Thank you for joining the Greenlight Capital Re, Ltd. fourth quarter 2025 earnings conference call. At this time, a question-and-answer session will follow the prepared comments. It is now my pleasure to turn the call over to David Sigmon, Greenlight Capital Re, Ltd.’s General Counsel. You may begin.

Thank you, Kevin, and good morning. I would like to remind you that this conference call is being recorded and will be available for replay following the conclusion of the event. An audio replay will also be available under the Investors section of the company’s website at www.greenlightre.com. Joining us on the call today will be our Chief Executive Officer, Greg Richardson, Chairman of the Board, David Einhorn, and Chief Financial Officer, Faramarz Romer. On behalf of the company, I would like to remind you that forward-looking statements may be made during this call and are intended to be covered by the safe harbor provisions of the federal securities laws. These forward-looking statements reflect the company’s current expectations, estimates, and predictions about future results and are subject to risks and uncertainties. As a result, actual results may differ materially from those expressed or implied. For more information on the risks and other factors that may impact future performance, investors should review the periodic reports that are filed by the company with the SEC from time to time. Additionally, management may refer to certain non-GAAP financial measures. The reconciliations to these measures can be found in the company’s filings with the SEC, including the company’s Form 10-Ks for the year ended 12/31/2025. The company undertakes no obligation to publicly update or revise any forward-looking statements. With that, it is now my pleasure to turn the call over to Greg Richardson.

Thank you, David. Good morning, everyone, and thank you for joining us. I am pleased to report strong results for both Q4 2025 and full year 2025. We have been indicating for some time the confidence we have in our strategy and our positioning. It is gratifying to see this reflected in our results. In particular, we are making significant progress in generating underwriting profits. Q4 2025 is the tenth quarter out of the last 12 quarters in which we have delivered an underwriting profit. I am excited about Greenlight Capital Re, Ltd.’s potential as we enter 2026. The 2025 was an excellent quarter for Greenlight Capital Re, Ltd. with strong performance in both the underwriting and investment components of our strategy. We reported a net underwriting profit of $13,000,000, or a combined ratio of 92.1%, and a strong investment return from Solasglas of $36,000,000, or a 7.9% gain, driving net income for the quarter of $49,300,000. Our underwriting profit was driven by strong performance on our open market book, which delivered a 90.7 combined ratio. This was driven by strong core profitability, assisted by relatively benign CAT and large-loss activity, partially offset by some prior-year reserve development. On a large-loss side, we booked $2,000,000 of losses in the fourth quarter related to Hurricane Melissa, which made landfall in Jamaica in late October, and $2,700,000 related to an oil refinery fire loss. With regard to prior-year development, we strengthened reserves on our open market book by $5,500,000, driven primarily by casualty programs that are in runoff. Our Innovations book recorded a modest underwriting loss for the quarter of $400,000, or a combined ratio of 101.7%. This was primarily driven by a large loss of $2,100,000 on a surety account. For the full year 2025, we saw solid underwriting performance, with…

Thanks, Greg, and good morning, everyone. The Solasglas Fund returned 7.9% in the fourth quarter. The long portfolio contributed 1.4%. The short portfolio contributed 4.6%, and macro contributed 3.1%. During the quarter, the 500 index advanced 2.7%. The largest positive contributors were long investments in gold, Brighthouse Financial, and Victoria’s Secret. Largest detractors included long positions in Green Brick Partners and Penn Entertainment, and a macro position in inflation swaps. Gold was the largest positive contributor as its price advanced 12% over the quarter. It was an exceptional year for gold as it appreciated 64% and was our largest positive contributor in every quarter of 2025. Brighthouse Financial shares advanced 22% during the quarter. After years of frustration with this investment, the company announced in November that it would be sold to a private equity firm for $70 a share. While this valuation represents just two thirds of book value, it provides us with a reasonable and welcome path to exit. Victoria’s Secret shares doubled during the quarter. In the past, the company built its brand around a highly aspirational image supported by supermodel-led campaigns. However, in recent years, management moved away from this approach to make the brand more inclusive. New management has since taken over and begun reversing those changes, including reinstating the company’s annual fashion show. During the quarter, the company posted strong results, delivering the largest revenue beat since its 2021 spin-off and significantly raising annual profit guidance. Green Brick Partners shares declined 15% during the quarter. After several years of strength, cyclical headwinds are now weighing on the housing sector as declining demand and home prices have created a more challenging environment for builders. As we remain negative on the state of the broad housing market, we have continued to fully hedge our exposure, and…

Thank you, David, and good morning, everyone. During the 2025, Greenlight Capital Re, Ltd. reported net income of $49,300,000, or $1.44 per diluted share. Total underwriting income was $13,000,000, resulting in a combined ratio of 92.1%, which was 20 points better than the same period last year, which included 10 combined ratio points related to the Russia-Ukraine reserve strengthening. The 2025 fourth quarter combined ratio also benefited from eight points of improvement due to lower CAT and event losses, and 2.3 points of improvement related to underlying current-year attritional loss ratio. The improvement in combined ratio was partially offset by 1.8 points of higher expense ratio, mainly relating to variable performance-based compensation. Our net investment income for the quarter was $44,800,000 compared to $2,600,000 in 2024. $36,200,000 of the investment income related to our investment in Solasglas, which posted a strong 7.9% return in the quarter. The remainder related to interest income on our collateral and funds-withheld balances. In December, we appointed an insurance-focused, well-established third-party investment manager to manage a portion of our collateral assets that were previously invested in money market funds and other short-term deposits. We have allocated around $100,000,000 to be managed in a fixed-maturity portfolio under Board-approved investment guidelines. As of the year end, half of this had been deployed in the fixed-maturity portfolio, and the remainder is being deployed in 2026. You will see that we have added new disclosures in our 10-K relating to the fixed-maturity portfolio. This new initiative is expected to yield higher returns on our collateral assets while preserving a short duration and high credit quality. I will now break down the fourth quarter results by segment, starting with the Open Market segment. The Open Market segment reported a pretax income of $28,200,000, composed of underwriting income of $13,200,000 and…

Thank you. We will now open for questions. You may press 2 if you would like to move your question from the queue. For participants using speaker equipment, it may be necessary to pick up your handset before pressing 1. One moment please while we poll for questions. Our first question today is coming from Eric Hagen with BTIG. Your line is now live.

Hey. Thanks. Good morning. Good to hear from you guys. You know, lots of attention right now on private credit. Some of the blue-chip asset managers taking in redemptions. You know, it is hard to handicap some of the credit risk out there for certain areas of the debt market especially. I mean, I think two questions related to that. One, is there a strong connection that you see between the capital flow, you know, in the reinsurance market and private credit? Maybe just the competitive landscape for other reinsurers which may be attached to larger asset managers? And then number two, I mean, how does this narrative around private credit play into your thesis that this is a riskier time for the equity market right now? Do you think it maybe drives the broader capital allocation policy over the near term? Thank you, guys.

David, do you want to take that, and then maybe Faramarz could comment.

In terms of the asset side of our business, we do not have any private credit. We are public market investors and almost everything in the portfolio is public and able to mark to market on a quoted price. I think the broader concern that you are suggesting relating to private credit is, you know, fundamentally peripheral to our investment strategy, and I do not expect it to have much impact one way or another on what we are doing.

Faramarz, do you want to comment?

Yes. I think David covered it. From an asset side, what we are seeing on the reinsurance side is generally the private credit is more prevalent on the asset-intensive reinsurers that are playing in the life annuity side. We do not have any life annuity business on our book. Our book is property-casualty and, as David said, we have no direct exposure to private credit.

Thank you, guys. That is really helpful. Another one, I mean, the move to retire some of your debt, was that an opportunistic move to maybe just manage your leverage over the near term, or can you envision eventually returning to the debt market at certain valuations and how you think about that?

Yes. Thanks, Eric. Good question. So, you know, back in 2018, we had issued our convertible notes, and then when they came up for maturity, we converted those convertible notes into a term loan, and then earlier last year, we converted the term loan into a revolving credit facility for $50,000,000. So we feel that we have a pretty good ability now to, with the cash that is being generated from the business, our investment portfolio is well positioned, and given the interest rates where they were, we felt that it was better to pay down the remaining debt. We still have the ability on the revolver for, you know, if we ever needed to lever back up. But at this point, the best use of that cash was to pay down the debt and still have the ability in the future to increase our leverage if we needed to.

Yep. Really helpful. Thank you guys so much.

Thanks, Eric.

Thank you. Next question is coming from Kevin English, a private investor. Your line is now live.

Yes. Hi, guys. Congrats again on a strong quarter. I guess, yeah, just to start as well, wanted to commend the management for, you know, being in the open market and backing up conviction with purchases. I think that shows a lot of faith in what you all are building. My question is really just around the investment ratio, which remains at 70%. I know we are up from the 50%. That was a reflection of the 02/2018 volatility. You know? But it does seem like the risk management of the investment portfolio has been revised since then. I think, on an unlevered ROI basis, it is, you know, the most profitable business line. So I understand not wanting to, you know, take, you know, excess exposure, you know, particularly at an inopportune time. This month is probably not the right time to be bringing it up. So coming off a really nice set of months here. But I just want to hear if there is any update there, particularly given the ability, you know, as David said, to flex the net exposure to kind of dictate kind of market exposure, you know, in that way. So yeah. Appreciate any context there, maybe update on timing as how you are thinking about it.

David, do you want to start on that one?

No. Why do you not start? I will add in.

Yeah. Listen. The performance of Solasglas has been terrific. We have a multi-pillar strategy. One of the great things about our investment strategy, it is very scalable. We can increase it. We can decrease it. We do not do it willy-nilly. It is Board-governed. But in addition to the sort of return we have been averaging over the past several years on that book, one of the nice things is that we do not get a 100% capital charge for it. So from our standpoint, in terms of use of the scarce resources, which we refer to as our AM Best capital capacity, it is actually a levered return. It is a very attractive return to us. It is volatile from quarter to quarter, so we have to mitigate that. But it is something we look at, and if reinsurance markets should soften, that is an avenue we have to enhance our ROE. Does that help?

Yeah. No. No. Appreciate it. Thanks so much.

Thank you. We have reached the end of our question-and-answer session. Ladies and gentlemen, that does conclude today’s teleconference and webcast. You may disconnect your lines at this time, and have a wonderful day. We thank you for your participation today.