Core Viewpoint - SiriusPoint Ltd. announced a secondary offering of 4,106,631 common shares by entities associated with Daniel S. Loeb, with the company intending to repurchase up to 2,000,000 shares at the public offering price [1][2]. Group 1: Offering Details - The offering consists of 4,106,631 common shares being sold by the Loeb Entities [1]. - SiriusPoint plans to repurchase up to 2,000,000 of the shares being offered, which will be canceled upon repurchase [2]. - Following the offering and the repurchase of shares from CM Bermuda, the Loeb Entities are expected to own approximately 9.67% of SiriusPoint's outstanding shares, an increase from 9.4% [3]. Group 2: Transaction Terms - The remaining shares owned by the Loeb Entities will be subject to a 90-day lock-up agreement [4]. - Jefferies is acting as the sole bookrunning manager for the proposed offering [4]. Group 3: Company Overview - SiriusPoint is a global underwriter of insurance and reinsurance, headquartered in Bermuda, with additional offices in New York, London, and Stockholm [6]. - The company has over $2.6 billion in total capital and holds a financial strength rating of A- from AM Best, S&P, and Fitch, and A3 from Moody's [6].

Financial Transactions - The company completed a loss portfolio transfer transaction with Clarendon National on October 1, 2024, and with Pallas Reinsurance Company Ltd. on June 30, 2023, involving workers' compensation insurance exposures[81]. - As of December 31, 2024, the company had loss and loss adjustment expenses recoverable, net of $2.3 billion, unchanged from December 31, 2023[82]. - The breakdown of loss recoverables by S&P rating as of December 31, 2024, shows that 17.9% are rated AA, 65.5% rated A, and 15.8% not rated[84]. - The not rated category includes $907.4 million related to Pallas Reinsurance Company Ltd. and $291.4 million related to Clarendon National[85]. Regulatory Compliance - The company maintains a minimum liquidity ratio of 75% of relevant liabilities as per the Insurance Act[110]. - The minimum solvency margin for a Class 4 insurer is the greater of $100 million or 50% of net premium written, among other criteria[111]. - The company is subject to various regulations, including solvency and liquidity standards imposed by the Bermuda Monetary Authority[97]. - Class 3A and Class 4 insurers must maintain available statutory economic capital and surplus at a level equal to or exceeding their enhanced capital requirement (ECR) as determined by the BSCR model or an approved internal capital model[112]. - The Bermuda Monetary Authority (BMA) has established a target capital level (TCL) for insurers at 120% of their ECR, serving as an early warning tool for regulatory oversight[114]. - Class 3A and Class 4 insurers are prohibited from declaring dividends if it breaches their minimum solvency margin (MSM) or minimum liquidity ratio, and any dividends paid cannot exceed 25% of total statutory capital and surplus from the previous financial year without BMA approval[117][118]. - The Regulatory Group must maintain available statutory economic capital and surplus at least equal to or exceeding the group ECR, which is also set at a minimum of 120% of the group ECR[128]. - The BMA requires the Regulatory Group to submit annual group audited financial statements and a Group Solvency Self-Assessment (GSSA) to assess capital adequacy against risks[128]. - The GSSA must include stress testing and reflect all assets and liabilities, ensuring alignment with the group's risk characteristics and business model[128]. - The BMA oversees the controllers of Bermuda registered insurers, requiring notification of any changes within 45 days[120][123]. - Insurers must comply with the BMA's Insurance Code of Conduct, which establishes standards for corporate governance and risk management[116]. - The Economic Substance Act mandates that Bermuda registered entities maintain a substantial economic presence in Bermuda if engaged in relevant activities[130]. - The BMA's Cyber Code requires insurers to manage operational cyber risks and report significant adverse impacts on their operations[133]. Taxation and Financial Performance - SiriusPoint's Bermuda operations will be subject to a new Corporate Income Tax Act starting January 1, 2024, with a tax rate of 15% on net income[135]. - As of December 31, 2024, SiriusPoint's U.S. domiciled subsidiaries exceeded all required Risk-Based Capital (RBC) regulatory thresholds[139]. - SiriusPoint America has dividend capacity without prior approval, while Oakwood and SiriusPoint Specialty do not have such capacity[152]. - The Dodd-Frank Act established the Federal Insurance Office (FIO) to monitor the insurance industry, which may lead to regulatory changes affecting SiriusPoint[156]. - All state insurance regulatory bodies overseeing SiriusPoint's U.S.-based subsidiaries are accredited by the National Association of Insurance Commissioners (NAIC)[139]. - SiriusPoint's U.S.-based subsidiaries must comply with state laws requiring investment portfolio diversification and quality standards[150]. - The Terrorism Risk Insurance Act provides a federal backstop for U.S.-based property and casualty insurers against terrorism-related losses[153]. - SiriusPoint's subsidiaries are not federally regulated but are impacted by federal regulations, including those from the U.S. Treasury Department's Office of Foreign Asset Control (OFAC)[154]. - The NAIC's Insurance Regulatory Information System (IRIS) monitors the financial condition of insurance companies, and none of SiriusPoint's subsidiaries are currently under scrutiny[140]. - SiriusPoint's U.S.-based insurance subsidiaries must file their rates and rules with state regulatory authorities, which can affect pricing strategies[148]. Investment and Financial Results - Total net investment income for the year ended December 31, 2023 was $277.0 million, primarily from interest income related to debt and short-term investments[462]. - Other revenues for the year ended December 31, 2024 included a gain of $95.9 million from the deconsolidation of Arcadian Risk Capital Ltd. and $90.1 million of service fee revenue from MGAs, compared to $87.9 million in 2023[463]. - Loss on settlement and change in fair value of liability classified instruments for the year ended December 31, 2024 was $148.5 million, up from $59.4 million in 2023[464]. - Service fee expense decreased to $176.2 million for the year ended December 31, 2024, compared to $187.8 million in 2023, primarily due to the deconsolidation of Arcadian[467]. - Amortization of intangible assets for the year ended December 31, 2024 was $11.9 million, slightly up from $11.1 million in 2023[468]. - Interest expense for the year ended December 31, 2024, was $69.6 million, an increase from $64.1 million in 2023, primarily due to higher external debt expenses and refinancing costs[470]. - Funds held interest expense included $25.5 million from the 2023 LPT and $4.0 million from the 2024 LPT for 2024, compared to $16.2 million from the 2023 LPT in 2023[471]. - Foreign exchange gains for the year ended December 31, 2024, were $10.0 million, while foreign exchange losses in 2023 were $34.9 million, primarily from international operations[473][474]. - The aggregate effect of foreign exchange resulted in an increase to net income of $14.6 million and comprehensive income of $13.0 million for the year ended December 31, 2024[476]. - Income tax expense for the year ended December 31, 2024, was $30.7 million, compared to a tax benefit of $45.0 million in 2023 due to a one-time tax benefit from the Bermuda CIT[477]. Underwriting Performance - Gross premiums written for 2024 totaled $3,176.4 million, with net premiums written at $2,340.9 million[482]. - Core underwriting income for 2024 was $200.0 million, with a combined ratio of 91.0%[482]. - The attritional loss ratio for the Reinsurance segment was 55.5%, while the Insurance & Services segment reported a ratio of 63.6%[482]. - The company reported net services fee income of $46.7 million for 2024, with segment income totaling $276.4 million[482]. - Gross premiums written decreased by $134.3 million, or 4.1%, for the year ended December 31, 2024 compared to 2023[487]. - Net premiums earned decreased by $81.5 million, or 3.6%, for the year ended December 31, 2024 compared to 2023[487]. - Underwriting income for the year ended December 31, 2024 was $200.0 million with a combined ratio of 91.0%, compared to $250.2 million and 89.1% in 2023[488]. - Catastrophe losses for the year ended December 31, 2024 were $54.8 million, or 2.5 percentage points on the combined ratio, compared to $13.5 million, or 0.6 percentage points in 2023[491]. - Services revenue decreased to $222.9 million for the year ended December 31, 2024 from $237.5 million in 2023[492]. - Net services fee income decreased to $46.7 million for the year ended December 31, 2024 from $49.7 million in 2023[493]. - Gross premiums written in the Reinsurance segment increased by $64.6 million, or 5.1%, for the year ended December 31, 2024 compared to 2023[496]. - Net favorable prior year loss reserve development was $75.0 million for the year ended December 31, 2024, down from $140.8 million in 2023[497]. - The Insurance & Services segment includes equity stakes in 20 entities, providing a wide range of insurance solutions[500]. - The attritional loss ratio for the year ended December 31, 2024 was 60.0%, compared to 63.1% in 2023[1]. - Gross premiums written decreased by $198.9 million, or 9.8%, to $1,840.8 million for the year ended December 31, 2024, compared to $2,039.7 million in 2023[502]. - Underwriting income increased by $31.2 million to $75.2 million for the year ended December 31, 2024, driven by a decreased loss ratio of 61.9% compared to 65.3% in 2023[505]. - Consolidated MGAs' gross premiums written decreased by $422.2 million, or 61.8%, to $260.9 million for the year ended December 31, 2024, primarily due to the deconsolidation of Banyan and Arcadian[504]. - Services revenue decreased by $15.7 million to $222.9 million for the year ended December 31, 2024, mainly due to the deconsolidation of Arcadian[506]. - The combined ratio improved to 93.5% for the year ended December 31, 2024, compared to 96.5% in 2023[1]. - Net premiums earned decreased by $95.2 million to $1,154.0 million for the year ended December 31, 2024, compared to $1,249.2 million in 2023[1]. - The net services income increased by $2.3 million to $44.6 million for the year ended December 31, 2024, compared to $42.3 million in 2023[506]. - The underwriting loss in the Corporate segment increased to $50.5 million for the year ended December 31, 2024, compared to a loss of $16.9 million in 2023[507]. Workforce and Culture - The workforce expanded to 1,072 employees as of December 31, 2024, an increase from 1,063 employees in 2023, with 43% located outside North America[205]. - Employee engagement survey response rate increased to 94% in 2024, up from 81% in 2023[193]. - The company aims to enhance its talent pipeline through early career recruitment and succession planning for key leadership roles[202]. - The company has made significant investments in leadership development and introduced Leadership Principles to enhance decision-making capabilities[194]. - The company is committed to building a strong inclusion culture and has evaluated policies to support an inclusive workplace[200].

Financial Data and Key Metrics Changes - The underlying net income for 2024 increased by 14% year-on-year to approximately $300 million [14][63] - The core combined ratio for 2024 improved to 91%, a 2.4 percentage point improvement compared to the previous year [15][63] - The underlying return on equity for 2024 was 14.6%, at the upper end of the target range of 12% to 15% [16][63] - The diluted book value per share grew by 9.8% for the full year 2024 [63] Business Line Data and Key Metrics Changes - Continuing lines gross premiums written grew by 21% in the fourth quarter, with net premiums written increasing by 28% [19][54] - For the full year, continuing lines growth was 10%, with insurance and services growing by 14% and reinsurance by 5% [21][67] - The accident and health segment saw double-digit growth, while casualty remained roughly flat [20][76] Market Data and Key Metrics Changes - The property book grew by 25% in 2024, benefiting from the hard market in US catastrophe reinsurance [70] - The specialty segment experienced a gross premium written increase of 38% in 2024 [73] - The reinsurance segment saw a 5% increase in premiums, with notable growth in Bermuda property and specialty lines [68] Company Strategy and Development Direction - The company aims to focus on improving business performance following the completion of its major reshaping efforts [10][96] - There is a commitment to maintaining underwriting discipline and targeting growth in areas that align with profitability and risk targets [20][76] - The company is rationalizing its equity stakes in MGAs, reducing from 36 to 20, to focus on core underwriting capabilities [35][38] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's strong operational performance and the effectiveness of reshaping actions taken [9][45] - The company anticipates that the impact of previous underwriting decisions will diminish going forward, allowing for improved performance [21][63] - Management highlighted the importance of supporting customers affected by recent catastrophic events, such as the California wildfires [25][26] Other Important Information - The company returned over $1 billion to investors in 2024, significantly improving its balance sheet and structure [13][45] - The CMIG transaction is expected to be accretive to book value by 4% and increase earnings per share by over 20% [12][44] - The company has maintained a strong financial position with a BSCR capital ratio of 214% and a debt to capital ratio of 24.8% [44][91] Q&A Session Summary Question: What are the expectations for future premium growth? - Management expects headline premium growth in 2025 to be similar to the continuing lines premium growth in 2024, despite the impact of runoff being insignificant [67] Question: How is the company addressing the recent catastrophic losses? - The company has implemented retrocession protection to mitigate earnings volatility and is committed to supporting affected customers [28][26] Question: What is the outlook for the MGA strategy? - The company is focused on strengthening its MGA distribution strategy and has entered into 19 new or expanding partnerships in 2024 [32]

SIRIUSPOINT LTD. – A GLOBAL UNDERWRITER 2024 Full Year and Fourth Quarter Results 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, id ...

Financial Performance - For the three months ended December 31, 2024, the combined ratio was 94.4%, compared to 93.6% for the same period in 2023[8]. - Core underwriting income for the three months ended December 31, 2024, was $56.3 million, an increase from $37.0 million in the same period of 2023[8]. - Core income for the twelve months ended December 31, 2024, was $244.6 million, down from $291.4 million in 2023[8]. - The accident year loss ratio for the twelve months ended December 31, 2024, was 62.3%, compared to 64.6% in 2023[8]. - Core combined ratio for the three months ended December 31, 2024, improved to 90.2% from 93.4% in the same period of 2023[8]. - Total revenues for the twelve months ended December 31, 2024, were $2,603.8 million, down from $2,737.3 million in 2023, indicating a decrease of 4.9%[10]. - Net income available to SiriusPoint common shareholders was a loss of $21.3 million in Q4 2024, compared to a profit of $93.5 million in Q4 2023[10]. - Basic earnings per share available to SiriusPoint common shareholders was $(0.13) in Q4 2024, down from $0.52 in Q4 2023[10]. - Total expenses in Q4 2024 were $625.4 million, an increase from $647.7 million in Q4 2023[12]. - Comprehensive income for Q4 2024 was $(102.6) million, compared to $238.2 million in Q4 2023, marking a substantial drop[14]. Assets and Liabilities - Total assets decreased to $12,524.9 million in Q4 2024 from $12,871.5 million in Q4 2023, representing a decline of 2.7% year-over-year[9]. - Total liabilities increased to $10,586.1 million in Q4 2024 from $10,340.9 million in Q4 2023, an increase of 2.4%[9]. - Shareholders' equity attributable to SiriusPoint shareholders decreased to $1,937.4 million in Q4 2024 from $2,513.9 million in Q4 2023, a decline of 23%[9]. - Cash and cash equivalents increased to $682.0 million in Q4 2024 from $969.2 million in Q4 2023, a decrease of 29.6%[9]. Premiums and Investment Income - Net premiums earned increased to $590.3 million in Q4 2024, up from $578.0 million in Q4 2023, reflecting a growth of 3.9%[10]. - Net investment income decreased to $68.9 million in Q4 2024 from $78.4 million in Q4 2023, a decline of 18.9%[10]. - Net investment income for Q4 2024 was $68.9 million, down from $78.4 million in Q4 2023[12]. - Net investment income amounted to $303.6 million, contributing positively to the overall financial performance[19]. Underwriting and Loss Ratios - The combined ratio for the total segment was 90.2%, indicating effective management of underwriting expenses relative to earned premiums[15]. - The attritional loss ratio stood at 59.0%, with a catastrophe loss ratio of 6.6%, demonstrating the company's resilience against significant loss events[15]. - The loss ratio for the fourth quarter of 2024 was 62.5%, compared to 63.2% in the same quarter of the previous year[23]. - The attritional loss ratio for the year was 64.0%, with catastrophe losses contributing 0.6% to the overall loss ratio[21]. Future Outlook - The company anticipates continued focus on strategic transformation and de-risking its investment portfolio moving forward[4]. - Future outlook includes continued focus on market expansion and potential new product development to enhance service offerings[15]. - Future outlook includes continued focus on market expansion and potential new product development to enhance revenue streams[17]. - Future outlook includes continued focus on market expansion and new product development to enhance revenue streams[21]. Shareholder Equity and Book Value - Book value per diluted common share as of December 31, 2024, was $14.60, up from $13.35 in 2023[8]. - Tangible book value per diluted common share as of December 31, 2024, was $13.42, an increase from $12.47 in 2023[8]. - The average common shareholders' equity attributable to SiriusPoint common shareholders was $2,116.2 million in Q4 2024, down from $2,182.0 million in Q4 2023[35]. - Common shareholders' equity attributable to SiriusPoint common shareholders increased to $2,494.9 million in September 2024 from $2,313.9 million in December 2023, reflecting a growth of 7.8%[37].

Core Insights - SiriusPoint Ltd. reported a significant improvement in its Core combined ratio, which decreased to 91.0% for the full year 2024, despite increased catastrophe activity [1][6][20] - The company achieved a 21% growth in gross premiums written for the fourth quarter and a 10% growth for the full year in its continuing lines business [1][6] - Underlying return on equity reached 14.6%, at the upper end of the target range of 12-15% set a year ago [2][10] Financial Performance - The Core combined ratio for the fourth quarter was 90.2%, reflecting a 3.2 point improvement year-over-year, with Core underwriting income of $200 million for the full year [6][20] - The company reported a net loss of $21 million for the fourth quarter, influenced by one-off items related to repositioning efforts, while underlying net income for the quarter was $44 million, contributing to a total of $304 million for the year, a 14% increase from the previous year [6][10][12] - Book value per diluted common share increased by 9.4% from December 31, 2023, to $14.60, with a strong balance sheet post-transaction [10][20] Segment Performance - The Reinsurance segment saw gross premiums written increase by 24.0% in the fourth quarter, driven by new business and renewal growth, although underwriting income decreased due to higher catastrophe losses [23][24][27] - The Insurance & Services segment experienced a 3.8% decrease in gross premiums written for the fourth quarter, but segment income improved significantly to $48.4 million, driven by lower attritional losses [29][30][32] Investment Performance - Total net investment income for the year was $289.7 million, primarily from interest income, despite unrealized losses on long-term investments [37][38] - The company shifted its investment strategy to diversify its portfolio, resulting in increased investment income compared to the previous year [37][38] Strategic Outlook - The company views 2024 as the conclusion of its significant reshaping efforts, with a focus now on growth and performance enhancement for 2025 [3][4] - SiriusPoint continues to rationalize its equity stakes in managing general agents, reducing the number from 36 to 20, while increasing the book value of consolidated MGAs [34]

Core Viewpoint - SiriusPoint Ltd. is set to release its fourth quarter and full year 2024 financial results on February 18, 2025, after market close, followed by a conference call on February 19, 2025, at 8:30 am Eastern Time [1]. Company Information - SiriusPoint is a global underwriter of insurance and reinsurance, headquartered in Bermuda, with additional offices in New York, London, and Stockholm [4]. - The company has over $2.7 billion in total capital and holds a financial strength rating of A- (Excellent) from AM Best, S&P, and Fitch, as well as A3 from Moody's [4]. - SiriusPoint offers Property & Casualty and Accident & Health insurance and reinsurance globally, supported by strategic partnerships with Managing General Agents and Program Administrators [4]. Conference Call Details - The conference call can be accessed domestically at 1-877-451-6152 and internationally at 1-201-389-0879, with a replay available until March 5, 2025 [3]. - The live conference call will be available via the Investor Relations section of the company's website, with an online replay immediately following the call [2].

Transaction Details - The company has agreed to repurchase 45.7 million common shares at $14.25 per share and 21 million warrants at $3.56 per warrant [6] - The total purchase price for the repurchase of shares and warrants is $733 million [5] - The payment will be made in two tranches: $250 million today and $483 million by February 28, 2025 [3] Financial Impact - The transaction is expected to be accretive to earnings per share, return on equity, and book value per share [1] - The company's proforma Bermuda Solvency Capital Ratio remains strong at 218% after the payments [8] - As of September 30, 2024, the diluted book value per common share was $14.73, and the 30-day volume-weighted average common share price was $15.16 as of December 27, 2024 [6] Strategic Implications - The transaction positions the company well for the future and is focused on driving further value creation for shareholders [1] - Following the transaction, CM Bermuda will have no remaining ownership interest in the company and will cease to have any representation on the board of directors [3] - The company's financial position, driven by strengthening profitability and performance, has enabled the execution of this transaction [9] Company Overview - The company is a global underwriter of insurance and reinsurance with headquarters in Bermuda and offices in New York, London, and Stockholm [4] - It has licenses to write Property & Casualty and Accident & Health insurance and reinsurance globally [4] - The company has over $3.0 billion in total capital and holds financial strength ratings of A- (Excellent) from AM Best, S&P, and Fitch, and A3 from Moody's [4] Transaction Advisors - BofA Securities, Inc acted as the financial advisor for the transaction [10] - Skadden, Arps, Slate, Meagher & Flom LLP provided legal counsel for the transaction [10]

HAMILTON, Bermuda, Nov. 11, 2024 (GLOBE NEWSWIRE) -- SiriusPoint Ltd. (“SiriusPoint”) (NYSE: SPNT), a global specialty insurer and reinsurer, has today announced changes to its Chief Underwriting Office leadership to support plans for further growth and profitability in 2025. From January 1, 2025, Anthony Shapella will be promoted into the role of Group Chief Underwriting Officer and will join the Executive Leadership Team. David Govrin will now focus entirely on his role as Group President and Chief Execut ...

Financial Data and Key Metrics Changes - SiriusPoint reported a combined ratio of 88.5%, marking a 4-point improvement year-over-year, despite the impact of Hurricane Helene [7][12] - The annualized underlying return on equity (ROE) for the first nine months of 2024 is 14.4%, within the target range of 12% to 15% [8][24] - Headline net income for Q3 was $5 million, while underlying net income was $89 million, reflecting a 69% increase compared to the prior year [23][29] Business Line Data and Key Metrics Changes - The company achieved a 10% year-over-year growth in gross written premiums for continuing lines of business [10][28] - Catastrophe losses for the quarter were $11 million, primarily related to Hurricane Helene, representing 1.9 points on the combined ratio [13][32] - The specialty segment saw gross premiums written increase by 41% year-to-date, driven by key hires and improved offerings [47] Market Data and Key Metrics Changes - The growth in premiums is predominantly from the specialty and property market segments, with double-digit growth noted [10][40] - The reinsurance segment's premiums were flat year-to-date, aligning with the strategy to focus on insurance and services over reinsurance [41] - The company expects the impact of recent hurricanes to moderate pressures on property reinsurance pricing at upcoming renewals [59] Company Strategy and Development Direction - SiriusPoint's strategy emphasizes disciplined underwriting and pricing, aiming to grow in areas with the best return on capital [11][43] - The company has strengthened its MGA distribution strategy, entering into six new partnerships in Q3 [17] - The focus remains on building a low-volatility portfolio, balancing higher volatility lines with stable segments like Accident & Health [58] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in improving underwriting performance and maintaining a strong focus on strategic equity actions to reduce future volatility [25][26] - The company acknowledges the human impact of recent hurricanes and emphasizes its commitment to supporting affected customers [16] - Future expectations include continued growth momentum in core business lines and a stable investment portfolio [60][62] Other Important Information - The company completed the repurchase and retirement of $125 million of CMIG's common stock, impacting net income for the quarter [21][22] - The deconsolidation of the MGA Arcadian had no impact on underwriting relationships or net income available to SiriusPoint [18][32] - The investment portfolio reported net investment income of $78 million for the quarter, contributing to a total investment result of $93 million [20][33] Summary of Q&A Session Question: What is the outlook for the company's growth in the coming quarters? - Management indicated that they expect to build on the strong performance and aim for a 12% to 15% return on average common equity through the cycle [62]