NYSE$RNR

RenaissanceRe Holdings Ltd · Q3 2021 earnings

Q3 2021 earnings · · Investor relations

Briefing

Reported a net loss attributable to common shareholders and experienced significant impact from weather-related large losses.

RenaissanceRe reported a net loss attributable to common shareholders of $450.2 million and an operating loss attributable to common shareholders of $414.5 million for the third quarter of 2021. The results were significantly impacted by Hurricane Ida, severe flooding in Northwestern Europe, and other catastrophe events, which contributed to a $726.8 million net negative impact on net loss attributable to common shareholders. However, the company saw strong growth in gross premiums written, increasing by 55.2% across both segments, and repurchased $223.8 million of common shares during the quarter.

  • Net loss attributable to common shareholders was $450.2 million.
  • Operating loss attributable to common shareholders was $414.5 million.
  • Gross premiums written increased by 55.2% due to growth across both segments.
  • The company repurchased $223.8 million of common shares during the third quarter.

Headline financials

Total Revenue

$1.54B

Previous: $1.33B+15.9%
EPS (adj)

-$8.98

Previous: -$2.64-240.2%
Gross Premiums Written

$1.77B

No prior period
Combined Ratio

145.1%

Previous: 120.6%+20.3%
Free Cash Flow

-$440M

Previous: $55.1M-899.4%
Net Income

-$440M

Previous: $55.1M-899.4%
Operating Income

-$649M

Previous: $110M-691.7%
Gross Profit

$1.49B

Previous: $1.28B+15.8%
Cash & Equivalents

$1.44B

Previous: $1.29B+11.9%
Total Assets

$33.5B

Previous: $31B+8.2%

Revenue & EPS history

RenaissanceRe · Revenue · Quarterly

$1.54B

Q3 2021+15.9%vs Q3 2020
Beat estimate in 9 of 16 quarters(56%)
ActualEstimate

Revenue by segment

RenaissanceRe · $970M total across 2 segments · Q4 2019

  • Casualty & Specialty
    $503M
  • Property
    $467M

Forward guidance

RenaissanceRe looks forward to 2022 with a strong capital position, providing flexibility to create value for shareholders. They anticipate ample capacity to renew existing risk and underwrite new opportunities if sufficiently profitable, and are also motivated to return excess capital to shareholders.

Tailwinds

  • Maintaining a robust capital position.
  • Business fundamentals remain strong.
  • Fortress balance sheet provides great flexibility.
  • Ample capacity to renew existing risk.
  • Motivated to return excess capital to shareholders at attractive multiples.

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 Q3 2021

Historical avgQ3 2021

-0.2%

Avg return

Earnings day

+0.4%

Avg return

5 days after

+2.4%

Avg return

30 days after

54%

37 / 68 earnings

Positive

+8.8%

Q4 2022

Best reaction

-8.6%

Q4 2024

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+1.0%-2.7%-9.8%
Q4 2025+5.0%+1.1%+4.5%
Q3 2025+7.2%+10.5%+12.8%
Q1 2025-5.0%+0.9%-0.4%
Q4 2024-8.6%-10.4%-8.3%
Q3 2024-1.3%-1.7%+3.9%
Q2 2024-2.8%+0.5%+11.6%
Q1 2024-1.5%-1.5%+2.7%
Q4 2023+6.7%+5.5%+4.8%
Q3 2023-5.0%-5.7%-2.9%
Q2 2023-5.5%-7.3%-9.7%
Q1 2023-0.4%-4.2%-12.5%
Q4 2022+8.8%+7.0%+11.2%
Q3 2022+4.2%+18.2%+18.2%
Q2 2022-3.3%-7.3%-2.9%
Q1 2022+0.8%+0.6%+5.6%
Q4 2021-3.5%-5.7%-9.1%
Q3 2021+4.3%-3.9%+10.6%
Q2 2021-1.7%-0.4%+7.1%
Q1 2021-3.8%-3.2%-10.7%
Q4 2020-2.3%-5.0%-5.3%
Q3 2020-6.2%-7.5%-2.0%
Q2 2020+2.3%+1.8%+4.8%
Q1 2020+3.6%+11.5%+31.7%
Q4 2019+1.3%+3.2%-8.3%
Q3 2019+1.4%+2.2%+4.6%
Q2 2019+1.1%+4.6%+5.7%
Q1 2019+4.3%+7.2%+14.5%
Q4 2018+3.9%+3.9%+10.2%
Q3 2018-2.5%-0.9%+4.4%
Q2 2018+3.0%+6.9%+5.9%
Q1 2018-4.9%-6.4%-9.8%
Q4 2017+2.3%+0.5%-1.2%
Q3 2017-2.9%-0.6%-5.4%
Q2 2017+1.4%-0.3%-1.3%
Q1 2017-2.0%-1.1%+2.0%
Q4 2016+3.5%+3.3%+9.3%
Q3 2016-0.2%-0.1%+5.1%
Q2 2016+0.7%+1.1%+0.5%
Q1 2016+1.1%
Q4 2015-3.3%
Q3 2015+0.4%
Q2 2015+3.0%
Q1 2015+0.6%
Q4 2014+5.4%
Q3 2014-1.3%
Q2 2014-6.6%
Q1 2014+0.5%
Q4 2013+1.8%
Q3 2013+1.8%
Q2 2013-1.5%
Q1 2013-2.4%
Q4 2012-1.3%
Q3 2012-5.0%
Q2 2012-4.0%
Q1 2012+0.2%
Q4 2011+0.7%
Q3 2011+0.7%
Q2 2011-2.2%
Q1 2010+0.4%
Q1 2011+3.5%
Q4 2008+0.3%
Q4 2010+0.3%
Q3 2009+0.1%
Q3 2010+0.1%
Q4 2009-2.7%
Q2 2010-2.7%
Q2 2009-2.7%

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