Kestrel, a specialty insurance platform that provides front-end services to program managers, reinsurers and reinsurance brokers, reported full-year 2025 net profit of $46.7 million, driven by strong premium growth and significant accounting gains related to bargain purchase transactions.
In 2025, Kestrel’s total revenue will be $34 million, compared with $3.8 million in 2024.
Total premium income for the year amounted to US$6.1 billion, and total net written premiums amounted to US$6.2 billion.
Meanwhile, fee revenue increases from $3.6 million in 2024 to $6.1 million in 2025.
Kestrel also recorded $8.3 million in net investment income and $7.0 million in realized and unrealized investment gains.
In 2025, the company’s total operating expenses reached $41.2 million; however, its results were significantly boosted by a $68.3 million gain on bargain purchases, which was recorded as a negative cost in other expenses.
In the fourth quarter of 2025 alone, Kestrel’s total revenue reached $10.2 million, up from $1.2 million in the same period last year.
The company also generated $3.4 million in net premium income, $3.1 million in fee income and $3.3 million in net investment income in the final quarter of the year.
Luke Ledbetter, CEO of Kestrel, commented: “We made positive progress in our Project Services segment during the fourth quarter. Following a complex integration that is still ongoing since the completion of the merger with Maiden in May 2025, we have gained momentum in the Project Services segment while managing the legacy Maiden business. We took a meaningful step forward this quarter. I am encouraged by the progress we have made and grateful for the hard work and dedication of our team.”
“As 2026 progresses, we will continue to work with our valued capacity providers to match our market opportunities with their allocated underwriting capacity and work to explore opportunities to expand our ability to underwrite attractive fee-based business in a highly competitive market.
“We remain committed to developing a strategic framework to drive future growth that will deliver value to Kestrel shareholders. Our goals are innovation, customer service and long-term relationships, and we work to build a balance sheet lean fee-based revenue model while selectively deploying underwriting capabilities to optimize shareholder returns.”
ReinsuranceNe.ws was first to see premium growth, with Kestrel forecasting net profits of $46.7 million in 2025.