NASDAQ$ACIC

American Coastal Insurance Corporation · Q2 2021 earnings

Q2 2021 earnings · · Investor relations

Briefing

Reported financial results for the second quarter ended June 30, 2021.

United Insurance Holdings Corp. reported a net loss attributable to the Company for the second quarter of 2021 was $23.5 million, or $0.55 per diluted share, compared to net income of $24.3 million, or $0.56 per diluted share, for the second quarter of 2020. The change in earnings was primarily driven by a decrease in revenue during the second quarter of 2021 compared to the second quarter of 2020.

  • Net loss attributable to the Company for the second quarter of 2021 was $23.5 million, or $0.55 per diluted share.
  • Total gross written premium decreased by $13.2 million, or 3.0%, to $426.4 million for the second quarter of 2021.
  • Loss and LAE increased by $16.4 million, or 16.1%, to $118.1 million for the second quarter of 2021.
  • Book value per common share decreased 14.6% from $9.19 at December 31, 2020, to $7.85 at June 30, 2021.

Headline financials

Total Revenue

$155M

Previous: $216M-28.2%
EPS (adj)

-$0.55

Previous: $0.57-196.5%
Gross Premiums Written

$426M

Previous: $440M-3.0%
Combined Ratio

127.9%

Previous: 99.4%+28.7%
Return on Equity

-23.3%

Previous: 18.8%-223.9%
Core Return on Equity

-24.4%

Previous: 6.8%-458.8%
Book Value Per Share

$7.85

Previous: $12.27-36.0%
Capital Expenditures

$1.61M

Previous: -$7.62M+121.2%
Free Cash Flow

$36.8M

Previous: $16.7M+120.8%
Net Income

-$23.5M

Previous: $24.3M-196.9%
Operating Income

-$32.8M

Previous: $29.5M-211.2%
Gross Profit

$155M

Previous: $202M-23.2%
Cash & Equivalents

$276M

Previous: $230M+20.4%
Total Assets

$3.15B

Previous: $2.83B+11.2%
Stock-Based Comp

$142K

Previous: $81K+75.3%

Revenue & EPS history

American Coastal Insurance · Revenue · Quarterly

$155M

Q2 2021-28.2%vs Q2 2020

Forward guidance

The second quarter results reflect execution of our ongoing 2021 transition plan, in which we pivot to dramatically reduced named and non-named catastrophe retentions and increased quota share reinsurance protection. These all drive a significant increase in reinsurance spend, which reduces our margin during transition, but is priced into the portfolio going forward.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q2 2021

Historical avgQ2 2021

-0.9%

Avg return

Earnings day

+1.8%

Avg return

5 days after

-0.5%

Avg return

30 days after

44%

27 / 62 earnings

Positive

+28.7%

Q3 2023

Best reaction

-43.9%

Q4 2022

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-2.6%-0.7%-4.9%
Q4 2025-2.3%+1.3%-0.6%
Q3 2025-1.7%-2.9%-2.3%
Q1 2025+2.5%-4.0%-6.1%
Q4 2024-4.3%+0.7%-9.1%
Q3 2024-1.5%+4.5%+10.1%
Q2 2024-3.3%-9.8%-6.8%
Q1 2024-3.1%+4.9%-2.1%
Q3 2023+28.7%+10.5%+19.6%
Q2 2023-8.8%-8.0%-6.1%
Q4 2022-43.9%+35.8%+5.0%
Q1 2023-43.9%-15.9%+64.8%
Q3 2022-11.2%-12.8%-12.8%
Q2 2022-3.8%+3.8%-10.4%
Q1 2022-4.3%-8.2%-30.4%
Q4 2021+0.6%+2.9%-15.5%
Q3 2021+17.6%+10.3%+2.1%
Q2 2021-3.3%-6.8%-12.7%
Q1 2021+5.0%+2.5%-22.8%
Q4 2020+0.0%+0.6%-5.6%
Q3 2020-8.0%+9.7%+0.0%
Q2 2020+17.2%+24.1%-0.7%
Q1 2020-5.5%-6.2%-0.2%
Q4 2019+4.2%-3.7%+4.1%
Q3 2019+5.4%+8.4%-1.4%
Q2 2019+3.5%+7.7%+7.2%
Q1 2019+3.1%+2.6%-3.6%
Q4 2018-1.7%-4.5%-2.2%
Q3 2018+3.8%+4.2%+0.0%
Q2 2018-1.6%-1.0%-1.3%
Q1 2018-2.9%-4.9%-1.5%
Q4 2016+0.2%-2.7%-0.2%
Q4 2017+0.2%+6.7%+5.7%
Q3 2017+0.2%+0.5%+5.1%
Q2 2017+3.6%+5.7%-9.4%
Q1 2017-2.8%-3.3%-3.2%
Q3 2016+10.4%+21.3%+31.4%
Q2 2016-1.6%-4.5%-0.5%
Q1 2016-2.0%
Q4 2015-3.1%
Q3 2015+6.0%
Q2 2015-3.2%
Q1 2015+3.7%
Q4 2014+0.6%
Q3 2014+6.1%
Q2 2014+0.8%
Q1 2014+3.0%
Q4 2011-6.1%
Q4 2013-6.1%
Q3 2013-2.5%
Q2 2013-1.8%
Q1 2013+0.7%
Q4 2009+5.1%
Q3 2012+2.1%
Q2 2012-1.0%
Q1 2011-5.9%
Q1 2012+0.0%
Q3 2011+1.2%
Q3 2010+1.2%
Q4 2010+0.0%
Q2 2011+0.0%
Q2 2010+0.0%

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