Exhibit 99.1

 

 

img266282701_0.gif

 

For Immediate Release — November 4, 2026

Global Indemnity Group, LLC Reports Financial Results for the three and nine months ended September 30, 2026

 

 

 

Wilmington, Del., (November 4, 2026) — Global Indemnity Group, LLC (Nasdaq: GBLI) (the "Company") today reported financial results for the three and nine months ended September 30, 2026.

For the three months ended September 30, 2026, net income was $8.9 million, or $0.61 per share, compared to $12.5 million, or $0.86 per share, in 2025. Current accident year underwriting income was $5.6 million, with a loss ratio of 53.0% and a current accident year combined ratio of 94.8%. Belmont Core gross written premiums of $102.6 million were 5.5% lower than 2025. Pretax Adjusted Operating Contribution was $20.1 million and Adjusted Return on Equity was 12.8%.

For the nine months ended September 30, 2026, net income was $24.2 million, or $1.65 per share, compared to $18.9 million, or $1.30 per share, in 2025. Current accident year underwriting income increased to $16.9 million from $5.4 million in 2025, with a loss ratio of 53.8% and a current accident year combined ratio of 94.7%. Belmont Core gross written premiums of $316.4 million were in line with 2025. Pretax Adjusted Operating Contribution was $60.0 million and Adjusted Return on Equity was 12.6%.

Jessica E. Buss, CEO of Global Indemnity, commented, “I joined GBLI as CEO this week. I studied this company closely before accepting the role, and I came in knowing exactly where we stand and what we can become. Our results for the first nine months ran well ahead of last year. The third quarter came in softer, as we held to our underwriting standards while competitors cut property rates, and we owe our shareholders a plain account of that. We also owe them a plan. I am confident that, under my leadership, Katalyx will expand its distribution substantially over the next five years; in my first 48 hours, I set that expansion in motion for 2027. We will put Kaleidoscope to work for our wholesalers, agents and underwriters, and Belmont will materially improve its operating efficiency. Yes, the specialty market is softening, but GBLI meets it with 23 years of top-quartile loss ratios, industry-leading capital reserves, no debt, extremely modest operating leverage and long-standing agency relationships. Many leading E&S wholesalers are now eager to work with Katalyx and its Kaleidoscope technology. Going forward, we will hold ourselves to one measure: sustained growth in premiums, earnings and book value per share at rates far beyond anything GBLI achieved since its founding.”

Highlights of Consolidated Results

 

Operating Performance
•
Operating income of $26.4 million, or $1.81 per share, for the nine months ended September 30, 2026 compared to $21.8 million, or $1.51 per share, in 2025.
•
Current accident year underwriting income was $5.6 million for the three months ended September 30, 2026 compared to $10.2 million in 2025. A $1.3 million decline in net earned premiums and a $3.0 million effect of the higher loss ratio drove the decrease. The loss ratio rose to 53.0% from 50.1% in 2025, a quarter with unusually few severe property losses. For the nine months ended September 30, 2026, current accident year underwriting income rose to $16.9 million from $5.4 million in 2025 which included $15.8 million of losses from California Wildfires.
•
Net investment income of $43.1 million for the nine months ended September 30, 2026, compared to $47.4 million in 2025, resulting from lower limited partnership returns and lower average yields on the fixed income portfolio due to lower U.S. Treasury rates. In September 2026, the Company began lengthening duration by redeploying U.S. Treasuries into higher-yielding securities, lifting the fixed income portfolio book yield to 4.8% and duration of 1.5 years at September 30, 2026, from 4.3% and 1.0 years at December 31, 2025. Average credit quality remains AA-.

 

 

 

Belmont Core Gross Written Premiums
•
Belmont Core gross written premiums of $102.6 million for the third quarter were down 5.5% compared to $108.5 million in 2025. For the nine months ended September 30, 2026, Belmont Core gross written premiums of $316.4 million were flat compared to $316.7 million in 2025. Excluding terminated business, Belmont Core gross written premiums grew 1.5% for the nine months ended September 30, 2026.
o
Wholesale Commercial: $62.1 million for the third quarter, down 8.6% compared to 2025 and $193.7 million for the nine months ended September 30, 2026, down 4% compared to the same period last year. The Company maintained its pricing and return standards amid competitive market conditions, especially in the property market. Overall rates decreased 3% for the 3rd quarter and 1% for the nine months ended September 30, 2026.
o
Assumed E&S Reinsurance: $15.5 million for the third quarter, flat compared to 2025 and $48.2 million for the nine months ended September 30, 2026, up 25% compared to the same period last year driven by new treaties incepting during 2025 and 2026.
o
Vacant Express: $11.5 million for the third quarter, up 1% compared to 2025 and $36.0 million for the nine months ended September 30, 2026, up 4% compared to the same period last year driven by overall rate increase, market opportunities in targeted classes and new agency appointments.
o
Collectibles: $5.8 million for the third quarter, up 14% compared to 2025 and $15.2 million for the nine months ended September 30, 2026, up 13% compared to the same period last year driven by market opportunities in targeted classes and organic growth.
o
Specialty Products: $7.7 million for the third quarter, down 9.5% compared to 2025 and $23.3 million for the nine months ended September 30, 2026, down 17.6% compared to the same period last year, reflecting the run-off of terminated products and competitive market conditions. Excluding terminated business, premiums increased 4.5% in the third quarter and 0.5% for the nine months.

 

Capital Position and Book Value

•
Common shareholders' equity of $700.9 million at September 30, 2026 compared to $702.6 million at December 31, 2025, reflecting unrealized losses in the fixed income portfolio of $12.7 million, net of tax.
•
Book value per share of $47.87 declined 2.2% from $48.96 at December 31, 2025, after $1.05 per share of common dividends and a $0.89 per share unrealized decline in the fixed income portfolio. Book value per share plus cumulative dividends and excluding AOCI rose 1.4% to $58.86.
•
Dividends of $15.4 million were paid during the nine months ended September 30, 2026. Since its 2003 initial public offering, the Company has returned $664.9 million to shareholders, including $522.2 million in share repurchases and $142.7 million in dividends and distributions.
•
AM Best affirmed Global Indemnity Group's "A" (Excellent) rating for its U.S. insurance subsidiaries in August 2026.

 

 

2

 

Selected Consolidated Operating Information

 

$ in Millions, except per share data

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

For the Three Months Ended
September 30,

 

 

For the Nine Months Ended
September 30,

 

 

 

2026

 

 

2025

 

 

2026

 

 

2025

 

Gross written premiums

 

$

102.8

 

 

$

108.4

 

 

$

316.3

 

 

$

313.8

 

Gross written premiums - Belmont Core

 

$

102.6

 

 

$

108.5

 

 

$

316.4

 

 

$

316.7

 

Investment income

 

$

14.5

 

 

$

17.9

 

 

$

43.1

 

 

$

47.4

 

Annualized investment return

 

 

0.3

%

 

 

4.0

%

 

 

2.3

%

 

 

4.8

%

Underwriting income

 

$

5.5

 

 

$

10.0

 

 

$

16.4

 

 

$

5.3

 

Underwriting income, current accident year

 

$

5.6

 

 

$

10.2

 

 

$

16.9

 

 

$

5.4

 

Underwriting income, current accident year, excluding California Wildfires

 

$

5.6

 

 

$

10.2

 

 

$

16.9

 

 

$

21.2

 

Corporate expenses

 

$

7.3

 

 

$

7.8

 

 

$

23.2

 

 

$

24.9

 

Operating income

 

$

9.5

 

 

$

15.7

 

 

$

26.4

 

 

$

21.8

 

Operating income excluding California Wildfires

 

$

9.5

 

 

$

15.7

 

 

$

26.4

 

 

$

34.1

 

Pretax adjusted operating contribution (1)

 

$

20.1

 

 

$

28.1

 

 

$

60.0

 

 

$

68.6

 

Net income available to common shareholders

 

$

8.8

 

 

$

12.4

 

 

$

23.9

 

 

$

18.5

 

Net income available to common shareholders excluding California Wildfires

 

$

8.8

 

 

$

12.4

 

 

$

23.9

 

 

$

30.9

 

Adjusted return on equity, annualized, excluding California Wildfires (2)

 

 

12.8

%

 

 

18.1

%

 

 

12.6

%

 

 

14.5

%

 

 

 

 

 

 

 

 

 

 

 

 

 

Per Share Data:

 

 

 

 

 

 

 

 

 

 

 

 

Net income available to common shareholders per share

 

$

0.61

 

 

$

0.86

 

 

$

1.65

 

 

$

1.30

 

Net income available to common shareholders per share excluding California Wildfires

 

$

0.61

 

 

$

0.86

 

 

$

1.65

 

 

$

2.17

 

Operating income per share

 

$

0.65

 

 

$

1.08

 

 

$

1.81

 

 

$

1.51

 

Operating income per share excluding California Wildfires

 

$

0.65

 

 

$

1.08

 

 

$

1.81

 

 

$

2.38

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Combined ratio:

 

 

 

 

 

 

 

 

 

 

 

 

Loss ratio

 

 

53.0

%

 

 

50.1

%

 

 

53.8

%

 

 

58.8

%

Expense ratio

 

 

41.9

%

 

 

40.5

%

 

 

41.1

%

 

 

39.9

%

Combined ratio

 

 

94.9

%

 

 

90.6

%

 

 

94.9

%

 

 

98.7

%

Combined ratio, current accident year

 

 

94.8

%

 

 

90.4

%

 

 

94.7

%

 

 

98.7

%

Combined ratio, current accident year excluding California Wildfires

 

 

94.8

%

 

 

90.4

%

 

 

94.7

%

 

 

93.2

%

(1)
Equals investment income plus underwriting income for current accident year excluding net losses and loss adjustment expenses incurred from California Wildfires.
(2)
Excludes corporate expenses, investment income on excess capital, and prior year underwriting loss.

 

3

 

Segment Income for the Three Months Ended September 30,

 

$ in Millions

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Agency and
Insurance
Services

 

 

Belmont Core

 

 

Belmont
Non-Core

 

 

Eliminations

 

 

Consolidated

 

 

 

2026

 

 

2025

 

 

2026

 

 

2025

 

 

2026

 

 

2025

 

 

2026

 

 

2025

 

 

2026

 

 

2025

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Revenues:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net earned premiums

 

$

—

 

 

$

—

 

 

$

98.2

 

 

$

99.4

 

 

$

0.2

 

 

$

0.3

 

 

$

—

 

 

$

—

 

 

$

98.4

 

 

$

99.7

 

Commissions and fee income

 

 

13.3

 

 

 

15.0

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

0.1

 

 

 

(12.5

)

 

 

(14.5

)

 

 

0.8

 

 

 

0.6

 

Total revenues

 

$

13.3

 

 

$

15.0

 

 

$

98.2

 

 

$

99.4

 

 

$

0.2

 

 

$

0.4

 

 

$

(12.5

)

 

$

(14.5

)

 

$

99.2

 

 

$

100.3

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Losses and expenses

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net losses and loss adjustment expenses

 

$

—

 

 

$

—

 

 

$

53.6

 

 

$

52.7

 

 

$

(1.2

)

 

$

(2.4

)

 

$

(0.2

)

 

$

(0.4

)

 

$

52.2

 

 

$

49.9

 

Acquisition costs and other operating expenses

 

 

13.3

 

 

 

13.8

 

 

 

40.7

 

 

 

40.2

 

 

 

0.1

 

 

 

0.5

 

 

 

(12.3

)

 

 

(14.1

)

 

 

41.8

 

 

 

40.4

 

Total losses and expenses

 

$

13.3

 

 

$

13.8

 

 

$

94.3

 

 

$

92.9

 

 

$

(1.1

)

 

$

(1.9

)

 

$

(12.5

)

 

$

(14.5

)

 

$

94.0

 

 

$

90.3

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Segment income

 

$

—

 

 

$

1.2

 

 

$

3.9

 

 

$

6.5

 

 

$

1.3

 

 

$

2.3

 

 

$

—

 

 

$

—

 

 

$

5.2

 

 

$

10.0

 

 

 

Segment Income (Loss) for the Nine Months Ended September 30,

 

$ in Millions

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Agency and
Insurance
Services

 

 

Belmont Core

 

 

Belmont
Non-Core

 

 

Eliminations

 

 

Consolidated

 

 

 

2026

 

 

2025

 

 

2026

 

 

2025

 

 

2026

 

 

2025

 

 

2026

 

 

2025

 

 

2026

 

 

2025

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Revenues:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net earned premiums

 

$

—

 

 

$

—

 

 

$

295.4

 

 

$

289.1

 

 

$

—

 

 

$

(1.0

)

 

$

—

 

 

$

—

 

 

$

295.4

 

 

$

288.1

 

Commissions and fee income

 

 

40.8

 

 

 

44.8

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

0.1

 

 

 

(38.3

)

 

 

(43.3

)

 

 

2.5

 

 

 

1.6

 

Total revenues

 

$

40.8

 

 

$

44.8

 

 

$

295.4

 

 

$

289.1

 

 

$

—

 

 

$

(0.9

)

 

$

(38.3

)

 

$

(43.3

)

 

$

297.9

 

 

$

289.7

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Losses and expenses

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net losses and loss adjustment expenses

 

$

—

 

 

$

—

 

 

$

161.4

 

 

$

175.2

 

 

$

(1.3

)

 

$

(4.6

)

 

$

(1.1

)

 

$

(1.0

)

 

$

159.0

 

 

$

169.6

 

Acquisition costs and other operating expenses

 

 

39.8

 

 

 

39.5

 

 

 

121.5

 

 

 

116.2

 

 

 

0.3

 

 

 

1.4

 

 

 

(37.2

)

 

 

(42.3

)

 

 

124.4

 

 

 

114.8

 

Total losses and expenses

 

$

39.8

 

 

$

39.5

 

 

$

282.9

 

 

$

291.4

 

 

$

(1.0

)

 

$

(3.2

)

 

$

(38.3

)

 

$

(43.3

)

 

$

283.4

 

 

$

284.4

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Segment income (loss)

 

$

1.0

 

 

$

5.3

 

 

$

12.5

 

 

$

(2.3

)

 

$

1.0

 

 

$

2.3

 

 

$

—

 

 

$

—

 

 

$

14.5

 

 

$

5.3

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Segment income excluding California Wildfires

 

$

1.0

 

 

$

5.3

 

 

$

12.5

 

 

$

13.4

 

 

$

1.0

 

 

$

2.3

 

 

$

—

 

 

$

—

 

 

$

14.5

 

 

$

21.1

 

 

 

4

 

Segment Written Premiums for the Three Months Ended September 30,

 

$ in Millions

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Belmont Core

 

 

Belmont Non-Core

 

 

Total

 

 

 

2026

 

 

2025

 

 

2026

 

 

2025

 

 

2026

 

 

2025

 

Gross written premiums

 

$

102.6

 

 

$

108.5

 

 

$

0.2

 

 

$

(0.2

)

 

$

102.8

 

 

$

108.4

 

Net written premiums

 

$

99.8

 

 

$

105.7

 

 

$

0.2

 

 

$

(0.2

)

 

$

100.0

 

 

$

105.5

 

 

 

Segment Written Premiums for the Nine Months Ended September 30,

 

$ in Millions

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Belmont Core

 

 

Belmont Non-Core

 

 

Total

 

 

 

2026

 

 

2025

 

 

2026

 

 

2025

 

 

2026

 

 

2025

 

Gross written premiums

 

$

316.4

 

 

$

316.7

 

 

$

(0.1

)

 

$

(2.9

)

 

$

316.3

 

 

$

313.8

 

Net written premiums

 

$

306.6

 

 

$

308.2

 

 

$

(0.1

)

 

$

(2.9

)

 

$

306.5

 

 

$

305.3

 

 

 

Belmont Core Gross Written Premiums

$ In Millions

 

 

 

 

 

 

 

 

 

 

 

 

 

 

For the Three Months Ended
September 30,

 

 

 

 

For the Nine Months Ended
September 30,

 

 

 

 

2026

 

 

2025

 

 

% Change

 

2026

 

 

2025

 

 

% Change

Wholesale Commercial

$

62.1

 

 

$

67.9

 

 

(8.6%)

 

$

193.7

 

 

$

201.9

 

 

(4.1%)

Vacant Express

 

11.5

 

 

 

11.3

 

 

1.0%

 

 

36.0

 

 

 

34.6

 

 

3.8%

Collectibles

 

5.8

 

 

 

5.1

 

 

13.8%

 

 

15.2

 

 

 

13.4

 

 

13.4%

Specialty Products

 

7.7

 

 

 

8.6

 

 

(9.5%)

 

 

23.3

 

 

 

28.2

 

 

(17.6%)

Assumed E&S Reinsurance

 

15.5

 

 

 

15.6

 

 

(0.8%)

 

 

48.2

 

 

 

38.6

 

 

25.0%

Gross written premiums

 

102.6

 

 

 

108.5

 

 

(5.5%)

 

 

316.4

 

 

 

316.7

 

 

(0.1%)

Terminated business

 

—

 

 

 

(1.2

)

 

-

 

 

—

 

 

 

(5.2

)

 

-

Total gross written premiums, excluding terminated business

$

102.6

 

 

$

107.3

 

 

(4.4%)

 

$

316.4

 

 

$

311.5

 

 

1.5%

 

 

5

 

Selected Consolidated Balance Sheet Data

 

$ and Shares in Millions, except per share data

 

 

 

 

 

 

 

 

 

 

September 30, 2026

 

 

December 31, 2025

 

Cash and invested assets, net

 

$

1,363.9

 

 

$

1,420.2

 

Total assets

 

$

1,686.8

 

 

$

1,720.8

 

Shareholders’ equity

 

$

704.9

 

 

$

706.6

 

 

 

 

 

 

 

 

Book value per share

 

$

47.87

 

 

$

48.96

 

Book value per share plus cumulative

 

 

 

 

 

 

 dividends and excluding AOCI

 

$

58.86

 

 

$

58.04

 

Shares Outstanding

 

 

14.6

 

 

 

14.4

 

 

Change in Consolidated Common Shareholders’ Equity and Book Value per Share

 

$ and Shares in Millions, except per share data

 

 

 

 

 

 

 

 

 

 

 

 

 

Common Shareholders' Equity

 

 

Common Shares

 

 

Book Value Per Share

 

Balance at January 1, 2026

 

$

702.6

 

 

 

14.4

 

 

$

48.96

 

Net income

 

 

24.2

 

 

 

—

 

 

 

1.65

 

Fair value of fixed maturities

 

 

(12.7

)

 

 

—

 

 

 

(0.89

)

Stock compensation / share issuance

 

 

2.2

 

 

 

0.2

 

 

 

(0.77

)

Common dividends

 

 

(15.1

)

 

 

—

 

 

 

(1.05

)

Preferred dividends

 

 

(0.3

)

 

 

—

 

 

 

(0.03

)

Balance at September 30, 2026

 

$

700.9

 

 

 

14.6

 

 

$

47.87

 

 

Market Value of Consolidated Investments

 

 

 

 

 

 

$ in Millions

 

 

 

 

 

 

 

 

 

 

September 30, 2026

 

 

December 31, 2025

 

Fixed maturities

 

$

1,180.6

 

 

$

1,325.5

 

Cash and cash equivalents

 

 

173.1

 

 

 

65.5

 

Total fixed maturities and cash and cash equivalents

 

 

1,353.7

 

 

 

1,391.0

 

Equities and other invested assets

 

 

29.9

 

 

 

50.8

 

Total cash and invested assets, gross

 

 

1,383.6

 

 

 

1,441.8

 

Payable for securities

 

 

(19.7

)

 

 

(21.6

)

Total cash and invested assets, net

 

$

1,363.9

 

 

$

1,420.2

 

 

Total Pre-Tax Consolidated Investment Return

 

$ in Millions

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

For the Three Months Ended
September 30,

 

 

For the Nine Months Ended
September 30,

 

 

 

2026

 

 

2025

 

 

2026

 

 

2025

 

Fixed maturities

 

$

14.6

 

 

$

15.2

 

 

$

41.7

 

 

$

45.1

 

Equities

 

 

0.5

 

 

 

0.7

 

 

 

1.7

 

 

 

1.0

 

Limited partnerships

 

 

(0.6

)

 

 

2.0

 

 

 

(0.3

)

 

 

1.3

 

Net investment income

 

$

14.5

 

 

$

17.9

 

 

$

43.1

 

 

$

47.4

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net realized investment losses

 

 

(0.8

)

 

 

(4.0

)

 

 

(2.8

)

 

 

(3.7

)

Net unrealized investment gains (losses)

 

 

(12.6

)

 

 

0.6

 

 

 

(16.1

)

 

 

7.8

 

Net realized and unrealized investment return

 

 

(13.4

)

 

 

(3.4

)

 

 

(18.9

)

 

 

4.1

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total investment return

 

$

1.1

 

 

$

14.5

 

 

$

24.2

 

 

$

51.5

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Average total cash and invested assets

 

$

1,367.8

 

 

$

1,434.1

 

 

$

1,392.1

 

 

$

1,437.9

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total annualized investment return %

 

 

0.3

%

 

 

4.0

%

 

 

2.3

%

 

 

4.8

%

 

6

 

Global Indemnity Group, LLC

 

Consolidated Statements of Operations

 

$ and Shares in Thousands, except per share data

 

(Unaudited)

 

 

 

 

 

 

 

 

 

 

 

 

 

For the Three Months Ended
September 30,

 

 

For the Nine Months Ended
September 30,

 

 

 

2026

 

 

2025

 

 

2026

 

 

2025

 

Gross written premiums

 

$

102,774

 

 

$

108,369

 

 

$

316,320

 

 

$

313,845

 

Net written premiums

 

$

100,002

 

 

$

105,543

 

 

$

306,541

 

 

$

305,321

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net earned premiums

 

$

98,388

 

 

$

99,670

 

 

$

295,432

 

 

$

288,132

 

Net investment income

 

 

14,492

 

 

 

17,911

 

 

 

43,071

 

 

 

47,400

 

Net realized investment losses

 

 

(775

)

 

 

(3,994

)

 

 

(2,820

)

 

 

(3,731

)

Other income

 

 

832

 

 

 

611

 

 

 

2,533

 

 

 

1,568

 

Total revenues

 

 

112,937

 

 

 

114,198

 

 

 

338,216

 

 

 

333,369

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net losses and loss adjustment expenses

 

 

52,164

 

 

 

49,875

 

 

 

159,072

 

 

 

169,561

 

Acquisition costs and other operating expenses(1)

 

 

41,844

 

 

 

40,415

 

 

 

124,395

 

 

 

114,837

 

Corporate expenses

 

 

7,316

 

 

 

7,844

 

 

 

23,196

 

 

 

24,872

 

Income before income taxes

 

 

11,613

 

 

 

16,064

 

 

 

31,553

 

 

 

24,099

 

Income tax expense

 

 

2,740

 

 

 

3,541

 

 

 

7,352

 

 

 

5,221

 

Net income

 

 

8,873

 

 

 

12,523

 

 

 

24,201

 

 

 

18,878

 

Less: preferred stock distributions

 

 

110

 

 

 

110

 

 

 

330

 

 

 

330

 

Net income available to common shareholders

 

$

8,763

 

 

$

12,413

 

 

$

23,871

 

 

$

18,548

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Per share data:

 

 

 

 

 

 

 

 

 

 

 

 

Net income available to common shareholders

 

 

 

 

 

 

 

 

 

 

 

 

Basic

 

$

0.61

 

 

$

0.87

 

 

$

1.66

 

 

$

1.31

 

Diluted

 

$

0.61

 

 

$

0.86

 

 

$

1.65

 

 

$

1.30

 

Weighted-average number of shares outstanding

 

 

 

 

 

 

 

 

 

 

 

 

Basic

 

 

14,411

 

 

 

14,297

 

 

 

14,381

 

 

 

14,148

 

Diluted

 

 

14,459

 

 

 

14,358

 

 

 

14,430

 

 

 

14,223

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Cash distributions declared per common share

 

$

0.35

 

 

$

0.35

 

 

$

1.05

 

 

$

1.05

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Combined ratio analysis:

 

 

 

 

 

 

 

 

 

 

 

 

Loss ratio

 

 

53.0

%

 

 

50.1

%

 

 

53.8

%

 

 

58.8

%

Expense ratio

 

 

41.9

%

 

 

40.5

%

 

 

41.1

%

 

 

39.9

%

Combined ratio

 

 

94.9

%

 

 

90.6

%

 

 

94.9

%

 

 

98.7

%

 

 

 

(1)
Includes agency operating expenses on third-party carrier business of $0.6 million and $2.9 million for the three and nine months ended September 30, 2026, respectively, which are excluded from the expense ratio.

 

7

 

Global Indemnity Group, LLC

 

Consolidated Balance Sheets

 

$ in Thousands

 

 

 

 

 

 

 

 

 

 

(Unaudited)
September 30, 2026

 

 

December 31, 2025

 

ASSETS

 

 

 

 

 

 

Fixed maturities:

 

 

 

 

 

 

Available for sale, at fair value (amortized cost: $1,201,566 and $1,330,310; net of allowance for expected credit losses of $0 at September 30, 2026 and December 31, 2025)

 

$

1,180,585

 

 

$

1,325,502

 

Equity securities, at fair value

 

 

21,611

 

 

 

33,673

 

Other invested assets

 

 

8,352

 

 

 

17,097

 

Total investments

 

 

1,210,548

 

 

 

1,376,272

 

 

 

 

 

 

 

 

Cash and cash equivalents

 

 

173,109

 

 

 

65,542

 

Premium receivables, net of allowance for expected credit losses of

 

 

 

 

 

 

$3,843 at September 30, 2026 and $3,640 at December 31, 2025

 

 

81,040

 

 

 

66,969

 

Reinsurance receivables, net of allowance for expected credit losses of

 

 

 

 

 

 

 $1,488 at September 30, 2026 and December 31, 2025

 

 

60,900

 

 

 

62,595

 

Funds held by ceding insurers

 

 

21,435

 

 

 

22,114

 

Deferred income taxes

 

 

24,403

 

 

 

20,076

 

Deferred acquisition costs

 

 

45,071

 

 

 

41,183

 

Intangible assets

 

 

16,497

 

 

 

16,845

 

Goodwill

 

 

4,820

 

 

 

4,820

 

Prepaid reinsurance premiums

 

 

3,621

 

 

 

3,607

 

Income tax receivable

 

 

2,364

 

 

 

2,617

 

Lease right of use assets

 

 

7,087

 

 

 

8,166

 

Other assets

 

 

35,888

 

 

 

29,956

 

Total assets

 

$

1,686,783

 

 

$

1,720,762

 

 

 

 

 

 

 

 

LIABILITIES AND SHAREHOLDERS’ EQUITY

 

 

 

 

 

 

Liabilities:

 

 

 

 

 

 

Unpaid losses and loss adjustment expenses

 

$

706,337

 

 

$

750,191

 

Unearned premiums

 

 

193,852

 

 

 

182,728

 

Reinsurance balances payable

 

 

10,437

 

 

 

1,860

 

Payable for securities

 

 

19,721

 

 

 

21,594

 

Contingent commissions

 

 

6,293

 

 

 

7,159

 

Lease liabilities

 

 

6,831

 

 

 

8,331

 

Other liabilities

 

 

38,429

 

 

 

42,309

 

Total liabilities

 

$

981,900

 

 

$

1,014,172

 

 

 

 

 

 

 

 

Shareholders’ equity:

 

 

 

 

 

 

Series A cumulative fixed rate preferred shares, $1,000 par value;

 

 

 

 

 

 

100,000,000 shares authorized, shares issued and outstanding:

 

 

 

 

 

 

4,000 and 4,000 shares, respectively, liquidation preference:

 

 

 

 

 

 

$1,000 per share and $1,000 per share, respectively

 

 

4,000

 

 

 

4,000

 

Common shares: no par value; 900,000,000 common shares

 

 

 

 

 

 

authorized; class A common shares issued: 12,134,770 and 11,844,995, respectively (inclusive of class A common shares designated as class A-2 common shares of 780,000 and 550,000, respectively); class A common shares

 

 

 

 

 

 

outstanding: 10,847,002 and 10,557,227, respectively (inclusive of class A common shares designated as class A-2 common shares of 780,000 and

 

 

 

 

 

 

 550,000, respectively); class B common shares issued and outstanding: 3,793,612 and 3,793,612, respectively

 

 

—

 

 

 

—

 

Additional paid-in capital (1)

 

 

467,954

 

 

 

465,720

 

Accumulated other comprehensive income (loss), net of tax

 

 

(16,713

)

 

 

(4,000

)

Retained earnings (1)

 

 

282,334

 

 

 

273,562

 

Class A common shares in treasury, at cost: 1,287,768 and 1,287,768 shares, respectively

 

 

(32,692

)

 

 

(32,692

)

Total shareholders’ equity

 

 

704,883

 

 

 

706,590

 

 

 

 

 

 

 

 

Total liabilities and shareholders’ equity

 

$

1,686,783

 

 

$

1,720,762

 

 

(1)
Since the Company’s initial public offering in 2003, the Company has returned $664.9 million to shareholders, including $522.2 million in share repurchases and $142.7 million in dividends/distributions.

8

 

Reconciliation of Non-GAAP Measures

 

Summary of Consolidated Operating Income(1)

 

$ and Shares in Millions, except per share data

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

For the Three Months Ended September 30,

 

 

For the Nine Months Ended
September 30,

 

 

 

2026

 

 

2025

 

 

2026

 

 

2025

 

Operating income, net of tax (2)

 

$

9.5

 

 

$

15.7

 

 

$

26.4

 

 

$

21.8

 

Net realized investment losses, net of tax

 

 

(0.6

)

 

 

(3.2

)

 

 

(2.2

)

 

 

(2.9

)

Net income

 

$

8.9

 

 

$

12.5

 

 

$

24.2

 

 

$

18.9

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Weighted average shares outstanding – diluted

 

 

14.5

 

 

 

14.4

 

 

 

14.4

 

 

 

14.2

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Operating income per share – diluted (3)

 

$

0.65

 

 

$

1.08

 

 

$

1.81

 

 

$

1.51

 

 

 

(1)
Operating income, a non-GAAP financial measure, is equal to net income excluding after-tax net realized investment losses and other unique charges not related to operations. Operating income is not a substitute for net income determined in accordance with GAAP, and investors should not place undue reliance on this measure.
(2)
Operating income, net of tax, excludes preferred shareholder distributions of $0.1 million for each of the three months ended September 30, 2026 and 2025 and $0.3 million for each of the nine months ended September 30, 2026 and 2025.
(3)
The operating income per share calculation is net of preferred shareholder distributions of $0.1 million for each of the three months ended September 30, 2026 and 2025 and $0.3 million for each of the nine months ended September 30, 2026 and 2025.

 

Reconciliation of Non-GAAP Measures

 

Pretax Adjusted Operating Contribution

 

$ in Millions

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

For the Three Months Ended September 30,

 

 

For the Nine Months Ended
September 30,

 

 

 

2026

 

 

2025

 

 

2026

 

 

2025

 

Investment income

 

$

14.5

 

 

$

17.9

 

 

$

43.1

 

 

$

47.4

 

Underwriting income, current accident year

 

 

5.6

 

 

 

10.2

 

 

 

16.9

 

 

 

5.4

 

Adjustments

 

 

 

 

 

 

 

 

 

 

 

 

California Wildfires net losses and loss adjustment expenses

 

 

—

 

 

 

—

 

 

 

—

 

 

 

15.8

 

Pretax adjusted operating contribution (1)

 

$

20.1

 

 

$

28.1

 

 

$

60.0

 

 

$

68.6

 

 

(1)
Pretax adjusted operating contribution, a non-GAAP financial measure, is equal to investment income plus underwriting income for current accident year excluding net losses and loss adjustment expenses incurred from California Wildfires. Pretax adjusted operating contribution is not a substitute for income before income taxes determined in accordance with GAAP, and investors should not place undue reliance on this measure.

 

9

 

Reconciliation of Non-GAAP Measures

 

Adjusted Return on Equity (ROE)

 

$ in Millions

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

For the Three Months Ended September 30,

 

 

 

2026

 

 

2025

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Income (loss) after tax (1)

 

 

Average Return on Equity (3)

 

Average Equity (2)

 

 

Income (loss) after tax (1)

 

 

Average Return on Equity (3)

 

Average Equity (2)

 

Operating income

 

$

 

9.5

 

 

 

5.4

 

%

 

$

 

707.9

 

 

$

 

15.7

 

 

 

9.0

 

%

 

$

 

699.7

 

Adjustments, net of tax

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Investment income on excess capital

 

 

 

(2.4

)

 

 

1.6

 

%

 

 

 

-

 

 

 

 

(2.6

)

 

 

3.1

 

%

 

 

 

-

 

Corporate expenses

 

 

 

5.8

 

 

 

5.7

 

%

 

 

 

-

 

 

 

 

6.3

 

 

 

5.9

 

%

 

 

 

-

 

Prior accident year underwriting loss

 

 

 

0.1

 

 

 

0.1

 

%

 

 

 

-

 

 

 

 

0.1

 

 

 

0.1

 

%

 

 

 

-

 

  Total adjustments, net of tax

 

 

 

3.5

 

 

 

7.4

 

%

 

 

 

-

 

 

 

 

3.8

 

 

 

9.1

 

%

 

 

 

-

 

Adjusted income

 

$

 

13.0

 

 

 

12.8

 

%

 

$

 

407.0

 

 

$

 

19.5

 

 

 

18.1

 

%

 

$

 

430.5

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

For the Nine Months Ended September 30,

 

 

 

2026

 

 

2025

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Income (loss) after tax (1)

 

 

Average Return on Equity (3)

 

Average Equity (2)

 

 

Income (loss) after tax (1)

 

 

Average Return on Equity (3)

 

Average Equity (2)

 

Operating income

 

$

 

26.4

 

 

 

5.0

 

%

 

$

 

705.7

 

 

$

 

21.8

 

 

 

4.2

 

%

 

$

 

696.6

 

Adjustments, net of tax

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Investment income on excess capital

 

 

 

(6.9

)

 

 

1.3

 

%

 

 

 

-

 

 

 

 

(6.7

)

 

 

0.4

 

%

 

 

 

-

 

Corporate expenses

 

 

 

19.2

 

 

 

6.2

 

%

 

 

 

-

 

 

 

 

19.7

 

 

 

6.1

 

%

 

 

 

-

 

California Wildfires losses

 

 

 

-

 

 

 

-

 

%

 

 

 

-

 

 

 

 

12.3

 

 

 

3.8

 

%

 

 

 

-

 

Prior accident year underwriting loss

 

 

 

0.4

 

 

 

0.1

 

%

 

 

 

-

 

 

 

 

0.1

 

 

 

-

 

%

 

 

 

-

 

  Total adjustments, net of tax

 

 

 

12.7

 

 

 

7.6

 

%

 

 

 

-

 

 

 

 

25.4

 

 

 

10.3

 

%

 

 

 

-

 

Adjusted income

 

$

 

39.1

 

 

 

12.6

 

%

 

$

 

413.3

 

 

$

 

47.2

 

 

 

14.5

 

%

 

$

 

432.6

 

 

(1)
Adjusted income, a non-GAAP financial measure, is equal to operating income excluding after-tax investment income on excess capital plus the after-tax impact of corporate expenses, California Wildfires losses and prior accident year underwriting loss. Adjusted income is not a substitute for net income determined in accordance with GAAP, and investors should not place undue reliance on this measure.
(2)
Average equity is the average of the beginning and ending equity for the calendar year, adjusted for average excess capital for the calendar year.
(3)
Adjusted return on equity is equal to adjusted income divided by average equity, annualized.

 

10

 

 

Reconciliation of Non-GAAP Financial Measures and Ratios for the Nine Months Ended September 30,

$ in Thousands

 

The following reconciles the non-GAAP financial measures or ratios, which excludes the impact of prior accident year adjustments and the California Wildfires, to its most directly comparable GAAP measure or ratio. The Company believes the non-GAAP financial measures or ratios are useful to investors when evaluating the Company's underwriting performance as trends in the Company's segments may be obscured by prior accident year adjustments and the California Wildfires. These non-GAAP financial measures or ratios should not be considered as a substitute for its most directly comparable GAAP measure or ratio and do not reflect the overall underwriting profitability of the Company.

 

 

 

2026

 

 

2025

 

 

 

 

 

 

 

 

Consolidated current accident year underwriting income

 

 

 

 

 

 

Underwriting income (1)

 

$

16,358

 

 

$

5,302

 

Effect of prior accident year

 

 

532

 

 

 

130

 

Current accident year underwriting income (2)

 

 

16,890

 

 

 

5,432

 

California Wildfires net losses and loss adjustment expenses

 

 

—

 

 

 

15,757

 

Current accident year underwriting income excluding California Wildfires (2)

 

$

16,890

 

 

$

21,189

 

 

 

 

 

 

 

 

Belmont Core segment income

 

 

 

 

 

 

Belmont Core segment income (loss) (1)

 

$

12,518

 

 

$

(2,345

)

California Wildfires net losses and loss adjustment expenses

 

 

—

 

 

 

15,757

 

Belmont Core segment income excluding California Wildfires (2)

 

$

12,518

 

 

$

13,412

 

 

 

 

 

 

 

 

Consolidated segment income

 

 

 

 

 

 

Consolidated segment income (1)

 

$

14,498

 

 

$

5,302

 

California Wildfires net losses and loss adjustment expenses

 

 

—

 

 

 

15,757

 

Consolidated segment income excluding California Wildfires (2)

 

$

14,498

 

 

$

21,059

 

 

 

 

 

 

 

 

Net income available to common shareholders

 

 

 

 

 

 

Net income available to common shareholders (1)

 

$

23,871

 

 

$

18,548

 

California Wildfires net losses and loss adjustment expenses (net of tax) (3)

 

 

—

 

 

 

12,338

 

Net income available to common shareholders excluding California Wildfires (2)

 

$

23,871

 

 

$

30,886

 

 

 

 

 

 

 

 

Operating income

 

 

 

 

 

 

Operating income (4)

 

$

26,432

 

 

$

21,810

 

California Wildfires net losses and loss adjustment expenses (net of tax) (3)

 

 

—

 

 

 

12,338

 

Operating income excluding California Wildfires (2)

 

$

26,432

 

 

$

34,148

 

 

 

 

 

 

 

 

Current accident year combined ratio

 

 

 

 

 

 

Combined ratio (1)

 

 

94.9

%

 

 

98.7

%

Effect of prior accident year

 

 

(0.2

%)

 

 

—

 

Current accident year combined ratio (2)

 

 

94.7

%

 

 

98.7

%

Impact of California Wildfires

 

 

—

 

 

 

(5.5

%)

Current accident year combined ratio excluding California Wildfires (2)

 

 

94.7

%

 

 

93.2

%

 

(1) Most directly comparable GAAP measure / ratio

(2) Non-GAAP financial measure / ratio

(3) Represents net losses and loss adjustment expenses of $15.8 million less tax benefit of $3.5 million.

(4) See previous table for reconciliation of operating income to net income which is the most directly comparable GAAP measure.

 

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About Global Indemnity Group, LLC

Global Indemnity Group, LLC (Nasdaq: GBLI) is a publicly traded holding company with a diversified portfolio of property and casualty insurance-related operating companies, organized in three groups:

Katalyx Holdings LLC

•
Four agencies that source, underwrite and service primary and assumed reinsurance business: Penn-America Insurance Services, LLC; Valyn Re LLC; J.H. Ferguson & Associates, LLC (including Vacant Express); and Collectibles Insurance Services, LLC.
•
Two specialized insurance service businesses: Sayata, an AI-enabled digital marketplace and agency for small commercial insurance; and Liberty Insurance Adjustment Agency, Inc., which evaluates and adjusts claims and provides related services.

 

Belmont Holdings GX, Inc.

Five statutory insurance carriers, each rated “A” (Excellent) by AM Best: Penn-America Insurance Company, United National Insurance Company, Penn-Patriot Insurance Company, Diamond State Insurance Company and Penn-Star Insurance Company.

 

Kaleidoscope Insurance Technologies, Inc.

Kaleidoscope builds GBLI’s proprietary AI-enabled underwriting, policy and data platform, which serves Katalyx’s agencies, GBLI’s agency partners, the Belmont carriers and the Company’s broader digital initiatives.

 

For more information, visit www.gbli.com.

 

Cautionary Statement Regarding Forward-Looking Statements

This press release contains forward-looking statements within the meaning of the federal securities laws, including Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, which involve a number of risks and uncertainties. Forward-looking statements often contain words such as “expect,” “anticipate,” “intend,” “plan,” “believe,” “seek,” “see,” “will,” “may,” “would,” “should,” “could,” “target,” “outlook,” “guidance,” “project,” “estimate,” “forecast,” “opportunity,” “confident,” “preliminary,” “initial,” “continue,” and similar expressions and variations or negatives of these words. All statements, other than statements of historical fact, are forward-looking statements, including statements regarding GBLI’s future operating results and financial position, GBLI’s business strategy and plans, including with respect to GBLI’s growth, technology and distribution initiatives, and expectations for GBLI’s industry. Actual results may differ materially from those expressed or implied in such statements. These statements are based on management’s current expectations and information available as of the date of this release.

 

Factors that could cause actual results to materially differ from any future results, performance or achievements expressed or implied by these forward-looking statements include, among others, risks related to our CEO transition, the timing and execution of GBLI’s strategy, including its growth, technology and distribution initiatives, adverse economic factors, including recessions, inflation, changes in interest rates, periods of high unemployment or lower economic activity, the occurrence of natural or man-made disasters, declines in ratings for any of GBLI’s insurance subsidiaries, the performance of GBLI’s invested assets, cyclical changes in the insurance industry, and the other risks and uncertainties described in GBLI’s most recent Annual Report on Form 10-K and subsequent filings with the Securities and Exchange Commission. GBLI undertakes no obligation to update any forward-looking statements to reflect subsequent events or circumstances.

 

 

Investor / Media Contact: Scott Eckstein, KCSA Strategic Communications | (212) 896-1210 | GBLI@kcsa.com

 

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