RenaissanceRe RNR Q1 2026 Earnings Transcript

Motley Fool Transcribing, The Motley Fool

Wed, April 29, 2026 astatine 11:51 AM CDT 47 min read

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DATE

Wednesday, April 29, 2026 astatine 11 a.m. ET

CALL PARTICIPANTS

• Chief Executive Officer — Kevin Joseph O'Donnell

• Chief Financial Officer — Robert Qutub

• President, Renaissance Reinsurance Ltd. — David Edward Marra

Full Conference Call Transcript

Kevin Joseph O'Donnell: Thanks, Keith. Good morning, everyone. We are arrogant of the quarter's results, which bespeak the spot of the RenaissanceRe Holdings Ltd. concern exemplary and the worth of our 3 drivers of profit. Once again this quarter, underwriting, interest and concern income each contributed meaningfully to beardown operating income. This is gratifying arsenic the balanced publication is cardinal to the resilience we person been gathering and advances our strategy of reducing net dependency connected immoderate azygous marketplace information oregon root of volatility. Before discussing the 4th successful much detail, fto maine commencement with the broader backdrop. Geopolitical hazard is elevated. Markets proceed to set to a higher-for-longer complaint situation and the macro situation remains progressively fragmented, highly volatile and little predictable.

Last twelvemonth I said that our concern is anti-correlated to this benignant of situation and our results show that this remains existent today. As the satellite becomes much uncertain and hazard averse, the worth of the extortion we supply increases. Our concern is to underwrite the volatility others question to avoid. We negociate it to trim our customers' hazard successful speech for beardown returns to our shareholders. Ultimately, our strategy is to sorb volatility, negociate it efficiently successful the mean course, and nutrient results implicit time, recognizing occasional losses volition occur. For the archetypal 4th of 2026, we reported operating income of $591 million, a 22% annualized operating instrumentality connected equity and operating net per stock of $13.75.

Tangible publication worth per stock accrued by 1.5% to $233.49. This reflects 2 influences: retained mark-to-market losses of $357 cardinal and stock repurchases of $353 cardinal astatine a premium to publication value. I volition code the mark-to-market losses and stock repurchases successful a fewer minutes, but we presumption these arsenic impermanent drags connected publication worth per stock and judge they assistance make the conditions for continuing beardown wide performance. Turning to our 3 drivers of profit, we volition commencement with underwriting. We reported beardown underwriting income of $589 cardinal driven by fantabulous existent mishap twelvemonth show and favorable anterior twelvemonth development. We benefited from astir $160 cardinal of favorable reserve improvement with a proportionally larger publication from Other Property.