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

2022 £’0002021 £’000
Underwriting profit1163,401
Other income:
— fees from reinsurers562616
— corporate reinsurance recoveries33(372)
— goodwill on bargain purchase1,219
— investment income6471,237
Total other income1,2422,700
— pre-acquisition(46)(1,271)
— stop loss costs(1,261)(1,871)
— operating costs(5,220)(3,604)
Total costs(6,527)(6,746)
— Operating profit/(loss) before impairments of goodwill and capacity(5,169)(645)
— Tax1,852211
— Revaluation of syndicate capacity2,6708,132
— Income tax relating to the components of other comprehensive income(668)(2,766)
Comprehensive income(1,315)4,932

Year to 31 December 2022

YearHelios retained capacity at 31 Dec 2022 £mPortfolio mid point forecastsHelios profits £’000

Year to 31 December 2021

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

Summary balance sheet

2022 £’0002021 £’000
Intangible assets61,43460,889
Funds at Lloyd’s73,77143,589
Other cash10,25416,178
Other assets6,9095,517
Total assets152,368126,173
Deferred tax11,22811,887
Other liabilities3,8393,052
Total liabilities30,06714,939
Total syndicate equity(5,123)(3,488)
Total equity117,178107,746

Cash flow

Analysis of free working capitalYear to 31 Dec 2022 £’000Year to 31 Dec 2021 £’000
Opening balance (free cash)16,1784,961
Cash acquired on acquisition1231,939
Distribution of proits (net of tax retentions)2,736475
Transfers from Funds at Lloyd’s4,772336
Other income28095
Proceeds from the sale of capacity5,372-
Proceeds from the issue of shares12,42153,231
Cancelled reinsurance policy refunds1,6286,964
Operating costs(4,099)(3,702)
Purchase of capacity(5,005)(2,663)
Acquisition of LLVs(321)(26,529)
Transfers to Funds at Lloyd’s(4,877)(12,270)
Dividends paid(342)(2,018)
Repayment of borrowings(2,034)(4,000)
Closing balance10,25416,178