July 23, 2024

Ironrock Insurance Company Limited (ROC)

Unaudited financials for the three months ended March 31, 2024:

Ironrock Insurance Company Limited (ROC) for the three months ended March 31, 2024, reported a 29% increase in Insurance Revenue totaling $401.45 million compared to $310.41 million in the corresponding period last year.

Reinsurance Contracts Expense amounted to $251.63 million (2023: $171.62 million), this represents an increase of 47% year over year. Consequently, Insurance Service Contracts Expense decreased by 3% to $135.96 million compared to $139.59 million for the three months ended March 31, 2023.

Insurance Service results increased by 1819% to close at $13.86 million compared to 2023 with a deficit of $807,000, while Investment Return increased by 79% from $16.20 million in 2023 to $29.07 million in 2024. Consequently, Other Income decreased by 107% from $3.21 million in 2023 to a loss of $229,000 in 2024.

Total other income for the three months ended March 31, 2024, amounted to $28.84 million, a 49% increase relative to $19.41 million reported in 2023. Other operating expenses totalled $36.93 million, a 22% increase from the corresponding period last year. (2023: $30.23 million).

Profit before taxation for the three months ended March 31, 2024, amounted to $5.77 million, a 50% increase relative to the loss of $11.63 million reported in 2023.

Profit for the period for the three months amounted to $5.53 million, a 148% increase from the loss of $11.63 million reported in 2023.

Consequently, Earnings Per Share for the three months amounted to $0.03 (2023: LPS: $0.05). The twelve-month trailing EPS was $0.47, and the number of shares used in these calculations was 214,000,000.

Notably, ROC’s stock price closed the trading period on July 22, 2024, at a price of $2.18 with a corresponding P/E ratio of 4.61x.

Balance Sheet Highlights

The company’s assets totalled $1.54 billion (2023: $1.27 billion). This increase was attributable to Short-term investments which equated to $144.44 million for the first quarter of 2024. Additionally, Cash and Cash Equivalents also contributed to the increase with a 178% increase from $158.61 million in 2023 to $440.95 million in 2024.

Shareholder’s equity was $756.21 million (2023: $658.87 million), representing a book value per share of $3.53 (2023: $3.08).

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