Fidelis Insurance (US:FIHL)2025-05-15 20:14Financial Performance - Gross premiums written increased to $1,722.9 million for the three months ended March 31, 2025, up from $1,514.3 million in the same period of 2024, representing a growth of 13.8%[7] - Net premiums earned rose to $603.0 million, compared to $488.0 million in the prior year, reflecting a year-over-year increase of 23.5%[7] - Total revenues for the quarter reached $658.4 million, a significant increase of 26.6% from $520.0 million in Q1 2024[7] - The company reported a net loss of $42.5 million for the three months ended March 31, 2025, compared to a net income of $81.2 million in the same period of 2024[7] - Earnings per common share for Q1 2025 was $(0.38), compared to $0.69 in Q1 2024, indicating a significant decline in profitability[7] - Comprehensive loss for the quarter was $25.0 million, compared to a comprehensive income of $81.0 million in the prior year[8] Assets and Liabilities - Total assets as of March 31, 2025, amounted to $12,771.6 million, up from $11,765.9 million at the end of 2024, indicating a growth of 8.5%[5] - Total liabilities increased to $10,380.2 million, compared to $9,317.5 million at the end of 2024, marking an increase of 11.4%[5] - The company’s cash and cash equivalents stood at $733.4 million as of March 31, 2025, slightly down from $743.0 million at the end of 2024[5] - Cash, restricted cash, and cash equivalents at the end of the period totaled $927.7 million, slightly down from $892.2 million a year earlier[13] Losses and Expenses - Losses and loss adjustment expenses surged to $429.2 million, up from $182.3 million in Q1 2024, reflecting an increase of 135.5%[7] - The underwriting loss for the three months ended March 31, 2025, was $94.5 million, a significant decline from an underwriting income of $69.2 million in 2024, representing a change of $163.7 million[133] - The loss ratio for the insurance segment was 55.0%, while the reinsurance segment had a loss ratio of 162.2%[29] - The combined ratio for the Group was 115.6%, indicating a challenging underwriting environment[29] Investment Performance - The Group's net investment income for the three months ended March 31, 2025, was $49.5 million, an increase of 20.7% from $41.0 million in the same period in 2024[43] - The total realized and unrealized investment gains and net investment income for the three months ended March 31, 2025, was $55.4 million, compared to $32.0 million in the prior year, reflecting a significant increase[43] - The net investment return for the three months ended March 31, 2025, was $55.4 million, an increase of $23.4 million compared to the prior year[149] Shareholder Actions - During Q1 2025, the company repurchased 1,438,278 common shares at a total cost of $22.1 million, with a weighted average price of $15.37 per share[119] - The unutilized amount of the share repurchase authorization at March 31, 2025, was $122.5 million[104] - The company declared cash dividends of $11.2 million, a slight decrease from $11.8 million in the same quarter of 2024[13] Reinsurance and Premiums - Gross premiums written in the Insurance segment increased to $1,267.0 million in Q1 2025, up from $1,186.8 million in Q1 2024, a growth of 6.8%[136] - The Reinsurance segment's gross premiums written increased by $128.4 million to $455.9 million for the three months ended March 31, 2025, primarily due to reinstatement premiums related to California wildfires[142] - Net premiums written in the Reinsurance segment rose by $119.4 million to $217.5 million for the same period[142] Capital and Debt - The company reported total capital of $2.9 billion as of March 31, 2025, with a debt-to-total capital ratio of 17.5%[162] - The Group's total debt, including Senior Notes and Junior Notes, was $455.0 million as of March 31, 2025[84] Other Financial Metrics - The annualized operating return on average equity (ROAE) was (7.6)% in Q1 2025, compared to 14.0% in Q1 2024[119] - The effective tax rate for Q1 2025 was (15.5)%, compared to 14.6% in Q1 2024, resulting in an income tax benefit of $(7.8) million[105]