Enstar Group Limited · OTC:ESGOF
Enstar — Q4 2024 Earnings Presentation
26 slides from Enstar's earnings presentation, Feb 27, 2025
Slide 1: Investor Financial Supplement December 31, 2024
Enstargroup.com Enstargroup.com Realising Value Investor Financial Supplement December 31, 2024 ENSTAR GROUP LIMITED
Slide 2: Table of Contents
| enstargroup.com 2 Table of Contents Page Explanatory Notes 3 Financial Highlights 5 Book Value Per Share & Return On Equity 7 Consolidated Results by Segment 8 Ultimate Losses % Acquired Losses by Acquisition Year 12 Adjusted Ultimate Losses % Acquired Losses 13 Capital Position & Credit Ratings 1
Slide 3: Explanatory Notes
| enstargroup.com 3 Explanatory Notes About Enstar Enstar is a NASDAQ-listed leading global (re)insurance group that offers capital release solutions through its network of group companies in Bermuda, the United States, the United Kingdom, Australia, Liechtenstein and Belgium. A market leader in com
Slide 4: Explanatory Notes (continued)
4 Explanatory Notes (continued) Investment Composition In certain instances, U.S. GAAP requires, in part, that invested assets be classified based upon the legal form of the investment which may not correspond to management’s view of the underlying economic exposure. For example: 1. Enstar has certa
Slide 5: Financial Highlights
| enstargroup.com 5 Three Months Ended Year Ended December 31, 2024 December 31, 2023 December 31, 2024 December 31, 2023 Key Income Metrics Return on Equity (“ROE”) 2.7 % 13.7 % 10.7 % 24.2 % Adjusted ROE (1) 4.5 % 9.0 % 12.7 % 18.8 % Basic net earnings per share $ 10.02 $ 40.14 $ 36.83 $ 69.22 Dil
Slide 6: Financial Highlights - Five Years
| enstargroup.com 6 Year ended December 31, 2024 December 31, 2023 December 31, 2022 December 31, 2021 December 31,2020 Key Income Metrics Return on equity 10.7 % 24.2 % (15.6) % 7.9 % 38.4 % Adjusted return on equity (1) 12.7 % 18.8 % (1.1) % 10.1 % 41.9 % Key Run-off Metrics Average net loss reser
Slide 7: Book Value Per Share & Return on Equity - Five Years
| enstargroup.com 7 Book Value Per Share & Return on Equity - Five Years Growth in Book Value Per Ordinary Share and Fully Diluted Book Value Per Ordinary Share* Annual % Change $293.97 $329.20 $262.24 $343.45 $380.29 $288.56 $323.43 $258.92 $336.72 $368.47 Book Value Per Ordinary Share Fully Dilute
Slide 8: Consolidated Results by Segment - Q4 2024
| enstargroup.com 8 Consolidated Results by Segment - Q4 2024 Three Months Ended December 31, 2024 Run-off Investments Corporate and Other (1) Total REVENUES Net premiums earned $ 13 $ — $ — $ 13 Net investment income — 173 — 173 Net realized losses — (11) — (11) Fair value changes in trading securi
Slide 9: Consolidated Results by Segment - Q4 2023
| enstargroup.com 9 Consolidated Results by Segment - Q4 2023 Three Months Ended December 31, 2023 Run-off Former Assumed Life Investments Corporate and Other (1) Total REVENUES Net premiums earned $ 14 $ — $ — $ — $ 14 Net investment income — — 176 — 176 Net realized losses — — (10) — (10) Fair val
Slide 10: Consolidated Results by Segment - YTD Q4 2024
| enstargroup.com 10 Consolidated Results by Segment - YTD Q4 2024 Year Ended December 31, 2024 Run-off Investments Corporate and Other (1) Total REVENUES Net premiums earned $ 40 $ — $ — $ 40 Net investment income — 651 — 651 Net realized losses — (9) — (9) Fair value changes in trading securities,
Slide 11: Consolidated Results by Segment - YTD Q4 2023
| enstargroup.com 11 Consolidated Results by Segment - YTD Q4 2023 Year Ended December 31, 2023 Run-off Former Assumed Life (1) Investments Corporate and Other (1) Total REVENUES Net premiums earned $ 43 $ — $ — $ — $ 43 Net investment income — — 647 — 647 Net realized losses — — (65) — (65) Fair va
Slide 12: Ultimate Losses % Acquired Losses by Acquisition Year
| enstargroup.com 12 Ultimate Losses % Acquired Losses by Acquisition Year Ultimate Losses for the Years Ended December 31, Assumed and Acquired net losses and LAE Acquisition Year Third Party Related Party and Transfers Between Acquisition Years Total 2015 2016 2017 2018 2019 2020 2021 2022 2023 20
Slide 13: Adjusted Ultimate Losses % Acquired Losses
| enstargroup.com 13 Adjusted Ultimate Losses % Acquired Losses* Adjusted Assumed and Acquired net losses and LAE* Adjusted Ultimate Losses* for the Years Ended December 31, (1) Acquisition Year Third Party Related Party and Transfers Between Acquisition Years Total 2015 2016 2017 2018 2019 2020 202
Slide 14: Capital Position & Credit Ratings
| enstargroup.com 14 Capital Position & Credit Ratings Credit ratings (1) Standard and Poor’s Fitch Ratings Long-term issuer BBB+ (Outlook: Stable) BBB+ (Outlook: Stable) 2029 Senior Notes BBB+ BBB 2031 Senior Notes BBB BBB 2040 and 2042 Junior Subordinated Notes BBB- BBB- Series D and E Preferred S
Slide 15: Non-GAAP Measures
15 Non-GAAP Measures Non-GAAP Measure Definition Purpose of Non-GAAP Measure over GAAP Measure Fully diluted book value per ordinary share Total Enstar ordinary shareholders' equity Divided by Number of ordinary shares outstanding, adjusted for: -the ultimate effect of any dilutive securities (which
Slide 16: Non-GAAP Measures (continued)
| enstargroup.com 16 Non-GAAP Measures (continued) Non-GAAP Measure Definition Purpose of Non-GAAP Measure over GAAP Measure Adjusted run-off liability earnings (%) Adjusted PPD divided by average adjusted net loss reserves. Calculating the RLE as a percentage of our adjusted average net loss reserv
Slide 17: Reconciliation to Fully Diluted Book Value Per Share
| enstargroup.com 17 Reconciliation to Fully Diluted Book Value Per Share For the Year Ended December 31, 2024 2023 2022 Equity (1) Ordinary Shares Per Share Amount Equity (1) Ordinary Shares Per Share Amount Equity (1) Ordinary Shares Per Share Amount (in millions of U.S. dollars, except share and
Slide 18: Reconciliation to Adjusted Return on Equity - QTD Q4 2024 and 2023
| enstargroup.com 18 Reconciliation to Adjusted Return on Equity - QTD Q4 2024 and 2023 (1) Net (loss) earnings comprises net (loss) earnings attributable to Enstar ordinary shareholders, prior to any non-GAAP adjustments. Opening equity comprises Enstar ordinary shareholders' equity, which is calcu
Slide 19: Reconciliation to Adjusted Return on Equity - 2024, 2023 and 2022
| enstargroup.com 19 Reconciliation to Adjusted Return on Equity - 2024, 2023 and 2022 1) Net income (loss) comprises net income (loss) attributable to Enstar ordinary shareholders, prior to any non-GAAP adjustments. Opening equity comprises Enstar ordinary shareholders' equity, which is calculated
Slide 20: Reconciliation to Adjusted Return on Equity - 2021 and 2020
| enstargroup.com 20 Reconciliation to Adjusted Return on Equity - 2021 and 2020 Year Ended December 31, 2021 December 31, 2020 Net income (loss) (1) Opening Equity (1) (Adj) ROE Net income (loss) (1) Opening Equity (1) (Adj) ROE (in millions of U.S. dollars) Net income/Opening equity/ROE (1) $ 502
Slide 21: Reconciliation to Adjusted Run-off Liability Earnings - 2024 and 2023
| enstargroup.com 21 Reconciliation to Adjusted Run-off Liability Earnings - 2024 and 2023 Year Ended As of Year Ended December 31, 2023 December 31, 2023 December 31, 2022 December 31, 2023 December 31, 2023 RLE / PPD Net loss reserves Net loss reserves Average net loss reserves RLE % PPD/net loss
Slide 22: Reconciliation to Adjusted Run-off Liability Earnings - 2022 and 2021
| enstargroup.com 22 Reconciliation to Adjusted Run-off Liability Earnings - 2022 and 2021 Year Ended As of Year Ended December 31, 2022 December 31, 2022 December 31, 2021 December 31, 2022 December 31, 2022 RLE / PPD Net loss reserves Net loss reserves Average net loss reserves Annualized RLE % (i
Slide 23: Reconciliation to Adjusted Run-off Liability Earnings - 2020
| enstargroup.com 23 Reconciliation to Adjusted Run-off Liability Earnings - 2020 Year Ended As of Year Ended December 31, 2020 December 31, 2020 December 31, 2019 December 31, 2020 December 31, 2020 RLE / PPD Net loss reserves Net loss reserves Average net loss reserves RLE % (in millions of U.S. d
Slide 24: Reconciliation to Adjusted Total Investment Return
| enstargroup.com 24 Reconciliation to Adjusted Total Investment Return Three Months Ended December 31, Year Ended December 31, 2024 2023 2024 2023 2022 2021 2020 Net investment income $ 173 $ 176 $ 651 $ 647 $ 455 $ 312 $ 303 Net realized gains (losses) (11) (10) (9) (65) (111) (61) 19 Fair value c
Slide 25: Investment Composition - December 31, 2024
| enstargroup.com 25 Investment Composition - December 31, 2024 Other Investments Equities Cash (2) Funds Held Short-term and fixed maturities, trading and AFS December 31, 2024 Hedge Funds Fixed income funds Equity funds Private equity funds CLO equities CLO equity funds Private credit funds Real e
Slide 26: Investment Composition - December 31, 2023
| enstargroup.com 26 Investment Composition - December 31, 2023 Other Investments Equities December 31, 2023 Hedge Funds Fixed income funds Private equity funds CLO equities CLO equity funds Private credit funds Real estate fund Other(1) Publicly traded equities Exchange- traded funds Privately held