Enstar Group Limited · OTC:ESGOF
Enstar — Q1 2022 Earnings Presentation
15 slides from Enstar's earnings presentation, May 5, 2022
Slide 1: Investor Financial Supplement March 31, 2022
enstargroup.com ENSTAR GROUP LIMITED Investor Financial Supplement March 31, 2022
Slide 2: Table of Contents
| enstargroup.com 2 Table of Contents Page Explanatory Notes 3 Financial Highlights 4 Consolidated Results by Segment 5 Capital Position & Credit Ratings 7 Non-GAAP Measures 8 Reconciliation to Adjusted Book Value per Share 10 Reconciliation to Adjusted Return on Equity 11 Reconciliation to Adjusted
Slide 3: Explanatory Notes
| enstargroup.com 3 Explanatory Notes About Enstar Enstar is a NASDAQ-listed leading global (re)insurance group that offers innovative capital release solutions through its network of group companies in Bermuda, the United States, the United Kingdom, Continental Europe, Australia, and other internat
Slide 4: Financial Highlights: Key Earnings Metrics
| enstargroup.com 4 Three Months Ended March 31, 2022 March 31, 2021 Key Earnings Metrics Return on equity (“ROE”) (5.0) % 3.0 % Annualized ROE (20.2) % 11.9 % Adjusted ROE (1) (1.4) % 5.4 % Annualized adjusted ROE (1) (5.7) % 21.7 % Basic net (loss) earnings per share $ (16.04) $ 8.50 Diluted net (
Slide 5: Consolidated Results by Segment - Q1 2022
| enstargroup.com 5 Consolidated Results by Segment - Q1 2022 Three Months Ended March 31, 2022 Run-off Enhanzed Re Investments Legacy Underwriting Corporate & Other (1) Total INCOME Net premiums earned $ 17 $ 14 $ — $ 3 $ — $ 34 Net investment income — — 76 4 — 80 Net realized losses — — (37) — — (
Slide 6: Consolidated Results by Segment - Q1 2021
| enstargroup.com 6 Consolidated Results by Segment - Q1 2021 Three Months Ended March 31, 2021 Run-off Investments Legacy Underwriting Corporate & Other (1) Total INCOME Net premiums earned $ 73 $ — $ 20 $ — $ 93 Net investment income — 61 1 — 62 Net realized losses — (10) (1) — (11) Net unrealized
Slide 7: Capital Position & Credit Ratings
| enstargroup.com 7 Capital position March 31, 2022 December 31, 2021 Change Ordinary shareholders' equity $ 5,024 $ 5,586 $ (562) Series D and E preferred shares 510 510 — Total Enstar shareholders' equity 5,534 6,096 (562) Noncontrolling interest 233 230 3 Total shareholders' equity 5,767 6,326 (5
Slide 8: Non-GAAP Measures
| enstargroup.com 8 Non-GAAP Measures Non-GAAP Measure Definition Purpose of Non-GAAP Measure over GAAP Measure Adjusted 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 secur
Slide 9: Non-GAAP Measures (continued)
| enstargroup.com 9 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 loss reserves
Slide 10: Reconciliation to Adjusted Book Value Per Share
| enstargroup.com 10 Reconciliation to Adjusted Book Value Per Share As of March 31, 2022 December 31, 2021 Equity (1) Ordinary Shares Per Share Amount Equity (1) Ordinary Shares Per Share Amount Book value per ordinary share $ 5,024 17,535,407 $ 286.51 $ 5,586 17,657,944 $ 316.34 Non-GAAP adjustmen
Slide 11: Reconciliation to Adjusted Return on Equity - Q1 2022 and 2021
| enstargroup.com 11 Reconciliation to Adjusted Return on Equity - Q1 2022 and 2021 Three Months Ended March 31, 2022 2021 Net (loss) earnings (1) Opening equity (1) (Adj) ROE Annualized (Adj) ROE Net (loss) earnings (1) Opening equity (1) (Adj) ROE Annualized (Adj) ROE Net (loss) earnings/Opening e
Slide 12: Reconciliation to Adjusted Run-off Liability Earnings
| enstargroup.com 12 Reconciliation to Adjusted Run-off Liability Earnings Three Months Ended As of Three Months Ended March 31, 2022 March 31, 2022 December 31, 2021 March 31, 2022 March 31, 2022 PPD Net loss reserves Net loss reserves Average net loss reserves Annualized RLE % PPD/net loss reserve
Slide 13: Reconciliation to Adjusted Total Investment Return
| enstargroup.com 13 Reconciliation to Adjusted Total Investment Return Three Months Ended March 31, 2022 2021 Investment results Net investment income $ 80 $ 62 Net realized losses (37) (11) Net unrealized losses (381) (10) Earnings from equity method investments 31 118 TIR ($) $ (307) $ 159 Non-GA
Slide 14: Investable Assets - Management's View
| enstargroup.com 14 Investable Assets - Management’s View* - March 31, 2022 * Non-GAAP financial measure. Consolidated Balance Sheet View March 31, 2022 Exchange traded funds backed by fixed income securities Bonds, CLO equities and private debt held in equity format Equities, privately held equity
Slide 15: Investable Assets - Management's View, December 31, 2021
| enstargroup.com 15 Investable Assets - Management’s View* - December 31, 2021 * Non-GAAP financial measure. Consolidated Balance Sheet View December 31, 2021 Exchange traded funds backed by fixed income securities Bonds, CLO equities and private debt held in equity format Equities, privately held