Skyward Specialty Insurance Group Q2 2024 10-Q Filing

TL;DR

Skyward Specialty's Q2 10-Q is in. Financials and operations detailed.

AI Summary

Skyward Specialty Insurance Group, Inc. filed its 10-Q for the period ending June 30, 2024. The filing details financial performance and operational updates for the second quarter of 2024. Key financial data and business segments are presented, reflecting the company's ongoing activities in the insurance sector.

Why It Matters

This filing provides investors and analysts with a detailed look at Skyward Specialty's financial health and operational performance during the second quarter of 2024, influencing investment decisions.

Risk Assessment

Risk Level: medium — 10-Q filings inherently carry medium risk due to the detailed financial data and potential for market-moving information that can impact stock prices.

Key Numbers

• 20240630 — Period End Date (Quarterly financial reporting period)
• 20240808 — Filing Date (Date the report was submitted to the SEC)

Key Players & Entities

• Skyward Specialty Insurance Group, Inc. (company) — Filer
• 20240630 (date) — Period of Report
• 20240808 (date) — Filed as of Date
• Houston International Insurance Group LTD (company) — Former Company Name

FAQ

Key Financial Figures

• $0.01 — ich registered Common stock, par value $0.01 SKWD The Nasdaq Stock Market LLC Indi

Filing Documents

• skwd-20240630.htm (10-Q) — 1981KB
• exhibit101nonemployeedirec.htm (EX-10.1) — 65KB
• exhibit311302ceocertificat.htm (EX-31.1) — 11KB
• exhibit312302cfocertificat.htm (EX-31.2) — 11KB
• exhibit321906certification.htm (EX-32.1) — 8KB
• 0001519449-24-000035.txt ( ) — 10159KB
• skwd-20240630.xsd (EX-101.SCH) — 55KB
• skwd-20240630_cal.xml (EX-101.CAL) — 103KB
• skwd-20240630_def.xml (EX-101.DEF) — 249KB
• skwd-20240630_lab.xml (EX-101.LAB) — 655KB
• skwd-20240630_pre.xml (EX-101.PRE) — 485KB
• skwd-20240630_htm.xml (XML) — 2039KB

Financial Statements

Financial Statements 3 Condensed Consolidated Balance Sheets as of June 3 0 , 2024 and December 31, 2023 (unaudited) 3 Condensed Consolidated Statements of Operations and Comprehensive Income (Loss) for the Three and Six- Month Periods Ended June 3 0 , 2024 and 2023 (unaudited) 4 Condensed Consolidated Statements of Changes in Stockholders' Equity for the Three and Six- Month Periods Ended June 3 0 , 2024 and 2023 (unaudited) 5 Condensed Consolidated Statements of Cash Flows for the Six -Month Periods Ended June 3 0 , 2024 and 2023 (unaudited) 7 Notes to Condensed Consolidated Financial Statements (unaudited) 8 Item 2.

Management's Discussion and Analysis of Financial Condition and Results of Operations

Management's Discussion and Analysis of Financial Condition and Results of Operations 26 Item 3.

Quantitative and Qualitative Disclosures About Market Risk

Quantitative and Qualitative Disclosures About Market Risk 36 Item 4.

Controls and Procedures

Controls and Procedures 36 Part II Item 1.

Legal Proceedings

Legal Proceedings 37 Item 1A.

Risk Factors

Risk Factors 37 Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 37 Item 3. Defaults Upon Senior Securities 37 Item 4. Mine Safety Disclosures 37 Item 5. Other Information 37 Item 6. Exhibits 37

Signatures

Signatures 38 2 Table of Contents

- FINANCIAL INFORMATION

PART I - FINANCIAL INFORMATION

Financial Statements

Item 1. Financial Statements SKYWARD SPECIALTY INSURANCE GROUP, INC. AND SUBSIDIARIES CONDENSED CONSOLIDATED BALANCE SHEETS June 30, 2024 December 31, 2023 ($ in thousands, except share and per share amounts) (Unaudited) Assets Investments: Fixed maturity securities, available-for-sale, at fair value (amortized cost of $ 1,239,724 and $ 1,047,713 , respectively) $ 1,200,273 $ 1,017,651 Fixed maturity securities, held-to-maturity, at amortized cost (net of allowance for credit losses of $ 225 and $ 329 , respectively) 39,962 42,986 Equity securities, at fair value 112,823 118,249 Mortgage loans, at fair value 43,670 50,070 Equity method investments 101,903 110,653 Other long-term investments 2,665 3,852 Short-term investments, at fair value 215,041 270,226 Total investments 1,716,337 1,613,687 Cash and cash equivalents 72,989 65,891 Restricted cash 35,278 34,445 Premiums receivable, net 377,333 179,235 Reinsurance recoverables, net 667,837 596,334 Ceded unearned premium 255,138 186,121 Deferred policy acquisition costs 116,499 91,955 Deferred income taxes 25,107 21,991 Goodwill and intangible assets, net 87,868 88,435 Other assets 81,108 75,341 Total assets $ 3,435,494 $ 2,953,435 Liabilities and stockholders' equity Liabilities: Reserves for losses and loss adjustment expenses $ 1,470,106 $ 1,314,501 Unearned premiums 711,854 552,532 Deferred ceding commission 47,948 37,057 Reinsurance and premium payables 207,638 150,156 Funds held for others 95,596 58,588 Accounts payable and accrued liabilities 59,796 50,880 Notes payable 100,000 50,000 Subordinated debt, net of debt issuance costs 18,936 78,690 Total liabilities 2,711,874 2,292,404 Stockholders' equity Common stock, $ 0.01 par value, 500,000,000 shares authorized, 40,096,132 and 39,863,756 shares issued and outstanding, respectively 401 399 Additional paid-in capital 713,542 710,855 Stock notes receivable ( 5,233 ) ( 5,562 ) Accumulated other comprehensive loss ( 31