Mar 31, 2021

James River Q1 2021 Earnings Report

James River reported a net loss and an adjusted net operating loss for Q1 2021.

Key Takeaways

James River Group Holdings reported a net loss of $103.5 million for the first quarter of 2021, compared to a net loss of $36.8 million for the same period in 2020. The adjusted net operating loss for the first quarter of 2021 was $108.8 million, compared to an adjusted net operating income of $15.4 million for the same period in 2020. The company experienced higher than expected reported losses in its large commercial auto account in runoff, leading to a material strengthening of reserves.

Net loss of $103.5 million and adjusted net operating loss of $108.8 million.

Core Excess and Surplus Lines gross written premium grew by 35.6%.

Expense ratio decreased to 28.9% from 34.2% in the prior year quarter.

Unfavorable development in the E&S segment was $168.7 million, including $170.0 million in Commercial Auto.

Total Revenue
$161M
Previous year: $146M
+10.1%
EPS
-$3.54
Previous year: $0.5
-808.0%
Combined Ratio
199.2%
Previous year: 100.6%
+98.0%
Expense Ratio
28.9%
Previous year: 34.2%
-15.5%
Loss Ratio
170.3%
Previous year: 66.4%
+156.5%
Gross Profit
$136M
Previous year: $58.5M
+131.6%
Cash and Equivalents
$183M
Previous year: $291M
-37.0%
Free Cash Flow
-$81M
Previous year: -$65.6M
+23.4%
Total Assets
$5.11B
Previous year: $5B
+2.3%

James River

James River

James River Revenue by Segment

Forward Guidance

The company expects the full year 2021 tax rate to approximate the 26.5% reported for the first quarter of 2021.

Revenue & Expenses

Visualization of income flow from segment revenue to net income