Conduit Holdings Limited (CHL) has released its trading update for the first quarter of 2024, showcasing continued robust growth in gross premiums written and reinsurance revenue. The company's CEO, Trevor Carvey, emphasized the sustained momentum and the attractive trading landscape, with a focus on profitability and underwriting discipline. The update highlighted a 28.3% increase in gross premiums written, amounting to $356.8 million, and a 35.1% rise in reinsurance revenue to $181.1 million compared to the same period in 2023.
The company's outlook remains positive, with historically favorable market conditions and a conservative investment strategy aimed at protecting capital to support underwriting. Conduit Re's underwriting portfolio experienced growth across all segments, benefiting from new business, high retention, and improving rates. The client count increased in line with the company's strategy, with a focus on selective growth and stability alongside key partners.
In terms of premiums, the breakdown for the first quarter of 2024 showed significant increases in the property, casualty, and specialty segments, with respective growth rates of 36.5%, 6.3%, and 30.7%. Reinsurance revenue also saw substantial growth across these segments, with increases of 35.5%, 31.3%, and 39.9% respectively.
Conduit Re's Chief Underwriting Officer, Greg Roberts, noted that conditions remain supportive for the company's focused and disciplined deployment of capital, with mature relationships with carriers being a cornerstone of their strategy. The company's investment strategy maintains a short duration, highly-rated portfolio, with a focus on preserving capital and liquidity. The breakdown of the managed investment portfolio as of March 31, 2024, showed 88.4% in fixed maturity securities and 11.6% in cash and cash equivalents.
Overall, Conduit Holdings Limited's Q1 2024 trading update reflects a strong performance, with significant growth in premiums and reinsurance revenue, a positive outlook, and a disciplined approach to underwriting and investment strategies.