# Hiscox Ltd reports Record Profits and Growth in Full-Year Results 2023

- Link: https://www.directorstalkinterviews.com/hiscox-ltd-reports-record-profits-and-growth-in-full-year-results-2023/4121146196
- Published: 2024-03-05T07:45:57+00:00
- Author: Amilia Stone

**Hiscox Ltd** (LON:HSX) has announced its full-year results for the year ended 
31 December 2023

|  | **2023** | **2022 As restated under IFRS 17** | 
| Insurance contract written premium^([1]) | $4,598.2m | $4,355.4m | 
| Net insurance contract written premium^(1) | $3,555.8m | $3,225.5m | 
| Insurance service result | $492.3m | $360.9m | 
| Net investment result | $384.4m | $(187.3)m | 
| Profit before tax | $625.9m | $275.6m | 
| Earnings per share | 206.1¢ | 73.8¢ | 
| Earnings per share adjusted for Bermuda DTA | 162.7¢ | 73.8¢ | 
| Total dividend per share | 37.5¢ | 36.0¢ | 
| Net asset value per share^(1) | 951.1¢ | 764.5¢ | 
| Group combined ratio (discounted)^(1) | 85.5% | 88.7% | 
| Group combined ratio (undiscounted)^(1) | 89.8% | 91.1% | 
| Return on equity^(1) | 27.6% | 10.1% | 
| Return on equity adjusted for Bermuda DTA | 21.8% | 10.1% | 
| Positive prior year development^(1) | $122.8m | $209.4m | 
| Bermuda solvency capital ratio (BSCR)^([2]) | 212% | 199% |

**Highlights**

·      Net insurance contract written premium (net ICWP) grew by 10.7% in constant
currency to $3,555.8 million (2022: $3,225.5 million).

·      Record profit before tax of $625.9 million (2022: $275.6 million), underpinned
by:

o  a 36.4% increase in the insurance service result at $492.3 million (2022: $360.9
million); and

o  a record net investment income of $384.4 million (2022: loss of $187.3 million).

·      Undiscounted combined ratio of 89.8% (2022: 91.1%).

·      Group ROE of 21.8%^(3).

·      $150 million buyback, with pro-forma BSCR post ordinary final dividend and
capital return of 200%^(2).

·      Strong start to 2024 across all business segments.

A conference call for investors and analysts will be held at 10:00 GMT on Tuesday,
5 March 2024.

**Participant dial-in numbers:**

United Kingdom (Local): 020 3936 2999

All other locations: +44 20 3936 2999 
Participant access code: 466558

> **Aki Hussain, Group Chief Executive Officer, Hiscox Ltd, commented:**
> “Our business has delivered excellent results, with record profits of $625.9 million
> underpinned by a 36% improvement in the underwriting result and a record investment
> income. The Group combined ratio below 90% and ROE of 21.8%^([3]) have led to 
> very strong capital generation, which we are deploying for further growth in all
> parts of the business in addition to a special return to shareholders of $150 
> million.”

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^([1])Alternative performance measure definitions used by the Group are included
within the consolidated financial statements.

^([2])Estimated for 2023.

^([3])Excludes impact of Bermuda DTA.

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