Enstar Group Limited · OTC:ESGOF
Enstar — Q3 2024 Earnings Presentation
20 slides from Enstar's earnings presentation, Nov 12, 2024
Slide 1: Investor Financial Supplement September 30, 2024
Enstargroup.com Enstargroup.com Realising Value Investor Financial Supplement September 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 A
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 complet
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 investment which may not correspond to management’s view of the underlying economic exposure. For example: 1. Enstar has certa
Slide 5: Financial Highlights
| enstargroup.com 5 Three Months Ended Nine Months Ended September 30, 2024 September 30, 2023 September 30, 2024 September 30, 2023 Key Income Metrics Return on Equity (“ROE”) 2.8 % 0.9 % 7.8 % 10.8 % Annualized ROE 10.4 % 14.4 % Adjusted ROE (1) 2.2 % 2.5 % 7.9 % 10.8 % Annualized adjusted ROE (1)
Slide 6: Consolidated Results by Segment - Q3 2024
| enstargroup.com 6 Consolidated Results by Segment - Q3 2024 Three Months Ended September 30, 2024 Run-off Investments Corporate and other (1)(2) Total REVENUES Net premiums earned $ 11 $ — $ — $ 11 Net investment income — 163 — 163 Net realized gains — 17 — 17 Fair value changes in trading securit
Slide 7: Consolidated Results by Segment - Q3 2023
| enstargroup.com 7 Consolidated Results by Segment - Q3 2023 Three Months Ended September 30, 2023 Run-off Assumed Life Investments Corporate and other (1)(2) Total REVENUES Net premiums earned $ 14 $ — $ — $ — $ 14 Net investment income — — 143 — 143 Net realized losses — — (12) — (12) Fair value
Slide 8: Consolidated Results by Segment - YTD Q3 2024
| enstargroup.com 8 Consolidated Results by Segment - YTD Q3 2024 Nine Months Ended September 30, 2024 Run-off Investments Corporate and other (1)(2) Total REVENUES Net premiums earned $ 27 $ — $ — $ 27 Net investment income — 478 — 478 Net realized gains — 2 — 2 Fair value changes in trading securi
Slide 9: Consolidated Results by Segment - YTD Q3 2023
| enstargroup.com 9 Consolidated Results by Segment - YTD Q3 2023 Nine Months Ended September 30, 2023 Run-off Assumed Life (1) Investments Corporate and other (2) Total REVENUES Net premiums earned $ 29 $ — $ — $ — $ 29 Net investment income — — 471 — 471 Net realized losses — — (55) — (55) Fair va
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 Preferred S
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 securities (which
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 loss reserv
Slide 13: Reconciliation to Fully Diluted Book Value Per Share
| enstargroup.com 13 Reconciliation to Fully Diluted Book Value Per Share As of September 30, 2024 December 31, 2023 Equity (1) Ordinary Shares Per Share Amount Equity (1) Ordinary Shares Per Share Amount Book value per ordinary share $ 5,547 14,666,175 $ 378.22 $ 5,025 14,631,055 $ 343.45 Non-GAAP
Slide 14: Reconciliation to Adjusted Return on Equity - QTD Q3 24 and 2023
| enstargroup.com 14 Reconciliation to Adjusted Return on Equity - QTD Q3 2024 and 2023 (1) Net (loss) earnings comprises net (loss) earnings attributable to Enstar ordinary shareholders, prior to any non-GAAP adjustments. Opening equity comprises Enstar ordinary shareholders' equity, which is calcu
Slide 15: Reconciliation to Adjusted Return on Equity - YTD Q3 24 and 2023
| enstargroup.com 15 Reconciliation to Adjusted Return on Equity - YTD Q3 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 calculated
Slide 16: Reconciliation to Adjusted Run-off Liability Earnings - QTD Q3 2024 and 2023
| enstargroup.com 16 Reconciliation to Adjusted Run-off Liability Earnings - QTD Q3 2024 and 2023 Three Months Ended As of Three Months Ended September 30, 2024 September 30, 2024 June 30, 2024 September 30, 2024 September 30, 2024 RLE / PPD Net loss reserves Net loss reserves Average net loss reser
Slide 17: Reconciliation to Adjusted Run-off Liability Earnings - YTD Q3 2024 and 2023
| enstargroup.com 17 Reconciliation to Adjusted Run-off Liability Earnings - YTD Q3 2024 and 2023 Nine Months Ended As of Nine Months Ended September 30, 2023 September 30, 2023 December 31, 2022 September 30, 2023 September 30, 2023 RLE / PPD Net loss reserves Net loss reserves Average net loss res
Slide 18: Reconciliation to Adjusted Total Investment Return
| enstargroup.com 18 Reconciliation to Adjusted Total Investment Return Three Months Ended September 30, Nine Months Ended September 30, 2024 2023 2024 2023 Net investment income $ 163 $ 143 $ 478 $ 471 Net realized gains (losses) 17 (12) 2 (55) Fair value changes in trading securities, funds held a
Slide 19: Investment Composition
| enstargroup.com 19 Investment Composition - September 30, 2024 Other Investments Equities Cash (2) Funds Held Short-term and fixed maturities, trading and AFS September 30, 2024 Hedge Funds Fixed income funds Equity funds Private equity funds CLO equities CLO equity funds Private credit funds Real
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 held