Lancashire Holdings Limited - Third Quarter 2025 Results

Lancashire Holdings Limited (“Lancashire” or “the Group”) today announces its trading statement for the nine months ended 30 September 2025.

Trading statement highlights

• Strong third quarter with continued growth and disciplined and selective underwriting.
• Gross premiums written increased by 7.4% year-on-year to $1.8 billion, insurance revenue increased by 7.8% year-on-year to $1.4 billion, with a Group Renewal Price Index (RPI) of 96%.
• Total investment return of 5.6%, including unrealised gains and losses, year-to-date.
• Minority buy-out of Syndicate 2010 achieved.
• Special dividend of 75 cents per common share, or $182 million, reflecting robust capital position and positive operating performance.

Alex Maloney, Group Chief Executive Officer, commented:

“Lancashire delivered a strong third quarter, continuing to grow in line with market opportunities while maintaining a disciplined and selective approach to underwriting.

Gross premiums written rose 7.4% year-on-year to $1.8 billion and insurance revenue increased by 7.8% to

$1.4 billion.

Our performance over the first nine months of the year - particularly in light of the California wildfires early on - demonstrates the strength and resilience of our business model. It highlights the value of our strategy, our capacity to navigate volatility, and the advantages of our diversified portfolio across both product lines and geographies.

Market dynamics remain robust and, while certain classes have seen the start of some softening from recent highs, overall pricing remains healthy across most of the book. Our results were also supported by strong investment returns, achieving 5.6% for the year to date.

Reflecting Lancashire’s earnings in the first nine months of the year, the Board has approved a special dividend of 75 cents per common share, resulting in an aggregate distribution of approximately $182 million.

During the quarter, we received approval from Lloyd’s of London to complete the minority buy-out of the remaining capacity on Syndicate 2010 for the 2026 underwriting year. This is a significant milestone for the business, offering new opportunities and strategic flexibility.

Our capital position remains exceptionally strong. We are returning capital to shareholders, investing in our syndicate platform, and continuing to pursue attractive underwriting opportunities through the remainder of the year and beyond.

Finally, our people remain at the heart of our success. In September, we conducted our 2025 all-employee engagement survey, and I’m pleased to report another round of highly positive feedback. I’m especially proud that our culture continues to be valued by our colleagues. This reinforces my confidence in the dedication and commitment of our team, who are driving Lancashire forward with energy and purpose. My sincere thanks go to them - and to all our stakeholders - for their continued support.”

Business update

Gross premiums written and insurance revenue

Nine months ended

Gross premiums written

Gross premiums written increased by $125.4 million, or 7.4%, in the first nine months of 2025, compared to the same period in 2024. Excluding the impact of reinstatement premiums, underlying growth in gross premiums written was 4.8%. In the reinsurance segment there has been measured growth across most lines, including planned growth in areas of specialty reinsurance such as aviation, marine and energy treaty. In the insurance segment the continued build-out of the Lancashire US franchise has seen classes such as energy liability and property insurance grow, as well as premium growth in marine hull and war and political risk lines of business via our London platforms. The overall RPI for the Group was 96%.

Insurance revenue

Insurance revenue increased by $101.8 million, or 7.8%, in the first nine months of 2025 compared to the same period in 2024. Gross premiums earned, the key driver of insurance revenue, as a percentage of gross premiums written, was 91.6% for the first nine months of 2025, compared to 88.2% for the equivalent period in 2024. Insurance revenue continues to increase at a faster rate than gross premiums written, reflecting premium earnings from prior underwriting years where the business saw substantial growth.

Loss environment

The third quarter loss environment was relatively benign for natural catastrophe losses. The environment for large single risks losses remains active, consistent with trends seen earlier in the year.

Investments

The Group’s investment portfolio, including unrealised gains and losses, delivered a 5.6% return over the first nine months of 2025. Performance was supported by falling yields, amid rising expectations of rate cuts, which lifted prices. Additionally, modest tightening in investment-grade credit spreads and a foreign exchange gain of 50 bps for non-US dollar portfolios, held for hedging purposes, further contributed to returns. Private investment funds also generated strong performance during the period.

Dividends

Lancashire’s Board of Directors has declared a special dividend of 75 cents per common share (approximately 57 pence per common share at the current exchange rate), which will result in an aggregate payment of approximately $182 million. The dividend will be paid in Pounds Sterling on 12 December 2025 (the “Dividend Payment Date”) to shareholders of record on 14 November 2025 (the “Record Date”) using the £ / $ spot market exchange rate at 12 noon London time on the Record Date. Shareholders interested in participating in the dividend reinvestment plan (“DRIP”), or other services including international payment, are encouraged to contact the Group’s registrars, MUFG Corporate Markets, for more details.

Analyst and Investor Conference Call

There will be an analyst and investor conference call on the trading statement at 10am UK time / 6am Bermuda time / 5am EDT on Wednesday 5 November 2025. The conference call will be hosted by Lancashire management and a presentation will be made available on the Group’s website prior to the call.

Participant Access

Please register to obtain your personal audio conference pin and call details.

Please use this link to register and access the call via webcast.

A webcast replay facility will be available for 12 months and accessible at: https://www.lancashiregroup.com/en/investors/results-reports-and-presentations.html