Third Point Re 2015 Q3: Net Loss $195.7M
Bermuda-based Third Point Reinsurance Ltd. announced results for its third quarter ended September 30, 2015, reporting a net loss of $195.7 million, or $[1.88] per diluted common share, for the third quarter of 2015, compared with a net loss of $6.0 million, or $[0.06] per diluted common share, for the third quarter of 2014.
For the nine months ended September 30, 2015, Third Point Re reported a net loss of $129.6 million, or $[1.25] per diluted common share compared with net income of $65.1 million, or $0.61 per diluted common share, for the nine months ended September 30, 2014.
For the three months ended September 30, 2015, diluted book value per share decreased by $1.67 per share, or 11.8%, to $12.45per share from $14.12 per share as of June 30, 2015. For the nine months ended September 30, 2015, diluted book value per share decreased by $1.10 per share, or 8.1%, to $12.45 per share from $13.55 per share as of December 31, 2014.
“During the third quarter, we were adversely affected by difficult market conditions that resulted in a net investment loss of $193.2 million in the quarter, representing an [8.7]% return in the quarter and a [4.3]% return for the year to date period. Based on our estimated investment return for October of 4.6%, as posted on our website, our investment return for the year through October was 0.1%,” commented John Berger, Chairman and Chief Executive Officer.
“In the third quarter, we generated premiums written of$205.6 million, an increase of 62.6%, bringing our gross premiums for the year to date period to $603.3 million. We completed a$91.6 million adverse development cover in the quarter which was the main driver of the premium increase as well as the largest contributor to growth in investment float which totaled $601.5 million as of September 30, 2015.
“Our underwriting results for the period were as expected, and we believe we are well positioned to take advantage of improvements in investment performance in future periods.”
