Global Indemnity Group LLC (GBLI) 2025 Q3 法說會逐字稿

Good morning, ladies and gentlemen, and thank you for standing by. My name is Kelvin, and I will be your conference operator today. At this time, I would like to welcome everyone to the Global Indemnity Group Q3 2025 earnings call. (Operator Instructions)

女士們、先生們，早安，感謝各位的耐心等待。我叫凱爾文，今天我將擔任你們的會議接線生。在此，我謹代表環球保險集團歡迎各位參加 2025 年第三季業績電話會議。（操作說明）

I would now like to turn the call over to Nathaniel DeRose, Senior Vice President and Senior Counsel. Please go ahead.

現在我願將電話轉交給高級副總裁兼高級法律顧問納撒尼爾·德羅斯。請繼續。

Thank you, operator. Before we begin today, I would like to remind everyone that this conference call may contain forward-looking statements. Some of the forward-looking statements can be identified by the use of forward-looking words, including, without limitation, beliefs, expectations, or estimates.

謝謝接線生。在今天的會議開始之前，我想提醒大家，這次電話會議可能包含前瞻性陳述。有些前瞻性陳述可以透過使用前瞻性字詞來識別，包括但不限於信念、預期或估計。

We caution you that such forward-looking statements should not be regarded as a representation by us that the future plans, estimates, or expectations contemplated by us will, in fact, be achieved. Please refer to our annual report on Form 10-K and our other filings with the SEC for a description of the business environment in which we operate and the important factors that may materially affect our results.

我們提醒您，此類前瞻性聲明不應被視為我們對未來計劃、估計或預期將會實現的保證。有關我們所處的商業環境以及可能對我們的業績產生重大影響的重要因素的描述，請參閱我們的 10-K 表格年度報告以及我們向美國證券交易委員會提交的其他文件。

We do not undertake any obligation to publicly update or revise any forward-looking statements, whether as a result of new information or future events or otherwise, except as required by law. It is now my pleasure to turn the call over to Mr. Jay Brown, Chief Executive Officer of Global Indemnity.

除法律要求外，我們不承擔因新資訊、未來事件或其他原因而公開更新或修訂任何前瞻性聲明的義務。現在我很高興將電話轉交給環球保險公司執行長傑伊·布朗先生。

Thank you, Nathaniel. Good morning, and thank you for joining us for the Global Indemnity third-quarter results conference call. With me today in addition to Nathaniel are Evan Kasowitz, President of Belmont Holdings; Praveen Reddy, President and CEO of Katalyx Holdings; and Brian Riley, our Chief Financial Officer.

謝謝你，納撒尼爾。早安，感謝各位參加環球保險第三季業績電話會議。今天與我一起出席的還有 Nathaniel，以及 Belmont Holdings 總裁 Evan Kasowitz；Katalyx Holdings 總裁兼執行長 Praveen Reddy；以及我們的財務長 Brian Riley。

Following our usual format, I will first share overview comments on my assessments of this quarter's results. I will also offer some thoughts on our current positioning as a company as I conclude my third year as CEO. Then our CFO, Brian Riley, will present the highlights of our financial and operational results. After Brian's remarks, we look forward to your questions.

按照慣例，我將首先分享我對本季業績評估的概述性評論。在我擔任執行長的第三年即將結束之際，我也想就我們公司目前的定位提出一些看法。接下來，我們的財務長布萊恩·萊利將介紹我們財務和營運績效的重點。布萊恩發言結束後，我們期待大家提問。

This quarter's results continue the underlying positive insurance operating and investment trends that we have seen over the last several quarters. Our accident year combined ratio of 90.4% -- I'm going to say it twice -- 90.4% generated an underwriting profit of $10.2 million, a very nice increase over the 93.5% we recorded last year.

本季的業績延續了過去幾季以來保險業營運和投資的正面趨勢。我們的事故年度綜合比率為 90.4%——我要說兩次——90.4% 產生了 1020 萬美元的承保利潤，比我們去年記錄的 93.5% 有了非常可觀的增長。

This was our best quarterly accident year combined ratio in the past several years, reflecting underlying strong property results for both catastrophic losses and non-cat losses. Our short-duration investment portfolio delivered acceptable net investment income results at $17.9 million, a 9% increase from the prior-year period.

這是我們近幾年來最好的季度事故年度綜合比率，反映出無論是巨災損失還是非巨災損失，財產險業績都十分強勁。我們的短期投資組合實現了可接受的淨投資收益，達到 1,790 萬美元，比去年同期成長了 9%。

However, we did see a modest short-term, mark-to-market loss this quarter as we have started to shift away from a portfolio consisting substantially of shorter-term fixed income investments. The overall extremely positive insurance and investment results were slightly offset by the planned higher corporate expenses as we continue to invest in our Agency and Insurance Services segment.

然而，由於我們開始減少主要由短期固定收益投資組成的投資組合，本季我們確實看到了適度的短期市值損失。整體而言，保險和投資績效非常積極，但由於我們繼續投資於代理和保險服務部門，因此計劃增加的企業支出略微抵消了這一積極影響。

Brian will provide some details on the areas where corporate expenses are increasing. But as we've noted earlier in the year, these investments are intended to help drive the long-term anticipated growth. Overall, the resulting net income of $12.5 million remains consistent with the results from last year. And underlying operating income increased by 19% against last year, a nice year-over-year change.

布萊恩將詳細介紹企業支出不斷增加的領域。但正如我們今年稍早指出的那樣，這些投資旨在幫助推動預期的長期成長。總體而言，最終淨收入為 1,250 萬美元，與去年的業績保持一致。基本營業收入較去年同期增長了 19%，這是一個不錯的同比增長。

Moving from the bottom line to the top line for insurance operations, excluding terminated products, gross premium grew 13% over the third quarter of 2024. As noted in our results release, we again saw very solid, sustainable growth in Vacant Express, Collectibles, Wholesale Commercial, and Assumed Reinsurance.

從保險業務的盈虧情況來看，不包括已終止的產品，2024 年第三季毛保費成長了 13%。正如我們在業績報告中所述，我們在空置快速保險、收藏品、批發商業保險和承保再保險領域再次實現了非常穩健、可持續的成長。

Premium rate changes on our direct book are still running in the mid-single digits, which, coupled with exposure changes, are tracking close to our current expectations for loss trends. That said, it is clear that although the market remains favorable for our current products, competition is definitely increasing.

我們直接業務的保費率變化仍然保持在個位數中段，加上風險敞口的變化，與我們對損失趨勢的當前預期基本一致。也就是說，雖然目前的產品市場仍然有利，但競爭無疑正在加劇。

Turning from the quarterly financials, our efforts under our Project Kaleidoscope team to revamp our technology and data infrastructure, information management, and policy issuance systems continues to be on track. Our current plans are to have all of our existing products on the new system architecture in 2026, which has been designed to be compatible with our expanding investments in AI technology.

從季度財務數據來看，我們的「萬花筒計畫」團隊正在努力改善我們的技術和數據基礎設施、資訊管理和政策發布系統，目前一切進展順利。我們目前的計劃是到 2026 年將所有現有產品遷移到新的系統架構上，該架構的設計旨在與我們不斷擴大的人工智慧技術投資相容。

Our progress over the past three years has been significant as we initially refocused our business on sectors where we had long-term success and adjusted our staff accordingly to serve that business. This is evident in the steady improvement of our accident results over the three years and continued double-digit growth in our ongoing businesses.

過去三年，我們取得了顯著進展，最初我們將業務重點重新放在我們取得長期成功的領域，並相應地調整了員工隊伍以服務於該業務。這一點從我們三年來的事故處理結果穩步改善以及我們持續經營業務兩位數的成長中可見一斑。

Having built a strong foundation, we launched a new legal and organizational structure at the beginning of the year. Following the addition of Praveen Reddy in March, we have started to augment our existing underwriting and distribution human capital resources with additional staffing in key underwriting and finance positions.

在奠定了堅實的基礎之後，我們在年初推出了新的法律和組織結構。繼 3 月 Praveen Reddy 加入公司後，我們已開始透過在關鍵承保和財務職位上增加人員來增強我們現有的承保和分銷人力資本資源。

As we have previously discussed, our focus remains on executing our strategy to achieve substantial scale in our Agency and Insurance Services segment, including through organic growth, new product launches, service enhancements, and strategic acquisitions.

正如我們之前討論過的，我們的重點仍然是執行我們的策略，以在我們的代理和保險服務部門實現實質的規模，包括透過內生成長、新產品推出、服務改進和策略收購。

We also recently announced the rebranding of this group to Katalyx. Along these lines, we purchased Sayata last month, a high-tech AI-enabled digital distribution marketplace and agency operations for commercial insurance. We believe this acquisition directly supports our strategy to deliver faster, smarter distribution solutions for specialty insurance and new products.

我們最近也宣布將該集團更名為 Katalyx。基於此，我們上個月收購了 Sayata，這是一個高科技人工智慧驅動的商業保險數位分銷市場和代理商營運平台。我們相信此次收購將直接支持我們為特殊保險和新產品提供更快、更聰明的分銷解決方案的策略。

We recognize that it will take a while for the market to properly value GBLI in our new configuration with appropriate metrics for the different segments as they grow at different rates. To address this, we have added external resources at KCSA to ensure our company's story is properly communicated to our investors.

我們認識到，市場需要一段時間才能根據不同細分市場的適當指標，對我們新配置下的 GBLI 進行適當的估值，因為各個細分市場的成長速度不同。為了解決這個問題，我們在 KCSA 增加了外部資源，以確保我們公司的故事能正確傳達給我們的投資者。

I should also note that our Board has made the decision to move our stock listing to the Nasdaq exchange, which is viewed as more appropriate for a company like ours embarking on a new chapter in its history. I firmly believe that our existing core business, coupled with our reorganized structure and strategic efforts, will yield substantial value to our owners in the next few years.

我還應該指出，我們的董事會已決定將我們的股票上市地點轉移到納斯達克交易所，這對於像我們這樣一家正在開啟歷史新篇章的公司來說，被認為更加合適。我堅信，我們現有的核心業務，加上重組後的結構和戰略舉措，將在未來幾年為我們的所有者帶來巨大的價值。

At this point, I will turn it over to Brian.

接下來，我將把麥克風交給布萊恩。

Thank you, Jay. Starting with one of our most important metrics, book value per share increased from $48.35 at June 30 to $48.88 at September 30. Including dividends paid of $0.35 per share, return to shareholders was 1.8% for the third quarter of 2025. Net income was $12.5 million for the third quarter compared to $12.8 million for that same period last year.

謝謝你，傑伊。先來看看我們最重要的指標之一，每股帳面價值從 6 月 30 日的 48.35 美元增加到 9 月 30 日的 48.88 美元。包括每股0.35美元的股利在內，2025年第三季股東報酬率為1.8%。第三季淨利為 1,250 萬美元，而去年同期為 1,280 萬美元。

And as Jay mentioned, operating income, which excludes after-tax impact of unrealized losses on equity securities, was $15.7 million for the third quarter, an increase of 19% over the same period last year. Key drivers came from both underwriting income and investment income.

正如傑伊所提到的，第三季營業收入（不包括股權證券未實現損失的稅後影響）為 1,570 萬美元，比去年同期成長 19%。主要驅動因素來自承保收入和投資收入。

Underwriting income improved 54% to $10.2 million in the third quarter of '25 compared to $6.6 million for the same period last year. Investment income improved by 9% to $17.9 million in the third quarter of 2025 compared to $16.5 million in the same period last year.

2025 年第三季承保收入成長 54%，達到 1,020 萬美元，去年同期為 660 萬美元。2025 年第三季投資收益成長 9%，達到 1,790 萬美元，去年同期為 1,650 萬美元。

This improvement was partially offset by an increase in corporate expenses to $7.8 million in the third quarter compared to $5.9 million for the same period last year, resulting from professional fees related to the build-out of personnel at Katalyx and transaction costs related to the acquisition of Sayata. As Jay mentioned, our corporate expenses will likely remain higher than previous years as we prospect new business opportunities at Katalyx and Belmont.

這項改善被第三季公司支出增加部分抵消，該支出從去年同期的 590 萬美元增加到 780 萬美元，這是由於 Katalyx 人員擴充相關的專業費用以及收購 Sayata 相關的交易成本所致。正如 Jay 所提到的，由於我們在 Katalyx 和 Belmont 尋求新的業務機會，我們的公司支出可能會高於往年。

Let me add a little color on underwriting income and investments, starting with underwriting income. Current accident year underwriting income improved by $3.6 million overall, driven by an improvement in the combined ratio of 3.1 points to 90.4%.

讓我再補充一些關於承保收入和投資的信息，首先從承保收入說起。本事故年度承保收入整體成長了 360 萬美元，這主要得益於綜合比率改善了 3.1 個百分點，達到 90.4%。

This consisted of a 4-point improvement on the loss ratio to 50.1%, driven by both cat and non-cat performance. This is partially offset by an increase in the expense ratio of 1.7 points. Expenses remain elevated as we add personnel to build out Katalyx and complete the runoff of our noncore businesses.

這包括損失率降低 4 個百分點至 50.1%，這得益於貓科動物和非貓科動物的表現提升。但這部分被費用率上升1.7個百分點抵銷。由於我們需要增加人員來發展 Katalyx 並完成非核心業務的剝離，因此支出仍然居高不下。

Turning to premiums, consolidated gross written premiums increased 9% to $108.4 million in the third quarter of '25 compared to $99.8 million in the same period last year. As Jay mentioned, excluding terminated products, gross written premiums increased 13% to $108.5 million compared to $96.4 million for the same period last year.

再來看保費，2025 年第三季綜合毛保費收入成長 9%，達到 1.084 億美元，去年同期為 9,980 萬美元。正如傑伊所提到的，如果排除已終止的產品，毛保費收入成長 13%，達到 1.085 億美元，而去年同期為 9,640 萬美元。

Let me add a little color to divisional level. Our Wholesale Commercial business, Penn-America, which focuses on Main Street small business, grew 10% to $67.9 million compared to $61.9 million in the same period last year and includes average rate increase of 4%. In aggregate, Vacant Express and Collectibles grew 5% to $16.4 million in the third quarter compared to $15.7 million in the same period last year, driven by rate and growth in agency appointments.

讓我為部門層面增添一些色彩。我們的批發商業業務 Penn-America 專注於服務大街小巷的小型企業，與去年同期相比增長了 10%，達到 6,790 萬美元，而去年同期為 6,190 萬美元，其中包括 4% 的平均費率增長。第三季度，Vacant Express 和 Collectibles 的總收入成長了 5%，達到 1,640 萬美元，而去年同期為 1,570 萬美元，這主要得益於代理機構任命率和成長。

Our Assumed Reinsurance gross premiums, excluding noncore business, grew 58% to $15.6 million, resulting from seven new treaties we added during 2024 and five new treaties added in 2025, increasing our in-force treaties to 16 at September 30.

不包括非核心業務，我們的假定再保險毛保費增長了 58%，達到 1560 萬美元，這得益於我們在 2024 年新增的 7 項再保險合約和 2025 年新增的 5 項再保險合約，截至 9 月 30 日，我們的有效再保險合約數量增至 16 筆保險合約數量。

Specialty Products, excluding the terminated products, remained flat at $8.6 million. As for investments, total investment return was $14.5 million for the third quarter of '25, with an annualized return of 4%, consisting of $17.9 million of investment income and $3.4 million decline in fair value on the portfolio.

不包括已終止銷售的產品，特種產品銷售額維持穩定，為 860 萬美元。至於投資方面，2025 年第三季總投資報酬率為 1,450 萬美元，年化報酬率為 4%，其中包括 1,790 萬美元的投資收益和 340 萬美元的投資組合公允價值下降。

Investment income on our fixed income portfolio was $15.2 million for the quarter compared to $15.8 million for the same period last year. Current book yield on the fixed income portfolio is 4.5%, with a duration of 1.1 years at September 30 compared to December 31, 2024, of 4.4% with a duration of 0.8 years.

本季我們固定收益投資組合的投資收益為 1,520 萬美元，而去年同期為 1,580 萬美元。截至 9 月 30 日，固定收益投資組合的當前帳面收益率為 4.5%，久期為 1.1 年；而到 2024 年 12 月 31 日，該收益率為 4.4%，久期為 0.8 年。

The average credit quality of the fixed income portfolio remains at AA-. Our outlook for 2025 is very positive. Our underwriting income, ex the impact of California wildfires in the first quarter, of $21.2 million for the first nine months of '25 compares to $15.3 million for the same period last year.

固定收益投資組合的平均信用品質維持在AA-等級。我們對2025年的前景非常樂觀。2025 年前九個月，我們的承保收入（不包括第一季加州野火的影響）為 2,120 萬美元，而去年同期為 1,530 萬美元。

Our underwriting performance for the fourth quarter of '25 is expected to improve compared to the same period in '24. We continue to expect premium growth of 10% for the full year. Booked reserves remain solidly above our current actuarial indications. We believe the premium pricing is continuing to track with loss inflation.

我們預計 2025 年第四季的承保業績將比 2024 年同期有所改善。我們仍然預計全年保費成長10%。已確認儲備金仍遠高於我們目前的精算指標。我們認為保費定價將繼續與損失通膨保持同步。

Discretionary capital, which we consider the amount of consolidated equity in excess of that required to maintain the strongest levels with our rating agencies, is $273 million at September 30. Lastly, our investment portfolio remains well positioned to invest in longer-duration maturities at higher yields.

截至 9 月 30 日，可自由支配資本（我們認為是指超過維持評級機構最高評級所需金額的合併權益）為 2.73 億美元。最後，我們的投資組合仍然能夠很好地投資於收益率較高的長期債券。

Thank you. We will now take your questions.

謝謝。現在開始回答各位的問題。

(Operator Instructions) Ross Haberman, RLH Investments.

（操作說明）羅斯·哈伯曼，RLH 投資公司。

Morning, gentlemen. Nice quarter. Could you go back to the investment losses of $4 million you took in the quarter and sort of give us an explanation of why you decided to take -- realize the loss? And will there be similar type of losses in the next couple of quarters as you say, as you restructure and/or sell some of your bond portfolio? Thank you.

早安，先生們。不錯的街區。您能否回顧一下本季您確認的 400 萬美元投資損失，並解釋一下您當時決定確認損失的原因？正如您所說，在接下來的幾個季度裡，隨著您重組和/或出售部分債券投資組合，是否會出現類似的損失？謝謝。

Yeah. Ross, to be clear, the loss was not realized in the form of a sale. It's a fair value decline on $25 million in equities that we invested in the third quarter. We view it as short term.

是的。羅斯，需要澄清的是，這筆損失並沒有以出售的形式實現。這是我們在第三季投資的 2500 萬美元股票的合理價值下跌。我們認為這是短期的。

Okay. And I think you said you're going to restructure investment portfolio? Could you elaborate on that a little bit and the reason why?

好的。我記得你說過你要重組投資組合？您能否詳細解釋一下原因？

Yeah. I mean, so far this year, we've deployed $200 million of our short-term investments into corporates and mortgage-backed securities right now. We're at -- approximately 40% of the portfolio is short term. And we're evaluating how to invest over the next quarter and/or next five quarters those short-term investments.

是的。我的意思是，今年到目前為止，我們已經將 2 億美元的短期投資投入企業和抵押貸款支持證券。目前，我們投資組合中約有 40% 是短期投資。我們正在評估如何在接下來的一個季度和/或接下來的五個季度進行這些短期投資。

I'm sorry, just one clarification. What percentage of your investment portfolio is equities as opposed to bonds?

不好意思，我還有一點要澄清。在您的投資組合中，股票佔比是多少？債券佔比又是多少？

Equity is about 2%.

權益約為2%。

Thank you very much.

非常感謝。

Tom Kerr, Zacks SCR.

Tom Kerr，Zacks SCR。

Good morning, guys. You mentioned competition is increasing. Can you give us any more color on that, where it's happening, and why it's happening now?

各位早安。你提到競爭日益激烈。您能否詳細介紹一下這件事，例如它發生在哪裡，以及為什麼現在會發生？

For our current product lines, which are basically focused on small commercial or very small personal collections, et cetera, in our Collectibles business or Vacant Express, we don't see the kind of competition you'd see in larger premium where it starts earlier. We're just beginning to see some of that pressure emerge as we're selling new products to new customers. It's a little bit -- I would say it's a little bit more competitive than last year.

對於我們目前的產品線，基本上都集中在小型商業或非常小的個人收藏等領域，在我們的收藏品業務或 Vacant Express 中，我們沒有看到像大型高端市場那樣更早開始的競爭。隨著我們向新客戶銷售新產品，我們才開始感受到一些壓力。我覺得今年的競爭比去年更激烈一些。

I think the important thing is at this point in time, for the business we're writing, we're still achieving the same kind of levels that our current book is priced at. So we're very optimistic about what we have on the books and what we're earning. But we do see that there's going to be pressure as we move into '26 and '27.

我認為重要的是，就我們目前所撰寫的商業內容而言，我們仍然能夠達到與我們目前書籍定價相同的水平。因此，我們對帳面上的業績和收入都非常樂觀。但我們確實看到，隨著我們進入 2026 年和 2027 年，將會面臨壓力。

Okay. And speaking of 2026, do we still have a handle that it's going to be double-digit premium growth? Or any comment looking forward on that?

好的。說到 2026 年，我們是否仍可以預期保費將達到兩位數成長？或者您對此有何展望？

I am very optimistic it will be at least double digit. It's not going to be triple digit; I'm only kidding. We're sticking with our approach, which we expect our baseline of existing products will continue to grow at 10%. However, we will see an increase in overall growth rates as we start to add new products and new operations in Katalyx.

我非常樂觀地認為，至少會達到兩位數。不會到三位數；我開玩笑的。我們將繼續採取我們的方法，預計現有產品的基準成長率將繼續保持 10%。但是，隨著我們在 Katalyx 中開始增加新產品和新業務，我們將看到整體成長率的提高。

Got it. Last question. Did you give a discretionary capital number? Sorry if I missed that.

知道了。最後一個問題。你提供過可自由支配資本金金額嗎？如果我錯過了，請見諒。

$273 million.

2.73億美元。

All right. That's up from $260 million to $273 million. All right, thanks. That's all I got for now.

好的。從 2.6 億美元增加到 2.73 億美元。好的，謝謝。我目前就掌握這些資訊。

We will now move to our web questions. Your next question comes from [Michael O'Brien]. One great way to get your message out and show that you believe there is real value in your stock would be able to implement and execute on a buyback program. Any thoughts?

接下來我們將進入網路問答環節。你的下一個問題來自[邁克爾·奧布萊恩]要有效地傳達你的訊息，並表明你相信你的股票具有真正的價值，一個好方法就是實施和執行股票回購計畫。有什麼想法嗎？

Sure. The -- I think we've been pretty consistent for the last two or three quarters that given the amount of money we're investing to restructure our organization -- the reorganization we began at the beginning of the year -- we think we're going to have a significant amount of growth going into '26 and '27.

當然。我認為，在過去兩三個季度裡，我們一直保持著相當穩定的態度，考慮到我們投入了大量資金來重組我們的組織——我們從年初開始的重組——我們認為，在 2026 年和 2027 年，我們將迎來顯著的增長。

As such, the Board has made the decision, at least in the short term, meaning in the next three, four, five quarters, that we're going to deploy our capital into those growth opportunities rather than buy back stock. It's obviously a question that's been asked every quarter, and we have not changed our position going forward.

因此，董事會決定，至少在短期內，也就是在接下來的三、四、五個季度裡，我們將把資金投入這些成長機會中，而不是回購股票。顯然，這是一個每季都會被問到的問題，而我們對此的立場不會改變。

There are no further questions at this time. And with that, I will turn the call back over to Nathaniel DeRose for closing remarks. Please go ahead.

目前沒有其他問題了。接下來，我將把電話轉回給納撒尼爾·德羅斯，請他作總結發言。請繼續。

With that, we thank you all for joining us. We look forward to speaking with you about our year-end results at that time. Thank you.

最後，感謝各位的參與。我們期待屆時與您討論我們的年終業績。謝謝。

Ladies and gentlemen, this concludes today's call. We thank you for participating. You may now disconnect.

女士們、先生們，今天的電話會議到此結束。感謝您的參與。您現在可以斷開連線了。