Core Viewpoint - RenaissanceRe reported strong first-quarter 2024 earnings, with significant year-over-year growth in operating income and total revenues, indicating robust performance in the property segment and improved underwriting [2][3]. Financial Performance - The company achieved an operating income of $12.18 per share, exceeding the Zacks Consensus Estimate by 23.5%, and reflecting a 49.3% increase year over year [2]. - Total operating revenues rose 46.8% year over year to $2.83 billion, surpassing the consensus mark by 6% [2]. - Gross premiums written reached $4 billion, a 43% increase year over year, although it fell short of estimates by 11.3% [4]. - Net premiums earned improved 45.4% year over year to $2.4 billion, exceeding estimates by 18.8% [4]. Investment Income and Expenses - Net investment income was $390.8 million, up 53.6% year over year, driven by higher average invested assets and improved yields [5]. - Total expenses increased 47.1% year over year to $2 billion, attributed to higher acquisition and operational costs [5]. Underwriting Performance - Underwriting income surged 46.3% year over year to $541 million, with the combined ratio improving by 10 basis points to 77.9% [6]. - The property segment's gross premiums written were $1.9 billion, a 44.9% increase year over year, with underwriting income improving 78.9% to $534.4 million [7]. Segment Analysis - The casualty and specialty segment reported gross premiums written of $2.1 billion, a 41.4% increase year over year, but underwriting income fell significantly to $6.3 million from $70.9 million a year ago [8][9]. Financial Position - As of March 31, 2024, cash and cash equivalents were $1.6 billion, down from $1.9 billion at the end of 2023, while total assets increased to $50.9 billion [10]. - Total shareholders' equity rose to $9.8 billion from $9.5 billion at the end of 2023 [10]. Dividend and Estimates - The board of directors increased the quarterly dividend by 2.6% to 39 cents per share [11]. - Estimates for RenaissanceRe have been trending upward, indicating positive sentiment among analysts [13]. Industry Context - RenaissanceRe operates within the Zacks Insurance - Property and Casualty industry, which has seen mixed performance among peers, such as First American Financial, which reported a revenue decline of 1.5% year over year [14].

designer491 Introduction RenaissanceRe Holdings Ltd. (NYSE:RNR) is a large reinsurance company that is currently ranked 5th in the world based on gross written premiums after completing its acquisition of Validus from American International Group (AIG). The company pays a pretty low dividend, which means that the majority of its earnings is retained on the balance sheet, translating in an increasing book value per share. In the previous article, I was focusing on RenaissanceRe's preferred equity, and with a ...

Core Viewpoint - RenaissanceRe Holdings Ltd. (RNR) is positioned for growth through a strong financial foundation, strategic acquisitions, and partnerships, with increasing premiums and improved underwriting results contributing to its momentum in a high-interest-rate environment [1]. Company Overview - RenaissanceRe, headquartered in Pembroke, Bermuda, offers insurance and reinsurance products in both domestic and international markets, founded in 1993, with a current market cap of $11.9 billion [2]. Price Performance - Over the past month, RenaissanceRe shares have increased by 4.7%, outperforming the industry’s 3.1% and the S&P 500 Index’s 3.4% growth. The forward 12-month price-to-earnings ratio stands at 6.3X, significantly lower than the industry average of 27X, indicating affordability [3]. Earnings Estimates - The Zacks Consensus Estimate for current-year earnings is $36.42 per share, with five upward revisions in the past 30 days. RNR has consistently beaten earnings estimates in the last four quarters, with an average surprise of 27.9% [5]. - The consensus estimate for current-year revenues is $11.4 billion, reflecting a 30.5% year-over-year growth, driven by significant contributions from the Property and Casualty & Specialty businesses [6]. Growth Drivers - Net premiums earned from the Property segment are expected to increase nearly 24% year-over-year in 2024, while the Casualty & Specialty unit is projected to grow over 34% [6]. - Improving yields from fixed maturity and short-term portfolios in a high-interest-rate environment are anticipated to enhance net investment income, expected to rise almost 28% year-over-year in 2024 [7]. - The integration following the Validus acquisition is expected to deliver significant synergies, aiding in renewals and retention of the portfolio, positioning RenaissanceRe to benefit from growing reinsurance demand [8]. Financial Metrics - The trailing 12-month return on invested capital is 11.9%, exceeding the industry average of 5.9%, indicating strong capital investment efficiency [10]. - The total debt to capital ratio is 16.1%, lower than the industry level of 18.4%. As of the first quarter of 2024, cash and cash equivalents were $1.6 billion, with debt at $1.9 billion, down from $2 billion at the end of 2023 [11]. Operational Considerations - Rising operational expenses, which surged 35.6% year-over-year in 2023, are expected to pressure margins, with total expenses projected to grow by 41% year-over-year [12].

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended March 31, 2024 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission File Number: 001-14428 RENAISSANCERE HOLDINGS LTD. (Exact Name Of Registrant As Specified In Its Charter) (State or Other Jurisdiction of Incorporation or ...

Financial Data and Key Metrics Changes - The company reported operating income of $636 million, with an annualized operating return on average common equity of 29%, indicating strong performance [80] - Net premiums written increased to $3.2 billion, up 41% year-over-year, reflecting robust growth across segments [85] - The adjusted combined ratio was reported at 75%, indicating effective cost management and underwriting discipline [86] Business Line Data and Key Metrics Changes - In the casualty and specialty segment, gross and net premiums written were up 41% and 45% respectively, driven by the integration of the Validus business [88] - The property catastrophe segment saw gross premiums written increase by 44% and net premiums written by 30%, with an adjusted combined ratio of 16% [91] - Other property gross premiums written rose by 46% and net premiums written by 64%, with an adjusted combined ratio of 75% [92] Market Data and Key Metrics Changes - The company noted a high demand for reinsurance in Florida, with expected growth in demand around 10% to 15% for the upcoming renewals [83] - The casualty market is reportedly keeping pace with loss trends, with the company supporting cedents demonstrating strong underwriting discipline [68] - The company is cautious about increasing exposure in Florida due to historical poor financial performance and social inflation issues [101] Company Strategy and Development Direction - The company aims to retain at least $3 billion of the Validus premium, which would result in a combined portfolio exceeding $12 billion in gross written premiums [111] - The focus remains on integrating the Validus business and achieving synergies while maintaining strong capital and liquidity positions [97] - The company is strategically reducing exposure in uncertain lines like D&O while growing in more attractive areas such as specialty [68][102] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the ability to build an attractive portfolio despite the challenges posed by an elevated hurricane season forecast [112] - The company is optimistic about the profitability of its portfolio, citing disciplined underwriting and proactive strategies [78] - Management highlighted the importance of maintaining strong relationships with clients and providing consistent coverage regardless of market conditions [76] Other Important Information - The company reported a significant increase in fee income, reaching $84 million, up 87% from the previous year, driven by joint venture growth [93] - Retained net investment income was $267 million, up 60% year-over-year, benefiting from higher interest rates [94] - The acquisition expense ratio increased due to purchase accounting adjustments but is expected to taper off over the next year [33][96] Q&A Session Summary Question: Can you clarify the renewal or transferring of the Validus Florida book to RenaissanceRe? - Management indicated that they have been slow to take the benefit of price into their casualty portfolio, resulting in a consistent gap between pricing and reserving loss ratios [2][4] Question: How do you view the casualty market and loss trends? - Management noted that the general casualty market is keeping pace with loss trends, and they are comfortable with their reserve estimates [17][20] Question: What is the company's strategy regarding capital management and share repurchases? - Management stated that the focus is on integrating Validus and optimizing capital deployment, with share repurchases not expected to be a significant part of the equation until 2025 [39] Question: How does the company manage social inflation risks in its portfolio? - Management explained that they take a proactive approach to manage social inflation exposure, particularly in commercial auto and general liability lines [41] Question: Can you provide insights on the competitive landscape in the reinsurance market? - Management acknowledged increased competition at the high end of the market but noted that demand for protection remains strong [31][32]

Financial Performance - Net income available to RenaissanceRe common shareholders for Q1 2024 was $364,798, a decrease of 35.3% from $564,062 in Q1 2023[12] - Operating income available to RenaissanceRe common shareholders increased to $636,379 in Q1 2024, up 75% from $364,027 in Q1 2023[12] - The annualized return on average common equity was 16.4% for Q1 2024, down from 46.6% in Q1 2023[14] - Basic earnings per share for Q1 2024 was $6.96, compared to $12.95 in Q1 2023[96] - Net income attributable to DaVinci common shareholders for the three months ended March 31, 2024, is $194,477, compared to $222,382 in the same period of 2023[74] Premiums and Underwriting - Gross premiums written reached $3,990,684 in Q1 2024, representing a 43.3% increase compared to $2,790,261 in Q1 2023[12] - Net premiums written also increased to $3,199,573, up 41.2% from $2,263,703 in the same period last year[12] - The combined ratio improved slightly to 77.9% in Q1 2024 from 78.0% in Q1 2023[12] - Underwriting income for the three months ended March 31, 2024, was $540,682, up from $369,619 in Q1 2023, marking a growth of 46.2%[21] - The combined ratio for the Casualty and Specialty segment was 99.6% in Q1 2024, compared to 92.9% in Q1 2023[34] Investment Income - Net investment income for managed investments was $390,775, up 53.5% from $254,378 in Q1 2023[12] - Total investment return annualized decreased to 2.8% in Q1 2024 from 10.0% in Q1 2023[77] - The company reported net realized and unrealized losses on investments of $232.6 million for Q1 2024, compared to gains of $255.3 million in Q1 2023[106] - The net investment income for the three months ended March 31, 2024, was $168.009 million, down from $267.477 million in the same period of 2023[119] Assets and Liabilities - Total assets increased to $50,944,334 as of March 31, 2024, up from $49,007,105 at December 31, 2023, representing a growth of 3.96%[19] - Total liabilities increased to $34,853,566 as of March 31, 2024, compared to $33,451,316 at December 31, 2023, reflecting a rise of 4.2%[19] - Cash and cash equivalents decreased to $1,606,739 as of March 31, 2024, down from $1,877,518 at December 31, 2023, a decline of 14.4%[19] Acquisitions and Adjustments - The company completed the acquisition of Validus Holdings on November 1, 2023, which will impact future financial results[5] - The company has made significant adjustments related to acquisitions, including $60.6 million in purchase accounting adjustments for Q1 2024[106] Fee Income - Total fee income surged to $83,550 in Q1 2024, a significant increase of 86.5% from $44,772 in Q1 2023[12] - Management fee income for the three months ended March 31, 2024, is $56,053, up from $40,905 in the same period of 2023, reflecting a growth of 37.1%[53] - Performance fee income for the three months ended March 31, 2024, is $27,497, significantly higher than $3,867 in the same period of 2023[53] Claims and Expenses - Net claims and claim expenses incurred totaled $1,166,123 for Q1 2024, compared to $801,200 in Q1 2023, reflecting an increase of 45.5%[21] - The acquisition expense ratio for Q1 2024 was 25.9%, slightly higher than 25.7% in Q1 2023, indicating stable expense management[24] - Operational expenses decreased to $44,560,000 in Q1 2024 from $48,547,000 in Q1 2023[34] Book Value and Equity - Book value per common share increased to $170.92 as of March 31, 2024, compared to $165.20 at the end of 2023, reflecting a year-to-date change of 3.7%[14] - The tangible book value per common share rose to $149.01 from $141.87, with a year-to-date change of 5.3%[112] - The tangible book value per common share plus accumulated dividends reached $175.92, up from $168.39, indicating a year-to-date change of 3.7%[112]

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 10-K ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2023 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission File No. 001-14428 RENAISSANCERE HOLDINGS LTD. (Exact Name Of Registrant As Specified In Its Charter) Bermuda 98-0141974 (State or Other Jurisdiction of Incorpo ...

Financial Data and Key Metrics Changes - For Q4 2023, the company reported operating income of $623 million and a 33% operating return on common equity [9] - For the full year 2023, operating income was $1.8 billion with a 29% operating return on common equity, and tangible book value plus accumulated dividends increased by 48% [9][26] - The company achieved a 77% adjusted combined ratio for the year and a 74% adjusted combined ratio for Q4 [31] Business Line Data and Key Metrics Changes - Net premiums written for 2023 were $7.5 billion, up 4%, with property catastrophe net premiums written increasing by 23% and specialty premiums up 47% [25][26] - The Casualty and Specialty segment saw gross premiums and net premiums written increase by 20% and 26% respectively in Q4, driven by the Validus acquisition [34] - The Property segment reported a 78% increase in net premiums earned in Q4, with an adjusted combined ratio of 16% for the quarter [37] Market Data and Key Metrics Changes - The company noted that estimated industry catastrophe losses approached $120 billion in 2023, impacting the underwriting environment [31] - The property catastrophe market remained strong with rates flat to up a few percentage points, and terms and conditions largely consistent [55] Company Strategy and Development Direction - The company successfully executed a strategic goal to achieve a step change in property catastrophe reinsurance pricing and to grow through the acquisition of Validus Re [7][12] - The integration of Validus is proceeding smoothly, enhancing the company's underwriting capabilities and market position [20][26] - The company aims to continue delivering strong financial performance and shareholder value through its diversified portfolio and disciplined underwriting approach [15][65] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the underwriting team's ability to execute against the $3 billion target for Validus premiums, indicating potential upside [68] - The company anticipates strong performance in 2024, benefiting from a larger and more efficient underwriting portfolio [59][65] - Management highlighted the importance of maintaining a disciplined approach to underwriting and capital management in a favorable market environment [62][64] Other Important Information - The company recorded a net deferred tax asset of $594 million, which will provide a benefit of up to $60 million per year for the next 10 years [23][77] - The operating expense ratio increased to 6% in Q4 due to performance-related compensation and increased headcount, with expectations for it to remain flat in 2024 [46][47] Q&A Session Summary Question: Validus retention expectations - Management confirmed an increase in expected retention from $2.7 billion to $3 billion, citing successful renewals and confidence in the underwriting team [68] Question: Expected returns on property cat portfolio - Management indicated that the Validus portfolio is well diversified, enhancing overall efficiency and returns [72] Question: Tax obligations and DTA impact - Management clarified that the DTA will provide reduced cash tax flows of up to $60 million per year for the next 10 years, but cash tax obligations will remain similar [77] Question: Validus acquisition accretion - Management expressed confidence that the Validus acquisition is more accretive than initially guided, benefiting all three drivers of profit [82] Question: Casualty portfolio strength - Management highlighted the active weighting towards attractive classes and avoidance of lines prone to social inflation, contributing to the strength of the casualty portfolio [87]

Financial Performance - Total revenues for Q3 2023 reached $1,835,987, a significant increase of 42.7% from $1,286,504 in Q3 2022[22]. - Net income attributable to RenaissanceRe for Q3 2023 was $202,831, compared to a loss of $816,501 in Q3 2022, marking a turnaround[22]. - Comprehensive income for Q3 2023 was $416,070, compared to a loss of $1,190,535 in Q3 2022, indicating a strong recovery[25]. - Net income for the nine months ended September 30, 2023, was $1,631,592, compared to a net loss of $(1,853,149) for the same period in 2022[32]. - The net income available to RenaissanceRe common shareholders for the nine months ended September 30, 2023, was $949,075, a recovery from a loss of $1,544,670 in the same period of 2022[202]. Assets and Investments - Total assets increased to $40,843,076 thousand as of September 30, 2023, up from $36,552,878 thousand at December 31, 2022, representing a growth of approximately 6.3%[21]. - Total investments rose to $25,966,639 thousand, compared to $22,220,436 thousand at the end of 2022, marking an increase of about 16.3%[21]. - Total fixed maturity investments trading increased to $16,083,046 as of September 30, 2023, from $14,351,402 at the end of 2022[42]. - The company held $156.0 million in reverse repurchase agreements as of September 30, 2023, an increase from $38.5 million at the end of 2022[48]. - The total fair value of other investments accounted for at fair value was $3.17 billion as of September 30, 2023, compared to $2.49 billion at December 31, 2022[99]. Claims and Expenses - The reserve for claims and claim expenses stood at $15,955,165 thousand, slightly up from $15,892,573 thousand at the end of 2022, indicating a marginal increase of 0.4%[21]. - Net claims and claim expenses incurred decreased to $861,576 in Q3 2023 from $1,967,931 in Q3 2022, a reduction of 56.2%[22]. - The net incurred claims for the current year for the nine months ended September 30, 2023, were $2,888,784, compared to $3,608,599 in the same period of 2022[113]. - The gross claims and claim expenses incurred for the three months ended September 30, 2023, were $793,869, significantly lower than $3,096,540 in the same period of 2022[107]. - The net claims and claim expense ratio for the current accident year was 55.3% for the nine months ended September 30, 2023, compared to 76.6% in the same period of 2022, indicating improved claims management[199]. Debt and Equity - Debt increased to $1,882,893 thousand from $1,170,442 thousand, representing a substantial increase of about 60.8%[21]. - Shareholders' equity attributable to RenaissanceRe increased to $7,588,617 thousand from $5,325,274 thousand, reflecting a significant rise of approximately 42.5%[21]. - The Company issued $750 million of 5.750% Senior Notes due June 5, 2033, with net proceeds of approximately $741 million used for the Validus Acquisition and general corporate purposes[126]. - Redeemable noncontrolling interests increased to $5.66 billion as of September 30, 2023, from $4.54 billion at December 31, 2022[131]. - The Company believes it was in compliance with its debt covenants as of September 30, 2023[123]. Investment Income - Net investment income surged to $329,108 in Q3 2023, up from $157,793 in Q3 2022, representing an increase of 108.5%[22]. - For the nine months ended September 30, 2023, net investment income was $876.1 million, up from $348.7 million in the same period of 2022, reflecting a growth of 151.5%[50]. - The company's investment expenses for the nine months ended September 30, 2023, were $15.8 million, slightly down from $16.3 million in the same period of 2022[50]. - The net realized and unrealized losses on investments were $228.1 million for the three months ended September 30, 2023, compared to losses of $641.5 million for the same period in 2022[51]. - The company reported a net foreign exchange loss of $25,886 in Q3 2023, compared to a loss of $1,383 in Q3 2022[22]. Risk Factors - The Validus Acquisition is expected to impact the company's business and relationship with AIG, although specific financial projections remain uncertain due to inherent risks[15]. - The company faces various risks including exposure to catastrophic events, climate change effects, and integration challenges related to the Validus Business[15]. - Forward-looking statements in the report are subject to significant uncertainties and should not be considered guarantees of future performance[16]. Shareholder Returns - The Company declared quarterly dividends of $0.38 per common share, with total common share dividends paid amounting to $55.2 million for the nine months ended September 30, 2023, compared to $48.6 million in 2022[187][190]. - The Company paid dividends of $55,239 on common shares and $26,531 on preference shares during the nine months ended September 30, 2023[32]. - The Company did not repurchase any common shares during the nine months ended September 30, 2023, with $500.0 million remaining available under the share repurchase program[192].

RenaissanceRe Holdings Ltd. (NYSE:RNR) Q3 2023 Earnings Call Transcript November 2, 2023 11:00 AM ET Company Participants Keith McCue - SVP, Finance & IR Kevin O'Donnell - President, CEO & Director Robert Qutub - EVP & CFO Conference Call Participants Elyse Greenspan - Wells Fargo Securities Yaron Kinar - Jefferies Joshua Shanker - Bank of America Meyer Shields - KBW Alex Scott - Goldman Sachs Brian Meredith - UBS Operator Good morning. My name is Chelsea, and I will be your conference operator today. At th ...