Greenlight Capital Re Reports Q2 2025 Net Income of $0.3 Million, Down from $8.0 Million

Greenlight Capital Re, Ltd. reported its financial results for the second quarter and the first half of 2025, revealing a net income of $0.3 million for Q2 2025, a significant decrease from $8.0 million in Q2 2024. The decline was primarily attributed to an investment loss from its related party investment fund, Solasglas, which reported a loss of $18.3 million in Q2 2025 compared to a gain of $4.3 million in the same period last year. Despite this setback, the company experienced a 6.3% increase in gross premiums written, totaling $179.6 million, and a 2.0% rise in net premiums earned, reaching $161.6 million.

For the first half of 2025, Greenlight Capital Re's net income was $30.0 million, down from $35.0 million in the prior year. The decrease was influenced by a $14.0 million drop in investment income, primarily due to lower returns from Solasglas, which generated a net return of 2.9% compared to 6.4% in the first half of 2024. The company’s total revenues for the six months ended June 30, 2025, were $373.4 million, a slight increase from $366.2 million in the same period of 2024.

Operationally, Greenlight Capital Re saw an increase in its total investments, which rose by 16.7% to $537.3 million as of June 30, 2025, driven by net contributions into Solasglas and positive investment returns. The company’s loss and loss adjustment expense reserves increased by 9.8% to $945.0 million, reflecting the growth in earned premiums and an increase in the overall loss ratio. The company reported no catastrophe losses in Q2 2025, a notable improvement from $7.7 million in the same quarter of 2024.

In terms of strategic developments, Greenlight Capital Re has continued to focus on its underwriting performance, achieving a net underwriting income of $8.1 million in Q2 2025, compared to just $0.3 million in Q2 2024. The company also repurchased $5.0 million of its ordinary shares during the first half of 2025, as part of its ongoing share repurchase plan. The total shareholders' equity increased to $663.3 million, up from $635.9 million at the end of 2024, reflecting the company's commitment to enhancing shareholder value.

Looking ahead, Greenlight Capital Re anticipates continued challenges in the reinsurance market, particularly due to increased competition and potential softening of rates. The company remains focused on maintaining a diversified portfolio and managing its exposure to economic factors, including inflation and market volatility. The management is committed to monitoring market conditions closely and adapting its strategies to ensure long-term growth and stability.