Kestrel Group (KG) Investor presentation summary

Strategic overview and business model

• Formed in 2022, led by a management team with over 40 years of insurance expertise and a proven track record in the fronting model.

• Operates a capital-light, fee-based business model, minimizing exposure to underwriting risks.

• Offers nationwide, A.M. Best A- rated admitted and E&S capacity across diverse business lines.

• Merged with Maiden Holdings, combining fronting and legacy reinsurance operations.

• Maintains a robust pipeline of program partners, targeting high-quality, tech-enabled MGAs.

Financial performance and segment results

• Q4 2025 net loss to common shareholders was $17.8m, impacted by $8.8m in non-recurring items.

• Program Services segment delivered $1.9m pre-tax income and $3.1m fee revenue in Q4 2025, with premium produced up 178.6% YoY to $93.8m.

• Legacy Reinsurance segment posted an adjusted underwriting loss of $3.8m, mainly from AmTrust.

• Book value per share at year-end was $16.57; unrecognized DTA per share was $19.43.

• Non-GAAP operating loss for Q4 2025 was $8.2m, compared to $0.1m net income in Q4 2024.

Growth, capacity, and market trends

• Contracted capacity nearly doubled YoY to $647m by Q4 2025, with $115m in new or expanded capacity in Q4.

• Program Services fee revenue and pre-tax income showed strong sequential and annual growth.

• U.S. MGA market continues to outpace P&C growth, with a 10.1% CAGR from 2018–2024.

• Kestrel’s pipeline is diversified across casualty, property, workers comp, and other lines.

• Focus on high-quality, tech-forward partners with strong underwriting track records.