Assured Guaranty Municipal Corp. has released its consolidated financial statements for the year ended December 31, 2023, and the numbers paint an interesting picture of the company's performance.
The company's total investments decreased from $5,412 million in 2022 to $5,246 million in 2023. This drop is mainly attributed to a decrease in fixed-maturity securities available-for-sale, from $3,839 million in 2022 to $3,202 million in 2023.
Net earned premiums decreased from $220 million in 2022 to $207 million in 2023, while net investment income increased from $150 million in 2022 to $202 million in 2023. This indicates a shift in the company's revenue sources.
The company reported a significant increase in foreign exchange gains on remeasurement from a loss of $94 million in 2022 to a gain of $41 million in 2023, contributing to the total revenue of $505 million in 2023, up from $261 million in 2022.
Total expenses also increased from $145 million in 2022 to $258 million in 2023, driven by higher employee compensation and benefit expenses and other expenses.
The net income attributable to Assured Guaranty Municipal Corp. surged from $85 million in 2022 to $232 million in 2023, reflecting a strong financial performance for the year.
The comprehensive income attributable to the company also saw a noteworthy improvement, rising from a loss of $347 million in 2022 to a gain of $340 million in 2023.
The balance sheets show an increase in total shareholder's equity from $4,026 million in 2022 to $4,241 million in 2023, with retained earnings slightly decreasing from $3,452 million in 2022 to $3,427 million in 2023.
In terms of cash flows, the company reported net cash flows provided by operating activities of $144 million in 2023, a significant improvement from the net cash used in operating activities of $766 million in 2022. The net cash flows provided by investing activities also showed a positive trend, increasing from $1,094 million in 2022 to $246 million in 2023. However, the net cash flows used in financing activities increased from $323 million in 2022 to $249 million in 2023.
The company ended the year with cash and cash equivalents and restricted cash totaling $160 million, compared to $18 million at the end of 2022.
These financial figures indicate a mixed performance for Assured Guaranty Municipal Corp., with some metrics showing improvement while others experienced a decline. Following these announcements, the company's shares moved -1.2%, and are now trading at a price of $81.4. For more information, read the company's full 8-K submission here.
