Ambac Financial Posts 89% Revenue Increase

By Tamara Parker • Thursday, February 27 06:06 • Permanent Link

Ambac Financial Group, Inc. (NYSE: AMBC) has reported its results for the fourth quarter and full year of 2024, showcasing significant growth and strategic business transitions.

Total revenue from continuing operations saw an 89% increase for the year, reaching $236 million. The total specialty property and casualty (P&C) insurance premium also experienced substantial growth, increasing by 74% to $876 million for the year.

In the specialty P&C insurance segment, gross premiums written surged to $59,987,000 in the fourth quarter of 2024, marking an 88% increase from the same period in 2023. The insurance distribution segment also saw remarkable growth, with total revenues hitting $44,070,000 for the quarter, reflecting a staggering 257% increase over the previous year.

Ambac's adjusted EBITDA to common stockholders was $5 million for the quarter, representing a 270% increase from the fourth quarter of 2023, and $13 million for the year, reflecting a 43% increase from 2023.

The specialty P&C insurance segment reported a combined ratio improvement of 380 basis points over the fourth quarter of 2023, reaching 96.5%. Net income from continuing operations in this segment was $2 million for the quarter and $10 million for the year, a significant rise from the previous year's figures.

Claude Leblanc, President and Chief Executive Officer of Ambac, highlighted the record performances of the P&C operating businesses in 2024, generating nearly $900 million in premiums across the platform. He also emphasized the company's commitment to growth through strategic acquisitions and organic growth, with a strong pipeline for 2025.

Ambac also made significant progress in the separation of its legacy and P&C businesses' financial and technology platforms to facilitate a smooth transition ahead of the close of the legacy sale.

In the earnings call and webcast scheduled for February 27, 2025, the company's leadership will discuss the fourth quarter 2024 results and provide further insights.

Following these announcements, the company's shares moved -2.0%, and are now trading at a price of $11.66. If you want to know more, read the company's complete 8-K report here.

The above analysis is intended for educational purposes only and was performed on the basis of publicly available data. It is not to be construed as a recommendation to buy or sell any security. Any buy, sell, or other recommendations mentioned in the article are direct quotations of consensus recommendations from the analysts covering the stock, and do not represent the opinions of Market Inference or its writers. Past performance, accounting data, and inferences about market position and corporate valuation are not reliable indicators of future price movements. Market Inference does not provide financial advice. Investors should conduct their own review and analysis of any company of interest before making an investment decision.