Maiden Holdings, Ltd. Reports First Quarter Net Income of $12.5
Million
HAMILTON, Bermuda, June 4, 2008 (PRIME NEWSWIRE) -- Maiden Holdings,
Ltd. (Nasdaq:MHLD), today reported net income of $12.5 million and
net premium written of $102.4 million for the first quarter ended
March 31, 2008. Earnings per share for the first quarter were $0.21.
In addition, Maiden has no exposure to sub-prime mortgages; all of
the mortgage-backed securities in the Company's portfolio are
government or agency guaranteed.
First Quarter 2008 Highlights:
* Net premium written was $102.4 million
* Net income was $12.5 million
* Return on equity for the first quarter was 9.4% on an
annualized basis
* Quarterly earnings per basic share was $0.21
* The combined ratio for the first quarter was 92.7%
First Quarter 2008 Results:
Revenue:
Net written premium for the first quarter was $102.4 million and net
earned premium was $65.3 million. Net investment income was $7.6
million and average invested assets for the three months ended March
31, 2008 was approximately $542 million.
Expenses:
The Company's loss ratio for the first quarter 2008 was 57.9%. The
Company's expenses for the first quarter 2008 were $22.7 million
resulting in an expense ratio of 34.8% for the quarter.
Other Matters:
Shareholders' Equity as of March 31, 2008 was $530.6 million. During
the first quarter the Company paid a dividend of $0.025 per share and
announced a dividend of $0.025 which was paid during the second
quarter.
"We are extremely pleased with our first quarter results as a public
company and look forward to the Company's continued growth," said Mr.
Max Caviet, President and CEO. "Maiden's focus on low volatility
throughout its activities has put us in an excellent position in the
marketplace."
Conference Call:
On June 4, 2008 at 3:00 p.m. Atlantic Time (2:00 p.m. ET), the
Company will hold a conference call that can be accessed as follows:
Toll Dial-in (International Callers): 719.325.4855
Toll-free Dial-in: 877.627.6590
Webcast: http://www.maiden.bm
In order to participate in the conference call, you must register at
http://www.maiden.bm.
A replay of the conference call will be available starting at 6:00
p.m. Atlantic Time on Wednesday, June 4, 2008 through Wednesday, June
11, 2008 by dialing toll 719.457.0820 or toll-free 888.203.1112. The
passcode for the replay is 4185502. Replay of the webcast will also
be available at http://www.maiden.bm.
About Maiden Holdings, Ltd.
Maiden Holdings, Ltd. is a Bermuda holding company formed in May,
2007 to offer customized reinsurance products and services, through
Maiden Insurance Company, Ltd., its wholly owned Bermuda reinsurance
subsidiary, to small and mid-size insurance companies in the United
States and Europe.
The Maiden Holdings, Ltd. logo is available at
http://www.primenewswire.com/newsroom/prs/?pkgid=5006
Forward Looking Statement
This release contains "forward-looking statements" which are made
pursuant to the safe harbor provisions of the Private Securities
Litigation Reform Act of 1995. The forward-looking statements are
based on the Company's current expectations and beliefs concerning
future developments and their potential effects on the Company. There
can be no assurance that actual developments will be those
anticipated by the Company. Actual results may differ materially from
those projected as a result of significant risks and uncertainties,
including non-receipt of the expected payments, changes in interest
rates, effect of the performance of financial markets on investment
income and fair values of investments, developments of claims and the
effect on loss reserves, accuracy in projecting loss reserves, the
impact of competition and pricing environments, changes in the demand
for the Company's products, the effect of general economic
conditions, adverse state and federal legislation, regulations and
regulatory investigations into industry practices, developments
relating to existing agreements, heightened competition, changes in
pricing environments, and changes in asset valuations. The Company
undertakes no obligation to publicly update any forward-looking
statements.
Maiden Holdings, Ltd.
Income Statement
(in thousands (000's), except per share data)
(Unaudited)
Three Months Ended
March 31, 2008
---------------
Premium income
Net premiums written $ 102,432
Change in unearned premiums (37,127)
---------------
65,305
---------------
Net investment income 7,609
Net realized investment gains 125
---------------
7,734
---------------
Total revenues 73,039
---------------
Loss and loss adjustment expenses 37,836
Commission and other acquisition expenses 21,261
Salaries and benefits 533
Other operating expenses 893
---------------
60,523
---------------
---------------
Net income available to common shareholders $ 12,516
===============
Earnings per common share:
Basic and diluted earnings per share $ 0.21
Weighted average number of basic and
diluted shares outstanding 59,550,000
Combined ratio 92.7%
Annualized return on equity 9.4%
Maiden Holdings, Ltd.
Balance Sheet Highlights
(in thousands (000's), except per share data)
(Unaudited)
March 31, December 31,
2008 2007
----------- -----------
Cash and cash equivalents and
investments $ 637,277 $ 526,174
Reinsurance balances receivable, net 79,980 27,990
Total assets 895,196 715,608
Loss and loss adjustment expense
reserves 61,648 38,508
Unearned premiums 174,293 137,166
Total shareholders' equity $ 530,577 $ 537,345
Book value per share $ 8.91 $ 9.02
Common shares outstanding 59,550,000 59,550,000
CONTACT: Maiden Holdings, Ltd.
Devora M. Goldenberg
441.292.7090
info@maiden.bm