Financial summary

The information set out below is a summary of the key items that the Board assesses in estimating the financial position of the Group.

Given the Board has no active role in the management of the syndicates within the portfolio, the following approach is taken.

Board approach

  • It relies on the quarterly syndicate forecasts to assess its share of the underlying profitability of the syndicates within the portfolio.
  • It calculates the amounts due to / from the quota share reinsurers in respect of their share of the profits/losses as well as fees and commissions due.
  • An adjustment is made to exclude pre-acquisition profits on companies bought in the year.
  • Costs relating to stop loss reinsurance and operating costs are deducted.

Year to 31 December

2021 £’0002020 £’000
Underwriting profit3,401639
Other income:
— fees from reinsurers616334
— corporate reinsurance recoveries(372)(282)
— goodwill on bargain purchase1,2191,260
— investment income1,2371,575
Total other income2,7002,887
— pre-acquisition(1,271)(92)
— stop loss costs(1,871)(1,097)
— operating costs(3,604)(2,001)
Total costs(6,746)(3,190)
— Operating profit/(loss) before impairments of goodwill and capacity(645)336
— Tax211(35)
— Revaluation of syndicate capacity8,1325,604
— Income tax relating to the components of other comprehensive income(2,766)(1,622)
Comprehensive income4,9324,283

Year to 31 December 2021

YearHelios retained capacity at 31 Dec 2021 £mPortfolio mid point forecastsHelios profits £’000

Year to 31 December 2020

YearHelios retained capacity at 31 Dec 2020 £mPortfolio mid point forecastsHelios profits £’000

Summary balance sheet

2021 £’0002020 £’000
Intangible assets60,88931,601
Funds at Lloyd’s43,58919,713
Other cash16,1784,961
Other assets5,51712,731
Total assets126,17369,006
Deferred tax11,8876,492
Other liabilities3,0522,222
Total liabilities14,93912,714
Total syndicate equity(3,488)(5,743)
Total equity107,74650,549

Cash flow

Analysis of free working capitalYear to 31 Dec 2021 £’000Year to 31 Dec 2020 £’000
Opening balance (free cash)4,9613,028
Cash acquired on acquisition1,939632
Distribution of proits (net of tax retentions)475120
Transfers from Funds at Lloyd’s3364,901
Other income95248
Proceeds from the sale of capacity-1,649
Proceeds from the issue of shares53,23111,283
Cancelled reinsurance policy refunds6,964-
Operating costs(3,702)(2,810)
Purchase of capacity(2,663)-
Acquisition of LLVs(26,529)(6,075)
Transfers to Funds at Lloyd’s(12,270)(9,733)
Dividends paid(2,018)-
Repayment of borrowings(4,000)-
Closing balance16,1784,961