Good day, and welcome to the International General Insurance Holdings Limited Second Quarter and First Half 2025 Financial Results Conference Call. [Operator Instructions] Please note that this event is being recorded. I would now like to turn the conference over to Robin Sidders, Head of Investor Relations. Please go ahead.

Thanks, Nick, and good morning, and welcome to today's conference call. Today we'll be discussing the financial results for the second quarter and first half of 2025. You will have seen our press release that we issued after the market closed yesterday. That press release can be found on our website at www.iginsure.com. We've also posted a supplementary investor presentation, which can be found also on our website on the Presentations page in the Investors section. On today's call are Executive Chairman of IGI, Wasef Jabsheh; President and CEO, Waleed Jabsheh; and Chief Financial Officer, Pervez Rizvi. As always, Wasef will begin the call with some high-level comments before handing over to Waleed to talk you through the key drivers of our results for the second quarter and first half and finish up with our views on market conditions and the outlook for the remainder of 2025. At that point, we'll open up the call for questions that any of the dialers may have. So I'll begin with the customary safe harbor language. Our speakers' remarks may contain forward-looking statements. Some of the forward-looking statements can be identified by the use of forward-looking words. We caution you that such forward-looking statements should not be regarded as a representation by us that the future plans, estimates, or expectations contemplated by us will, in fact, be achieved. Forward-looking statements involve risks, uncertainties, and assumptions. Actual events and results may differ materially from those projected in the forward-looking statements due to a variety of factors, including the risk factors set forth in the company's annual report on Form 20-F for the year ended 31st of December 2024, the company's reports on Form 6-K, and other filings with the SEC as well as our results press release that we issued yesterday evening. We undertake no obligation to update or revise publicly any forward-looking statements, which speak only as of the date they are made. During this call, we use certain non-GAAP financial measures. For a reconciliation of non-GAAP measures to the nearest GAAP measure, please see our earnings release, which has been filed with the SEC and, as I said, is available on our website. With that, I'll turn the call over to our Executive Chairman, Wasef Jabsheh. Wasef?

IGI once again delivered excellent results both for the second quarter and first 6 months of 2025. We generated net income of $34.1 million and $61.4 million for the second quarter and first 6 months, respectively. And this resulted in an annualized return on average equity of 20.8% for the second quarter and 18.6% first half of the year. I'm very pleased with our strong performance, particularly our ability to maintain our focus, exercise discipline, and execute consistently. Given the very integrated nature of our portfolio as well as our presence in many regions, we are often directly exposed to some form of geopolitical and/or macroeconomic uncertainty. Over more than 20 years, we have consistently demonstrated our strength and proficiency in managing through all stages of cycle, moving our capital to those areas with the strongest rate momentum and the highest margins and reducing in other areas where conditions are such that we are not able to meet our profitability targets. That is the tail wind and the benefit of having a very diversified platform and always working within our risk appetite and tolerances. Our value at IGI is in our ability to generate consistently high-quality results in any stage of market cycle so that we continue to reward our shareholders who have put their trust in us and supported us. So far in 2025, in addition to strong earnings, our proactive capital management has resulted in us growing book value per share by 3.4% to $15.36 per share in the first half of the year and returning a total of $77 million to shareholders in dividends and share repurchases. I will now let Waleed discuss the numbers in more detail and talk about market conditions and our outlook for the remainder of the year. I will remain on the call for any questions at the end.

Thank you, Wasef. Good morning, everyone, and thank you for joining us on call today. We had an excellent second quarter and first half of 2025. And as Wasef indicated, we're in a strong position as we continue through the second half of the year. We're still seeing decent additions and rate adequacy across much of our portfolio and pursuing opportunities to enhance our distribution capabilities that will ultimately generate additional value. Our goal and our promise is to create opportunities that will generate consistent and sustainable value for the long-term, and we've demonstrated over more than 20-year history. Our strength is our ability to do this throughout the market cycle. In 2025, while conditions remain generally healthy, there are areas of our portfolio, which are facing slightly more competitive pressures. We've mentioned those in previous calls. So we're focusing on those lines and markets that remain healthier and reducing our exposures in areas where we can't generate the acceptable level of risk-adjusted return. At the end of the day, this is what cycle management is all about. So before I go through the numbers in detail, it's important to note upfront the meaningful impact that foreign currency movements has on our results once again this quarter. And that is specifically on the revaluation of our non-U.S. dollar-denominated loss reserves and how this flows through a number of line items in our results, most significantly on our underwriting results as you saw for both -- you saw that in both the second quarter and the first 6 months of the year. As you know, our underwriting portfolio, as Wasef mentioned, is very international in nature. Similarly, our investment portfolio is also very geographically diversified. This ensures, however, that we're always striving to achieve as accurate a match as possible between…

[Operator Instructions] First question today will come from Nic Iacoviello with Dowling & Partners.

Great quarter considering the FX impact. I was curious on the net to gross retention on a written premium basis was 64% in the quarter. It was down from 73% year-over-year. Can you speak a bit to that? I was wondering if that was mix driven in any way? Or was there just additional opportunistic outwards buying in the quarter?

Nic, thanks for the question. No, it really is more of the -- more opportunistic. We've been buying a higher level of facultative reinsurance in the softer market, again, more opportunistic, trying to generate higher little bit of more fee income or overwriting income as well. We expanded also our capabilities in certain lines of business on the back of reinsurer support from the likes of the large European reinsurers that have sought a piece of the pie from our portfolio. So some of it is strategic, but I think elements of it is opportunistic.

And then I was just curious that one area of the professional indemnity portfolio that sounds like will be non-renewed. Based on the net to gross figure you gave, it sounds like there was around 85% quota share on the book. Has it always been at that level? Or has that feed increased in recent years? Or can you just help me think about maybe what the session was a couple of years ago versus now, would be helpful?

I mean over the last few years, it's hovered between sort of the 60% to 80%, 85% session. It wasn't always like that. In the initial years, it was a much smaller book that we retained for the first couple of years and then we started. As we developed the book and grew it, we did it on the back of reinsurance support. Now that last year was around 80%, 82.5%. And hence, the net impact, the gross number looks like it's a big one, a high one. But once it trickles down through your net numbers and down to your bottom line, at the end of the day, it's not material. And ultimately, what we're doing by non-renewing a book of this size, which I think takes -- speaks volumes as to the discipline and our razor sharp focus on the bottom line. With the nonrenewal of this size portfolio, the intent here is to improve overall profitability, and that's what we expect will ultimately occur.

Seeing no further questions, this will conclude our question-and-answer session. I would like to turn the conference back over to management for any closing remarks.

Thank you, Nick. And just thank you all for joining us today, and thank you for your continued support of IGI. As always, any additional questions, please get in touch with Robin, and she'll be happy to assist. And we all look forward to speaking with you on the Q3 call. Have a good day, everyone. Thank you very much.

Thank you.

The conference has now concluded. Thank you for attending today's presentation. You may now disconnect.