Lancashire Holdings Ltd reported a strong profit after tax of $109.2 million for the first half of 2025, crediting disciplined underwriting, a diversified portfolio and a resilient business model amid global catastrophe losses.

Gross premiums written rose 5.8 per cent year-on-year to $1.36 billion, while insurance revenue climbed 8.9 per cent to $930.1 million. The group reported a discounted combined ratio of 87.4 per cent, which points to continued profitability despite the impact of Californian wildfires earlier this year, which caused an estimated $40 billion in industrywide insured losses.

“Lancashire’s performance for the first six months of the year clearly demonstrates the increased resilience within our business model,” said Alex Maloney, group chief executive. “Our strong profit after tax of $109.2 million and healthy combined ratio shows our ability to deliver attractive returns even in a challenging loss environment.”

Investment income also contributed to performance, with a total return of 3.7 per cent, and net investment return of $108.2 million.

The group’s return on equity is now expected to reach the high teens for the full year, upgraded from earlier mid-teen projections.

Mr Maloney also confirmed Lancashire has secured 99.4 per cent of the capacity on Syndicate 2010 for the 2026 underwriting year and has applied to Lloyd’s for a minority buy-out.

As the group marks its twentieth year of operations, Mr Maloney added: “We approach the second half of the year with confidence, a very strong balance sheet and robust capital base, which is able to support growth and shareholder returns.”