GAH Gable Hldgs

TIDMGAH

RNS Number : 6048T

Gable Holdings Inc

31 March 2016

31 March, 2016

Gable Holdings Inc.

Trading Update

Further to the statement made on 21 December 2015, Gable Holdings Inc. ("Gable" or the "Company") today provides a trading update for the 12 month period ended 31 December 2015.

Summary

-- Gross Written Premiums of over GBP100m, representing a 25% increase over the prior period

-- High retention rates and new referrals continue to drive strong growth in underlying business across all European markets

-- Over 40% increase in cash and liquid investment balances to GBP60m

-- Pre-tax loss for the group expected to be between GBP7 million and GBP8 million after taking into account:

o Previously announced GBP7.5 million provision to eliminate the remaining balance of the pre-2012 historical reserving gap;

o The cost of the Quota Share agreement as announced in December 2015; and

o Provisions for claims arising from the significant floods experienced in the UK and Europe in December 2015, the impact of which is limited to between GBP2 million and GBP3 million through reinsurance arrangements

-- The Company's Loan Note Instrument is closed with immediate effect and no further Loan Notes will be issued. The funding provided by the instrument ensured compliance with current solvency requirements under the transitional provisions of Solvency II, utilised by the Company and many other insurers across Europe. The transitional provisions set out in European Directives (and encompassed within Liechtenstein Law) give an insurer until 31 December 2017 to fully comply with Solvency II capital requirements

UK and European storms

In common with many other insurers in this market, the Company is experiencing claims arising from the storms and floods experienced in the UK and Europe at the end of 2015. We expect that reinsurance arrangements will limit the financial impact to between GBP2 million and GBP3 million.

Convertible Loan Note Instrument

On 21 December 2015 Gable announced the issue of a Convertible Loan Note Instrument with a term of three years under which Loan Notes may be issued up to a maximum aggregate value of GBP10 million. The Company issued Loan Notes amounting to GBP3.96m during 2015 and has no intention to issue any further Notes under the Instrument.

Current Trading and Outlook

-- Momentum of high quality new business opportunities has continued into 2016

-- We continue to review our underwriting portfolio to ensure focus on profitability, core customers and strategic classes of business and have initiated a programme to review business which does not meet our underwriting criteria

-- We remain focused on delivering profitable underlying insurance results

Commenting, William Dewsall, Chief Executive of Gable, said:

"Gable produced another year of growth in the underlying business with a strong core underwriting performance which was achieved in challenging markets. The overall performance was impacted only at the year-end by the severe December storms and floods, and we were once again quick to respond to our customers' requirements in getting many businesses back in action following the storms, whilst Gable was also well protected through its reinsurance arrangements, limiting the ultimate financial impact. We remain focussed on delivering underwriting profits with a strong and growing cash position which has continued to increase by over 40% on 2014.

"I should like to thank those who supported Gable's December funding round which has ensured compliance under the transitional provisions of Solvency II.

"We are encouraged by the continued momentum in high quality new business that we have seen during the first quarter which give us confidence concerning the levels of profitable business that we can achieve during the 2016.

"We also note with interest that Allianz Risk Transfer AG based in Switzerland has recently announced that it intends to relocate its European headquarters to Liechtenstein at the end of 2016 pending regulatory approvals. We are delighted that it both endorses the excellent regulatory credentials of the FMA in Liechtenstein and brings another major European non-life insurance company into the country."

ENDS

Enquiries:

 
 Gable Holdings Inc.               Tel: +44(0) 20 7337 7460 
  William Dewsall, Chief 
  Executive 
  Michael Hirschfield, Group 
  Finance Director 
  John Bick, Investor Relations 
 Zeus Capital Limited              Tel: +44(0) 20 3829 5000 
  Nicholas How, Corporate 
  Finance 
  Adam Pollock, Corporate 
  Broking 
 Haggie Partners LLP              Tel : +44(0) 20 7562 4444 
  Peter Rigby 
  Ned Ellison 
  Rob Tuttlebee 
 

About Gable Holdings Inc.

Gable is a European non-life insurance company underwriting a comprehensive range of specialist policies for the commercial sectors in the UK, Denmark, France, Germany, Italy, Norway, Spain and Sweden. Gable benefits from a low-cost online underwriting platform and the Company has continued to successfully grow its business geographically whilst simultaneously exploiting a range of niche insurance segments which exist across the EU, which is delivered through the EU passporting mechanism. Gable Holdings Inc. is quoted on the London Stock Exchange's AIM market. For further information please visit www.gableholdings.com.

This information is provided by RNS

The company news service from the London Stock Exchange

END

TSTAKKDPPBKDPNN

(END) Dow Jones Newswires

March 31, 2016 02:00 ET (06:00 GMT)

Gable Hldgs (LSE:GAH)
과거 데이터 주식 차트
부터 11월(11) 2024 으로 12월(12) 2024

Gable Hldgs (LSE:GAH)
과거 데이터 주식 차트
부터 12월(12) 2023 으로 12월(12) 2024