Palomar Holdings, Inc. (NASDAQ:PLMR) Q3 2023 Earnings Conference Call November 2, 2023 12:00 PM ET

Company Participants

Chris Uchida - CFO

McDonald Armstrong - Founder, CEO & Chairman

Jon Christianson - President

Conference Call Participants

Mark Hughes - Truist Securities

Andrew Lambert - Piper Sandler

David Motemaden - Evercore ISI

Meyer Shields - KBW

Andrew Andersen - Jefferies

Pablo Singzon - JPMorgan Chase & Co.

Operator

Good morning, and welcome to the Palomar Holdings Third Quarter 2023 Earnings Conference Call. [Operator Instructions]. As a reminder, this conference call is being recorded.

I would now like to turn the conference over to your host, Mr. Chris Uchida, Chief Financial Officer. Please go ahead.

Chris Uchida

Thank you, Operator, and good morning, everyone. We appreciate your participation in our third quarter 2023 earnings call. With me here today is Mac Armstrong, our Chairman and Chief Executive Officer. Additionally, Jon Christianson, our President, is here to answer questions during the Q&A portion of the call.

As a reminder, a telephonic replay of this call will be available on the Investor Relations section of our website through 11:59 p.m. Eastern Time on November 9, 2023.

Before we begin, let me remind everyone that this call may contain certain statements that constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These include remarks about management's future expectations, beliefs, estimates, plans and prospects. Such statements are subject to a variety of risks, uncertainties and other factors that could cause actual results to differ materially from those indicated or implied by such statements. Such risks and other factors are set forth in our quarterly report on Form 10-Q filed with the Securities and Exchange Commission. We do not undertake any duty to update such forward-looking statements.

Additionally, during today's call we will discuss certain non-GAAP measures which we believe are useful in evaluating our performance. The presentation of this additional information should not be considered in isolation or as a substitute for results prepared in accordance with U.S. GAAP. A reconciliation of these non-GAAP measures to their most comparable GAAP measure can be found in our earnings release.

At this point, I will turn the call over to Mac.

McDonald Armstrong

Thank you, Chris, and good morning to all. I am pleased with our strong third quarter. These results included record quarterly gross written premium, adjusted net income growth of 153% and an adjusted return on equity of 22.3%. Our concerted efforts over the last several years to reduce the volatility in our book of business and earnings base was on full display in the third quarter, as we incurred negligible loss from catastrophes despite elevated activity across the industry. The execution of our Palomar 2X strategic plan during the quarter instills a high level of confidence that Palomar will produce consistent profitable growth in the quarters and years ahead and certainly as we enter 2024.