American Coastal Insurance Corporation · NASDAQ:ACIC
American Coastal Insurance — United Insurance Holdings — Q1 2019 Earnings Presentation
11 slides from American Coastal Insurance's earnings presentation, May 7, 2019
Slide 1: Investor Presentation First Quarter 2019 Results
Investor Presentation First Quarter 2019 Results May 7, 2019
Slide 2: Q1 2019 Financial Highlights
Q1 2019 Financial Highlights 3.31.19 3.31.18 Total Assets $2.22 b $2.06b BVPS $12.52 $12.52 Gross Written Premium $318.6 m $279.6m Net Income $9.5 m $ 8.4m Core Income $3.2 m $ 17.0m Core ROAE (annualized) 2.4% 13.2% Combined Ratio 103.8% 102.1% Underlying Combined Ratio 94.1% 92.4% 2
Slide 3: Q1-19 Executive Summary
Q1-19 Executive Summary I. REVENUE HIGHLIGHTS • Gross Premiums Written of $318.6m were up $38.9m (+14%) y/y • Personal Property was 66.1% and Commercial 33.9% • Growth driven by Florida ($17.6m or +11.2%) & the NE region ($6.9m or +19.7%) • Gross Premiums Earned of $311.8m increased $32.9m (+12%) y/
Slide 4: Strong Organic Growth Continues
Strong Organic Growth Continues All Regions and Lines Continue to Take Market Share Personal Lines +15% $120,000 +13% +19% $100,000 $80,000 $60,000 +6% +20% $40,000 +9% $20,000 $0 Florida Gulf Northeast Southeast Commercial 1Q19 1Q18 4
Slide 5: Growth & Profit Improvement Initiatives Underway
Growth & Profit Improvement Initiatives Underway I. Journey Insurance Company (JIC) New AM Best A- rated carrier focused on meeting security requirements that will enable us to access: New distribution channels for personal lines New product and market segments for commercial lines JIC wrote
Slide 6: Q1-2019 vs. Prior Year Bottom Line Variances Driven By Higher Loss Costs
Q1-2019 vs. Prior Year Bottom Line Variances Driven By Higher Loss Costs $ in millions Q1-19 PY PY Var Gross Premiums Earned $ 311.8 $ 279.0 $ 32.9 Ceded Premiums Earned (131.1) (116.3) (14.8) Net Premiums Earned 180.7 162.7 18.0 Investment & Other Income 21.6 17.5 4.1 Total Revenue 202.3 180.1 22.2
Slide 7: 2019 1st Quarter Analysis
2019 1st Quarter Analysis $ in millions 1Q-2019 1Q-2018 Change Gross premiums written $ 318.6 $ 279.6 13.9% Solid y/y revenue growth Net Income $ 9.5 $ 8.4 13.1% 2019 aided by unrealized equity gains Realized (gains) losses (0.2) (0.2) Unrealized (gains) losses on equities (10.2) 2.4 Non-operating i
Slide 8: Reinsurance Update
Reinsurance Update I. Accomplishments: Renewed catastrophe aggregate with increased limit and retention Secured $400m of catastrophe limit in loss effected layers renewing 6/1/19 Renewed $85m xs. $15m non-hurricane catastrophe program Extended quota share and negotiated improved terms effect
Slide 9: Core CAT Reinsurance Renewal Roadmap
Core CAT Reinsurance Renewal Roadmap Open Market Capacity Needs Are Down 50% From Prior Year 2018 2019 Change Limit Needed $ 3,198,991,711 $ 3,232,313,892 $ 33,322,181 Less: FHCF $ 907,200,000 $ 1,488,959,469 $ 581,759,469 Less: Quota Share CAT $ 20,000,000 $ 150,000,000 $ 130,000,000 Less: Placed a
Slide 10: UPCZ Insurance - Keep the Promises
UPCZ® INSURANCE Keep the Promises
Slide 11: 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
United Insurance Holdings — Q1 2019 Earnings Presentation on 6ix