Lancashire Holdings Limited · LSE:LRE
Lancashire — Q3 2023 Earnings Presentation
17 slides from Lancashire's earnings presentation, Nov 9, 2023
Slide 1: Investor Presentation: Q3 2023 Trading Statement
Investor Presentation: Q3 2023 Trading Statement I lancashiregroup.com 1
Slide 2: Safe harbour statements
Safe harbour statements NOTE REGARDING FORWARD-LOOKING STATEMENTS: CERTAIN STATEMENTS AND INDICATIVE PROJECTIONS (WHICH MAY INCLUDE MODELLED LOSS SCENARIOS) MADE IN THIS PRESENTATION OR OTHERWISE THAT ARE NOT BASED ON CURRENT OR HISTORICAL FACTS ARE FORWARD-LOOKING IN NATURE INCLUDING, WITHOUT LIMIT
Slide 3: Contents
Contents Q3 update Financials Outlook Appendix Q3 2023 Trading Statement I lancashiregroup.com 3
Slide 4: Q3 update
Q3 update Q3 2023 Trading Statement I lancashiregroup.com 4
Slide 5: Q3 2023 highlights
Q3 2023 highlights Special dividend and buy-back while continuing to take advantage of market conditions • Gross premiums written increased by 23.2% year-on-year to $1.6 billion. We have continued to • IFRS 17 Insurance revenue increased by 22.1% year-on-year to $1.1 billion. successfully implement
Slide 6: Continuing to deliver on our strategy
Continuing to deliver on our strategy Gross premiums written ($m) and cumulative RPI (%) for the first nine months: 2019 to 2023 1,800.0 160% 1,600.0 150% 1,400.0 1,200.0 140% • Gross premiums written increased by 23.2% 1,000.0 year-on-year to $1.6 billion in the first nine 130% months of 2023. 800.
Slide 7: Strong premium growth in Q3 2023: Reinsurance segment
Strong premium growth in Q3 2023: Reinsurance segment Gross premiums written ($m) and cumulative RPI (%) for the first nine months: 2019 to 2023 Reinsurance segment 900.0 170% • Build out of casualty reinsurance 800.0 160% lines the most significant 700.0 contributor to growth. 150% 600.0 • Specialt
Slide 8: Strong premium growth in Q3 2023: Insurance segment
Strong premium growth in Q3 2023: Insurance segment Gross premiums written ($m) and cumulative RPI (%) for the first nine months: 2019 to 2023 Insurance segment 800.0 150% • Growth primarily driven by property 145% with significant rate increases in 700.0 140% property D&F and build out of 600.0 135
Slide 9: Financials
Financials Q3 2023 Trading Statement I lancashiregroup.com 9
Slide 10: Financial update
Financial update • IFRS 17 insurance revenue increased by $200.9 million or 22.1% in the period compared to the same period in 2022. • Natural catastrophe loss activity in the first nine months of 2023 included U.S. wind and convective storms, the Hawaiian wildfires, the Turkey earthquake, hurricane
Slide 11: Investments: conservative portfolio structure – quality focus
Investments: conservative portfolio structure – quality focus Asset Allocation Credit Quality total investment portfolio and managed cash fixed maturities and managed cash Private investment Other government funds bonds and debt 4% 3% Hedge Funds AA, 37% 4% A, 24% US government bonds and agency debt
Slide 12: Outlook
Outlook Q3 2023 Trading Statement I lancashiregroup.com 12
Slide 13: Outlook: continued momentum
Outlook: continued momentum • We see strong opportunities into 2024. We will continue to grow while the opportunity persists in an attractive rating environment. • We remain strongly capitalised to deliver on our long-term strategy. We continue to navigate the insurance cycle and manage the business
Slide 14: Appendix
Appendix Q3 2023 Trading Statement I lancashiregroup.com 14
Slide 15: Our ESG themes and progress
Our ESG themes and progress • ESG Insurance underwriting guidelines implemented by reference to Lloyd’s ESG Sustainable Responsible • 95.5% of the Group’s principal investment underwriting guidelines. insurance investment managers are signatories to the UN Principles • We underwrite renewable energy
Slide 16: ESG in action
ESG in action Project Transform 2023 • Since the first donation in 2007, the Foundation has given In November 2023 staff will be taking more than $22 million to charitable organisations across an part in Project Transform. ever increasing range of causes. Donations in 2023 to date This initiative ex
Slide 17: For more information
For more information Investor Relations Media Jelena Bjelanovic FTI Consulting Peter Krinks Lancashire Holdings Limited 200 Aldersgate, Lancashire Holdings Limited 20 Fenchurch Street, Aldersgate Street, 20 Fenchurch Street, London, EC3M 3BY London, EC1A 4HD London, EC3M 3BY E Tom.Blackwell@fticonsu