Skyward Specialty Insurance Group, Inc. has recently released its 10-Q report, providing a detailed insight into its financial condition and operations. Founded in 2006, the Houston-based company focuses on offering commercial property and casualty insurance products in the United States. It operates through eight distinct underwriting divisions, catering to niche markets and providing specialized underwriting solutions and claims capabilities.
In the three months ended March 31, 2024, Skyward Specialty reported gross written premiums of $458.6 million, marking a significant increase from the $360.5 million reported in the same period of 2023. Net written premiums also experienced substantial growth, reaching $287.1 million, a 42% increase from the previous year. The company's net earned premiums for the same period amounted to $236.3 million, reflecting a 29.3% increase compared to the first quarter of 2023.
The underwriting income for the three months ended March 31, 2024, stood at $24.7 million, up from $17.8 million in the same period of 2023. Additionally, the company reported net investment income of $18.3 million, a significant increase from the $4.6 million reported in the first quarter of 2023. Skyward Specialty's net income for the period was $36.8 million, compared to $15.6 million in the same period of 2023. The company also reported an annualized return on equity of 21.7%, a notable increase from the 13.4% reported in the first quarter of 2023.
The report also detailed the breakdown of Skyward Specialty's underwriting results. The company reported growth in gross written premiums across its underwriting divisions, with double-digit premium growth primarily from its captives, transactional E&S, surety, global property & agriculture, and professional lines divisions. The increase in gross written premiums was attributed to new business and increased rates.
Moreover, the report provided a comprehensive overview of the company's investment results, outlining the components of net investment income and net investment gains (losses) for the three months ended March 31, 2024, and comparing them to the same period in 2023. The company's investment portfolio at carrying value was also detailed, with a focus on its fixed income securities and commercial mortgage loans.
As a result of these announcements, the company's shares have moved 4.4% on the market, and are now trading at a price of $37.36. If you want to know more, read the company's complete 10-Q report here.
