IGI Reports Second Quarter and First Six Months of 2026 Unaudited Financial Results and Declares Ordinary Common Share Dividend

About this update from International General Insurance Holdings Ltd.

HAMILTON, Bermuda, August 04, 2026 --( BUSINESS WIRE )--International General Insurance Holdings Ltd. ("IGI" or the "Company") (NASDAQ: IGIC) today reported financial results for the second quarter and first six months of 2026. Highlights for the second quarter and first six months of 2026 include: IGI Group President & CEO Waleed Jabsheh said, "We delivered excellent underlying results in both the second quarter and first half of 2026 and continued to generate significant returns for shareholders, highlighted by annualized returns on average equity of 12.6% and 12.3% for the second quarter and first six months 2026, respectively." "These results were delivered against a backdrop of significant loss activity, mostly stemming from war in the Middle East, which in aggregate represents one of the largest single event losses in IGI's almost 25-year history." "Our results clearly show the resilience and strength that we have built in IGI. To be able to absorb this level of loss in the first six months of 2026 while posting net income of $42.5 million, a combined ratio of 92.2%, and returning $72.9 million to shareholders, demonstrates that our strategy is not only working very well, but also as it was designed to work." Results for the Quarters and Six Months ended June 30, 2026 and 2025 The Company generated net income for the quarters ended June 30, 2026 and 2025 of $20.9 million and $34.1 million, respectively. Net income for the six months ended June 30, 2026 was $42.5 million compared to $61.4 million for the six months ended June 30, 2025. Results for the second quarter and first six months of 2026 reflected growth in gross written premiums compared to the same periods of 2025, and underwriting results remained profitable across all segments despite higher catastrophe (CAT) losses primarily related to the war in the Middle East. Results for the first half of 2026 also included the impact of a large (non-CAT) energy loss recognized during the first quarter, which had no material movement in the second quarter. Return on average equity (annualized) was 12.6% for the second quarter of 2026, compared to 20.8% for the second quarter of 2025, and 12.3% for the six months ended June 30, 2026, compared to 18.6% for the six months ended June 30, 2025. Core operating income, a non-GAAP financial measure, was $18.7 million for the second quarter of 2026, compared to $22.8 million for the same period of 2025 reflecting lower underwriting income on comparative basis. Core operating income was $43.1 million for the first six months of 2026, compared to $42.2 million for the first six months of 2025, supported by higher underwriting income despite elevated CAT losses during the period. Gross written premiums increased by 7.4% to $201.7 million in the quarter ended June 30, 2026, compared to $187.8 million for the same period of 2025, due to increases in both the Short-tail and Reinsurance Segments. Gross written premiums increased to $398.9 million from $394.3 million for the first six months of 2026 compared to the same period in 2025. Underwriting income was $29.5 million and $67.2 million for the second quarter and first six months of 2026 respectively, compared to $35.0 million and $63.0 million for the corresponding periods of 2025. The Company generated underwriting profit across all segments in the second quarter and first six months of 2026, with first-half 2026 underwriting income increasing year-over-year despite elevated CAT losses. The loss ratio was 57.9%, including CAT losses of 18.8% for the second quarter of 2026, compared to 53.2% including CAT losses of 9.0% for the second quarter of 2025. For the first six months of 2026, the loss ratio was 53.8% including CAT losses of 19.0%, compared to 54.3% which included CAT losses of 16.9% for the first six months of 2025. CAT losses related to the war in the Middle East were the primary driver of elevated loss activity during the second quarter and the first six months of 2026. The expense ratio (which is comprised of the net policy acquisition expense ratio, and the general and administrative expense ratio) was 37.2% and 38.4% for the second quarter and first six months of 2026, compared to 37.3% and 38.1%, respectively, for the same periods of 2025. The combined ratio was 95.1% and 92.2% for the second quarter and first six months of 2026 compared to 90.5% and 92.4%, respectively, for the same periods of 2025. Segment Results The Specialty Long-tail Segment , which represented 23% of the Company's gross written premiums for the six months ended June 30, 2026, generated gross written premiums of $42.7 million for the second quarter of 2026, compared to $45.9 million for the second quarter of 2025. Net premiums earned for the quarter ended June 30, 2026 were $41.2 million compared to $30.8 million for the same quarter of 2025. This segment recorded underwriting income of $5.5 million for the second quarter of 2026, compared to an underwriting loss of $2.9 million for the second quarter of 2025, largely the result of a higher level of net premiums earned in the second quarter of 2026. Gross written premiums were $92.1 million for the first six months of 2026, compared to $86.4 million for the same period of 2025. Net premiums earned for the first six months of 2026 were $72.1 million compared to $61.4 million for the same period of 2025. This segment recorded underwriting income of $22.9 million for the first six months of 2026, compared to an underwriting loss of $10.3 million for the same period of 2025, driven by higher net premiums earned and lower net loss and loss adjustment expenses. The Specialty Short-tail Segment , which represented 57% of the Company's gross written premiums for the six months ended June 30, 2026, generated gross written premiums of $134.3 million for the second quarter of 2026, compared to $125.6 million for the second quarter of 2025. Net premiums earned were $58.4 million for the second quarter of 2026, compared to $60.2 million for the same quarter of 2025. Underwriting income was $16.0 million for the second quarter of 2026 compared to $25.6 million for the same quarter of 2025, with the decrease largely the result of the war in the Middle East driving a higher level of net loss and loss adjustment expenses for the second quarter of 2026 compared to the same period of 2025. Gross written premiums were $226.5 million for the first six months of 2026 compared to $221.6 million for the same period of 2025. Net premiums earned for the first six months of 2026 were $122.3 million compared to $117.5 million for the same period of 2025. Underwriting income was $25.2 million for the first six months of 2026 compared to $50.6 million for the same period of 2025, for the same reasons described above. The Reinsurance Segment , which represented 20% of the Company's gross written premiums for the six months ended June 30, 2026, generated gross written premiums of $24.7 million for the second quarter of 2026, compared to $16.3 million for the second quarter of 2025, with the period-over-period increase reflecting new business written in India following registration approval received to operate in GIFT City, India during the second quarter of 2026. Net premiums earned for the quarter ended June 30, 2026 were $25.4 million, compared to $24.0 million for the same quarter of 2025. Underwriting income decreased to $8.0 million for the second quarter of 2026, compared to $12.3 million for the second quarter of 2025 primarily due to higher net loss and loss adjustment expenses. Gross written premiums were $80.3 million for the first six months of 2026 compared to $86.3 million for the same period of 2025. The decrease was primarily due to the non-renewal of two reinsurance programmes in the first quarter of 2026. Net premiums earned for the first six months of 2026 were $41.8 million, compared to $48.9 million for the same period of 2025. Underwriting income was $19.1 million for the first six months of 2026, compared to $22.7 million for the same period of 2025 primarily reflecting the lower level of net premiums earned. Investment Results Investment income increased by 4.3% to $14.5 million in the second quarter of 2026, compared to $13.9 million for the second quarter of 2025. The annualized investment yield on average total investments and cash and cash equivalents was 4.6% for the second quarter of 2026, compared to 4.5% for the second quarter of 2025. Net investment income was $17.5 million in the second quarter of 2026 compared to $17.1 million for the same period of 2025, which also included higher positive mark-to-market movement in the equity portfolio in the second quarter of 2026 compared to the second quarter of 2025. Investment income increased by 4.0% to $28.6 million in the first six months of 2026, compared to $27.5 million for the first six months of 2025. The investment yield on average total investments and cash and cash equivalents was 4.5% for the first six months of 2026, compared to 4.4% for the first six months of 2025. Net investment income was $31.0 million for the first six months of 2026, compared to $32.6 million for the same period of 2025. Net Foreign Exchange (Loss) Gain Net foreign exchange losses were $1.0 million and $3.4 million for the second quarter and first six months of 2026 respectively, compared to gains of $10.1 million and $17.3 million in the corresponding periods of 2025. The net foreign exchange losses and gains were primarily driven by the negative currency movements and positive movements, respectively, in the Company's major transactional currencies (mainly the Pound Sterling and the Euro) against the U.S. Dollar. Total Shareholders' Equity Total shareholders' equity decreased to $669.0 million at June 30, 2026, compared to $710.2 million at December 31, 2025. The movement in total shareholders' equity during the quarter and six months ended June 30, 2026 is illustrated below: Book value per share was $16.04 at June 30, 2026 compared to $16.91 at December 31, 2025. Ordinary Common Share Dividend On August 3, 2026, the Company's Board of Directors declared an ordinary common share dividend of $0.075 per share for the quarter ended June 30, 2026. The dividend is payable on September 2, 2026 to shareholders of record at the close of business on August 18, 2026. International General Insurance Holdings Ltd. Non-GAAP Financial Measures In presenting IGI's financial results, management has included and discussed certain non-GAAP financial measures. We believe that these non-GAAP financial measures, which may be defined and calculated differently by other companies, help to explain and enhance the understanding of our results of operations. However, these measures should not be viewed as a substitute for those determined in accordance with U.S. GAAP. Reconciliation of Combined Ratio to Accident Year Combined Ratio Prior to CAT Losses The table below illustrates the reconciliation of the combined ratio on a financial and accident year basis. International General Insurance Holdings Ltd. Non-GAAP Financial Measures The table below illustrates the split of loss ratio between current accident year, current accident year CAT losses, which are included in 'Net loss and loss adjustment expenses', and prior years' loss development as follows: Core Operating Income Core operating income measures the performance of our operations without the influence of after-tax gains or losses on investments and foreign currencies and other items as noted in the table below. We exclude these items from our calculation of core operating income because the amounts of these gains and losses are heavily influenced by, and fluctuate in part according to, economic and other factors external to the Company and/or transactions or events that are typically not a recurring part of, and are largely independent of, our core underwriting activities and including them distorts the analysis of trends in our operations. We believe the reporting of core operating income enhances an understanding of our results by highlighting the underlying profitability of our core insurance operations. Our underwriting profitability is impacted by earned premiums, the adequacy of pricing, and the frequency and severity of losses. Over time, such profitability is also influenced by underwriting discipline, which seeks to manage the Company's exposure to loss through intelligent risk selection and diversification, IGI's management of claims, use of reinsurance and the ability to manage the expense ratio, which the Company accomplishes through the management of acquisition costs and other underwriting expenses. In addition to presenting net income for the period determined in accordance with U.S. GAAP, we believe that showing "core operating income" provides investors with a valuable measure of profitability and enables investors, rating agencies and other users of our financial information to analyze the Company's results in a similar manner to the way in which Management analyzes the Company's underlying business performance. International General Insurance Holdings Ltd. Non-GAAP Financial Measures Core operating income is calculated by the addition or subtraction of certain line items reported in the "Consolidated Statements of Income" from net income for the period and tax effecting each line item (resulting in each item being a non-GAAP financial measure), as illustrated in the table below: The Company has posted a second quarter 2026 investor presentation deck on its website at www.iginsure.com in the Investors section under the Presentations & Webcasts tab. --- About IGI: IGI is an international specialty risks commercial insurer and reinsurer underwriting a diverse portfolio of specialty lines. Established in 2001, IGI has a worldwide portfolio of energy, property, general aviation, construction & engineering, ports & terminals, marine cargo, marine trades, contingency, political violence, financial institutions, general third-party liability (casualty), legal expenses, professional indemnity, D&O, marine liability and reinsurance treaty business. Registered in Bermuda, with operations in Bermuda, London, Malta, Dubai, Amman, Oslo, Kuala Lumpur, Casablanca, and GIFT City, India, IGI aims to deliver outstanding levels of service to clients and brokers. IGI is rated "A" (Excellent)/Stable by AM Best and "A" (Strong)/Stable by S&P Global Ratings. For more information about IGI, please visit www.iginsure.com . --- Forward-Looking Statements: This press release contains "forward-looking statements" within the meaning of the "safe harbour" provisions of the Private Securities Litigation Reform Act of 1995. The expectations, estimates, and projections of the business of IGI may differ from its actual results and, consequently, you should not rely on forward-looking statements as predictions of future events. Words such as "ability," "aim," "focus", "impact," "seek," "strategy," "expect," "estimate," "project," "budget," "forecast," "anticipate," "intend," "plan," "may," "will," "could," "should," "believe," "predict," "potential," "continue," "commitment," "able," "success" and similar expressions are intended to identify such forward-looking statements. Forward-looking statements contained in this press release may include, but are not limited to, our expectations regarding the performance of our business, our financial results, our liquidity and capital resources, the outcome of our strategic initiatives, our expectations regarding other market conditions, and our growth prospects. These forward-looking statements involve significant risks and uncertainties that could cause the actual results to differ materially from the expected results. Most of these factors are outside of the control of IGI and are difficult to predict. Factors that may cause such differences include, but are not limited to: (1) changes in demand for IGI's services together with the possibility that IGI may be adversely affected by other economic, business, and/or competitive factors globally and in the regions in which it operates; (2) competition, the ability of IGI to grow and manage growth profitably, and IGI's ability to retain its key employees; (3) changes in applicable laws or regulations; (4) risks related to fluctuations in global currencies including the UK Pound Sterling, the Euro, and the U.S. Dollar; (5) the outcome of any legal proceedings that may be instituted against the Company; (6) the effects of the hostilities between Russia and Ukraine, and the sanctions imposed on Russia by the United States, European Union, United Kingdom and others; (7) the effects of military conflicts in the Middle East, including disruptions in the Strait of Hormuz and the Persian Gulf and the potential disruption of Red Sea international shipping routes; (8) the impact of the tariffs that have been imposed or may be imposed by the U.S. administration; (9) the potential impact of artificial intelligence technologies on the insurance industry and the ability of IGI to effectively deploy AI technologies; (10) the inability to maintain the listing of the Company's common shares on Nasdaq; and (11) other risks and uncertainties indicated in IGI's filings with the SEC. The foregoing list of factors is not exclusive. In addition, forward-looking statements are inherently based on various estimates and assumptions that are subject to the judgment of those preparing them and are also subject to significant economic, competitive, industry and other uncertainties and contingencies, all of which are difficult or impossible to predict and many of which are beyond the control of IGI. There can be no assurance that IGI's financial condition or results of operations will be consistent with those set forth in such forward-looking statements. You should not place undue reliance upon any forward-looking statements, which speak only as of the date made. IGI does not undertake or accept any obligation or undertaking to release publicly any updates or revisions to any forward-looking statements to reflect any change in its expectations or any change in events, conditions, or circumstances on which any such statement is based except to the extent that it is required by law. View source version on businesswire.com: https://www.businesswire.com/news/home/20260804354735/en/ Contacts IGI Investor & Media Contacts: Robin Sidders, Head of Corporate Relations Email: [email protected] Ahmad Jabsheh, AVP, Corporate Relations Email: [email protected]

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