Dec 31, 2019

James River Q4 2019 Earnings Report

James River reported strong Q4 2019 results, marked by a low combined ratio and a record underwriting profit.

Key Takeaways

James River Group Holdings reported a net income of $20.5 million ($0.67 per diluted share) for Q4 2019, compared to $11.6 million ($0.38 per diluted share) for Q4 2018. Adjusted net operating income for the fourth quarter of 2019 was $23.3 million ($0.76 per diluted share), compared to $17.1 million ($0.56 per diluted share) for the same period in 2018. The combined ratio was 93.8%, and the underwriting profit was $13.6 million.

Net income reached $20.5 million, or $0.67 per diluted share.

Adjusted net operating income was $23.3 million, or $0.76 per diluted share.

Combined ratio improved to 93.8%, the lowest in three years.

Underwriting profit hit $13.6 million, the highest since becoming a public company in 2014.

Total Revenue
$221M
Previous year: $202M
+9.7%
EPS
$0.76
Previous year: $0.56
+35.7%
Combined Ratio
93.8%
Previous year: 96.5%
-2.8%
Expense Ratio
16.4%
Previous year: 21.3%
-23.0%
Loss Ratio
77.4%
Previous year: 75.2%
+2.9%
Gross Profit
$736M
Previous year: $684M
+7.6%
Cash and Equivalents
$207M
Previous year: $172M
+20.0%
Free Cash Flow
$1.28B
Total Assets
$5.02B
Previous year: $3.14B
+60.2%

James River

James River

James River Revenue by Segment

Forward Guidance

The strong rate environment, coupled with a 27% growth in submissions during the fourth quarter, positions us well for 2020.

Revenue & Expenses

Visualization of income flow from segment revenue to net income