Vantage Group posted a $20 million profit for the second quarter — a 45 per cent year-over-year decrease, driven by war-related losses and adverse reserve development.

These were the first full-quarter results announced by the Bermudian-based insurer as part of Howard Hughes Holdings, after the $2.1 billion acquisition, which closed in June.

Iran-related catastrophe losses and reserve development on legacy books, primarily related to the run-off of transaction liability business, pushed Vantage Group’s combined ratio to 101.6 per cent for the three months ending June 30.

This was a 7.6-point deterioration compared to the second quarter of last year. The lack of underwriting profitability was driven by $19 million adverse prior-year development and $18 million of catastrophe losses.

The war losses were related to political risk and credit, while the adverse prior-year development was in financial lines.

Total income for the first half of the year was $86 million, up 94 per cent from the $44 million recorded in the corresponding period last year.

Gross written premiums for the second quarter were $473 million, up 29 per cent on the prior year period, while net earned premium of $295 million was up 21.6 per cent, as both insurance and reinsurance showed growth.

Year-to-date gross premium written rose 13 per cent to more than $1 billion, while net written premiums rose 12 per cent to $760 million.

The quarterly underwriting loss of $5 million is down 133 per cent on the $15 million underwriting income from last year. The year-to-date underwriting income of $23 million is 99 per cent better than the $11 million for the same two quarters last year.

The group’s insurance business shows continued growth in net earned premiums and underwriting performance compared to last year, offset by prior-year development and the Iran-related catastrophes incurred in the second quarter.

The year-to-date reinsurance business demonstrates continued growth in net earned premiums and underwriting performance compared to the same period in 2025, with continued improvement in the current accident year combined ratio.

A higher loss ratio during the quarter was primarily due to prior-year adverse development driven by Russia/Ukraine losses. Catastrophe losses in the quarter were driven by events related to the war in Iran.

The sale of Vantage was completed on June 4, reshaping Howard Hughes into a diversified holding company, with Vantage serving as a second operating platform. The acquisition is expected to broaden Howard Hughes' earnings base and provide a complementary source of long-duration capital.

The parent company declared net income attributable to common stockholders of $158.4 million for the quarter, compared to a net loss of $12.1 million in the prior-year period.