could become
devalued if we do not generate future taxable income or applicable
corporate tax rates are reduced; risks associated with delegating
authority to third party managing general agents; future strategic
transactions such as acquisitions, dispositions, investments,
mergers or joint ventures; SiriusPoint’s response to any
acquisition proposal that may be received from any party, including
any actions that may be considered by the Company’s Board of
Directors or any committee thereof; and other risks and factors
listed under "Risk Factors" in the Company's most recent Annual
Report on Form 10-K and other subsequent periodic reports filed
with the Securities and Exchange Commission.
All forward-looking statements speak only as of
the date made and the Company undertakes no obligation to update or
revise publicly any forward-looking statements, whether as a result
of new information, future events or otherwise.
Non-GAAP Financial Measures and Other
Financial Metrics
In presenting SiriusPoint’s results, management
has included financial measures that are not calculated under
standards or rules that comprise accounting principles generally
accepted in the United States (“GAAP”). SiriusPoint’s management
uses this information in its internal analysis of results and
believes that this information may be informative to investors in
gauging the quality of SiriusPoint’s financial performance,
identifying trends in our results and providing meaningful
period-to-period comparisons. Core underwriting income, Core net
services income, Core income, and Core combined ratio are non-GAAP
financial measures. Management believes it is useful to review Core
results as it better reflects how management views the business and
reflects the Company’s decision to exit the runoff business. Book
value per diluted common share excluding accumulated other
comprehensive income (loss) ("AOCI") and tangible book value per
diluted common share, as presented, are non-GAAP financial measures
and the most directly comparable U.S. GAAP measure is book value
per common share. Management believes it is useful to exclude AOCI
because it may fluctuate significantly between periods based on
movements in interest and currency rates. Management believes the
effects of intangible assets are not indicative of underlying
underwriting results or trends and make book value comparisons to
less acquisitive peer companies less meaningful. Underlying net
income is a non-GAAP financial measure and the most directly
comparable U.S. GAAP measure is net income. Underlying net income
excludes items which we believe are not indicative of the
operations of our underlying businesses. Management believes it is
useful to review underlying net income as it better reflects how we
view the business, as well as provides investors with an
alternative metric that can assist in predicting future earnings
and profitability that are complementary to GAAP metrics.
Underlying return on average common shareholders’ equity is
calculated by dividing underlying net income available to
SiriusPoint common shareholders for the period by the average
common shareholders’ equity, excluding AOCI. Reconciliations of
such non-GAAP financial measures to the most directly comparable
GAAP figures are included in the attached financial information in
accordance with Regulation G and Item 10(e) of Regulation S-K, as
applicable.
About the Company
SiriusPoint is a global underwriter of insurance
and reinsurance providing solutions to clients and brokers around
the world. Bermuda-headquartered with offices in New York, London,
Stockholm and other locations, we are listed on the New York Stock
Exchange (SPNT). We have licenses to write Property & Casualty
and Accident & Health insurance and reinsurance globally. Our
offering and distribution capabilities are strengthened by a
portfolio of strategic partnerships with Managing General Agents
and Program Administrators. With approximately $2.6 billion total
capital, SiriusPoint’s operating companies have a financial
strength rating of A- (Stable) from AM Best, S&P and Fitch, and
A3 (Stable) from Moody’s. For more information please visit
www.siriuspt.com.
Contacts
Investor RelationsLiam Blackledge - Investor
Relations and Strategy ManagerLiam.Blackledge@siriuspt.com+ 44 203
772 3082
MediaNatalie King - Global Head of Marketing
and External CommunicationsNatalie.King@siriuspt.com+ 44 20 3772
3102
|
|
|
|
|
|
SIRIUSPOINT LTD. CONSOLIDATED BALANCE
SHEETS (UNAUDITED)As of December
31, 2024 and December 31,
2023 (expressed in millions of U.S. dollars,
except per share and share amounts) |
|
|
|
|
|
| |
December 31,2024 |
|
December 31,2023 |
| Assets |
|
|
|
|
Debt securities, available for sale, at fair value, net of
allowance for credit losses of $1.1 (2023 - $0.0) (cost - $5,143.8;
2023 - $4,754.6) |
$ |
5,131.0 |
|
|
$ |
4,755.4 |
|
| Debt securities, trading, at
fair value (cost - $187.3; 2023 - $568.1) |
|
162.2 |
|
|
|
534.9 |
|
| Short-term investments, at
fair value (cost - $95.3; 2023 - $370.8) |
|
95.8 |
|
|
|
371.6 |
|
| Investments in related party
investment funds, at fair value |
|
116.5 |
|
|
|
105.6 |
|
| Other long-term investments,
at fair value (cost - $317.8; 2023 - $358.1) (includes related
party investments at fair value of $100.7 (2023 - $173.7)) |
|
200.0 |
|
|
|
310.1 |
|
| Total investments |
|
5,705.5 |
|
|
|
6,077.6 |
|
| Cash and cash equivalents |
|
682.0 |
|
|
|
969.2 |
|
| Restricted cash and cash
equivalents |
|
212.6 |
|
|
|
132.1 |
|
| Redemption receivable from
related party investment fund |
|
— |
|
|
|
3.0 |
|
| Due from brokers |
|
11.2 |
|
|
|
5.6 |
|
| Interest and dividends
receivable |
|
44.0 |
|
|
|
42.3 |
|
| Insurance and reinsurance
balances receivable, net |
|
2,054.4 |
|
|
|
1,966.3 |
|
| Deferred acquisition costs,
net |
|
327.5 |
|
|
|
308.9 |
|
| Unearned premiums ceded |
|
463.9 |
|
|
|
449.2 |
|
| Loss and loss adjustment
expenses recoverable, net |
|
2,315.3 |
|
|
|
2,295.1 |
|
| Deferred tax asset |
|
297.0 |
|
|
|
293.6 |
|
| Intangible assets |
|
140.8 |
|
|
|
152.7 |
|
| Other assets |
|
270.7 |
|
|
|
175.9 |
|
| Total
assets |
$ |
12,524.9 |
|
|
$ |
12,871.5 |
|
|
Liabilities |
|
|
|
| Loss and loss adjustment
expense reserves |
$ |
5,653.9 |
|
|
$ |
5,608.1 |
|
| Unearned premium reserves |
|
1,639.2 |
|
|
|
1,627.3 |
|
| Reinsurance balances
payable |
|
1,781.6 |
|
|
|
1,736.7 |
|
| Deposit liabilities |
|
17.4 |
|
|
|
134.4 |
|
| Deferred gain on retroactive
reinsurance |
|
8.5 |
|
|
|
27.9 |
|
| Debt |
|
639.1 |
|
|
|
786.2 |
|
| Due to brokers |
|
18.0 |
|
|
|
6.2 |
|
| Deferred tax liability |
|
76.2 |
|
|
|
68.7 |
|
| Liability-classified capital
instruments |
|
— |
|
|
|
67.3 |
|
| Share repurchase
liability |
|
483.0 |
|
|
|
— |
|
| Accounts payable, accrued
expenses and other liabilities |
|
269.2 |
|
|
|
278.1 |
|
| Total
liabilities |
|
10,586.1 |
|
|
|
10,340.9 |
|
| Commitments and contingent
liabilities |
|
|
|
| Shareholders’
equity |
|
|
|
| Series B preference shares
(par value $0.10; authorized and issued: 8,000,000) |
|
200.0 |
|
|
|
200.0 |
|
| Common shares (issued and
outstanding: 116,429,057; 2023 - 168,120,022) |
|
11.6 |
|
|
|
16.8 |
|
| Additional paid-in
capital |
|
945.0 |
|
|
|
1,693.0 |
|
| Retained earnings |
|
784.9 |
|
|
|
601.0 |
|
| Accumulated other
comprehensive income (loss), net of tax |
|
(4.1 |
) |
|
|
3.1 |
|
| Shareholders’ equity
attributable to SiriusPoint shareholders |
|
1,937.4 |
|
|
|
2,513.9 |
|
| Noncontrolling interests |
|
1.4 |
|
|
|
16.7 |
|
| Total shareholders’
equity |
|
1,938.8 |
|
|
|
2,530.6 |
|
| Total liabilities,
noncontrolling interests and shareholders’ equity |
$ |
12,524.9 |
|
|
$ |
12,871.5 |
|
| |
|
|
|
|
|
|
|
|
SIRIUSPOINT LTD.CONSOLIDATED STATEMENTS
OF INCOME (LOSS)
(UNAUDITED)For the three
and twelve months ended December
31, 2024 and
2023(expressed in millions of U.S.
dollars, except per share and share amounts) |
| |
|
|
|
| |
Three months ended |
|
Twelve months ended |
| |
December 31, 2024 |
|
December 31, 2023 |
|
December 31, 2024 |
|
December 31, 2023 |
| Revenues |
|
|
|
|
|
|
|
|
Net premiums earned |
$ |
590.3 |
|
|
$ |
578.0 |
|
|
$ |
2,343.5 |
|
|
$ |
2,426.2 |
|
| Net investment income |
|
68.9 |
|
|
|
78.4 |
|
|
|
303.6 |
|
|
|
283.7 |
|
| Net realized and unrealized
investment losses |
|
(40.7 |
) |
|
|
(12.4 |
) |
|
|
(88.7 |
) |
|
|
(10.0 |
) |
| Net realized and unrealized
investment gains (losses) from related party investment funds |
|
0.8 |
|
|
|
(1.0 |
) |
|
|
9.7 |
|
|
|
(1.0 |
) |
| Net investment income and net
realized and unrealized investment gains (losses) |
|
29.0 |
|
|
|
65.0 |
|
|
|
224.6 |
|
|
|
272.7 |
|
| Other revenues |
|
19.4 |
|
|
|
17.8 |
|
|
|
184.2 |
|
|
|
97.8 |
|
| Loss on settlement and change
in fair value of liability-classified capital instruments |
|
(25.9 |
) |
|
|
(15.0 |
) |
|
|
(148.5 |
) |
|
|
(59.4 |
) |
| Total revenues |
|
612.8 |
|
|
|
645.8 |
|
|
|
2,603.8 |
|
|
|
2,737.3 |
|
| Expenses |
|
|
|
|
|
|
|
| Loss and loss adjustment
expenses incurred, net |
|
369.1 |
|
|
|
365.4 |
|
|
|
1,368.5 |
|
|
|
1,381.3 |
|
| Acquisition costs, net |
|
134.6 |
|
|
|
111.7 |
|
|
|
516.9 |
|
|
|
472.7 |
|
| Other underwriting
expenses |
|
53.9 |
|
|
|
64.2 |
|
|
|
181.7 |
|
|
|
196.3 |
|
| Net corporate and other
expenses |
|
58.1 |
|
|
|
64.5 |
|
|
|
232.1 |
|
|
|
258.2 |
|
| Intangible asset
amortization |
|
3.0 |
|
|
|
2.9 |
|
|
|
11.9 |
|
|
|
11.1 |
|
| Interest expense |
|
19.6 |
|
|
|
19.8 |
|
|
|
69.6 |
|
|
|
64.1 |
|
| Foreign exchange (gains)
losses |
|
(12.9 |
) |
|
|
19.2 |
|
|
|
(10.0 |
) |
|
|
34.9 |
|
| Total expenses |
|
625.4 |
|
|
|
647.7 |
|
|
|
2,370.7 |
|
|
|
2,418.6 |
|
| Income (loss) before income
tax (expense) benefit |
|
(12.6 |
) |
|
|
(1.9 |
) |
|
|
233.1 |
|
|
|
318.7 |
|
| Income tax (expense)
benefit |
|
(4.4 |
) |
|
|
101.6 |
|
|
|
(30.7 |
) |
|
|
45.0 |
|
| Net income
(loss) |
|
(17.0 |
) |
|
|
99.7 |
|
|
|
202.4 |
|
|
|
363.7 |
|
| Net income attributable to
noncontrolling interests |
|
(0.3 |
) |
|
|
(2.2 |
) |
|
|
(2.5 |
) |
|
|
(8.9 |
) |
| Net income (loss)
available to SiriusPoint |
|
(17.3 |
) |
|
|
97.5 |
|
|
|
199.9 |
|
|
|
354.8 |
|
| Dividends on Series B
preference shares |
|
(4.0 |
) |
|
|
(4.0 |
) |
|
|
(16.0 |
) |
|
|
(16.0 |
) |
| Net income (loss)
available to SiriusPoint common shareholders |
$ |
(21.3 |
) |
|
$ |
93.5 |
|
|
$ |
183.9 |
|
|
$ |
338.8 |
|
| Earnings (loss) per
share available to SiriusPoint common shareholders |
|
|
|
|
|
|
|
| Basic earnings (loss) per
share available to SiriusPoint common shareholders |
$ |
(0.13 |
) |
|
$ |
0.52 |
|
|
$ |
1.06 |
|
|
$ |
1.93 |
|
| Diluted earnings (loss) per
share available to SiriusPoint common shareholders |
$ |
(0.13 |
) |
|
$ |
0.50 |
|
|
$ |
1.04 |
|
|
$ |
1.85 |
|
| Weighted average
number of common shares used in the determination of earnings
(loss) per share |
|
|
|
|
|
|
|
| Basic |
|
161,378,360 |
|
|
|
166,640,624 |
|
|
|
166,537,394 |
|
|
|
163,341,448 |
|
| Diluted |
|
161,378,360 |
|
|
|
173,609,940 |
|
|
|
169,470,681 |
|
|
|
169,607,348 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
SIRIUSPOINT LTD.SEGMENT
REPORTING |
| |
|
| |
Three months ended December 31, 2024 |
| |
Reinsurance |
|
Insurance & Services |
|
Core |
|
Eliminations (2) |
|
Corporate |
|
Segment Measure Reclass |
|
Total |
|
Gross premiums written |
$ |
312.2 |
|
|
$ |
450.3 |
|
|
$ |
762.5 |
|
|
$ |
— |
|
|
$ |
(3.0 |
) |
|
$ |
— |
|
|
$ |
759.5 |
|
| Net premiums written |
|
237.5 |
|
|
|
322.7 |
|
|
|
560.2 |
|
|
|
— |
|
|
|
4.8 |
|
|
|
— |
|
|
|
565.0 |
|
| Net premiums earned |
|
265.9 |
|
|
|
315.7 |
|
|
|
581.6 |
|
|
|
— |
|
|
|
8.7 |
|
|
|
— |
|
|
|
590.3 |
|
| Loss and loss adjustment
expenses incurred, net |
|
148.3 |
|
|
|
175.3 |
|
|
|
323.6 |
|
|
|
(1.4 |
) |
|
|
46.9 |
|
|
|
— |
|
|
|
369.1 |
|
| Acquisition costs, net |
|
73.1 |
|
|
|
77.8 |
|
|
|
150.9 |
|
|
|
(27.6 |
) |
|
|
11.3 |
|
|
|
— |
|
|
|
134.6 |
|
| Other underwriting
expenses |
|
26.2 |
|
|
|
24.6 |
|
|
|
50.8 |
|
|
|
— |
|
|
|
3.1 |
|
|
|
— |
|
|
|
53.9 |
|
| Underwriting income
(loss) |
|
18.3 |
|
|
|
38.0 |
|
|
|
56.3 |
|
|
|
29.0 |
|
|
|
(52.6 |
) |
|
|
— |
|
|
|
32.7 |
|
| Services revenues |
|
— |
|
|
|
51.6 |
|
|
|
51.6 |
|
|
|
(31.4 |
) |
|
|
— |
|
|
|
(20.2 |
) |
|
|
— |
|
| Services expenses |
|
— |
|
|
|
41.2 |
|
|
|
41.2 |
|
|
|
— |
|
|
|
— |
|
|
|
(41.2 |
) |
|
|
— |
|
| Net services
income |
|
— |
|
|
|
10.4 |
|
|
|
10.4 |
|
|
|
(31.4 |
) |
|
|
— |
|
|
|
21.0 |
|
|
|
— |
|
| Segment income
(loss) |
|
18.3 |
|
|
|
48.4 |
|
|
|
66.7 |
|
|
|
(2.4 |
) |
|
|
(52.6 |
) |
|
|
21.0 |
|
|
|
32.7 |
|
| Net investment income |
|
|
|
|
|
|
|
|
|
68.9 |
|
|
|
— |
|
|
|
68.9 |
|
| Net realized and
unrealized investment losses |
|
|
(40.7 |
) |
|
|
— |
|
|
|
(40.7 |
) |
| Net realized and
unrealized investment gains from related party investment
funds |
|
|
0.8 |
|
|
|
— |
|
|
|
0.8 |
|
| Other revenues |
|
|
|
|
|
|
|
|
|
(0.8 |
) |
|
|
20.2 |
|
|
|
19.4 |
|
| Loss on
settlement and change in fair value of liability-classified capital
instruments |
|
|
(25.9 |
) |
|
|
— |
|
|
|
(25.9 |
) |
| Net corporate and other
expenses |
|
|
|
|
|
|
|
|
|
(16.9 |
) |
|
|
(41.2 |
) |
|
|
(58.1 |
) |
| Intangible asset
amortization |
|
|
|
|
|
|
|
|
|
(3.0 |
) |
|
|
— |
|
|
|
(3.0 |
) |
| Interest expense |
|
|
|
|
|
|
|
|
|
(19.6 |
) |
|
|
— |
|
|
|
(19.6 |
) |
| Foreign exchange gains |
|
|
|
|
|
|
|
|
|
12.9 |
|
|
|
— |
|
|
|
12.9 |
|
| Income (loss) before
income tax expense |
$ |
18.3 |
|
|
$ |
48.4 |
|
|
|
66.7 |
|
|
|
(2.4 |
) |
|
|
(76.9 |
) |
|
|
— |
|
|
|
(12.6 |
) |
| Income tax expense |
|
|
|
|
|
— |
|
|
|
— |
|
|
|
(4.4 |
) |
|
|
— |
|
|
|
(4.4 |
) |
| Net income
(loss) |
|
|
|
|
|
66.7 |
|
|
|
(2.4 |
) |
|
|
(81.3 |
) |
|
|
— |
|
|
|
(17.0 |
) |
| Net income
attributable to noncontrolling interest |
|
|
— |
|
|
|
— |
|
|
|
(0.3 |
) |
|
|
— |
|
|
|
(0.3 |
) |
| Net income
(loss) available to SiriusPoint |
|
$ |
66.7 |
|
|
$ |
(2.4 |
) |
|
$ |
(81.6 |
) |
|
$ |
— |
|
|
$ |
(17.3 |
) |
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
| Attritional losses |
$ |
154.9 |
|
|
$ |
188.2 |
|
|
$ |
343.1 |
|
|
$ |
(1.4 |
) |
|
$ |
26.1 |
|
|
$ |
— |
|
|
$ |
367.8 |
|
| Catastrophe losses |
|
35.2 |
|
|
|
3.4 |
|
|
|
38.6 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
38.6 |
|
| Prior year loss reserve
development |
|
(41.8 |
) |
|
|
(16.3 |
) |
|
|
(58.1 |
) |
|
|
— |
|
|
|
20.8 |
|
|
|
— |
|
|
|
(37.3 |
) |
| Loss and loss adjustment
expenses incurred, net |
$ |
148.3 |
|
|
$ |
175.3 |
|
|
$ |
323.6 |
|
|
$ |
(1.4 |
) |
|
$ |
46.9 |
|
|
$ |
— |
|
|
$ |
369.1 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
| Underwriting
Ratios: (1) |
|
|
|
|
|
|
|
|
|
|
|
|
|
| Attritional loss ratio |
|
58.3 |
% |
|
|
59.6 |
% |
|
|
59.0 |
% |
|
|
|
|
|
|
|
|
62.3 |
% |
| Catastrophe loss ratio |
|
13.2 |
% |
|
|
1.1 |
% |
|
|
6.6 |
% |
|
|
|
|
|
|
|
|
6.5 |
% |
| Prior year loss development
ratio |
(15.7 |
)% |
|
(5.2 |
)% |
|
(10.0 |
)% |
|
|
|
|
|
|
|
(6.3 |
)% |
| Loss ratio |
|
55.8 |
% |
|
|
55.5 |
% |
|
|
55.6 |
% |
|
|
|
|
|
|
|
|
62.5 |
% |
| Acquisition cost ratio |
|
27.5 |
% |
|
|
24.6 |
% |
|
|
25.9 |
% |
|
|
|
|
|
|
|
|
22.8 |
% |
| Other underwriting expenses
ratio |
|
9.9 |
% |
|
|
7.8 |
% |
|
|
8.7 |
% |
|
|
|
|
|
|
|
|
9.1 |
% |
| Combined ratio |
|
93.2 |
% |
|
|
87.9 |
% |
|
|
90.2 |
% |
|
|
|
|
|
|
|
|
94.4 |
% |
|
(1) |
Underwriting ratios are calculated by dividing the related expense
by net premiums earned. |
|
(2) |
Insurance & Services MGAs recognize fees for service using
revenue from contracts with customers accounting standards, whereas
insurance companies recognize acquisition expenses using insurance
contract accounting standards. While ultimate revenues and expenses
recognized will match, there will be recognition timing differences
based on the different accounting standards. |
|
|
|
| |
Three months ended December 31, 2023 |
| |
Reinsurance |
|
Insurance & Services |
|
Core |
|
Eliminations (2) |
|
Corporate |
|
Segment Measure Reclass |
|
Total |
|
Gross premiums written |
$ |
251.7 |
|
|
$ |
468.1 |
|
|
$ |
719.8 |
|
|
$ |
— |
|
|
$ |
(4.2 |
) |
|
$ |
— |
|
|
$ |
715.6 |
|
| Net premiums written |
|
194.9 |
|
|
|
263.3 |
|
|
|
458.2 |
|
|
|
— |
|
|
|
(3.6 |
) |
|
|
— |
|
|
|
454.6 |
|
| Net premiums earned |
|
243.2 |
|
|
|
315.2 |
|
|
|
558.4 |
|
|
|
— |
|
|
|
19.6 |
|
|
|
— |
|
|
|
578.0 |
|
| Loss and loss adjustment
expenses incurred, net |
|
121.8 |
|
|
|
206.6 |
|
|
|
328.4 |
|
|
|
(1.4 |
) |
|
|
38.4 |
|
|
|
— |
|
|
|
365.4 |
|
| Acquisition costs, net |
|
65.5 |
|
|
|
66.8 |
|
|
|
132.3 |
|
|
|
(31.6 |
) |
|
|
11.0 |
|
|
|
— |
|
|
|
111.7 |
|
| Other underwriting
expenses |
|
28.1 |
|
|
|
32.6 |
|
|
|
60.7 |
|
|
|
— |
|
|
|
3.5 |
|
|
|
— |
|
|
|
64.2 |
|
| Underwriting income
(loss) |
|
27.8 |
|
|
|
9.2 |
|
|
|
37.0 |
|
|
|
33.0 |
|
|
|
(33.3 |
) |
|
|
— |
|
|
|
36.7 |
|
| Services revenues |
|
1.7 |
|
|
|
54.0 |
|
|
|
55.7 |
|
|
|
(40.0 |
) |
|
|
— |
|
|
|
(15.7 |
) |
|
|
— |
|
| Services expenses |
|
— |
|
|
|
43.6 |
|
|
|
43.6 |
|
|
|
— |
|
|
|
— |
|
|
|
(43.6 |
) |
|
|
— |
|
| Net services fee
income |
|
1.7 |
|
|
|
10.4 |
|
|
|
12.1 |
|
|
|
(40.0 |
) |
|
|
— |
|
|
|
27.9 |
|
|
|
— |
|
| Services noncontrolling
income |
|
— |
|
|
|
(2.8 |
) |
|
|
(2.8 |
) |
|
|
— |
|
|
|
— |
|
|
|
2.8 |
|
|
|
— |
|
| Net services
income |
|
1.7 |
|
|
|
7.6 |
|
|
|
9.3 |
|
|
|
(40.0 |
) |
|
|
— |
|
|
|
30.7 |
|
|
|
— |
|
| Segment income
(loss) |
|
29.5 |
|
|
|
16.8 |
|
|
|
46.3 |
|
|
|
(7.0 |
) |
|
|
(33.3 |
) |
|
|
30.7 |
|
|
|
36.7 |
|
| Net investment income |
|
|
|
|
|
|
|
|
|
78.4 |
|
|
|
— |
|
|
|
78.4 |
|
| Net realized and
unrealized investment losses |
|
|
(12.4 |
) |
|
|
— |
|
|
|
(12.4 |
) |
| Net realized and
unrealized investment losses from related party investment
funds |
|
|
(1.0 |
) |
|
|
— |
|
|
|
(1.0 |
) |
| Other revenues |
|
|
|
|
|
|
|
|
|
2.1 |
|
|
|
15.7 |
|
|
|
17.8 |
|
| Loss on
settlement and change in fair value of liability-classified capital
instruments |
|
|
(15.0 |
) |
|
|
— |
|
|
|
(15.0 |
) |
| Net corporate and other
expenses |
|
|
|
|
|
|
|
|
|
(20.9 |
) |
|
|
(43.6 |
) |
|
|
(64.5 |
) |
| Intangible asset
amortization |
|
|
|
|
|
|
|
|
|
(2.9 |
) |
|
|
— |
|
|
|
(2.9 |
) |
| Interest expense |
|
|
|
|
|
|
|
|
|
(19.8 |
) |
|
|
— |
|
|
|
(19.8 |
) |
| Foreign exchange losses |
|
|
|
|
|
|
|
|
|
(19.2 |
) |
|
|
— |
|
|
|
(19.2 |
) |
| Income (loss) before
income tax benefit |
$ |
29.5 |
|
|
$ |
16.8 |
|
|
|
46.3 |
|
|
|
(7.0 |
) |
|
|
(44.0 |
) |
|
|
2.8 |
|
|
|
(1.9 |
) |
| Income tax benefit |
|
|
|
|
|
— |
|
|
|
— |
|
|
|
101.6 |
|
|
|
— |
|
|
|
101.6 |
|
| Net
income |
|
|
|
|
|
46.3 |
|
|
|
(7.0 |
) |
|
|
57.6 |
|
|
|
2.8 |
|
|
|
99.7 |
|
| Net (income) loss
attributable to noncontrolling interest |
|
|
— |
|
|
|
— |
|
|
|
0.6 |
|
|
|
(2.8 |
) |
|
|
(2.2 |
) |
| Net income
available to SiriusPoint |
|
$ |
46.3 |
|
|
$ |
(7.0 |
) |
|
$ |
58.2 |
|
|
$ |
— |
|
|
$ |
97.5 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
| Attritional losses |
$ |
143.5 |
|
|
$ |
222.8 |
|
|
$ |
366.3 |
|
|
$ |
(1.4 |
) |
|
$ |
11.7 |
|
|
$ |
— |
|
|
$ |
376.6 |
|
| Catastrophe losses |
|
(0.6 |
) |
|
|
0.4 |
|
|
|
(0.2 |
) |
|
|
— |
|
|
|
0.1 |
|
|
|
— |
|
|
|
(0.1 |
) |
| Prior year loss reserve
development |
|
(21.1 |
) |
|
|
(16.6 |
) |
|
|
(37.7 |
) |
|
|
— |
|
|
|
26.6 |
|
|
|
— |
|
|
|
(11.1 |
) |
| Loss and loss adjustment
expenses incurred, net |
$ |
121.8 |
|
|
$ |
206.6 |
|
|
$ |
328.4 |
|
|
$ |
(1.4 |
) |
|
$ |
38.4 |
|
|
$ |
— |
|
|
$ |
365.4 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
| Underwriting
Ratios: (1) |
|
|
|
|
|
|
|
|
|
|
|
|
|
| Attritional loss ratio |
|
59.0 |
% |
|
|
70.7 |
% |
|
|
65.6 |
% |
|
|
|
|
|
|
|
|
65.2 |
% |
| Catastrophe loss ratio |
(0.2 |
)% |
|
|
0.1 |
% |
|
|
— |
% |
|
|
|
|
|
|
|
|
— |
% |
| Prior year loss development
ratio |
(8.7 |
)% |
|
(5.3 |
)% |
|
(6.8 |
)% |
|
|
|
|
|
|
|
(1.9 |
)% |
| Loss ratio |
|
50.1 |
% |
|
|
65.5 |
% |
|
|
58.8 |
% |
|
|
|
|
|
|
|
|
63.2 |
% |
| Acquisition cost ratio |
|
26.9 |
% |
|
|
21.2 |
% |
|
|
23.7 |
% |
|
|
|
|
|
|
|
|
19.3 |
% |
| Other underwriting expenses
ratio |
|
11.6 |
% |
|
|
10.3 |
% |
|
|
10.9 |
% |
|
|
|
|
|
|
|
|
11.1 |
% |
| Combined ratio |
|
88.6 |
% |
|
|
97.0 |
% |
|
|
93.4 |
% |
|
|
|
|
|
|
|
|
93.6 |
% |
|
(1) |
Underwriting ratios are calculated by dividing the related expense
by net premiums earned. |
|
(2) |
Insurance & Services MGAs recognize fees for service using
revenue from contracts with customers accounting standards, whereas
insurance companies recognize acquisition expenses using insurance
contract accounting standards. While ultimate revenues and expenses
recognized will match, there will be recognition timing differences
based on the different accounting standards. |
|
|
|
| |
Twelve months ended December 31, 2024 |
| |
Reinsurance |
|
Insurance & Services |
|
Core |
|
Eliminations (2) |
|
Corporate |
|
Segment Measure Reclass |
|
Total |
|
Gross premiums written |
$ |
1,335.6 |
|
|
$ |
1,840.8 |
|
|
$ |
3,176.4 |
|
|
$ |
— |
|
|
$ |
68.2 |
|
|
$ |
— |
|
|
$ |
3,244.6 |
|
| Net premiums written |
|
1,104.7 |
|
|
|
1,236.2 |
|
|
|
2,340.9 |
|
|
|
— |
|
|
|
11.2 |
|
|
|
— |
|
|
|
2,352.1 |
|
| Net premiums earned |
|
1,045.1 |
|
|
|
1,154.0 |
|
|
|
2,199.1 |
|
|
|
— |
|
|
|
144.4 |
|
|
|
— |
|
|
|
2,343.5 |
|
| Loss and loss adjustment
expenses incurred, net |
|
554.3 |
|
|
|
714.1 |
|
|
|
1,268.4 |
|
|
|
(5.5 |
) |
|
|
105.6 |
|
|
|
— |
|
|
|
1,368.5 |
|
| Acquisition costs, net |
|
279.9 |
|
|
|
284.7 |
|
|
|
564.6 |
|
|
|
(121.4 |
) |
|
|
73.7 |
|
|
|
— |
|
|
|
516.9 |
|
| Other underwriting
expenses |
|
86.1 |
|
|
|
80.0 |
|
|
|
166.1 |
|
|
|
— |
|
|
|
15.6 |
|
|
|
— |
|
|
|
181.7 |
|
| Underwriting income
(loss) |
|
124.8 |
|
|
|
75.2 |
|
|
|
200.0 |
|
|
|
126.9 |
|
|
|
(50.5 |
) |
|
|
— |
|
|
|
276.4 |
|
| Services revenues |
|
— |
|
|
|
222.9 |
|
|
|
222.9 |
|
|
|
(132.8 |
) |
|
|
— |
|
|
|
(90.1 |
) |
|
|
— |
|
| Services expenses |
|
— |
|
|
|
176.2 |
|
|
|
176.2 |
|
|
|
— |
|
|
|
— |
|
|
|
(176.2 |
) |
|
|
— |
|
| Net services fee
income |
|
— |
|
|
|
46.7 |
|
|
|
46.7 |
|
|
|
(132.8 |
) |
|
|
— |
|
|
|
86.1 |
|
|
|
— |
|
| Services noncontrolling
income |
|
— |
|
|
|
(2.1 |
) |
|
|
(2.1 |
) |
|
|
— |
|
|
|
— |
|
|
|
2.1 |
|
|
|
— |
|
| Net services
income |
|
— |
|
|
|
44.6 |
|
|
|
44.6 |
|
|
|
(132.8 |
) |
|
|
— |
|
|
|
88.2 |
|
|
|
— |
|
| Segment income
(loss) |
|
124.8 |
|
|
|
119.8 |
|
|
|
244.6 |
|
|
|
(5.9 |
) |
|
|
(50.5 |
) |
|
|
88.2 |
|
|
|
276.4 |
|
| Net investment income |
|
|
|
|
|
|
|
|
|
303.6 |
|
|
|
— |
|
|
|
303.6 |
|
| Net realized and
unrealized investment losses |
|
|
(88.7 |
) |
|
|
— |
|
|
|
(88.7 |
) |
| Net realized and
unrealized investment gains from related party investment
funds |
|
|
9.7 |
|
|
|
— |
|
|
|
9.7 |
|
| Other revenues |
|
|
|
|
|
|
|
|
|
94.1 |
|
|
|
90.1 |
|
|
|
184.2 |
|
| Loss on
settlement and change in fair value of liability-classified capital
instruments |
|
|
(148.5 |
) |
|
|
— |
|
|
|
(148.5 |
) |
| Net corporate and other
expenses |
|
|
|
|
|
|
|
|
|
(55.9 |
) |
|
|
(176.2 |
) |
|
|
(232.1 |
) |
| Intangible asset
amortization |
|
|
|
|
|
|
|
|
|
(11.9 |
) |
|
|
— |
|
|
|
(11.9 |
) |
| Interest expense |
|
|
|
|
|
|
|
|
|
(69.6 |
) |
|
|
— |
|
|
|
(69.6 |
) |
| Foreign exchange gains |
|
|
|
|
|
|
|
|
|
10.0 |
|
|
|
— |
|
|
|
10.0 |
|
| Income (loss) before
income tax expense |
$ |
124.8 |
|
|
$ |
119.8 |
|
|
|
244.6 |
|
|
|
(5.9 |
) |
|
|
(7.7 |
) |
|
|
2.1 |
|
|
|
233.1 |
|
| Income tax expense |
|
|
|
|
|
— |
|
|
|
— |
|
|
|
(30.7 |
) |
|
|
— |
|
|
|
(30.7 |
) |
| Net income
(loss) |
|
|
|
|
|
244.6 |
|
|
|
(5.9 |
) |
|
|
(38.4 |
) |
|
|
2.1 |
|
|
|
202.4 |
|
| Net income
attributable to noncontrolling interest |
|
|
— |
|
|
|
— |
|
|
|
(0.4 |
) |
|
|
(2.1 |
) |
|
|
(2.5 |
) |
| Net income
(loss) available to SiriusPoint |
|
$ |
244.6 |
|
|
$ |
(5.9 |
) |
|
$ |
(38.8 |
) |
|
$ |
— |
|
|
$ |
199.9 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
| Attritional losses |
$ |
579.8 |
|
|
$ |
734.5 |
|
|
$ |
1,314.3 |
|
|
$ |
(5.5 |
) |
|
$ |
112.8 |
|
|
$ |
— |
|
|
$ |
1,421.6 |
|
| Catastrophe losses |
|
49.5 |
|
|
|
5.3 |
|
|
|
54.8 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
54.8 |
|
| Prior year loss reserve
development |
|
(75.0 |
) |
|
|
(25.7 |
) |
|
|
(100.7 |
) |
|
|
— |
|
|
|
(7.2 |
) |
|
|
— |
|
|
|
(107.9 |
) |
| Loss and loss adjustment
expenses incurred, net |
$ |
554.3 |
|
|
$ |
714.1 |
|
|
$ |
1,268.4 |
|
|
$ |
(5.5 |
) |
|
$ |
105.6 |
|
|
$ |
— |
|
|
$ |
1,368.5 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
| Underwriting
Ratios: (1) |
|
|
|
|
|
|
|
|
|
|
|
|
|
| Attritional loss ratio |
|
55.5 |
% |
|
|
63.6 |
% |
|
|
59.8 |
% |
|
|
|
|
|
|
|
|
60.7 |
% |
| Catastrophe loss ratio |
|
4.7 |
% |
|
|
0.5 |
% |
|
|
2.5 |
% |
|
|
|
|
|
|
|
|
2.3 |
% |
| Prior year loss development
ratio |
(7.2 |
)% |
|
(2.2 |
)% |
|
(4.6 |
)% |
|
|
|
|
|
|
|
(4.6 |
)% |
| Loss ratio |
|
53.0 |
% |
|
|
61.9 |
% |
|
|
57.7 |
% |
|
|
|
|
|
|
|
|
58.4 |
% |
| Acquisition cost ratio |
|
26.8 |
% |
|
|
24.7 |
% |
|
|
25.7 |
% |
|
|
|
|
|
|
|
|
22.1 |
% |
| Other underwriting expenses
ratio |
|
8.2 |
% |
|
|
6.9 |
% |
|
|
7.6 |
% |
|
|
|
|
|
|
|
|
7.8 |
% |
| Combined ratio |
|
88.0 |
% |
|
|
93.5 |
% |
|
|
91.0 |
% |
|
|
|
|
|
|
|
|
88.3 |
% |
|
(1) |
Underwriting ratios are calculated by dividing the related expense
by net premiums earned. |
|
(2) |
Insurance & Services MGAs recognize fees for service using
revenue from contracts with customers accounting standards, whereas
insurance companies recognize acquisition expenses using insurance
contract accounting standards. While ultimate revenues and expenses
recognized will match, there will be recognition timing differences
based on the different accounting standards. |
|
|
|
| |
Twelve months ended December 31, 2023 |
| |
Reinsurance |
|
Insurance & Services |
|
Core |
|
Eliminations (2) |
|
Corporate |
|
Segment Measure Reclass |
|
Total |
|
Gross premiums written |
$ |
1,271.0 |
|
|
$ |
2,039.7 |
|
|
$ |
3,310.7 |
|
|
$ |
— |
|
|
$ |
116.7 |
|
|
$ |
— |
|
|
$ |
3,427.4 |
|
| Net
premiums written |
|
1,061.0 |
|
|
|
1,282.7 |
|
|
|
2,343.7 |
|
|
|
— |
|
|
|
94.2 |
|
|
|
— |
|
|
|
2,437.9 |
|
| Net
premiums earned |
|
1,031.4 |
|
|
|
1,249.2 |
|
|
|
2,280.6 |
|
|
|
— |
|
|
|
145.6 |
|
|
|
— |
|
|
|
2,426.2 |
|
| Loss
and loss adjustment expenses incurred, net |
|
490.3 |
|
|
|
815.4 |
|
|
|
1,305.7 |
|
|
|
(5.4 |
) |
|
|
81.0 |
|
|
|
— |
|
|
|
1,381.3 |
|
|
Acquisition costs, net |
|
252.2 |
|
|
|
295.5 |
|
|
|
547.7 |
|
|
|
(137.2 |
) |
|
|
62.2 |
|
|
|
— |
|
|
|
472.7 |
|
| Other
underwriting expenses |
|
82.7 |
|
|
|
94.3 |
|
|
|
177.0 |
|
|
|
— |
|
|
|
19.3 |
|
|
|
— |
|
|
|
196.3 |
|
|
Underwriting income (loss) |
|
206.2 |
|
|
|
44.0 |
|
|
|
250.2 |
|
|
|
142.6 |
|
|
|
(16.9 |
) |
|
|
— |
|
|
|
375.9 |
|
|
Services revenues |
|
(1.1 |
) |
|
|
238.6 |
|
|
|
237.5 |
|
|
|
(149.6 |
) |
|
|
— |
|
|
|
(87.9 |
) |
|
|
— |
|
|
Services expenses |
|
— |
|
|
|
187.8 |
|
|
|
187.8 |
|
|
|
— |
|
|
|
— |
|
|
|
(187.8 |
) |
|
|
— |
|
| Net services fee
income (loss) |
|
(1.1 |
) |
|
|
50.8 |
|
|
|
49.7 |
|
|
|
(149.6 |
) |
|
|
— |
|
|
|
99.9 |
|
|
|
— |
|
|
Services noncontrolling income |
|
— |
|
|
|
(8.5 |
) |
|
|
(8.5 |
) |
|
|
— |
|
|
|
— |
|
|
|
8.5 |
|
|
|
— |
|
| Net services income
(loss) |
|
(1.1 |
) |
|
|
42.3 |
|
|
|
41.2 |
|
|
|
(149.6 |
) |
|
|
— |
|
|
|
108.4 |
|
|
|
— |
|
|
Segment income (loss) |
|
205.1 |
|
|
|
86.3 |
|
|
|
291.4 |
|
|
|
(7.0 |
) |
|
|
(16.9 |
) |
|
|
108.4 |
|
|
|
375.9 |
|
| Net investment income |
|
|
|
|
|
|
|
|
|
283.7 |
|
|
|
— |
|
|
|
283.7 |
|
| Net realized and
unrealized investment losses |
|
|
(10.0 |
) |
|
|
— |
|
|
|
(10.0 |
) |
| Net realized and
unrealized investment losses from related party investment
funds |
|
|
(1.0 |
) |
|
|
— |
|
|
|
(1.0 |
) |
| Other revenues |
|
|
|
|
|
|
|
|
|
9.9 |
|
|
|
87.9 |
|
|
|
97.8 |
|
| Loss on
settlement and change in fair value of liability-classified capital
instruments |
|
|
(59.4 |
) |
|
|
— |
|
|
|
(59.4 |
) |
| Net corporate and other
expenses |
|
|
|
|
|
|
|
|
|
(70.4 |
) |
|
|
(187.8 |
) |
|
|
(258.2 |
) |
| Intangible asset
amortization |
|
|
|
|
|
|
|
|
|
(11.1 |
) |
|
|
— |
|
|
|
(11.1 |
) |
| Interest expense |
|
|
|
|
|
|
|
|
|
(64.1 |
) |
|
|
— |
|
|
|
(64.1 |
) |
|
Foreign exchange losses |
|
|
|
|
|
|
|
|
|
(34.9 |
) |
|
|
— |
|
|
|
(34.9 |
) |
|
Income before income tax benefit |
$ |
205.1 |
|
|
$ |
86.3 |
|
|
|
291.4 |
|
|
|
(7.0 |
) |
|
|
25.8 |
|
|
|
8.5 |
|
|
|
318.7 |
|
|
Income tax benefit |
|
|
|
|
|
— |
|
|
|
— |
|
|
|
45.0 |
|
|
|
— |
|
|
|
45.0 |
|
|
Net income |
|
|
|
|
|
291.4 |
|
|
|
(7.0 |
) |
|
|
70.8 |
|
|
|
8.5 |
|
|
|
363.7 |
|
| Net income
attributable to noncontrolling interest |
|
|
— |
|
|
|
— |
|
|
|
(0.4 |
) |
|
|
(8.5 |
) |
|
|
(8.9 |
) |
| Net
income available to SiriusPoint |
|
$ |
291.4 |
|
|
$ |
(7.0 |
) |
|
$ |
70.4 |
|
|
$ |
— |
|
|
$ |
354.8 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Attritional losses |
$ |
618.9 |
|
|
$ |
840.7 |
|
|
$ |
1,459.6 |
|
|
$ |
(5.4 |
) |
|
$ |
76.5 |
|
|
$ |
— |
|
|
$ |
1,530.7 |
|
|
Catastrophe losses |
|
12.2 |
|
|
|
1.3 |
|
|
|
13.5 |
|
|
|
— |
|
|
|
11.3 |
|
|
|
— |
|
|
|
24.8 |
|
| Prior
year loss reserve development |
|
(140.8 |
) |
|
|
(26.6 |
) |
|
|
(167.4 |
) |
|
|
— |
|
|
|
(6.8 |
) |
|
|
— |
|
|
|
(174.2 |
) |
| Loss
and loss adjustment expenses incurred, net |
$ |
490.3 |
|
|
$ |
815.4 |
|
|
$ |
1,305.7 |
|
|
$ |
(5.4 |
) |
|
$ |
81.0 |
|
|
$ |
— |
|
|
$ |
1,381.3 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Underwriting
Ratios: (1) |
|
|
|
|
|
|
|
|
|
|
|
|
|
| Attritional loss ratio |
|
60.0 |
% |
|
|
67.3 |
% |
|
|
64.0 |
% |
|
|
|
|
|
|
|
|
63.1 |
% |
| Catastrophe loss ratio |
|
1.2 |
% |
|
|
0.1 |
% |
|
|
0.6 |
% |
|
|
|
|
|
|
|
|
1.0 |
% |
| Prior
year loss development ratio |
(13.7 |
)% |
|
(2.1 |
)% |
|
(7.3 |
)% |
|
|
|
|
|
|
|
(7.2 |
)% |
| Loss ratio |
|
47.5 |
% |
|
|
65.3 |
% |
|
|
57.3 |
% |
|
|
|
|
|
|
|
|
56.9 |
% |
| Acquisition cost ratio |
|
24.5 |
% |
|
|
23.7 |
% |
|
|
24.0 |
% |
|
|
|
|
|
|
|
|
19.5 |
% |
| Other underwriting expenses
ratio |
|
8.0 |
% |
|
|
7.5 |
% |
|
|
7.8 |
% |
|
|
|
|
|
|
|
|
8.1 |
% |
| Combined ratio |
|
80.0 |
% |
|
|
96.5 |
% |
|
|
89.1 |
% |
|
|
|
|
|
|
|
|
84.5 |
% |
|
(1) |
Underwriting ratios are calculated by dividing the related expense
by net premiums earned. |
|
(2) |
Insurance & Services MGAs recognize fees for service using
revenue from contracts with customers accounting standards, whereas
insurance companies recognize acquisition expenses using insurance
contract accounting standards. While ultimate revenues and expenses
recognized will match, there will be recognition timing differences
based on the different accounting standards. |
|
|
|
SIRIUSPOINT LTD.NON-GAAP
FINANCIAL MEASURES AND RECONCILIATIONS & OTHER FINANCIAL
MEASURES
Non-GAAP Financial Measures
Core Results
Collectively, the sum of the Company's two
segments, Reinsurance and Insurance & Services, constitute
"Core" results. Core underwriting income, Core net services income,
Core income and Core combined ratio are non-GAAP financial
measures. We believe it is useful to review Core results as it
better reflects how management views the business and reflects our
decision to exit the runoff business. The sum of Core results and
Corporate results are equal to the consolidated results of
operations.
Core underwriting income - calculated by
subtracting loss and loss adjustment expenses incurred, net,
acquisition costs, net, and other underwriting expenses from net
premiums earned.
Core net services income - consists of services
revenues which include commissions, brokerage and fee income
related to consolidated MGAs, and other revenues, and services
expenses which include direct expenses related to consolidated
MGAs, services noncontrolling income which represent minority
ownership interests in consolidated MGAs. Net services income is a
key indicator of the profitability of the Company's services
provided.
Core income - consists of two components, core
underwriting income and core net services income. Core income is a
key measure of our segment performance.
Core combined ratio - calculated by dividing the
sum of Core loss and loss adjustment expenses incurred, net,
acquisition costs, net and other underwriting expenses by Core net
premiums earned. Accident year loss ratio and accident year
combined ratio are calculated by excluding prior year loss reserve
development to present the impact of current accident year net loss
and loss adjustment expenses on the Core loss ratio and Core
combined ratio, respectively. Attritional loss ratio excludes
catastrophe losses from the accident year loss ratio as they are
not predictable as to timing and amount. These ratios are useful
indicators of our underwriting profitability.
Book Value Per Diluted Common Share
Metrics
Book value per diluted common share excluding
AOCI and tangible book value per diluted common share, as
presented, are non-GAAP financial measures and the most directly
comparable U.S. GAAP measure is book value per common share.
Management believes it is useful to exclude AOCI because it may
fluctuate significantly between periods based on movements in
interest and currency rates. Tangible book value per diluted common
share excludes intangible assets. Management believes that effects
of intangible assets are not indicative of underlying underwriting
results or trends and make book value comparisons to less
acquisitive peer companies less meaningful. Tangible book value per
diluted common share is useful because it provides a more accurate
measure of the realizable value of shareholder returns, excluding
intangible assets.
The following table sets forth the computation
of book value per common share, book value per diluted common share
and tangible book value per diluted common share as of December 31,
2024 and December 31, 2023:
| |
|
|
|
| |
December 31,2024 |
|
December 31,2023 |
| |
($ in millions, except share and per share
amounts) |
|
Common shareholders’ equity attributable to SiriusPoint common
shareholders |
$ |
1,737.4 |
|
|
$ |
2,313.9 |
|
| |
|
|
|
| Accumulated other
comprehensive income (loss), net of tax |
|
(4.1 |
) |
|
|
3.1 |
|
| Common shareholders’ equity
attributable to SiriusPoint common shareholders ex. AOCI |
|
1,741.5 |
|
|
|
2,310.8 |
|
| |
|
|
|
| Intangible assets |
|
140.8 |
|
|
|
152.7 |
|
| Tangible common shareholders'
equity attributable to SiriusPoint common shareholders |
$ |
1,596.6 |
|
|
$ |
2,161.2 |
|
| |
|
|
|
| Common shares outstanding |
|
116,429,057 |
|
|
|
168,120,022 |
|
| Effect of dilutive stock
options, restricted share units and warrants |
|
2,559,359 |
|
|
|
5,193,920 |
|
| Book value per diluted common
share denominator |
|
118,988,416 |
|
|
|
173,313,942 |
|
| |
|
|
|
| Book value per common
share |
$ |
14.92 |
|
|
$ |
13.76 |
|
| Book value per diluted
common share |
$ |
14.60 |
|
|
$ |
13.35 |
|
| Book value per diluted
common share ex. AOCI |
$ |
14.64 |
|
|
$ |
13.33 |
|
| Tangible book value
per diluted common share |
$ |
13.42 |
|
|
$ |
12.47 |
|
| |
|
|
|
|
|
|
|
Underlying Net Income
Underlying net income is a non-GAAP financial
measure and the most directly comparable U.S. GAAP measure is net
income. Underlying net income excludes items which we believe are
not indicative of the operations of our underlying businesses,
including realized and unrealized gains (losses) on strategic and
other investments and liability-classified capital instruments,
income (expense) related to loss portfolio transfers, deferred tax
assets attributable to the enactment of the Bermuda corporate
income tax, development on COVID-19 reserves resulting from the
COVID-19 reserve study performed concurrently with the settlement
of the Series A Preference shares in the third quarter of 2024, and
foreign exchange gains (losses). We believe it is useful to review
underlying net income as it better reflects how we view the
business, as well as provides investors with an alternative metric
that can assist in predicting future earnings and profitability
that are complementary to GAAP metrics. Underlying return on
average common shareholders’ equity is calculated by dividing
underlying net income available to SiriusPoint common shareholders
for the period by the average common shareholders’ equity,
excluding AOCI. Management believes it is useful to exclude AOCI
because it may fluctuate significantly between periods based on
movements in interest and currency rates.
The following table sets forth the computation
of underlying net income for the three and twelve months ended
December 31, 2024 and 2023:
| |
|
|
|
| |
Three months ended |
|
Twelve months ended |
| |
December 31, 2024 |
|
December 31, 2023 |
|
December 31, 2024 |
|
December 31, 2023 |
|
Net income (loss) available to SiriusPoint common shareholders |
$ |
(21.3 |
) |
|
$ |
93.5 |
|
|
$ |
183.9 |
|
|
$ |
338.8 |
|
| Non-recurring
adjustments: |
|
|
|
|
|
|
|
| Gains on sale or
deconsolidation of consolidated MGAs |
|
— |
|
|
|
— |
|
|
|
(96.0 |
) |
|
|
— |
|
| Losses on strategic and other
investments |
|
34.3 |
|
|
|
15.4 |
|
|
|
90.5 |
|
|
|
40.2 |
|
| MGA & Strategic
Investment Rationalization |
|
34.3 |
|
|
|
15.4 |
|
|
|
(5.5 |
) |
|
|
40.2 |
|
| |
|
|
|
|
|
|
|
| Losses on settlement and
change in fair value of liability-classified capital instruments
(“CMIG Merger Instruments”) |
|
25.9 |
|
|
|
15.0 |
|
|
|
148.5 |
|
|
|
59.4 |
|
| COVID-19 favorable reserve
development (1) |
|
— |
|
|
|
— |
|
|
|
(19.9 |
) |
|
|
— |
|
| CMIG Instruments &
Transactions |
|
25.9 |
|
|
|
15.0 |
|
|
|
128.6 |
|
|
|
59.4 |
|
| |
|
|
|
|
|
|
|
| (Income) expense related to
loss portfolio transfers |
|
28.9 |
|
|
|
2.1 |
|
|
|
44.6 |
|
|
|
(101.6 |
) |
| Bermuda corporate income tax
enactment |
|
— |
|
|
|
(100.8 |
) |
|
|
— |
|
|
|
(100.8 |
) |
| Foreign exchange (gains)
losses |
|
(12.9 |
) |
|
|
19.2 |
|
|
|
(10.0 |
) |
|
|
34.9 |
|
| Income tax expense on
adjustments (2) |
|
(11.4 |
) |
|
|
(7.8 |
) |
|
|
(38.1 |
) |
|
|
(4.9 |
) |
| |
|
|
|
|
|
|
|
| Underlying net income
available to SiriusPoint common shareholders |
$ |
43.5 |
|
|
$ |
36.6 |
|
|
$ |
303.5 |
|
|
$ |
266.0 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Return on average common
shareholders’ equity attributable to SiriusPoint common
shareholders |
|
(4.0 |
)% |
|
|
17.1 |
% |
|
|
9.1 |
% |
|
|
16.2 |
% |
| |
|
|
|
|
|
|
|
| Common shareholders’ equity
attributable to SiriusPoint common shareholders - beginning of
period |
$ |
2,494.9 |
|
|
$ |
2,050.0 |
|
|
$ |
2,313.9 |
|
|
$ |
1,874.7 |
|
| Accumulated other
comprehensive income (loss), net of tax |
|
81.5 |
|
|
|
(135.4 |
) |
|
|
3.1 |
|
|
|
(45.0 |
) |
| Common shareholders’ equity
attributable to SiriusPoint common shareholders ex. AOCI -
beginning of period |
|
2,413.4 |
|
|
|
2,185.4 |
|
|
|
2,310.8 |
|
|
|
1,919.7 |
|
| |
|
|
|
|
|
|
|
| Common shareholders’ equity
attributable to SiriusPoint common shareholders - end of
period |
|
1,737.4 |
|
|
|
2,313.9 |
|
|
|
1,737.4 |
|
|
|
2,313.9 |
|
| Impact of adjustments from
above |
|
64.8 |
|
|
|
(56.9 |
) |
|
|
119.6 |
|
|
|
(72.8 |
) |
| Accumulated other
comprehensive income (loss), net of tax |
|
(4.1 |
) |
|
|
3.1 |
|
|
|
(4.1 |
) |
|
|
3.1 |
|
| Common shareholders’ equity
attributable to SiriusPoint common shareholders ex. AOCI - end of
period |
|
1,806.3 |
|
|
|
2,253.9 |
|
|
|
1,861.1 |
|
|
|
2,238.0 |
|
| |
|
|
|
|
|
|
|
| Average common shareholders’
equity attributable to SiriusPoint common shareholders ex.
AOCI |
$ |
2,109.9 |
|
|
$ |
2,219.7 |
|
|
$ |
2,086.0 |
|
|
$ |
2,078.9 |
|
| |
|
|
|
|
|
|
|
| Underlying return on
average common shareholders’ equity attributable to SiriusPoint
common shareholders ex. AOCI |
|
8.2 |
% |
|
|
6.6 |
% |
|
|
14.5 |
% |
|
|
12.8 |
% |
|
(1) |
This development, which is primarily related to business written by
legacy Third Point Reinsurance Ltd., is the result of the COVID-19
reserve study performed concurrently with the settlement of the
Series A Preference shares in the third quarter of 2024. |
|
(2) |
An effective tax rate of 15% is applied to the adjustments to
calculate the income tax expense, where applicable. |
|
|
|
Other Financial Measures
Annualized Return on Average Common
Shareholders’ Equity Attributable to SiriusPoint Common
Shareholders
Annualized return on average common
shareholders’ equity attributable to SiriusPoint common
shareholders is calculated by dividing annualized net income (loss)
available to SiriusPoint common shareholders for the period by the
average common shareholders’ equity determined using the common
shareholders’ equity balances at the beginning and end of the
period.
Annualized return on average common
shareholders’ equity attributable to SiriusPoint common
shareholders for the three and twelve months ended December 31,
2024 and 2023 was calculated as follows:
| |
|
|
|
| |
Three months ended |
|
Twelve months ended |
| |
December 31, 2024 |
|
December 31, 2023 |
|
December 31, 2024 |
|
December 31, 2023 |
| |
($ in millions) |
|
Net income (loss) available to SiriusPoint common shareholders |
$ |
(21.3 |
) |
|
$ |
93.5 |
|
|
$ |
183.9 |
|
|
$ |
338.8 |
|
| Common shareholders’ equity
attributable to SiriusPoint common shareholders - beginning of
period |
|
2,494.9 |
|
|
|
2,050.0 |
|
|
|
2,313.9 |
|
|
|
1,874.7 |
|
| Common shareholders’ equity
attributable to SiriusPoint common shareholders - end of
period |
|
1,737.4 |
|
|
|
2,313.9 |
|
|
|
1,737.4 |
|
|
|
2,313.9 |
|
| Average common shareholders’
equity attributable to SiriusPoint common shareholders |
$ |
2,116.2 |
|
|
$ |
2,182.0 |
|
|
$ |
2,025.7 |
|
|
$ |
2,094.3 |
|
| Annualized return on average
common shareholders’ equity attributable to SiriusPoint common
shareholders |
(4.0 |
)% |
|
|
17.1 |
% |
|
|
9.1 |
% |
|
|
16.2 |
% |
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
Grafico Azioni SiriusPoint (NYSE:SPNT)
Storico
Da Gen 2025 a Feb 2025
Grafico Azioni SiriusPoint (NYSE:SPNT)
Storico
Da Feb 2024 a Feb 2025
