Cayman Islands-based Gulf Coast reinsurer Oxbridge Re has recorded net income of $4.0m for 2014, equal to $0.82 per share, This compared with $852,000 income in 2013 (the first year of operations), and EPS of $0.88. The decrease in EPS was the result of an increase in the number of shares in issue to 6.0m, from 1.1m at the end of June 2013. Oxbridge Re undertook an initial public offering in March 2014.
Gross written premiums rose to $14.3m, from $4.9m the previous part-year, commencing April 4 2013. Net earned premiums rose to $4.8m, from $1.5m.
Oxbridge Re said that, apart from 2014 being the reinsurer's first full year of operation, the 2014 results were driven by an increase in premium income and a fall in the pre-opening and organisational costs.
Investment income improved to $740,000, from $0 in 2013. Policy and acquisition costs rose to $431,000, from $96,000, while general and administrative expenses rose to $1.1m from $389,000 in the previous part-year.
For the fourth quarter, net income was $1.7m, up from $379,000 in the corresponding quarter the previous year. Net earned premiums were $1.6m, up from $635,000.
Oxbridge Re, through its licensed reinsurance subsidiary Oxbridge Reinsurance Ltd, writes fully collateralised policies to cover property losses from specified catastrophes in the Gulf Coast region of the US.
It restricts itself to risks "where it believes sufficient data exists to analyse effectively the risk/return profile of reinsurance contracts".