Oxbridge Re Holdings Ltd. Q2 FY2025 earnings call

• Oxbridge is entrenched in reinsurance with fully collateralized policies for low-frequency, high-severity risks. - Diversified in 2022 with SurancePlus Inc., a subsidiary focused on RWA Web3 technology, offering tokenized reinsurance securities. - Forged strategic partnerships, including with Midnight Foundation. - Scheduled EGM to approve measures to accelerate strategy and strengthen leadership. - Participated in leading blockchain and RWA events globally to showcase SurancePlus and explore partnerships.

For the quarter ended June 30, 2025, net premiums earned increased to $582,000 from $564,000 in Q2 2024. For the 6 months ended June 30, 2025, net premiums earned were $1.18 million compared to $1.1 million in the prior 6-month period. Total revenues for Q2 2025 were $654,000 vs $44,000 in Q2 2024, and for the 6 months ended June 2025, total revenues were $1.36 million vs negative $81,000 in the prior comparable period. Expenses increased due to Hurricane Milton losses and other costs. Loss ratio for Q2 2025 was 394% and 194.8% for the 6-month period, acquisition cost ratio was consistent at ~11%, expense ratio increased for both periods, and combined ratio also increased. The investment portfolio decreased, while cash and cash equivalents increased.

• Forward-looking statements are subject to various risks and uncertainties detailed in Form 10-K. - Occurrence of risks could materially affect business, financial condition, and earnings volatility.

Q: Congrats on growing your premium. I was interested in kind of what takeaways you have to share with us from what you've gotten from all those attendance.

A: Yes. So first off, Allen, thanks for getting on the call and listening. Conferences, in my opinion, are very important, right, because you have various different people in the ecosystem that can congregate in various different places. And being front and center at these events is very important. We not only gain -- not only glean important information about our ecosystem, but we're also able to talk to folks about how they could -- how we all can add value by collaborating together. So some of the things that we have learned from all these conferences is what investors are, very importantly, want to know is compliance and transparency. So it's great to show yield, everybody wants to see yield, but they also want to know what kind of compliance and transparency are part of our tokenized product. Are we writing -- how are we doing -- what kind of leverage are we putting on our product? What kind of opportunity there is? And they're stunned when we tell them, there's no leverage on our product, we write one to one. And there's total transparency compliance. So SurancePlus has PCAOB-audited financials, as does Oxbridge, everything flows up. But SurancePlus has segregated PCAOB-audited financials, which is, I think, key in making sure that whole compliance aspect works. So we're making some great strides. We're making some great opportunity over here. We've opened a few different doors, some of which we have already put out and some of which we are still working to, which I think would be extremely interesting as we go forward. So all in all, very important to go on the trail, but more importantly, it's important to get the right mix of folks involved.

Q: You talked about an upcoming EGM meeting and some proposals. Could you elaborate on that, please?

A: Yes. We -- it's nothing new that we're always very transparent and open. We've put out information in the past that we are looking to get into blockchain space, RWA space in a bigger way. So part of this is not only planning for the future, making sure that we have the right partners and so on involved in this, but it's also important when the timing is right, and let me emphasize, when the timing is right, and we need to do something, we need to make sure that all the bits and pieces are in place. So the EGM that we have over here is making sure that, as opposed to hoping that things will go right once we kind of get into that spot, we are putting all the building blocks in place. So that way, when timing is right, we can move in the right direction. So very interesting space. The current administration has talked widely, widely, about not only the blockchain and crypto space, but they've also, recently in the last 2 days, have talked highly about the RWA space. We're slap-bang in that. Just to put some perspective to this, the reinsurance space is -- the TAM of the reinsurance space is $700 billion. And to just kind of put a point to it, the -- put a point to it, the -- to put a point to it, $150 is the stablecoin TAM, right? So stablecoins, which everybody talks about, the TAM on stablecoins is $150 billion. But reinsurance is a $750 billion market. So compliance, transparency, positioning the company in the right direction, making the right partners, growing the right partnerships and getting it into the right direction is where we're currently working towards.