Business
Oxbridge Re Holdings Limited Reports First Quarter 2020 Results
GRAND CAYMAN, CAYMAN ISLANDS / ACCESSWIRE / May 14, 2020 / Oxbridge Re Holdings Limited (NASDAQ:OXBR), a provider of reinsurance solutions primarily to
About this update from Oxbridge Re Holdings Limited
[{"type":"text","content":"GRAND CAYMAN, CAYMAN ISLANDS / ACCESSWIRE / May 14, 2020 / Oxbridge Re Holdings Limited (NASDAQ:OXBR), a provider of reinsurance solutions primarily to property and casualty insurers, reported performance for the three months ended March 31, 2020.FIRST QUARTER 2020 HIGHLIGHTS:Operating performance not affected by COVID-19 pandemicUnrealized losses on securities due to depressed financial marketsNo underwriting losses incurred in first quarter 2020G&A expenses continue to decline due to cost savings initiativesBook value stands at $1.34 per common shareSidecar investors in Series 2019-1 participating notes on track to earn ~36% return\"Our results in the first quarter were negatively impacted by the unrealized reduction in the value of our equity securities portfolio due to depressed financial markets. However, from an operational and underwriting perspective, we are not exposed to the pandemic, and we are maintaining our focus on growing our core reinsurance business in our target markets,\" said Oxbridge Re Holdings President and Chief Executive Officer Jay Madhu. \"With a solid balance sheet our equity currently translates into a book value per share of $1.34. In addition, our sidecar investors are on track to earn an attractive return of approximately 36%, and we are looking to grow this portion of our business in the new treaty year beginning June 1, 2020. We remain optimistic about the long-term prospects of our reinsurance business as we continue to evaluate additional opportunities for growth as well as diversification of risk.\"Financial Performance For the three months ended March 31, 2020 the Company incurred a net loss of $364,000 or $(0.06) per basic and diluted common share compared with a net loss of $147,000 or $(0.03) per basic and diluted common share in the first quarter of 2019. The increase in net loss in the first quarter of 2020 is primarily due to a reduction in the fair value of equity securities of $326,000 due to depressed markets resulting from the COVID-19 pandemic compared to an increase in value of $51,000 last year.Net premiums earned totaled $264,000 for the three months ended March 31, 2020 compared with no net premiums earned in the prior year's first quarter. The increase is wholly due to the previous acceleration of premium recognition due to full limit losses being incurred on all reinsurance...