Oxbridge Re Holdings Reports Improved Financial Results with Reduced Net Loss in Q1 2025

Oxbridge Re Holdings Limited reported its financial results for the first quarter of 2025, revealing a net loss of $139,000, or $0.02 per share, a significant improvement from a net loss of $905,000, or $0.15 per share, in the same period last year. The company’s total revenue for the quarter reached $692,000, compared to a negative revenue of $125,000 in the prior year, driven primarily by an increase in net premiums earned, which rose to $595,549 from $549,000. The positive shift in financial performance is attributed to improved rates on reinsurance contracts and a favorable change in the fair value of equity securities.

In terms of expenses, Oxbridge Re reported total expenses of $570,548 for the quarter, up from $548,000 in the previous year. This increase was largely due to higher general and administrative expenses, which rose to $505,000 from $488,000, reflecting increased stock-based compensation costs. Policy acquisition costs also saw a slight increase to $65,000 from $60,000, consistent with the higher rates on contracts in force during the quarter.

Operationally, the company has made strides in expanding its business model through its subsidiary, SurancePlus, which focuses on tokenizing reinsurance contracts. The company successfully completed a private placement of DeltaCat Re Tokens, raising approximately $2.4 million, and is planning to launch additional tokenized reinsurance securities. As of March 31, 2025, Oxbridge Re's total assets increased to $9.6 million, up from $5.9 million at the end of 2024, bolstered by premium deposits and proceeds from equity offerings.

The company’s cash flow from operating activities improved, generating $272,000 in the first quarter of 2025, compared to a cash outflow of $276,000 in the same period last year. This positive cash flow was supported by premium receipts and a reduction in unearned premiums reserve, which decreased to $397,000 from $991,000. The company also reported a significant increase in restricted cash, which rose by 62.85% to $9.6 million, reflecting its ongoing commitment to maintaining adequate liquidity.

Looking ahead, Oxbridge Re Holdings remains focused on its strategic initiatives, including the continued development of its tokenization business and potential geographic expansion. The company aims to leverage its operational efficiencies and existing relationships to enhance its competitive position in the reinsurance market. Management expressed optimism about achieving long-term growth in book value per share and maintaining a favorable underwriting profit relative to the risks undertaken.