Third Quarter 2025 Highlights:
-- Gross premiums written ("GPW") of $797.5 million; growth of 7.5% from
the third quarter of 2024
-- Combined ratio improved to 79.0%, compared to 87.4% in the third
quarter of 2024
-- Annualized operating return on average common equity ("Annualized
Operating ROAE") of 21.4%
-- Net income of $130.5 million, or $1.24 per diluted common share, and
operating net income of $126.8 million, or $1.21 per diluted common
share
-- Total capital returned to common shareholders in the quarter of $47.3
million, including common share repurchases of $31.9 million and
dividends of $15.4 million
Nine Months Ended September 30, 2025 Highlights:
-- Gross premiums written of $3.7 billion; growth of 8.4% from nine months
ended September 30, 2024
-- Combined ratio of 99.5%, including net adverse development as a result
of the English High Court judgment as well as the impact of the
California wildfires
-- Annualized Operating ROAE of 5.2%
-- Net income of $107.7 million, or $0.99 per diluted common share, and
operating net income of $95.2 million, or $0.88 per diluted common share
-- Book value per diluted common share was $23.29 at September 30, 2025,
an increase of 6.9% from December 31, 2024, of $21.79
-- Total capital returned to common shareholders was $180.1 million,
including common share repurchases of $142.7 million and dividends of
$37.4 million
PEMBROKE, Bermuda--(BUSINESS WIRE)--November 12, 2025--
Fidelis Insurance Holdings Limited ("Fidelis" or "FIHL" or "the Group") (NYSE: FIHL) announced today its financial results for the third quarter ended September 30, 2025.
Dan Burrows, Group Chief Executive Officer of Fidelis Insurance Group, commented: "We delivered outstanding results in the third quarter, with our 79.0% combined ratio representing our best quarterly performance as a publicly traded company and an excellent annualized Operating ROAE of 21.4%.
"We grew gross premiums written by 8%, reinforcing our confidence in our target range of 6-10% for the full-year. In a prevailing hard market, we remain well positioned for growth and value creation given our differentiated positioning and diverse risk access, particularly as we continue to expand our network of underwriting partnerships. Across our portfolio, we are focused on margin and exercising strong discipline with respect to rate, terms and conditions as we see signs of rate pressure in certain pockets.
"Looking ahead, we are focused on providing solutions for our clients in an evolving risk landscape. Our strong capital position enables us to successfully balance growth with returning excess capital to shareholders, and we continue to see share repurchases as a highly accretive use of capital."
Third Quarter 2025 Consolidated Results
-- Net income for the third quarter of 2025 was $130.5 million, or $1.24
per diluted common share. Operating net income was $126.8 million, or
$1.21 per diluted common share.
-- Underwriting income for the third quarter of 2025 was $125.5 million
and the combined ratio was 79.0%, compared to underwriting income of
$80.0 million and a combined ratio of 87.4% in the third quarter of
2024.
-- Net favorable prior year loss reserve development for the third quarter
of 2025 was $16.0 million, compared to $10.1 million of favorable prior
year loss reserve development in the prior year period.
-- Catastrophe and large losses for the third quarter of 2025 were $57.4
million compared to $91.6 million in the prior year period.
-- Net investment income for the third quarter of 2025 was $45.9 million
compared to $52.1 million in the prior year period.
-- Net realized and unrealized investment gains for the third quarter of
2025 were $6.2 million, which included $4.7 million of net unrealized
gains on other investments, as result of our strategic deployment of
assets into alternative investments, including a hedge fund portfolio,
which began in the fourth quarter of 2024.
-- Annualized Operating ROAE of 21.4% in the quarter compared to 16.4% in
the prior year period.
Nine Months Ended September 30, 2025 Consolidated Results
-- Net income for the nine months ended September 30, 2025, was $107.7
million, or $0.99 per diluted common share. Operating net income was
$95.2 million, or $0.88 per diluted common share.
-- Underwriting income for the nine months ended September 30, 2025, was
$10.4 million and the combined ratio was 99.5%, compared to underwriting
income of $185.9 million and a combined ratio of 88.6% for the nine
months ended September 30, 2024.
-- Catastrophe and large losses for the nine months ended September 30,
2025, were $465.0 million compared to $375.8 million in the prior year
period.
-- Net adverse prior year loss reserve development of $32.4 million
compared to net favorable development of $145.7 million in the prior year
period.
-- Net investment income of $140.0 million compared to $139.1 million in
the prior year period. Purchased $1.3 billion of fixed income securities
at an average yield of 4.6% and sold $1.6 billion of fixed maturity
securities at an average yield of 4.6%. At September 30, 2025, the book
yield of the fixed income portfolio was 5.0%.
-- Net realized and unrealized investment gains for the nine months ended
September 30, 2025 were $18.8 million, which included $10.3 million of
net unrealized gains on other investments, as result of our strategic
deployment of assets into alternative investments, including a hedge fund
portfolio, which began in the fourth quarter of 2024.
-- Annualized Operating ROAE of 5.2% in the nine months ended September
30, 2025, compared to 13.3% in the prior year period.
-- Book value per diluted common share was $23.29 at September 30, 2025
(dilutive shares at September 30, 2025 of 728,436), compared to $21.79 at
December 31, 2024.
The following table details key financial indicators in evaluating our performance for the three and nine months ended September 30, 2025 and 2024:
Three Months Ended Nine Months Ended September
September 30, 30,
------------------------ ---------------------------
2025 2024 2025 2024
----- ----- ---- ------- ------- ---
($ in millions, except per share data)
Net income $130.5 $100.6 $ 107.7 $ 235.5
Operating net
income(1) 126.8 105.1 95.2 255.3
Gross premiums
written 797.5 741.9 3,739.4 3,449.4
Net premiums earned 599.8 634.5 1,740.8 1,623.6
Catastrophe and
large losses 57.4 91.6 465.0 375.8
Net
favorable/(adverse)
prior year reserve
development 16.0 10.1 (32.4) 145.7
Net investment
income 45.9 52.1 140.0 139.1
Net realized and
unrealized
investment
gains/(losses) $ 6.2 $ (0.5) $ 18.8 $ (16.5)
Combined ratio 79.0% 87.4% 99.5% 88.6%
Annualized Operating
ROAE(1) 21.4% 16.4% 5.2% 13.3%
Earnings per diluted
common share $ 1.24 $ 0.88 $ 0.99 $ 2.02
Operating EPS(1) $ 1.21 $ 0.92 $ 0.88 $ 2.18
________________
(1) See definition and reconciliation in "Non-GAAP Financial Measures
Reconciliation"
Segment Results
Insurance Segment
The following table is a summary of our Insurance segment's underwriting results:
Three Months Ended September 30, Nine Months Ended September 30,
--------------------------------- ----------------------------------------
2025 2024 Change 2025 2024 Change
------ ------ ------- -------- -------- ----------
($ in millions)
Gross
premiums
written $ 605.8 $ 582.5 $ 23.3 $ 2,775.1 $ 2,616.6 $ 158.5
Reinsurance
premium
ceded (217.3) (189.7) (27.6) (1,031.5) (1,091.2) 59.7
Net premiums
written 388.5 392.8 (4.3) 1,743.6 1,525.4 218.2
Net premiums
earned 456.5 475.9 (19.4) 1,427.3 1,359.5 67.8
Losses and
loss
adjustment
expenses (177.0) (201.7) 24.7 (750.2) (621.4) (128.8)
Policy
acquisition
expenses (137.2) (159.5) 22.3 (434.3) (414.1) (20.2)
------ ------ ----- -------- -------- ------
Underwriting
income $ 142.3 $ 114.7 $ 27.6 $ 242.8 $ 324.0 $ (81.2)
(3.6)
Loss ratio 38.8% 42.4% pts 52.6% 45.7% 6.9 pts
Policy
acquisition
expense (3.4)
ratio 30.1% 33.5% pts 30.4% 30.5% (0.1) pts
------ ------ ------- -------- -------- ----------
Underwriting (7.0)
ratio 68.9% 75.9% pts 83.0% 76.2% 6.8 pts
For the three months ended September 30, 2025, our GPW increased primarily driven by growth from new business in our Asset Backed Finance & Portfolio Credit line of business, partially offset by timing in our Political Risk, Violence & Terror line of business related to the Lloyd's Syndicate 3123, which commenced writing business in July 2024 compared to being renewed in the first quarter of 2025.
For the nine months ended September 30, 2025, our GPW increased primarily due to new business opportunities, including newly onboarded partnerships in the Asset Backed Finance & Portfolio Credit and Cyber lines of business. These increases were partially offset by a decrease in the Aviation & Aerospace line of business, where certain deals did not meet our underwriting criteria and rating hurdles.
For the three months ended September 30, 2025, our net premiums earned ("NPE") decreased due to business mix as a result of higher gross premiums written on lines of business with longer earnings patterns compared to the prior year period. For the nine months ended September 30, 2025, our NPE increased due to earnings from higher net premiums written in the current and prior year periods.
Our policy acquisition expense ratio for the three months ended September 30, 2025 decreased due to changes in the mix of business written and ceded. Our policy acquisition expense ratio for the nine months ended September 30, 2025 remained consistent with the prior year period.
The following table is a summary of our Insurance segment's losses and loss adjustment expenses:
Three Months Ended September
30, Nine Months Ended September 30,
------------------------------- ---------------------------------
2025 2024 Change 2025 2024 Change
----- ----- ------- ----- ----- ---------
($ in millions)
Attritional losses $121.5 $122.4 $ (0.9) $365.3 $360.6 $ 4.7
Catastrophe and
large losses 58.2 76.4 (18.2) 281.7 357.5 (75.8)
(Favorable)/adverse
prior year
development (2.7) 2.9 (5.6) 103.2 (96.7) 199.9
----- ----- ----- ----- ----- -----
Losses and loss
adjustment
expenses $177.0 $201.7 $(24.7) $750.2 $621.4 $128.8
----- ----- ----- ----- ----- -----
Loss ratio -
attritional losses 26.6% 25.7% 0.9 pts 25.6% 26.5% (0.9) pts
Loss ratio -
catastrophe and (3.3)
large losses 12.8% 16.1% pts 19.8% 26.3% (6.5) pts
Loss ratio - prior (1.2)
accident years (0.6)% 0.6% pts 7.2% (7.1)% 14.3 pts
----- ----- ------- ----- ----- ---------
(3.6)
Loss ratio 38.8% 42.4% pts 52.6% 45.7% 6.9 pts
For the three months ended September 30, 2025, our loss ratio in the Insurance segment improved by 3.6 points compared to the prior year period. For the nine months ended September 30, 2025, our loss ratio in the Insurance segment increased by 6.9 points compared to the prior year period.
The attritional loss ratio for the three and nine months ended September 30, 2025, remained consistent with the prior year periods.
The catastrophe and large losses for the three months ended September 30, 2025, were primarily attributable to two loss events in our Property and Other Insurance lines of business. This compared to the prior period catastrophe and large losses that were primarily attributable to Hurricane Helene and European storm Boris, impacting our Property and Marine lines of business.
The catastrophe and large losses for the nine months ended September 30, 2025 were primarily attributable to the California wildfires in our Property line of business, together with other losses in our Other Insurance, Aviation & Aerospace, and Property lines of business. This compared to the prior period catastrophe and large losses related to intellectual property losses in our Asset Backed Finance & Portfolio Credit line of business, losses from the Baltimore Bridge collapse in our Marine line of business, severe convective storms, Hurricane Helene and European storm Boris in the Property and Marine lines of business, together with other smaller losses in various lines of business.
For the three months ended September 30, 2025, favorable prior year development was driven primarily by better than expected loss emergence in the Property line of business. For the nine months ended September 30, 2025 adverse prior year development was driven primarily by an increase in our Aviation & Aerospace line of business related to the Ukraine Conflict. This increase includes the impact of the settlement of certain aviation litigation related claims during the year, as well as the judgment handed down by the English High Court in June 2025. The increase was partially offset by better than expected loss emergence in our Property and Other Insurance lines of business.
The adverse prior year development for the three months ended September 30, 2024, was driven by increased estimates in our Aviation & Aerospace line of business, partially offset by better than expected loss emergence in our Property line of business. The favorable prior year development for the nine months ended September 30, 2024, was driven primarily by better than expected loss emergence in our Property and Marine lines of business, partially offset by an increase in our Aviation & Aerospace line of business.
Reinsurance Segment
The following table is a summary of our Reinsurance segment's underwriting results:
Three Months Ended September
30, Nine Months Ended September 30,
------------------------------- ------------------------------------
2025 2024 Change 2025 2024 Change
----- ----- ------- ------ ------ ----------
($ in millions)
Gross
premiums
written $191.7 $159.4 $ 32.3 $ 964.3 $ 832.8 $ 131.5
Reinsurance
premium
ceded (76.0) (84.3) 8.3 (478.4) (442.3) (36.1)
Net premiums
written 115.7 75.1 40.6 485.9 390.5 95.4
Net premiums
earned 143.3 158.6 (15.3) 313.5 264.1 49.4
Losses and
loss
adjustment
expenses (3.7) (36.1) 32.4 (156.4) (21.4) (135.0)
Policy
acquisition
expenses (42.1) (37.2) (4.9) (81.9) (61.1) (20.8)
----- ----- ----- ------ ------ ------
Underwriting
income $ 97.5 $ 85.3 $ 12.2 $ 75.2 $ 181.6 $(106.4)
(20.2)
Loss ratio 2.6% 22.8% pts 49.9% 8.1% 41.8 pts
Policy
acquisition
expense
ratio 29.4% 23.5% 5.9 pts 26.1% 23.1% 3.0 pts
----- ----- ------- ------ ------ ----------
Underwriting (14.3)
ratio 32.0% 46.3% pts 76.0% 31.2% 44.8 pts
For the three months ended September 30, 2025, GPW increased primarily as result of capitalizing on new business opportunities, including from loss-impacted accounts following the California wildfires, while NPE decreased due to the underlying mix of peril and geographic zones that impact the proportion of premium earned from quarter to quarter.
For the nine months ended September 30, 2025, our GPW increased primarily due to reinstatement premiums related to the California wildfires, as well as growth from new business as a result of capitalizing on opportunities on loss-impacted accounts following the California wildfires, while NPE increased from the acceleration of earnings on contracts with exposure to the California wildfires.
Our policy acquisition expense ratio for the three and nine months ended September 30, 2025 increased primarily due to changes in ceded premium and commissions earned from outwards reinsurance partners.
The following table is a summary of our Reinsurance segment's losses and loss adjustment expenses:
Three Months Ended September
30, Nine Months Ended September 30,
------------------------------- ---------------------------------
2025 2024 Change 2025 2024 Change
----- ----- ------- ----- ----- ---------
($ in millions)
Attritional
losses $ 17.8 $ 33.9 $(16.1) $ 43.9 $ 52.1 $ (8.2)
Catastrophe
and large
losses (0.8) 15.2 (16.0) 183.3 18.3 165.0
Favorable
prior year
development (13.3) (13.0) (0.3) (70.8) (49.0) (21.8)
----- ----- ----- ----- ----- -----
Losses and
loss
adjustment
expenses $ 3.7 $ 36.1 $(32.4) $156.4 $ 21.4 $135.0
Loss ratio -
attritional (8.9)
losses 12.5% 21.4% pts 14.0% 19.8% (5.8) pts
Loss ratio -
catastrophe
and large (10.2)
losses (0.6)% 9.6% pts 58.5% 6.9% 51.6 pts
Loss ratio -
prior
accident (1.1)
years (9.3)% (8.2)% pts (22.6)% (18.6)% (4.0) pts
----- ----- ------- ----- ----- ---------
(20.2)
Loss ratio 2.6% 22.8% pts 49.9% 8.1% 41.8 pts
The attritional loss ratio for the three and nine months ended September 30, 2025, improved by 8.9 points and 5.8 points, respectively, compared to the prior year periods due to the current year having fewer attritional losses.
There were no material catastrophe and large losses for the three months ended September 30, 2025. The catastrophe and large losses for the nine months ended September 30, 2025 were attributable to the California wildfires. The catastrophe and large losses in the three and nine months ended September 30, 2024 were primarily from Hurricane Helene.
For the three and nine months ended September 30, 2025, favorable prior year development was driven by positive development on catastrophe losses and benign prior year attritional experience.
Other Underwriting Expenses
We do not allocate The Fidelis Partnership commissions or general and administrative expenses by segment.
The Fidelis Partnership Commissions
The Fidelis Partnership manages origination, underwriting, underwriting administration, outwards reinsurance and claims handling under delegated authority agreements with the Group. The following table summarizes The Fidelis Partnership commissions earned:
Three Months Ended September
30, Nine Months Ended September 30,
----------------------------- ---------------------------------
2025 2024 Change 2025 2024 Change
---- ---- ------- ----- ----- ---------
($ in millions)
Ceding
commission
expense $87.1 $84.2 $ 2.9 $236.1 $225.3 $ 10.8
Profit
commission
expense -- 13.1 (13.1) -- 23.7 (23.7)
---- ---- ----- ----- ----- -----
Total
commissions $87.1 $97.3 $(10.2) $236.1 $249.0 $(12.9)
Ceding
commission
expense
ratio 14.5% 13.2% 1.3 pts 13.6% 13.8% (0.2) pts
Profit
commission
expense (2.1)
ratio --% 2.1% pts --% 1.5% (1.5) pts
---- ---- ------- ----- ----- ---------
The Fidelis
Partnership
commissions (0.8)
ratio 14.5% 15.3% pts 13.6% 15.3% (1.7) pts
For the three and nine months ended September 30, 2025, the decrease in The Fidelis Partnership commissions ratio was driven by no profit commissions being earned in 2025 as the operating profit did not achieve the required hurdle rate of return, as outlined in the Framework Agreement.
General and Administrative Expenses
For the three and nine months ended September 30, 2025, general and administrative expenses were $27.2 million and $71.5 million, respectively (2024: $22.7 million and $70.7 million, respectively). For the three months ended September 30, 2025, the increase was driven primarily by increasing variable compensation as a result of the Group's improved performance in the quarter. For the nine months ended September 30, 2025, general and administrative expenses remained consistent with the prior year period.
Investments
Three Months Ended September Nine Months Ended September
30, 30,
---------------------------- ------------------------------
2025 2024 Change 2025 2024 Change
---- ---- ------ ----- ----- ------
($ in millions)
Net investment
income $45.9 $52.1 $(6.2) $140.0 $139.1 $ 0.9
Net realized
and unrealized
investment
gains/(losses) 6.2 (0.5) 6.7 18.8 (16.5) 35.3
---- ---- ---- ----- ----- -----
Net investment
return $52.1 $51.6 $ 0.5 $158.8 $122.6 $ 36.2
Net investment
return - 0.3 1.0
annualized 4.8% 4.5% pts 4.6% 3.6% pts
Net Investment Income
Net investment income includes interest and dividend income, net of investment expenses. The decrease in our net investment income for the three months ended September 30, 2025, resulted from lower investable assets compared to the third quarter of 2024 primarily as the result of the payments for settlements and claims in 2025. Our net investment income for the nine months ended September 30, 2025 remained consistent with the prior year period as a result of stable investable assets and investment yields. During the three and nine months ended September 30, 2025, we purchased $437.4 million and $1,293.8 million, respectively, of fixed maturity securities at an average yield of 4.3% and 4.6%, respectively. During the three and nine months ended September 30, 2025, we sold $281.2 million and $1,591.8 million, respectively, of fixed maturity securities at an average yield of 4.5% and 4.6%, respectively.
Net Realized and Unrealized Investment Gains/(Losses)
The net realized and unrealized investment gains for the three months ended September 30, 2025, resulted from unrealized gains on other investments of $4.7 million as a result of our strategic deployment of assets into alternative investments, including a hedge fund portfolio, which began in the fourth quarter of 2024. The net realized and unrealized investment gains for the nine months ended September 30, 2025, resulted from unrealized gains on other investments of $10.3 million as a result of our strategic deployment of assets into alternative investment, including a diversified hedge fund portfolio, and a reduction in provision for current expected credit losses.
Other Items
Share Repurchases
In the three and nine months ended September 30, 2025, we repurchased 1,835,063 and 8,758,179, common shares, respectively, for an aggregate of $31.9 million and $142.7 million, respectively, excluding expenses, at an average price of $17.40 and $16.30 per common share, respectively, pursuant to our share repurchase authorization. Subsequent to September 30, 2025 and through the period ended November 7, 2025, we repurchased 820,316 common shares at an aggregate cost of $15.0 million and an average price of $18.25 per common share. The unutilized amount of the share repurchase authorization at November 7, 2025 was $153.1 million.
Dividend Announcement
On November 3, 2025, we announced that our Board of Directors has approved and declared a dividend of $0.15 per share payable on December 23, 2025, to common shareholders of record on December 10, 2025.
Conference Call
Fidelis will host a teleconference to discuss its financial results on Thursday, November 13, 2025, at 9:00 a.m. Eastern time. The call can be accessed by dialing 1-646-844-6383 (U.S. callers), or 1-833-470-1428 (international callers), and entering the passcode 242634 approximately 10 minutes in advance of the call. A live, listen-only webcast of the call will also be available via the Investors section of the Group's website at https://investors.fidelisinsurance.com. A recording of the webcast will be available in the Investor Relations section of the Group's website approximately two hours after the event concludes and will be archived on the site for one year.
About Fidelis Insurance Group
Fidelis Insurance Group is a global specialty insurance and reinsurance company focused on creating value through strategic capital allocation, expert risk selection, and a network of long-term underwriting partnerships.
We have built a strong foundation for scale and profitable growth, underpinned by our disciplined approach to risk selection and our financial strength, which is reflected in our insurer financial strength ratings of A from AM Best, A- from S&P and A3 from Moody's. Our network of underwriting partners and highly diversified portfolio enables us to execute our strategy of proactively navigating market cycles, offering innovative and tailored solutions, capitalizing on favorable risk-reward opportunities, and producing superior returns for shareholders.
For additional information about Fidelis Insurance Group, our people, and our products please visit our website at www.FidelisInsurance.com.
Non-GAAP Financial Measures
This Press Release includes, and the related conference call will include, certain financial measures that are not calculated in accordance with generally accepted accounting principles in the U.S. ("U.S. GAAP") including Operating net income, Operating EPS, Operating ROE and Operating ROAE, attritional loss ratio and catastrophe and large loss ratio, and therefore are non-GAAP financial measures. Reconciliations of such measures to the most comparable U.S. GAAP figures are included in the attached financial information in accordance with Regulation G.
Safe Harbor Regarding Forward-Looking Statements
This press release contains "forward-looking statements" which include all statements that do not relate solely to historical or current facts and which may concern our strategy, plans, targets, projections or intentions and are made pursuant to the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. Forward-looking statements can be identified by words such as: "continue," "grow," "opportunity," "create," "anticipate," "intend," "plan," "goal," "seek," "believe," "project," "estimate," "target," "tracking," "expect," "evolve," "achieve," "remain," "proactive," "pursue," "optimize," "emerge," "build," "looking ahead," "commit," "strategy," "predict," "potential," "assumption," "future," "likely," "may," "should," "could," "will" and the negative of these and also similar terms and phrases. Forward-looking statements are neither historical facts nor assurances of future performance. Instead, they are qualified by these cautionary statements, because they are based only on our current beliefs, expectations and assumptions regarding the future of our business, future plans and strategies, targets, projections, anticipated events and trends, the economy and other future conditions, but are subject to significant business, economic, legal and competitive uncertainties, many of which are beyond our control or are subject to change. Our actual results and financial condition may differ materially from those indicated in the forward-looking statements. Therefore, you should not rely on any of these forward-looking statements.
Examples of forward-looking statements may include, among others, statements we make in relation to: targeted operating results such as return on equity, net income and earnings and net earnings per share, underwriting profitability and target combined, loss and expense ratios, growth in gross premiums written and book value per share; our expectations regarding current settlement discussions, court cases and current settlement and litigation strategies; our expectations regarding our business, including the industries we operate in, and capital management strategy and the performance of our business; information regarding our estimates for catastrophes, claims and other loss events; our liquidity and capital resources; and expectations of the effect on our results of operations and financial condition of our loss claims, litigation, climate change impacts, contingent liabilities and governmental and regulatory investigations and proceedings.
Our actual results in the future could differ materially from those anticipated in any forward-looking statements as a result of changes in assumptions, risks, uncertainties and other factors impacting us, many of which are outside our control, including:
-- our ability to manage risks associated with macroeconomic conditions
including any escalation of the Ukraine Conflict or those in the Middle
East, or related sanctions and other geopolitical events globally;
-- trends related to premium rate hardening or premium rate softening
leading to a cyclical downturn of pricing in the (re)insurance industry;
-- the impact of inflation (including social inflation) or deflation in
relevant economies in which we operate;
-- our ability to evaluate and measure our business, prospects and
performance metrics and respond accordingly;
-- the failure of our risk management policies and procedures to be
adequate to identify, monitor and manage risks, which may leave us
exposed to unidentified or unanticipated risks;
-- any litigation to which we are party being resolved unfavorably to our
prior expectations, whether through court decisions or otherwise through
effecting settlements (where such settlements are capable of being
achieved), based on emerging information, the actions of other parties or
any other failure to resolve such litigation favorably;
-- the inherent unpredictability of litigation and any related settlement
negotiations which may or may not lead to an agreed settlement of
particular matters;
-- the outcomes of probabilistic models which are based on historical
assumptions and which can differ from actual results or other emerging
information as compared to such assumptions;
-- the less developed data and parameter inputs for industry catastrophe
models for perils such as wildfires and flood;
-- the effect of climate change on our business, including the trend
towards increasingly frequent and severe catastrophic events;
-- the possibility of greater frequency or severity of claims and loss
activity than our underwriting, reserving or investment practices have
anticipated;
-- the development and pattern of earned and written premiums impacting
embedded premium value;
-- the reliability of pricing, accumulation and estimated loss models;
-- the impact of complex causation and coverage issues associated with
attribution of losses;
-- the actual development of losses and expenses impacting estimates for
claims which arose as a result of loss activity, particularly for events
where estimates are preliminary until the development of such reserves
based on emerging information over time;
-- our ability to successfully implement our long-term strategy and
compete successfully with more established competitors and increased
competition relating to consolidation in the reinsurance and insurance
industries;
-- any downgrades, potential downgrades or other negative actions by
rating agencies relating to us or our industry;
-- changes to our strategic relationship with The Fidelis Partnership and
our dependence on the Delegated Underwriting Authority Agreements for our
underwriting and claims-handling operations;
-- our dependence on key executives and ability to attract qualified
personnel;
-- our dependence on letter of credit facilities that may not be available
on commercially acceptable terms;
-- our potential inability to pay dividends or distributions in accordance
with our current dividend policy, due to changing conditions;
-- availability of outwards reinsurance on commercially acceptable terms;
-- the recovery of losses and reinstatement premiums from our reinsurance
providers;
-- our potential need for additional capital in the future and the
potential unavailability of such capital to us on favorable terms or at
all;
-- our dependence on clients' evaluation of risks associated with such
clients' insurance underwriting;
-- the suspension or revocation of our subsidiaries' insurance licenses;
-- our potentially being subject to certain adverse tax or regulatory
consequences in the U.S., U.K. or Bermuda;
-- risks associated with our investment strategy such as market risk,
interest rate risk, currency risk and credit default risk;
-- the impact of tax reform and changes in the regulatory environment and
the potential for greater regulatory scrutiny of the Group as a result of
the outsourcing arrangements;
-- heightened risk of cybersecurity incidents and their potential impact
on our business;
-- risks associated with our use or anticipated use of emerging
technologies, such as artificial intelligence technologies, including
potential legal, regulatory and operational risks;
-- operational failures, including the operational risk associated with
outsourcing to The Fidelis Partnership, failure of information systems or
failure to protect the confidentiality of customer information, including
by service providers, or losses due to defaults, errors or omissions by
third parties and affiliates;
-- risks relating to our ability to identify and execute opportunities for
growth or our ability to complete transactions as planned or realize the
anticipated benefits of our acquisitions or other investments;
-- the Group's status as a foreign private issuer means that it will be
subject to the reporting obligations under the Securities Exchange Act of
1934, as amended, that, to some extent, are more lenient and less
frequent than those of a U.S. domestic public company;
-- our ability to maintain the listing of our common shares on NYSE or
another national securities exchange; and
-- the other risks, uncertainties and other factors disclosed under the
section titled 'Risk Factors' in our Annual Report on Form 20-F filed
with the SEC on March 11, 2025, as well as subsequent current reports and
other filings with the SEC available electronically at www.sec.gov.
The foregoing factors should not be construed as exhaustive and should be read together with the other cautionary statements included in our filings with the SEC. All forward-looking statements included herein are expressly qualified in their entirety by the cautionary statements contained or referred to therein. The forward-looking statements contained in this press release are neither promises nor guarantees, and you should not place undue reliance on these forward-looking statements because they involve known and unknown risks, uncertainties, and other factors, many of which are beyond our control and which could cause actual results, performance or achievements to differ materially from those expressed or implied by these forward-looking statements. Any forward-looking statements, expectations, beliefs and projections made by us in this press release speak only as of the date referenced on such date on which they are made and are expressed in good faith and our management believes that there is reasonable basis for them, based only on information currently available to us. There can be no assurance that
management's expectations, beliefs, and projections will be achieved and actual results may vary materially from what is expressed or indicated by the forward-looking statements. Furthermore, our past performance, and that of our management team and of The Fidelis Partnership, should not be construed as a guarantee of future performance. Except to the extent required by applicable laws and regulations, we undertake no obligation to update or revise any forward-looking statements contained in this press release, whether as a result of new information, future developments or otherwise. In light of these risks and uncertainties, you should keep in mind that any event described in a forward-looking statement might not occur.
FIDELIS INSURANCE HOLDINGS LIMITED Consolidated Balance Sheets At September
30, 2025 (Unaudited) and December 31, 2024 (Expressed in millions of U.S.
dollars, except for share and per share amounts)
September 30, December 31,
2025 2024
--------------- ----------------
Assets
Fixed maturity securities,
available-for-sale, at fair value
(amortized cost: $2,658.2, 2024:
$3,403.8 (net of allowance for credit
losses of $0.3, 2024: $5.9)) $ 2,710.5 $ 3,411.6
Short-term investments,
available-for-sale, at fair value
(amortized cost: $187.8, 2024: $221.9
(net of allowance for credit losses of
$nil, 2024: $nil)) 187.9 222.1
Other investments, at fair value 397.4 201.0
----------- ---------
Total investments 3,295.8 3,834.7
Cash and cash equivalents 892.5 743.0
Restricted cash and cash equivalents 196.5 203.6
Accrued investment income 23.9 35.3
Premiums and other receivables (net of
allowance for credit losses of $16.3,
2024: $11.8) 3,288.8 2,729.4
Amounts due from The Fidelis Partnership
(net of allowance for credit losses of
$nil, 2024: $nil) 380.7 208.9
Deferred reinsurance premiums 1,660.7 1,422.2
Reinsurance balances recoverable on paid
losses (net of allowance for credit
losses of $0.2, 2024: $0.2) 380.1 278.4
Reinsurance balances recoverable on
reserves for losses and loss adjustment
expenses (net of allowance for credit
losses of $0.8, 2024: $0.8) 1,131.8 1,255.6
Deferred policy acquisition costs
(includes The Fidelis Partnership
deferred commissions of $245.4, 2024:
$200.2) 1,064.4 877.9
Other assets 175.4 176.9
----------- ---------
Total assets $ 12,490.6 $ 11,765.9
=========== =========
Liabilities and shareholders' equity
Liabilities
Reserves for losses and loss adjustment
expenses $ 2,321.4 $ 3,134.3
Unearned premiums 4,377.9 3,651.5
Reinsurance balances payable 1,856.6 1,540.6
Amounts due to The Fidelis Partnership 544.1 385.8
Long term debt 842.9 448.9
Preference securities ($0.01 par,
redemption price and liquidation
preference $10,000) -- 58.4
Other liabilities 131.6 98.0
----------- ---------
Total liabilities 10,074.5 9,317.5
----------- ---------
Commitments and contingencies
Shareholders' equity
Common shares ($0.01 par, issued and
outstanding: 103,026,764, 2024:
111,730,209) 1.0 1.2
Common shares held in treasury, at cost
(shares held: nil, 2024: 6,570,003) -- (105.5)
Additional paid-in capital 1,801.7 2,044.6
Accumulated other comprehensive income 40.1 4.5
Retained earnings 573.3 503.6
----------- ---------
Total shareholders' equity 2,416.1 2,448.4
----------- ---------
Total liabilities and shareholders'
equity $ 12,490.6 $ 11,765.9
=========== =========
FIDELIS INSURANCE HOLDINGS LIMITED
Consolidated Statements of Income and Comprehensive Income (Unaudited)
For the three and nine months ended September 30, 2025 and September 30, 2024
(Expressed in millions of U.S. dollars, except for share and per share amounts)
Three Months Ended Nine Months Ended
---------------------------- ------------------------------
September 30, September 30, September 30, September 30,
2025 2024 2025 2024
------------- ------------- ------------- ---------------
Revenues
Gross premiums written $ 797.5 $ 741.9 $ 3,739.4 $ 3,449.4
Reinsurance premiums
ceded (293.3) (274.0) (1,509.9) (1,533.5)
----------- ----------- ----------- -----------
Net premiums written 504.2 467.9 2,229.5 1,915.9
Change in net unearned
premiums 95.6 166.6 (488.7) (292.3)
----------- ----------- ----------- -----------
Net premiums earned 599.8 634.5 1,740.8 1,623.6
Net investment income 45.9 52.1 140.0 139.1
Net realized and
unrealized investment
gains/(losses) 6.2 (0.5) 18.8 (16.5)
----------- ----------- ----------- -----------
Total revenues 651.9 686.1 1,899.6 1,746.2
----------- ----------- ----------- -----------
Expenses
Losses and loss
adjustment expenses 180.7 237.8 906.6 642.8
Policy acquisition
expenses (includes The
Fidelis Partnership
commissions of $87.1
and $236.1 (2024: $97.3
and $249.0)) 266.4 294.0 752.3 724.2
General and
administrative
expenses 27.2 22.7 71.5 70.7
Corporate and other
expenses -- -- 1.2 1.6
Net foreign exchange
losses 1.7 4.8 2.2 4.9
Financing costs 15.1 8.9 33.1 26.1
----------- ----------- ----------- -----------
Total expenses 491.1 568.2 1,766.9 1,470.3
----------- ----------- ----------- -----------
Income before income
taxes 160.8 117.9 132.7 275.9
----------- ----------- ----------- -----------
Income tax expense (30.3) (17.3) (25.0) (40.4)
----------- ----------- ----------- -----------
Net income $ 130.5 $ 100.6 $ 107.7 $ 235.5
----------- ----------- ----------- -----------
Other comprehensive
income
Unrealized gains on
available-for-sale
investments $ 10.5 $ 79.0 $ 47.1 $ 70.4
Reclassification of net
realized losses/(gains)
recognized in net
income (1.3) 6.0 (2.9) 19.5
Income tax expense, all
of which relates to
unrealized gains on
available-for-sale
investments (1.8) (6.6) (8.6) (6.8)
----------- ----------- ----------- -----------
Total other
comprehensive income 7.4 78.4 35.6 83.1
----------- ----------- ----------- -----------
Comprehensive income $ 137.9 $ 179.0 $ 143.3 $ 318.6
----------- ----------- ----------- -----------
Per share data
Earnings per common
share
Earnings per
common share $ 1.25 $ 0.88 $ 1.00 $ 2.02
Earnings per
diluted common
share $ 1.24 $ 0.88 $ 0.99 $ 2.02
Weighted
average
common
shares
outstanding 104,370,380 114,445,447 108,156,265 116,390,461
Weighted
average
diluted
common
shares
outstanding 105,006,130 114,734,526 108,635,908 116,845,991
FIDELIS INSURANCE HOLDINGS LIMITED Consolidated Segment Data
(Unaudited) For the three and nine months ended September 30, 2025
and September 30, 2024 (Expressed in millions of U.S. dollars)
Three Months Ended September 30, 2025
---------------------------------------------------
Insurance Reinsurance Other Total
------------ --------------- ------- -----------
Gross premiums
written $ 605.8 $ 191.7 $ -- $ 797.5
Net premiums
written 388.5 115.7 -- 504.2
Net premiums
earned 456.5 143.3 -- 599.8
Losses and loss
adjustment
expenses (177.0) (3.7) -- (180.7)
Policy
acquisition
expenses (137.2) (42.1) (87.1) (266.4)
General and
administrative
expenses -- -- (27.2) (27.2)
------ --- ------ --- ------
Underwriting
income 142.3 97.5 125.5
Net investment
income 45.9
Net realized
and unrealized
investment
gains 6.2
Net foreign
exchange
losses (1.7)
Financing costs (15.1)
------
Income before
income taxes 160.8
------
Income tax
expense (30.3)
------
Net income $ 130.5
======
Losses and loss
adjustment
expenses
incurred -
current year (179.7) (17.0) $(196.7)
Losses and loss
adjustment
expenses
incurred -
prior accident
years 2.7 13.3 16.0
------ --- ------ --- ------
Losses and loss
adjustment
expenses
incurred -
total $(177.0) $ (3.7) $(180.7)
------ ------ ------
Underwriting
Ratios(1)
Loss ratio -
current year 39.4% 11.9% 32.8%
Loss ratio -
prior accident
years (0.6%) (9.3%) (2.7%)
------ ------ ------
Loss ratio -
total 38.8% 2.6% 30.1%
Policy
acquisition
expense ratio 30.1% 29.4% 29.9%
------ ------ ------
Underwriting
ratio 68.9% 32.0% 60.0%
The Fidelis
Partnership
commissions
ratio 14.5%
General and
administrative
expense ratio 4.5%
------
Combined ratio 79.0%
======
________________
(1) Underwriting ratios are calculated by dividing the related
expense by net premiums earned.
Three Months Ended September 30, 2024
---------------------------------------------------
Insurance Reinsurance Other Total
------------ --------------- ------- -----------
Gross premiums
written $ 582.5 $ 159.4 $ -- $ 741.9
Net premiums
written 392.8 75.1 -- 467.9
Net premiums
earned 475.9 158.6 -- 634.5
Losses and loss
adjustment
expenses (201.7) (36.1) -- (237.8)
Policy
acquisition
expenses (159.5) (37.2) (97.3) (294.0)
General and
administrative
expenses -- -- (22.7) (22.7)
------ --- ------ --- ------
Underwriting
income 114.7 85.3 80.0
Net investment
income 52.1
Net realized
and unrealized
investment
losses (0.5)
Net foreign
exchange
losses (4.8)
Financing costs (8.9)
------
Income before
income taxes 117.9
------
Income tax
expense (17.3)
------
Net income $ 100.6
======
Losses and loss
adjustment
expenses
incurred -
current year (198.8) (49.1) $(247.9)
Losses and loss
adjustment
expenses
incurred -
prior accident
years (2.9) 13.0 10.1
------ ------ --- ------
Losses and loss
adjustment
expenses
incurred -
total $(201.7) $ (36.1) $(237.8)
------ ------ ------
Underwriting
Ratios(1)
Loss ratio -
current year 41.8% 31.0% 39.1%
Loss ratio -
prior accident
years 0.6% (8.2%) (1.6%)
------ ------ ------
Loss ratio -
total 42.4% 22.8% 37.5%
Policy
acquisition
expense ratio 33.5% 23.5% 31.0%
------ ------ ------
Underwriting
ratio 75.9% 46.3% 68.5%
The Fidelis
Partnership
commissions
ratio 15.3%
General and
administrative
expense ratio 3.6%
------
Combined ratio 87.4%
======
________________
(1) Underwriting ratios are calculated by dividing the related
expense by net premiums earned.
Nine months ended September 30, 2025
-----------------------------------------------------
Insurance Reinsurance Other Total
------------ --------------- -------- ------------
Gross premiums
written $2,775.1 $ 964.3 $ -- $3,739.4
Net premiums
written 1,743.6 485.9 -- 2,229.5
Net premiums
earned 1,427.3 313.5 -- 1,740.8
Losses and loss
adjustment
expenses (750.2) (156.4) -- (906.6)
Policy
acquisition
expenses (434.3) (81.9) (236.1) (752.3)
General and
administrative
expenses -- -- (71.5) (71.5)
------- ------- -------
Underwriting
income 242.8 75.2 10.4
Net investment
income 140.0
Net realized
and unrealized
investment
gains 18.8
Corporate and
other
expenses (1.2)
Net foreign
exchange
losses (2.2)
Financing costs (33.1)
-------
Income before
income taxes 132.7
-------
Income tax
expense (25.0)
-------
Net income $ 107.7
=======
Losses and loss
adjustment
expenses
incurred -
current year (647.0) (227.2) $ (874.2)
Losses and loss
adjustment
expenses
incurred -
prior accident
years (103.2) 70.8 (32.4)
------- ------- -------
Losses and loss
adjustment
expenses
incurred -
total $ (750.2) $ (156.4) $ (906.6)
------- ------- -------
Underwriting
Ratios(1)
Loss ratio -
current year 45.4% 72.5% 50.2%
Loss ratio -
prior accident
years 7.2% (22.6%) 1.9%
------- ------- -------
Loss ratio -
total 52.6% 49.9% 52.1%
Policy
acquisition
expense ratio 30.4% 26.1% 29.7%
------- ------- -------
Underwriting
ratio 83.0% 76.0% 81.8%
The Fidelis
Partnership
commissions
ratio 13.6%
General and
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November 12, 2025 16:15 ET (21:15 GMT)