Greenlight Capital Re, Ltd. has reported a 98% combined ratio for Q1 2024 compared to 99.8% in Q1 2023, as the firm’s underwriting income increased to $3.4 million from $0.4 million.
The current-year catastrophe losses, including the Baltimore bridge incident, added 7.7% to the firm’s combined ratio during the first quarter of 2024.
Gross premiums written (GWP) rose to $217.3 million in Q1 2024 from $186.5 million a year earlier, with the 16.5% increase attributed to growth in both specialty and casualty lines.
Earned premiums increased by $18.9 million, or 13.2%, to $161.5 million as the growth in premiums written during 2023 continued to earn out, explained the reinsurer.
At the same time, Greenlight Re has reported a 13.2% increase in net premiums earned to $161.5 million for this quarter.
Net income reported for Q1 2024 is $27 million, or $0.78 per diluted ordinary share, compared to $5.9 million, or $0.17 per diluted ordinary share in Q1 2023.
The firm’s total investment income stands at $26.4 million for the quarter compared to $5.2 million in the prior year quarter. The fully diluted book value per share increased $0.65, or 3.9%, to $17.39, from $16.74 at December 31st, 2023. The firm’s investment in the Solasglas fund, managed by DME Advisors, returned 5.2%, representing a net income of $18.2 million.
David Einhorn, Chairman, Board of Directors, said, “The Solasglas fund generated a strong 5.2% return during the first quarter, with contributions from long positions and macro, while the short portfolio broke even. We found a number of promising new long investments during the quarter.”
Greg Richardson, Chief Executive Officer, Greenlight Re, commented, “Greenlight Re again delivered strong earnings during the first quarter of 2024, largely attributable to investment income, and marking our sixth consecutive quarter of underwriting profitability.
“I am pleased with our strategic growth and the underlying profitability of our underwriting portfolio despite the impact of Baltimore’s Francis Scott Key Bridge incident and modest prior year reserve development during the quarter.”
