American Coastal Insurance Corporation · NASDAQ:ACIC
American Coastal Insurance — Q3 2023 Earnings Presentation
10 slides from American Coastal Insurance's earnings presentation, Nov 13, 2023
Slide 1: Earnings Presentation 3rd Quarter 2023
Earnings Presentation 3rd Quarter 2023 November 13th, 2023
Slide 2: Company Overview
Company Overview ACIC is a specialty underwriter of catastrophe exposed property insurance. American Coastal Insurance Corp. (Nasdaq: ACIC) is the insurance ACIC as of September 30, 2023 holding company for two P&C carriers: American Coastal Total Assets: $1.15 billion Insurance Company (AmCoastal)
Slide 3: Executive Summary
Executive Summary • Q3-23 Results • Non-GAAP Core Income of $14.9m ($0.34) increased $32.9m (+182%) from a core loss of -$18.1m (-$0.42) y/y on higher gross premiums earned combined with lower catastrophe losses and operating expenses. • Net income from continuing operations of $14.4m ($0.33) improv
Slide 4: 3Q-23 Summary Results
3Q-23 Summary Results Core earnings improved significantly y/y driven by exceptional loss results and lower expenses. $ in thousands, except per share amounts Q3-23 Q3-22 ¹ Change 2023 2022 ¹ Change Net income (loss) $ 10,568 $ (70,884) n/m $ 295,627 $ (173,085) n/m per diluted share (EPS) $ 0.24 $
Slide 5: 3Q-23 Detailed Results
3Q-23 Detailed Results Gross premiums grew +20%, but more premium were ceded driven by our 40% quota share. $ in millions Q3-23 Q3-22 ¹ Change % Chg Gross Premiums Earned $ 165.8 $ 138.4 27.4 19.8% Ceded Premiums Earned (110.0) (68.1) (41.9) 61.5% Net Premiums Earned 55.8 70.3 (14.5) -20.6% Investme
Slide 6: 3Q-23 Segment Results
3Q-23 Segment Results Commercial residential continues to hit on all cylinders and rate action on personal lines is being taken. Three Months Ended Sep 30, 2023 Nine Months Ended Sep 30, 2023 $ in millions CL PL Other Total CL PL Other Total Gross Premiums Earned $ 157.8 $ 8.0 $ - $ 165.8 $ 435.6 $
Slide 7: Balance Sheet Highlights
Balance Sheet Highlights Sep. 30, Jun. 30, ($ in thousands, except per share amounts) 2023 2023 % Variance Selected Balance Sheet Data Cash & investments $ 286,944 $ 241,714 18.7% Unpaid loss & LAE reserves $ 443,406 $ 534,676 -17.1% With capitalization and Financial debt $ 148,604 $ 148,521 0.1% le
Slide 8: Premium & Exposure Trends
Premium & Exposure Trends Rate relative to risk continues to improve setting the stage for Premium & TIV growth in future periods. Commercial Lines Premium & Total Insured Value (TIV) In-force +36% Reward Risk -14% 8
Slide 9: Terms & Conditions Also Improving
Terms & Conditions Also Improving Higher wind and AOP deductibles along with valuation increases are mitigating underwriting risk. Named Windstorm % Deductibles Insurance-to-Value (ITV) Trends 6% All Other Perils (AOP) $ Deductibles $30k 9
Slide 10: Cautionary Statements
Cautionary Statements This presentation contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. These forward looking statements include expectations regarding our diversification, growth opportunities, retention rates, liquidity, investment
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