Positive investment results have propelled Bermudian-based insurer Enstar Group Ltd to net earnings of $424 million in the first quarter of the year, the company has reported.

That compares with a net loss of $267 million for the three months ended March 31, 2022.

Enstar had an annualised total investment return of 9.5 per cent and annualised adjusted TIR of 6.3 per cent, compared with minus 11 per cent and plus 0.5 per cent, respectively, for the first quarter of 2022.

Recognised investment results benefited from net realised and unrealised gains on the company’s fixed-income securities and other investments, including equities, of $275 million and an increase in net investment income of $76 million.

Return on equity of 9.5 per cent and adjusted ROE of 6.8 per cent for the quarter compared with minus 4.6 per cent and minus 1.1 per cent, respectively, in the first quarter of 2022.

ROE performance was driven by investment returns of $355 million and a one-time net gain recognised on the completion of the novation of the Enhanzed Re reinsurance closed block of life annuity policies of $194 million.

Dominic Silvester, Enstar CEO, said: “We had a solid start to 2023, delivering strong net earnings largely driven by positive performance in our investment portfolio.”