Loading...
01/11 11:07
Loading...
Access earnings results, analyst expectations, report, slides, earnings call, and transcript.
Despite optimism around tokenized asset growth and strategic partnerships, the financial performance was weak, with significant losses and increased expenses, largely due to Hurricane Milton. The Q&A highlighted compliance and transparency but lacked specifics, especially regarding future plans. The negative financial metrics and vague future guidance suggest a negative market reaction.
Net Premiums Earned (Quarter Ended June 30, 2025) $582,000, an increase from $564,000 for the quarter ended June 30, 2024. The increase is due to higher rates on contracts in force during the period.
Net Premiums Earned (6 Months Ended June 30, 2025) $1.18 million, an increase from $1.1 million for the 6 months ended June 30, 2024. The increase is due to higher rates on contracts in force during the period.
Net Investment Income and Other Income (Quarter Ended June 30, 2025) $93,000, an increase from $66,000 in the prior year second quarter.
Net Investment Income and Other Income (6 Months Ended June 30, 2025) $173,000, an increase from $126,000 in the prior year period.
Total Revenues (Quarter Ended June 30, 2025) $654,000, an increase from $44,000 in the prior year second quarter.
Total Revenues (6 Months Ended June 30, 2025) $1.36 million, an increase from negative $81,000 in the prior year comparable period.
Total Expenses (Quarter Ended June 30, 2025) $2.61 million, an increase from $628,000 for the quarter ended June 30, 2024. The increase is primarily due to adverse development and loss recognition from Hurricane Milton, increased human resources and personnel costs, professional marketing and IR costs, Web3 subsidiary tokenization costs, renewed S-3 related costs, and legal expenditures.
Total Expenses (6 Months Ended June 30, 2025) $4.18 million, an increase from $1.18 million for the 6 months ended June 30, 2024. The increase is primarily due to adverse development and loss recognition from Hurricane Milton, increased human resources and personnel costs, professional marketing and IR costs, Web3 subsidiary tokenization costs, renewed S-3 related costs, and legal expenditures.
Net Loss (Quarter Ended June 30, 2025) $1.87 million or $0.25 per basic and diluted loss per share, compared to a net loss of $821,000 or $0.14 per basic and diluted loss per share for the quarter ended June 2024. The increase is primarily due to adverse development and loss recognition from Hurricane Milton.
Net Loss (6 Months Ended June 30, 2025) $2.01 million or $0.28 per basic and diluted loss per share, compared to a net loss of $1.73 million or $0.29 per basic and diluted loss per share for the 6 months ended June 30, 2024. The increase is primarily due to adverse development and loss recognition from Hurricane Milton.
Loss Ratio (Quarter Ended June 30, 2025) 394%, an increase from the prior comparative period due to the full limit loss of approximately $2.3 million on one of the reinsurance contracts affected by Hurricane Milton.
Loss Ratio (6 Months Ended June 30, 2025) 194.8%, an increase from the prior comparative period due to the full limit loss of approximately $2.3 million on one of the reinsurance contracts affected by Hurricane Milton.
Acquisition Cost Ratio (Quarter and 6 Months Ended June 30, 2025) Approximately 11%, consistent with the prior year periods.
Expense Ratio (Quarter Ended June 30, 2025) 227%, an increase from 111.3% for the quarter ended June 30, 2024. The increase is primarily due to increased professional costs related to Investor Relations and Web3 subsidiary marketing and operations, renewed S-3 related costs, increased human resources and personnel costs, and legal expenditures.
Expense Ratio (6 Months Ended June 30, 2025) 160.7%, an increase from 105.7% for the 6 months ended June 30, 2024. The increase is primarily due to increased professional costs related to Investor Relations and Web3 subsidiary marketing and operations, renewed S-3 related costs, increased human resources and personnel costs, and legal expenditures.
Combined Ratio (Quarter Ended June 30, 2025) 621%, an increase from 111.3% for the quarter ended June 30, 2024. The increase is primarily due to losses incurred from Hurricane Milton and increased general and admin expenses.
Combined Ratio (6 Months Ended June 30, 2025) 355.5%, an increase from 105.7% for the 6 months ended June 30, 2024. The increase is primarily due to losses incurred from Hurricane Milton and increased general and admin expenses.
Investment Portfolio (June 30, 2025) $104,000, a decrease from $113,000 at prior year-end, primarily due to the decrease in fair value of equity securities during the 6-month period ended June 30, 2025.
Cash and Cash Equivalents (June 30, 2025) $6.7 million, an increase of $760,000 or 12.9% from $5.9 million as of December 31, 2024. The increase is a net result of premium deposits, the registered direct offering that generated $2.7 million net of expenses, and payment of Hurricane Milton losses and general admin expenses during the period.
Tokenized Reinsurance Securities: Oxbridge Re has expanded into the RWA Web3 space by issuing tokenized reinsurance securities through its subsidiary SurancePlus. These securities leverage blockchain technology for transparency and compliance, offering alternative investment opportunities.
New Subsidiary - SurancePlus: Established in 2022, SurancePlus focuses on democratizing tokenized real-world assets (RWAs) and broadening investor participation beyond ultra-high net worth individuals.
Strategic Partnerships: Oxbridge Re has entered into partnerships with Plume and Midnight Foundation to enhance its tokenized reinsurance offerings and expand its reach in the blockchain-enabled RWA market.
Global Presence: The company has actively participated in global blockchain and RWA events, showcasing its products and strengthening its industry leadership.
Financial Performance: Net premiums earned increased to $582,000 for Q2 2025, up from $564,000 in Q2 2024. However, total expenses rose significantly due to Hurricane Milton losses and increased operational costs.
Expense Ratio: The expense ratio increased to 227% in Q2 2025 from 111.3% in Q2 2024, driven by higher professional, marketing, and legal costs.
Focus on RWA and Web3: The company aims to position itself as a leader in the RWA and Web3 sectors, leveraging blockchain technology for innovative investment solutions.
Extraordinary General Meeting: Scheduled to approve measures to accelerate strategy and strengthen leadership in the tokenized reinsurance market.
Hurricane Milton Loss Impact: The company experienced a full limit loss of approximately $2.3 million on one of its reinsurance contracts due to Hurricane Milton. This significantly increased the loss ratio to 394% for the quarter and 194.8% for the six-month period, leading to a net impact of $1.2 million on the company's equity after accounting for external tokenholders.
Increased Expenses: Total expenses rose significantly to $2.61 million for the quarter and $4.18 million for the six-month period, driven by higher personnel costs, professional marketing and investor relations costs, legal expenditures, and costs related to the Web3 subsidiary's tokenization efforts.
High Combined Ratio: The combined ratio surged to 621% for the quarter and 355.5% for the six-month period, primarily due to Hurricane Milton losses and increased general and administrative expenses, indicating poor underwriting performance.
Decreased Investment Portfolio Value: The investment portfolio value decreased to $104,000 as of June 30, 2025, from $113,000 at the prior year-end, reflecting a decline in the fair value of equity securities.
Net Loss Increase: The net loss for the quarter increased to $1.87 million from $821,000 in the prior year, and for the six-month period, it rose to $2.01 million from $1.73 million, primarily due to Hurricane Milton losses and increased expenses.
Regulatory and Compliance Costs: The company incurred renewed S-3 related costs and other legal expenditures, adding to the financial burden.
Operational Challenges in Web3 Expansion: The Web3 subsidiary's tokenization and marketing efforts have led to increased costs, reflecting challenges in scaling and operationalizing this new business segment.
Expansion into RWA Web3 technology: Oxbridge Re has diversified its business by establishing SurancePlus Inc., a subsidiary focused on democratizing tokenized real-world assets (RWAs). This initiative leverages blockchain technology to offer tokenized reinsurance securities as alternative investment opportunities, ensuring transparency and compliance with SEC guidelines.
Strategic partnerships: The company has entered into partnerships with Plume, a real-world asset platform, and Midnight Foundation, a blockchain-focused organization. These alliances aim to expand SurancePlus' reach, strengthen distribution capabilities, and position the platform at the forefront of blockchain-enabled RWA innovation.
Tokenized reinsurance offerings: Oxbridge Re has advanced its 2025 and 2026 tokenized reinsurance offerings, targeting a 20% annual return for balanced-yield products and a 42% annual return for high-yield products, assuming no underlying losses. This initiative aims to broaden investor participation in the $760 billion reinsurance market.
Future growth in tokenized reinsurance market: The company aims to capture significant opportunities in the tokenized reinsurance market by leveraging its innovative products, strategic partnerships, and leadership position.
Market positioning: Oxbridge Re intends to position itself as a prominent player in the RWA and Web3 sector, focusing on blockchain-powered pathways to democratize reinsurance investment.
Long-term shareholder value: The company is committed to driving sustainable growth and creating long-term shareholder value through its innovative approach and expanding network of strategic relationships.
The selected topic was not discussed during the call.
The earnings call reveals several concerning factors: decreased net premiums, increased expenses, and a significant loss due to Hurricane Milton. The high expense and loss ratios indicate operational inefficiencies and financial strain. Although there are positive aspects like increased total revenue and cash reserves, the overall sentiment is negative due to the financial challenges and market risks. The company's strategic initiatives in tokenization and partnerships may offer future potential, but the immediate outlook remains negative, likely leading to a stock price decline of 2% to 8% over the next two weeks.
Despite optimism around tokenized asset growth and strategic partnerships, the financial performance was weak, with significant losses and increased expenses, largely due to Hurricane Milton. The Q&A highlighted compliance and transparency but lacked specifics, especially regarding future plans. The negative financial metrics and vague future guidance suggest a negative market reaction.
The earnings call highlights strong financial performance with increased revenues and reduced losses, alongside promising developments in tokenized securities and strategic partnerships. The Q&A confirms positive sentiment towards market capture potential and partnerships. Despite some regulatory and competitive risks, the optimistic guidance and strategic initiatives in the growing tokenization market point to a positive stock price movement in the near term.
The earnings call highlights strong financial performance with increased revenues and improved net loss. The strategic partnership with Plume and optimistic long-term growth outlook in the tokenized asset market are positive indicators. Despite some regulatory and competitive pressures, the company's innovative approach in tokenized securities and inclusion of cryptocurrencies in the treasury strategy are promising. The Q&A section reflects positive sentiment from analysts, especially regarding market capture potential. Overall, these factors suggest a positive stock price movement over the next two weeks.
All transcripts are sourced directly from the official live webcast or the company’s official investor relations website. We use the exact words spoken during the call with no paraphrasing of the core discussion.
Full verbatim transcripts are typically published within 4–12 hours after the call ends. Same-day availability is guaranteed for all S&P 500 and most mid-cap companies.
No material content is ever changed or summarized in the “Full Transcript” section. We only correct obvious spoken typos (e.g., “um”, “ah”, repeated 10 times”, or clear misspoken ticker symbols) and add speaker names/titles for readability. Every substantive sentence remains 100% as spoken.
When audio quality is poor or multiple speakers talk over each other, we mark the section instead of guessing. This ensures complete accuracy rather than introducing potential errors.
They are generated by a specialized financial-language model trained exclusively on 15+ years of earnings transcripts. The model extracts financial figures, guidance, and tone with 97%+ accuracy and is regularly validated against human analysts. The full raw transcript always remains available for verification.
