NYSE$WTM

White Mountains Insurance Group Ltd · Q1 2023 earnings

Q1 2023 earnings · · Investor relations

Briefing

Reported a good first quarter, with ABVPS up 5% driven by positive investment returns and solid operating company results.

White Mountains reported a strong first quarter with a 5% increase in both book value per share and adjusted book value per share. The company saw positive returns from its investment portfolio and solid results from its operating companies, including BAM, Ark, Kudu, and MediaAlpha.

  • ABVPS increased by 5%, driven by investment portfolio returns and operating company performance.
  • BAM produced $21 million in gross written premiums and member surplus contributions.
  • Ark achieved a 94% combined ratio and wrote $809 million in gross written premiums, up 28% year over year.
  • Kudu's portfolio fair value grew by $32 million, with one new deployment and two value-adding sales transactions.

Headline financials

Total Revenue

$532M

Previous: $349M+52.5%
EPS (adj)

$69.83

Previous: -$11.10+729.1%
Book Value Per Share

$1.52K

Previous: $1.18K+28.7%
Free Cash Flow

$180M

Previous: $33.4M+437.4%
Net Income

$180M

Previous: $33.4M+437.4%
Operating Income

$422M

Previous: $162M+160.2%
Gross Profit

$518M

Previous: $328M+58.2%
Cash & Equivalents

$203M

Previous: $188M+7.7%
Total Assets

$7.96B

Previous: $7.36B+8.2%
Stock-Based Comp

$3.1M

No prior period

Revenue & EPS history

White Mountains · Revenue · Quarterly

$532M

Q1 2023+52.5%vs Q1 2022

Revenue by segment

White Mountains · $201M total across 2 segments · Q1 2023

  • Other Operations
    $168M+107.0%
  • Financial Guarantee
    $32.7M+204.5%

Forward guidance

White Mountains anticipates continued profitable growth, driven by strong rate environments and attractive market conditions.

Tailwinds

  • Continuing strong rate environment, particularly in property and specialty lines.
  • Gross written premiums up 28% from 2022, driven by January renewals.
  • Risk adjusted rate change up 14%.
  • Mid-year renewals are progressing well.
  • Market conditions remain attractive, supporting continued profitable growth.

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 Q1 2023

Historical avgQ1 2023

+0.3%

Avg return

Earnings day

+0.9%

Avg return

5 days after

+1.3%

Avg return

30 days after

51%

34 / 67 earnings

Positive

+8.3%

Q1 2022

Best reaction

-4.2%

Q2 2012

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-0.8%-0.9%-4.2%
Q4 2025+2.5%+0.8%+1.8%
Q3 2025-0.2%+1.5%+7.2%
Q1 2025+0.9%-0.8%-2.7%
Q4 2024-3.4%-7.3%-4.4%
Q3 2024+5.8%+7.4%+11.8%
Q2 2024-3.0%-4.5%+0.2%
Q1 2024-1.4%-6.1%-6.1%
Q4 2023+1.3%+6.1%+9.4%
Q3 2023-0.4%+3.3%+0.1%
Q2 2023-0.5%+0.1%-1.7%
Q1 2023+0.3%-1.9%-0.8%
Q4 2022+1.8%+2.6%-6.7%
Q3 2022+0.8%-1.3%-3.7%
Q2 2022+0.9%+3.6%+10.1%
Q1 2022+8.3%+7.6%+19.3%
Q4 2021+2.0%+2.1%+1.7%
Q3 2021+2.5%+2.7%-6.3%
Q2 2021+1.7%+1.1%-0.2%
Q1 2021-3.2%-4.0%-8.7%
Q4 2020+3.0%+9.6%+10.3%
Q3 2020+0.4%-2.5%+3.8%
Q2 2020+7.7%+3.2%-0.2%
Q4 2019+0.5%+0.8%-11.8%
Q3 2019+0.8%+1.7%+1.6%
Q2 2019+1.7%+2.7%+1.1%
Q1 2019-0.9%+2.7%+5.5%
Q4 2018+1.1%+3.3%+2.9%
Q3 2018+1.0%+0.8%+6.1%
Q2 2018+0.3%+0.7%-1.3%
Q1 2018-0.0%-0.4%+4.2%
Q4 2017-3.0%+0.1%+2.6%
Q3 2017+1.8%+0.4%-1.1%
Q2 2017-0.5%-1.3%+2.0%
Q1 2017+1.7%+0.8%+1.3%
Q4 2016-2.0%-1.2%+1.5%
Q3 2016-0.2%-0.3%+3.2%
Q2 2016+0.6%+1.1%+0.9%
Q1 2016-0.1%
Q4 2015+6.0%
Q3 2015-3.8%
Q2 2015+3.5%
Q1 2015-0.1%
Q4 2014-1.2%
Q3 2014-1.8%
Q2 2014-0.2%
Q1 2014+0.3%
Q4 2013-0.3%
Q3 2013+0.4%
Q2 2013-0.2%
Q1 2013-0.4%
Q4 2012+0.0%
Q3 2012+0.1%
Q2 2012-4.2%
Q1 2012+1.9%
Q4 2011-0.4%
Q3 2011-3.6%
Q2 2011+0.7%
Q1 2010-2.0%
Q1 2011+1.4%
Q4 2008-0.8%
Q4 2010-0.8%
Q3 2010+1.4%
Q3 2009+1.4%
Q2 2010-1.8%
Q4 2009-1.8%
Q2 2009-1.8%

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