Enstar Group Limited · OTC:ESGOF
Enstar — Q2 2024 Earnings Presentation
20 slides from Enstar's earnings presentation, Jul 29, 2024
Slide 1: Investor Financial Supplement June 30, 2024
Enstargroup.com Enstargroup.com Realising Value Investor Financial Supplement June 30, 2024 ENSTAR GROUP LIMITED
Slide 2: Table of Contents
| enstargroup.com 2 Table of Contents Page Explanatory Notes 3 Financial Highlights 5 Consolidated Results by Segment 6 Capital Position & Credit Ratings 10 Non - GAAP Measures 11 Reconciliation to Fully Diluted Book Value per Share 13 Reconciliation to Adjusted Return on Equity 14 Reconciliation to
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, Continental Europe and Australia . A market leader in comp
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 invest men t which may not correspond to management’s view of the underlying economic exposure. For example: 1. Enstar has cer
Slide 5: Financial Highlights: Key Income Metrics
| enstargroup.com 5 Three Months Ended Six Months Ended June 30, 2024 June 30, 2023 June 30, 2024 June 30, 2023 Key Income Metrics Return on Equity (“ROE”) 2.5 % 0.5 % 4.9 % 10.0 % Annualized ROE 9.8 % 19.9 % Adjusted ROE (1) 2.9 % 2.1 % 5.6 % 8.6 % Annualized adjusted ROE (1) 11.2 % 17.2 % Basic ne
Slide 6: Consolidated Results by Segment - Q2 2024
| enstargroup.com 6 Consolidated Results by Segment - Q2 2024 Three Months Ended June 30, 2024 Run - off Investments Corporate and other (1)(2) Total REVENUES Net premiums earned $ 5 $ — $ — $ 5 Net investment income — 155 — 155 Net realized losses — (9) — (9) Fair value changes in trading securitie
Slide 7: Consolidated Results by Segment - Q2 2023
| enstargroup.com 7 Consolidated Results by Segment - Q2 2023 Three Months Ended June 30, 2023 Run - off Investments Corporate and other (1)(2) Total REVENUES Net premiums earned $ 7 $ — $ — $ 7 Net investment income — 172 — 172 Net realized losses — (25) — (25) Fair value changes in trading securit
Slide 8: Consolidated Results by Segment - YTD Q2 2024
| enstargroup.com 8 Consolidated Results by Segment - YTD Q2 2024 Six Months Ended June 30, 2024 Run - off Investments Corporate and other (1)(2) Total REVENUES Net premiums earned $ 16 $ — $ — $ 16 Net investment income — 315 — 315 Net realized losses — (15) — (15) Fair value changes in trading sec
Slide 9: Consolidated Results by Segment - YTD Q2 2023
| enstargroup.com 9 Consolidated Results by Segment - YTD Q2 2023 Six Months Ended June 30, 2023 Run - off Assumed Life (1) Investments Corporate and other (2) Total REVENUES Net premiums earned $ 15 $ — $ — $ — $ 15 Net investment income — — 328 — 328 Net realized losses — — (43) — (43) Fair value
Slide 10: Capital Position & Credit Ratings
| enstargroup.com 10 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 Preferr
Slide 11: Non-GAAP Measures
11 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 securitie
Slide 12: Non-GAAP Measures (continued)
| enstargroup.com 12 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 los
Slide 13: Reconciliation to Fully Diluted Book Value Per Share
| enstargroup.com 13 Reconciliation to Fully Diluted Book Value Per Share As of June 30, 2024 December 31, 2023 Equity (1) Ordinary Shares Per Share Amount Equity (1) Ordinary Shares Per Share Amount Book value per ordinary share $ 5,261 14,665,281 $ 358.74 $ 5,025 14,631,055 $ 343.45 Non - GAAP adj
Slide 14: Reconciliation to Adjusted Return on Equity - QTD Q2 24 and 2023
| enstargroup.com 14 Reconciliation to Adjusted Return on Equity - QTD Q2 2024 and 2023 ( 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 calc
Slide 15: Reconciliation to Adjusted Return on Equity - YTD Q2 24 and 2023
| enstargroup.com 15 Reconciliation to Adjusted Return on Equity - YTD Q2 2024 and 2023 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 calcul
Slide 16: Reconciliation to Adjusted Run-off Liability Earnings - QTD Q2 2024 and 2023
| enstargroup.com 16 Reconciliation to Adjusted Run - off Liability Earnings - QTD Q2 2024 and 2023 Three Months Ended As of Three Months Ended June 30, 2024 June 30, 2024 March 31, 2024 June 30, 2024 June 30, 2024 RLE / PPD Net loss reserves Net loss reserves Average net loss reserves RLE % PPD/net
Slide 17: Reconciliation to Adjusted Run-off Liability Earnings - YTD Q2 2024 and 2023
| enstargroup.com 17 Reconciliation to Adjusted Run - off Liability Earnings - YTD Q2 2024 and 2023 Six Months Ended As of Six Months Ended June 30, 2023 June 30, 2023 December 31, 2022 June 30, 2023 June 30, 2023 RLE / PPD Net loss reserves Net loss reserves Average net loss reserves RLE % PPD/net
Slide 18: Reconciliation to Adjusted Total Investment Return
| enstargroup.com 18 Reconciliation to Adjusted Total Investment Return Three Months Ended June 30, Six Months Ended June 30, 2024 2023 2024 2023 Net investment income $ 155 $ 172 $ 315 $ 328 Net realized losses (9) (25) (15) (43) Fair value changes in trading securities, funds held and other invest
Slide 19: Investment Composition - June 30, 2024
| enstargroup.com 19 Investment Composition - June 30, 2024 Other Investments Equities Cash (2) Funds Held Short - term and fixed maturities, trading and AFS June 30, 2024 Hedge Funds Fixed income funds Equity funds Private equity funds CLO equities CLO equity funds Private credit funds Real estate
Slide 20: Investment Composition - December 31, 2023
| enstargroup.com 20 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 he