Slide 1: Investor Presentation – Second Quarter 2021
Investor Presentation – Second Quarter 2021 August 2021 Financial Information for the three and six months ended June 30, 2021
Slide 2: Disclaimers
Disclaimers LIMITATIONS ON THE USE OF INFORMATION This presentation has been prepared by Tiptree Inc. and its consolidated subsidiaries (“Tiptree", "the Company" or "we”) solely for informational purposes, and not for the purpose of updating any information or forecast with respect to Tiptree, its s
Slide 3: Year-to-Date Highlights
Year-to-Date Highlights ($ in millions, except per share information) Overall Revenue Adjusted net income2 of $26.3 million, with a 13.5% adj ROAE2, driven by improvement in insurance, mortgage and $594.4 million shipping operations. 80.7% vs. prior year Book value per share of $11.59, when comb
Slide 4: Financial Results
Financial Results ($ in millions, except per share information) Q2’20 Q2’21 Key Highlights – Q2’21 Q2’20 Q2'21 YTD YTD Total Revenues $199.2 $299.7 $328.9 $594.4 Revenues up 45%, excluding the impact of investment gains/losses, and net income improved by $4.2mm to $8.0mm Net income (loss) $3.8 $8.0
Slide 5: Operating Performance
Operating Performance ($ in millions) Q2’21 Capital Allocation & Annual Performance Comparison Q2’21 Last Twelve Month Highlights Stockholders’ Adjusted net income of $60.3mm, up 67.8% from Q2’20 Equity1 Adjusted Net Income2 Q2’20 Q2’21 • Adjusted return on average equity of 16.0%1 Q2’21 Business Li
Slide 6: Q2'21 Insurance Performance Highlights
Q2’21 Insurance Performance Highlights
Slide 7: Fortegra – Financial Performance Highlights
Fortegra – Financial Performance Highlights ($ in millions) Summary Financials1 Q2’21 Highlights & Outlook Q2’20 Q2'21 Q2’20 Q2’21 YTD YTD 1 Continued growth through insurance and warranty program expansion Premiums & equivalents2 $318.9 $571.5 $711.4 $1,076.5 and onboarding new agents, with a focus
Slide 8: Robust growth trajectory while maintaining underwriting profitability
Robust growth trajectory while maintaining underwriting profitability ($ in millions) Gross Written Premiums & Equivalents Underwriting & Fee Revenues and Margin1 U.S. Insurance U.S. Warranty Solutions U/W & Fee Revenues U/W & Fee Margin Europe Warranty Solutions $1,076 40 $711 334 $573 22 23 250 $4
Slide 9: Insurance & Fee Revenue Mix Supports Consistent & Sustainable Growth
Insurance & Fee Revenue Mix Supports Consistent & Sustainable Growth Key Highlights Line of Business Diversified product mix with emphasis on small premium-per- U.S. Insurance risk ecosystems & minimal catastrophic exposure 65% U.S. Warranty Solutions 31% Products & services distributed through inde
Slide 10: Continue to Execute Growth Plan
Continue to Execute Growth Plan A Maintain & Expand Existing Programs B New & Renewal Programs Addressable Fortegra LTM Market GWPPE ◼ $1.4Bn UEP & Deferred Revenue ◼ ~95% persistency with insurance agents ◼ Excess & Surplus Insurance $56bn¹ $62mm ◼ Recent acquisitions to accelerate growth — Fortegr
Slide 11: Insurance Investment Portfolio
Insurance Investment Portfolio ($ in millions) Q2’21 Investment Mix Other investments $815 Fixed Income & Cash Other Alternatives Cash & Equivalents 15% 10% 191 Equities $598 9% 124 $815mm Government & Agency Muni & ABS 28% 11% 623 Fixed Income ETFs 474 12% Corporate Bonds 15% Liquid and Highly-Rate
Slide 12: Q2'21 Performance Highlights
Q2’21 Performance Highlights
Slide 13: Tiptree Capital – Financial Performance Highlights
Tiptree Capital – Financial Performance Highlights ($ in millions) Tiptree Capital Equity Q2’21 Year-to-date Highlights $195.5 Mortgage: 4.4 • Pre-tax income increased over PY from improved volumes and Other $155.7 39.9 margins driven by low interest rates and home price appreciation 5.8 • Mortgage
Slide 14: Summary & Outlook
Summary & Outlook ($ in millions, except per share information) Adjusted Net Income1 First Half 2021 Highlights ✓ Strong, steady growth in underlying operations in first half 2021 ✓ Continued execution on growth initiatives at insurance and $26.3 mortgage businesses $17.4 Q2'20 YTD Q2'21 YTD Adjuste
Slide 15: Appendix
Non-GAAP Reconciliations • Insurance underwriting and fee revenue Appendix • • Insurance underwriting and fee margin Book Value per share • Adjusted net income 14
Slide 16: Non-GAAP Reconciliations
Non-GAAP Reconciliations Adjusted Net Income We define adjusted net income as income before taxes, less provision (benefit) for income taxes, and excluding the after-tax impact of various expenses that we consider to be unique and non-recurring in nature, including merger and acquisition related exp
Slide 17: Non-GAAP Reconciliations – Underwriting and Fee Revenues & Margin
Non-GAAP Reconciliations – Underwriting and Fee Revenues & Margin Three Months Ended, Six Months Ended, ($ in thousands) June 30, June 30, We define underwriting and fee revenues as total revenues from our Insurance segment excluding net investment income, net realized and unrealized gains (losses).
Slide 18: Non-GAAP Reconciliations – Adjusted Net Income
Non-GAAP Reconciliations – Adjusted Net Income ($ in thousands) Three Months Ended June 30, 2021 Three Months Ended June 30, 2020 Trailing Twelve Months Ended June 30, 2021 Tiptree Capital Tiptree Capital Tiptree Capital Insurance Mortgage Other Corporate Total Insurance Mortgage Other Corporate Tot
Slide 19: Tiptree Inc.
TiptreeInc. ir@tiptreeinc.com