Maiden Holdings Announce Q1 Financial Results

May 13, 2021 | 0 Comments

Maiden Holdings, Ltd. reported first quarter of 2021 net income of $71.7 million or $0.83 per diluted common share, compared to a net income of $20.9 million or $0.25 per diluted common share in the first quarter of 2020.

The company said, “Non-GAAP operating earnings[5] were $47.3 million or $0.55 per diluted common share for the first quarter of 2021, compared to non-GAAP operating earnings of $3.1 million or $0.04 per diluted common share for the same period in 2020.

“Maiden’s book value per common share[1] was $2.29 at March 31, 2021 compared to $1.57 at December 31, 2020. On a non- GAAP basis, adjusted for the unamortized deferred gain on retroactive reinsurance recognized as of March 31, 2021 of $65.1 million, the Company’s adjusted book value per common share[2] was $3.05 at March 31, 2021.”

Commenting on the first quarter of 2021 financial results, Lawrence F. Metz, Maiden’s President and Co-Chief Executive Officer said, “We have begun 2021 in a very positive fashion, as continued operating profitability and active capital management produced a strong first quarter result. Like the fourth quarter, continued favorable loss development trends during the quarter and positive investment results from our evolving alternative investment portfolio resulted in positive operating performance.

“After a successful partial tender offer of our preference shares in the fourth quarter of 2020, the strong increase in book value at March 31, 2021 was primarily the result of the repurchase of $165.4 million in preference shares during the first quarter. We continue to make progress in developing attractive opportunities in our Genesis Legacy Solutions unit and we anticipate our first transactions via Genesis soon.”

Patrick J. Haveron, Maiden’s Co-Chief Executive Officer and Chief Financial Officer added, “We continue to make strides in building common shareholder value through our active capital management strategy which we continue to deploy, and our Board has continued to support with its renewed preference share repurchase authorization. Several of the investments made in 2020 are already producing attractive returns which are benefiting shareholders currently, and the pipeline of actionable investment opportunities continues to be robust.

“We have invested in a diverse range of asset classes so far in 2021 which we believe will produce both current income and gains in future periods and create long-term value for our shareholders. The run-off of our insurance liabilities is consistent with our expectations and the first quarter again produced overall favorable development, further supporting our ability to extend our capital management pillar. As we have previously noted building risk-adjusted investment income and gains to enable Maiden to utilize its potentially significant tax assets is a key objective to creating additional shareholder value.”

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