Hamilton Insurance Reports 2024 Q3 Results
Hamilton Insurance Group reported Q3 2024 net income of $78.3 million, a combined ratio of 93.6%, and a 16.7% increase in premiums, despite hurricane-related losses.
A spokesperson said, “Hamilton Insurance Group, Ltd. today announced financial results for the third quarter ended September 30, 2024.”
Commenting on the results, Pina Albo, CEO of Hamilton, said, “Just over a year ago we launched the initial public offering for Hamilton, marking our transition from private company to the New York Stock Exchange listed firm we are today. At the time of our IPO, we re-affirmed the achievement of sustainable underwriting profitability as one of our key objectives.
“Our strong results this quarter and on a year to date basis demonstrate our ability to execute this important goal. This quarter, Hamilton reported a combined ratio of 93.6%, despite catastrophe losses from Hurricane Helene and other large loss events. Both of our segments, International and Bermuda, produced profitable underwriting results. On a year to date basis, Hamilton recorded a combined ratio of 89.9% and an annualized return on average equity of 22.4%, demonstrating our underwriting discipline and the value of our diversified and growing franchise.”
Consolidated Highlights – Third Quarter
- Net income of $78.3 million, or $0.74 per diluted share;
- Annualized return on average equity of 13.8%;
- Gross premiums written of $553.4 million, an increase of 16.7% compared to the third quarter of 2023;
- Net premiums earned of $448.8 million, an increase of 33.2% compared to the third quarter of 2023;
- Combined ratio of 93.6%;
- Underwriting income of $29.1 million;
- Net investment income of $82.8 million, comprised of fixed income, short term, cash and cash equivalent returns of $93.9 million and a Two Sigma Hamilton Fund loss of $11.1 million; and
- Corporate expenses of $14.1 million, which includes $1.9 million of compensation costs related to the Value Appreciation Pool.
Consolidated Highlights – Year to Date
- Net income of $366.5 million;
- Annualized return on average equity of 22.4%;
- Gross premiums written of $1.9 billion, an increase of 23.8% compared to the same period in 2023;
- Net premiums earned of $1.3 billion, an increase of 31.5% compared to the same period in 2023;
- Combined ratio of 89.9%;
- Underwriting income of $126.9 million;
- Net investment income of $326.3 million, comprised of Two Sigma Hamilton Fund returns of $207.5 million, and fixed income, short term and cash and cash equivalents returns of $118.8 million;
- Corporate expenses of $41.8 million, which includes $7.5 million of compensation costs related to the Value Appreciation Pool; and
- Book value per share of $22.82, an increase of 22.8% compared to December 31, 2023.
Hurricane Milton
- The Company estimates that losses from Hurricane Milton, net of reinsurance, will be in the range of $30 million to $70 million. The estimated losses for this event will be reported in the Company’s fourth quarter 2024 financial results.
