SiriusPoint’s Q3’25 underwriting income rises 11% on lower cat losses

Core Insights - SiriusPoint Ltd. reported a core underwriting income of $69.6 million in Q3 2025, reflecting an 11.4% increase from $62.5 million in Q3 2024, driven by growth in Insurance & Services income despite a slight decline in Reinsurance underwriting income [1][11] - The overall income for Q3 2025 was $79.7 million, up from $69.5 million in Q3 2024, with a combined ratio of 89.1%, slightly higher than 88.5% a year earlier [3][11] - The company achieved a strong operating return on equity of 17.9% for the quarter, exceeding the target range of 12-15% [10] Financial Performance - Gross premiums written (GPW) increased by 26.2% to $871.6 million from $690.5 million, while net premiums earned rose 17.8% to $643.5 million from $546.3 million, primarily due to growth in the Insurance & Services segment [5][11] - Net investment income decreased to $66.5 million from $77.7 million, with total investment results at $72.7 million, down from $92.5 million, attributed to a smaller asset base following capital transactions [6] - The reinsurance segment reported gross written premiums of $309.6 million, down 1.6% from $314.5 million, with underwriting income decreasing to $31.9 million from $41.6 million [6][7] Segment Analysis - Within the Insurance & Services segment, gross premiums written were $562 million, a significant increase of 49.5% from $376 million, with underwriting income rising to $37.7 million [7][8] - The net services income for the segment increased to $10.1 million from $7 million, indicating strong performance in service offerings [8] - The company noted a limited impact from catastrophes in the quarter, with losses incurred significantly lower than the previous year [4] Strategic Outlook - The CEO highlighted the successful quarter, emphasizing strong underwriting performance and targeted growth, alongside the announcement of two MGA disposals expected to unlock significant shareholder value [9][12] - The anticipated sale of the MGA investments is projected to increase shareholder value by approximately $1.75 per share, which is not yet reflected in the book value [12] - The company aims to build on the progress made, with a focus on maintaining momentum in growth and profitability [12]