SiriusPoint Ltd (NYSE: SPNT), a Bermuda-based specialty insurer and reinsurer, reported record full-year 2025 results, underscoring its strategic repositioning toward lower-volatility, high-margin specialty lines. The company has a market capitalization of roughly $2.5 billion and delivered net income of $444 million, up 141% year-over-year, with ROE of 22.1% and operating ROE of 16.2%, exceeding its stated through-the-cycle target of 12–15%. The results reflect thirteen consecutive quarters of underwriting profit and demonstrate improved balance sheet resilience.
Management Summary and Strategic Vision
CEO Scott Egan described 2025 as the first full year of the company’s “Profitable Growth” phase, following the Turnaround (2022–2023) and Major Reshaping (2024) periods. Management emphasized disciplined underwriting, portfolio rationalization, and capital efficiency as core drivers of performance. CFO Jim McKinney highlighted a strengthened balance sheet, with diluted book value per share excluding AOCI rising 28% to $18.10.
Management signaled continued focus on U.S. specialty lines, disciplined expense management, and capital optimization as key priorities for 2026. No quantitative guidance for 2026 was provided.
Financial Performance Overview
SiriusPoint’s full-year results reflect a combination of premium growth, underwriting discipline, and capital actions:
Full-Year 2025:
- Gross Written Premiums (GWP): $3.69 billion (+16% YoY)
- Net Written Premiums (NWP): +19% YoY
- Core Combined Ratio: 91.7%
- Attritional Combined Ratio: improved 1.5 points YoY
- Net Income: $444 million
- Operating ROE: 16.2%
Q4 2025:
- Net Income: $240 million
- Annualized ROE: 44.9%
- GWP growth: 18%
- Core Combined Ratio: 92.9%
The improvement in attritional combined ratios signals stronger underlying underwriting performance, even after adjusting for catastrophe losses and prior-year reserve development.
Product Update and Portfolio Evolution
The portfolio continues to pivot toward lower-volatility specialty lines, reducing reliance on traditional property catastrophe exposures.
- Accident & Health (A&H): Generated ~$1 billion in GWP, functioning as a volatility stabilizer. This line remains capital-light with a long-term track record of profitability.
- Specialty Growth: Contributed approximately 60% of 2025 growth, including Surety and UK Residential & SME Property, the latter shielded by low-attaching reinsurance.
- Reinsurance: GWP increased 2.9%, with growth in London and New York casualty offset by reductions in Bermuda property exposures.
Segment Performance
Insurance & Services:
- GWP: $2.31 billion (+25.7% YoY)
- Segment Income: $165.7 million (vs. $119.8 million in 2024)
- Growth driven by A&H, Surety, and international MGA partnerships
Reinsurance:
- GWP: $1.38 billion (+2.9% YoY)
- Underwriting Income: $90.5 million (vs. $124.8 million in 2024)
- Profitability constrained by higher catastrophe losses and lower favorable reserve development
M&A and Capital Actions
- MGA Divestitures: ArmadaCorp sale completed for $250 million (Q4), realizing a $222 million pre-tax gain; Arcadian 49% stake sale for $140.4 million, with $25 million gain expected Q1 2026.
- Strategic Acquisitions: Assist America acquired Dec. 31, 2025; agreement to acquire World Nomads travel insurance business.
- Shareholder Returns: $100 million common share repurchase program approved.
- Deleveraging: Series B Preference Shares redeemed (~$200 million), reducing leverage to a historic 23%.
Capital Strength and Credit Ratings
SiriusPoint maintains financial strength ratings of A- (AM Best, S&P, Fitch) and A3 (Moody’s), all with positive outlooks as of 2025. The estimated year-end Bermuda Solvency Capital Ratio (BSCR) was 247%, providing a robust buffer against stress scenarios and regulatory requirements.
Geographic Expansion
Approximately 50% of premiums are now underwritten in the U.S., marking the company’s evolution toward a U.S. specialty focus. The UK and Lloyd’s platforms continue to contribute $0.9 billion in GWP, and acquisitions such as Assist America expand reach into Asia and the Middle East.
Competitive Analysis
SiriusPoint has strengthened its underwriting profile relative to peers:
- Attritional combined ratio improved 1.5 points YoY.
- Outperformed peer average in core combined ratios since late 2024.
- Volatility profile aligns with top-tier U.S. specialty insurers, outperforming more catastrophe-exposed global reinsurers.
- Recognized as “(Re)Insurer of the Year” and “Program Insurer of the Year” in 2025.
Peers include Arch Capital Group and RenaissanceRe Holdings. SiriusPoint’s combination of specialty scale, capital flexibility, and margin discipline positions it favorably in the sector.
Government Schemes and Regulatory Context
SiriusPoint benefited from a $13 million tax recognition related to Bermuda corporate income tax enactment. The company continues to deploy Loss Portfolio Transfers (LPTs), covering $2.1 billion of reserves from exited non-core businesses, with over 95% of capacity remaining to protect against adverse development.
Summary
SiriusPoint’s 2025 results demonstrate the success of its multi-year strategic repositioning. Strong premium growth in specialty lines, improved attritional margins, disciplined reinsurance deployment, and active capital management contributed to record earnings and elevated ROE.
The company’s evolution toward a U.S.-focused specialty platform, reinforced by acquisitions and global MGA rationalization, has lowered portfolio volatility while maintaining growth potential. Strong solvency metrics, robust credit ratings, and shareholder return initiatives—including share repurchases and preference share redemption—position SiriusPoint with a flexible balance sheet entering 2026.
In a competitive market characterized by moderate pricing, catastrophe exposure, and macroeconomic uncertainty, SiriusPoint emerges as a best-in-class specialty underwriter, combining strong operational discipline, capital strength, and geographic diversification.