Exhibit 99.1
Company Contact:
Oxbridge
Re Holdings Limited
Jay
Madhu, CEO
345-749-7570
jmadhu@oxbridgere.com
Media contact:
Suzie
Boland
RFB
Communications Group
813-259-0345
sboland@rfbcommunications.com
Oxbridge Re Holdings Reports First Quarter 2019
Results
GRAND CAYMAN, CAYMAN ISLANDS / ACCESSWIRE / May 14, 2019 /
Oxbridge
Re Holdings Limited (NASDAQ: OXBR),
a provider of reinsurance solutions primarily to property and
casualty insurers, reported financial results for the first quarter
ended March 31, 2019.
First Quarter 2019 Results
Net
loss totaled $147,000 or $(0.03) per basic and diluted common
share, compared with a net loss of $211,000 or $(0.04) per basic
and diluted common share in the first quarter of 2018. The decrease
in net loss
was primarily due to lower general and
administrative expenses incurred during the first quarter of 2019
compared to the prior year period.
Net
premiums earned were nil compared with $227,000 in the first
quarter of 2018. The decrease in net
premiums earned was wholly due to the previous acceleration of
premium recognition due to full limit losses being incurred on all
the Company’s reinsurance contracts during the quarter ended
December 31, 2018, combined with no new contracts written in the
current period, when compared to the same year ago
period.
Net
investment income totaled $63,000 plus $51,000 of change in fair
value of equity securities and 3,000 of net realized investment
gains. This compares with $72,000 of net investment income, which
was offset by $172,000 of change in fair value of equity securities
and $173,000 of net realized investment losses in the first quarter
of 2018.
Total
expenses, including losses and loss adjustment expenses, policy
acquisition costs and underwriting expenses, and general and
administrative expenses, were $264,000 compared with $326,000 in
the first quarter of 2018. The
decrease in expenses was due to
an overall decrease in general and administrative expenses,
when compared to the prior year period.
At
March 31, 2019, cash and cash equivalents, and restricted cash and
cash equivalents, totaled $8.0 million compared with $11.3 million
at December 31, 2018.
First Quarter 2019 Financial Ratios
Loss
ratio, which measures underwriting profitability, is the ratio of
losses and loss adjustment expenses incurred to net premiums
earned. The loss ratio was 0.0% for the first quarter of 2019,
compared with 0.0% for the first quarter of 2018. The loss ratio
results were due to no loss and loss adjustment expenses incurred
in the quarters ended March 31, 2019 and March 31, 2018,
respectively.
Acquisition
cost ratio, which measures operational efficiency, compares policy
acquisition costs and other underwriting expenses with net premiums
earned. The acquisition cost ratio was 0.0% for the first quarter
of 2019 compared with 3.6% for the same year-ago period. The
decrease in acquisition cost ratio was due to no acquisition costs
incurred during the current quarter, when compared with three-month
period ended March 31, 2018.
Expense
ratio, which measures operating performance, compares policy
acquisition costs, other underwriting expenses and general and
administrative expenses with net premiums earned. The expense ratio
was undefined during the first quarter of 2019 compared with 84.0%
for the first quarter of 2018. The difference in expense ratio was
wholly due to a denominator of $0 in net premiums earned as
recorded during the three-month period ended March 31, 2019, when
compared with the three-month period ended March 31,
2018.
Combined
ratio, which is used to measure underwriting performance, is the
sum of the loss ratio and the expense ratio. If the combined ratio
is at or above 100%, underwriting is not profitable. The combined
ratio was undefined for the first quarter of 2019 and 84.0% in the
same year-ago period. The difference in combined ratio was wholly
due to a denominator of $0 in net premiums earned as recorded
during the three-month period ended March 31, 2019, when compared
with the three-month period ended March 31, 2018.
Management Commentary
“The
first quarter’s results were affected by the events of the
previous hurricane season, when we suffered limit losses on all
reinsurance contracts” said Oxbridge Re Holdings President
and Chief Executive Officer Jay Madhu. “Going forward, we
continue to be optimistic about the future of our business and will
look to employ our financial resources in ways that will have a
positive impact on our results as well as contribute to the
viability of our enterprise over the long term.”
Conference Call
Management
will host a conference call later today to discuss these financial
results, followed by a question and answer session. President and
Chief Executive Officer Jay Madhu and Chief Financial Officer
Wrendon Timothy will host the call starting at 4:30 p.m. Eastern
time.
The
live presentation can be accessed by dialing the number below or by
clicking the webcast link available on the Investor Information
section of the company's website at www.OxbridgeRe.com.
Date:
Tuesday, May 14, 2019
Time:
4:30 p.m. Eastern time
Listen-only
toll-free number: 844-369-8770
Listen-only
international number: 862-298-0840
Please
call the conference telephone number 10 minutes before the start
time. An operator will register your name and organization. If you
have any difficulty connecting with the conference call, please
contact Precision IR at 919-481-4000 or operations@issuerdirect.com.
A
replay of the call will be available by telephone after 4:30 p.m.
Eastern time on the same day of the call and via the Investor
Information section of Oxbridge's website at www.OxbridgeRe.com
until June 14, 2019.
Toll-free
replay number: 877-481-4010
International
replay number: 919-882-2331
Conference
ID: 46726
About Oxbridge Re Holdings Limited
Oxbridge Re (www.oxbridgere.com)
is a Cayman Islands exempted company that was organized in April
2013 to provide reinsurance business solutions primarily to
property and casualty insurers in the Gulf Coast region of the
United States. Through Oxbridge Re's licensed reinsurance
subsidiaries, Oxbridge Reinsurance Limited and Oxbridge RE NS, it
writes fully collateralized policies to cover property losses from
specified catastrophes. Oxbridge Re specializes in underwriting
medium frequency, high severity risks, where it believes sufficient
data exists to analyze effectively the risk/return profile of
reinsurance contracts. The company's ordinary shares and warrants
trade on the NASDAQ Capital Market under the symbols
"OXBR"
and "OXBRW,"
respectively. The company's ordinary shares are included in the
Russell Microcap Index.
Forward-Looking Statements
This
press release may contain forward-looking statements made pursuant
to the Private Securities Litigation Reform Act of 1995. Words such
as "anticipate," "estimate," "expect," "intend," "plan," "project"
and other similar words and expressions are intended to signify
forward-looking statements. Forward-looking statements are not
guarantees of future results and conditions but rather are subject
to various risks and uncertainties. Some of these risks and
uncertainties are identified in the Company's filings with the SEC.
The occurrence of any of these risks and uncertainties could have a
material adverse effect on the Company's business, financial
condition and results of operations. Any forward-looking statements
made in this press release speak only as of the date of this press
release and, except as required by law, the Company undertakes no
obligation to update any forward-looking statement contained in
this press release, even if the Company's expectations or any
related events, conditions or circumstances change.
-Tables to follow-
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OXBRIDGE RE HOLDINGS LIMITED AND SUBSIDIARIES
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Consolidated Balance Sheets
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(expressed in thousands of U.S. Dollars, except per share and share
amounts)
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At March 31, 2019
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At December 31, 2018
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(Unaudited)
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Assets
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Investments:
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Fixed-maturity
securities, available for sale, at fair value (amortized
cost: $0 and $991
respectively)
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$-
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993
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Equity securities,
at fair value (cost: $209 and $210, respectively)
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213
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162
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Total
investments
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213
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1,155
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Cash
and cash equivalents
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7,894
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8,074
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Restricted
cash and cash equivalents
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148
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3,225
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Accrued
interest and dividend receivable
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8
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15
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Prepayment
and other assets
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131
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74
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Property
and equipment, net
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16
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18
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Total
assets
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$8,410
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12,561
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Liabilities and Shareholders’ Equity
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Liabilities:
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Reserve
for losses and loss adjustment expenses
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$107
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4,108
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Accounts
payable and other liabilities
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129
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139
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Total
liabilities
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236
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4,247
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Shareholders’
equity:
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Ordinary
share capital, (par value $0.001, 50,000,000 shares authorized;
5,733,587 shares issued and outstanding)
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6
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6
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Additional
paid-in capital
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32,235
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32,226
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Accumulated
Deficit
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(24,067)
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(23,920)
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Accumulated
other comprehensive income
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-
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2
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Total
shareholders’ equity
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8,174
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8,314
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Total
liabilities and shareholders’ equity
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$8,410
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12,561
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OXBRIDGE RE HOLDINGS LIMITED AND SUBSIDIARIES
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Consolidated Statements of Operations (unaudited)
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(expressed in thousands of U.S. Dollars, except per share and share
amounts)
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Three Months Ended
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March 31,
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2019
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2018
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Revenue
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Net
premiums earned
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-
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220
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Net
income from derivative instruments
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-
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168
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Net
investment income
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63
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72
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Net
realized investment (losses) gains
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3
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(173)
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Change
in fair value of equity securities
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51
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(172)
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Total
revenue
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117
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115
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Expenses
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Policy
acquisition costs and underwriting expenses
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-
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8
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General
and administrative expenses
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264
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318
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Total
expenses
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264
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326
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Net
loss
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$(147)
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(211)
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Loss per share
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Basic
and Diluted
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$(0.03)
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(0.04)
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Dividends paid per share
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$-
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-
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Performance
ratios to net premiums earned:
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Loss
ratio
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0.0%
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0.0%
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Acquisition
cost ratio
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0.0%
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3.6%
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Expense
ratio
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0.0%*
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84.0%
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Combined
ratio
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0.0%*
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84.0%
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*
Ratios reflected as 0.0% due to no "net premiums earned" during the
period.
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