Conduit (CRE) H1 2024 earnings summary

Executive summary

• Comprehensive income reached $98.1 million for H1 2024, up 24.8% year-on-year, with ROE at 9.9% and gross premiums written rising 36.1% to $737.8 million, led by property and specialty lines.

• Book value per share increased to $6.69 as of 30 June 2024.

• Interim dividend of $0.18 per share declared, totaling $29.7 million, with total shareholder return of 8.3% for H1.

• Market conditions remain favorable, especially in property and specialty, supporting strong organic growth.

Financial highlights

• Reinsurance revenue rose 37.1% year-on-year to $382 million; net reinsurance revenue up 39.3% to $338.2 million.

• Diluted EPS for H1 2024 was $0.62, up from $0.49 in H1 2023.

• Net investment result was $23.0 million; total net investment return was 1.5% (down from 2.1%).

• Tangible net assets per share reached $6.69, up from $5.72 a year earlier.

Outlook and guidance

• Strong organic growth expected to continue, supported by robust capital base and retained earnings.

• Market environment remains attractive, though rate increases are slowing; specialty and non-cat risks prioritized.

• Combined ratio guidance remains in the mid-80s, with some volatility from loss events.

• No current plans for debt issuance; capital allocation decisions to be made closer to year-end.