Results of Operations for the Year Ended December 31, 2025 - American Overseas Group Limited Announces Net Income Of $10.8 Million For the Year Ended December 31, 2025

HAMILTON, Bermuda, April 27, 2026 (GLOBE NEWSWIRE) -- American Overseas Group Limited (BSX: AORE.BH) (Pink Sheets: AOREF.PK) (“AOG” or the “Company”) today reported consolidated net income available to common shareholders of $10.8 million, or $230.44 per diluted share, for the year ended December 31, 2025. This compares to consolidated net income available to common shareholders of $9.4 million, or $200.09 per diluted share, for the year ended December 31, 2024. Book value per weighted share at December 31, 2025 was $1,241.71, an increase from the book value per weighted share of $976.60 at December 31, 2024.

For the three months ended December 31, 2025, net earned property and casualty premiums decreased $2.6 million from $14.3 million a year ago to $11.7 million. For the year ended December 31, 2025, net earned property and casualty premiums decreased $1.6 million from $51.6 million to $50.0 million.

Quarter to Date fee income increased $0.1 million from $6.0 million to $6.1 million and gross written premiums increased $3.9 million, moving from $226.4 million to $230.3 million. Quarter to Date Loss and loss adjustment expenses as a percentage of earned premium decreased from 75.5% to 64.0%.

For the year ended December 31, 2025, fee income increased $1.0 million from $22.1 million a year ago to $23.1 million and gross written premiums increased $71.6 million, moving from $914.7 million to $986.3 million. For both the quarter and the year, direct written premiums were positively impacted by continued expansion of new programs, rate increases, and organic growth in existing programs. Year to Date Loss and loss adjustment expenses as a percentage of earned premium decreased from 64.0% to 57.7%.

For the three months ended December 31, 2025, operating expenses increased $0.1 million from $4.2 million to $4.3 million. For the year ended December 31, 2025, operating expenses increased $0.9 million from $12.9 million to $13.8 million.

As part of its ongoing capital management efforts, the Company will continue to redirect excess capital within the group to debt reduction. In the 4^th quarter of 2025, the Company reduced the outstanding principal balance of its 12% Senior Secured Notes by $1.3 million and year to date the Company reduced the outstanding principal of its 12% and 9% Senior Secured Notes by $4.3 million and $0.7 million respectively, reducing total outstanding debt from $20.8 million to $15.8 million as of December 31, 2025. Additionally, The Company reduced the outstanding principal balance of its 12% Senior Secured Notes by $3.4 million in the 1^st quarter of 2026, reducing total outstanding debt to a balance of $12.4 million. The Company expects to take additional steps towards leverage reduction unless other compelling opportunities arise.

Forward-Looking Statements

This release contains statements that may be considered "forward-looking statements" within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. These statements include, without limitation, the Company's expectations respecting the volatility of its insured portfolio, losses, loss reserves and loss development, the adequacy and availability of its liquidity and capital resources, its current run off strategy, its strategy for writing other reinsurance businesses and its expense reduction measures. These statements are based on current expectations and the current views of the economic and operating environment and are not guarantees of future performance. A number of risks and uncertainties, including economic competitive conditions, could cause actual results to differ materially from those projected in forward-looking statements. The Company's actual results could differ materially from those expressed or implied in the forward-looking statements.

Information About the Company

American Overseas Group Limited is an insurance holding company incorporated in Bermuda and a tax resident of the United Kingdom. Its operating subsidiaries provide specialty property/casualty insurance, reinsurance and insurance management services. More information can be found at www.aoreltd.com.

American Overseas Group Limited

info@aoreltd.com


American Overseas Group Limited
Consolidated Balance Sheets
(unaudited)
As at December 31, 2025 and December 31, 2024
(dollars in thousands)


	December 31, 2025			December 31, 2024
Assets

Investments:
Fixed-maturity securities held as available for sale, at fair value	$	161,312		$	143,633
Equity investments held as available for sale, at fair value		1,041			-
Cash and cash equivalents		45,140			46,600
Restricted cash		843			4,861
Accrued investment income		1,135			1,029
Premiums receivable		211,993			211,771
Deferred insurance premiums		299,720			267,765
Reinsurance balances receivable, net		481,444			413,541
Deferred policy acquisition costs		9,420			10,215
Intangible assets		4,800			4,800
Goodwill		33,050			33,050
Other assets		5,373			3,972
Total Assets	$	1,255,271		$	1,141,237


Liabilities and Equity

Liabilities:
Loss and loss expense reserve	$	465,401		$	421,018
Deferred commission income		6,481			7,154
Unearned premiums		311,073			281,176
Ceded premium payable		233,727			209,033
Payable to general agents		459			276
Funds withheld		133,343			126,839
Accounts payable and accrued liabilities		26,472			26,256
Notes payable		15,833			20,771
Non-owned interest in VIE		300			300
Interest payable		435			578
Deferred tax liability		3,413			1,956
Total Liabilities		1,196,937			1,095,357

Shareholders' Equity:
Common shares		4,698			4,698
Additional paid-in capital		189,179			189,179
Accumulated other comprehensive income (loss)		(1,932	)		(3,561	)
Retained deficit		(133,611	)		(144,436	)
Total Shareholders' Equity		58,334			45,880


Total Liabilities and Equity	$	1,255,271		$	1,141,237


See Notes to December 31, 2025 Consolidated Financial Statements available on American Overseas Group Ltd. Website at www.aoreltd.com


American Overseas Group Limited
Consolidated Statements of Operations
(unaudited)
(dollars in thousands, except share and per share amounts)


	Three months ended December 31,						Twelve months ended December 31,
		2025			2024			2025			2024
Revenues

Net premiums earned	$	11,685		$	14,344		$	50,035		$	51,610
Fee income		6,135			5,985			23,139			22,078
Net investment income		534			483			2,039			1,401
Net realized gains on investments		(101	)		-			(108	)		47
Other income		19			29			136			87


Total revenues		18,272			20,841			75,241			75,223

Expenses
Losses and loss adjustment expenses		7,483			10,827			28,878			33,035
Acquisition expenses		4,386			3,630			16,398			14,812
Operating expenses		4,340			4,234			13,817			12,910
Interest expense		467			578			2,155			2,313

Total expenses		16,676			19,269			61,248			63,070


Pre-tax net profit (loss)	$	1,596		$	1,572		$	13,993		$	12,153
Income tax (expense)		(382	)		(461	)		(3,168	)		(2,753	)

Net profit (loss) available to common shareholders		1,214			1,111			10,825			9,400


Net profit (loss) per common share:
Basic	$	25.85		$	23.65		$	230.44		$	200.09
Diluted		25.85			23.65			230.44			200.09

Weighted-average number of common shares outstanding:
Basic		46,979			46,979			46,979			46,979
Diluted		46,979			46,979			46,979			46,979

See Notes to December 31, 2025 Consolidated Financial Statements available on American Overseas Group Ltd. Website at www.aoreltd.com


		1,214,256.00			1,112,610.00			10,825,889.00			9,399,814.00
		25.85			23.68			230.44			200.09

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