Ambac Financial Group Reports Q1 2025 Results

Ambac Financial Group ( (AMBC) ) has released its Q1 earnings. Here is a breakdown of the information Ambac Financial Group presented to its investors.

Ambac Financial Group, Inc., a New York-based insurance holding company, operates primarily in the specialty property and casualty (P&C) insurance sector, with a focus on distribution and underwriting. The company also manages a legacy financial guarantee business, which is currently pending sale approval.

In its first quarter of 2025, Ambac Financial Group reported a 27% increase in total revenue from continuing P&C operations, reaching $63 million. The company’s total P&C premium production saw a significant rise of 70%, amounting to $318 million. These results were largely driven by the acquisition of Beat Capital, which contributed to the revenue growth despite some strategic exits from certain programs at Everspan.

Key financial metrics for the quarter included a net loss to shareholders of $46 million, a stark contrast to the $20 million net income reported in the same period last year. The insurance distribution segment, Cirrata, experienced a 129% increase in total revenue, although it reported a net loss of $2 million. Meanwhile, the specialty P&C insurance segment, Everspan, showed an improved loss ratio but a slight decrease in net income.

Despite the losses, Ambac’s management remains optimistic about future growth, emphasizing the company’s diversified portfolio and its focus on specialty niches. The completion of pre-closing conditions for the sale of its legacy business is expected to streamline operations and strengthen its position as a leading specialty P&C franchise.

Looking ahead, Ambac aims to continue expanding its business by capitalizing on specialty niches and leveraging its recent acquisitions. The company is poised to navigate market challenges and pursue long-term growth opportunities in the specialty P&C insurance sector.