ROCK ISLAND, Ill., May 7, 2024 /PRNewswire/ -- ICC Holdings, Inc. (NASDAQ:ICCH) (the Company), parent company of Illinois Casualty Company, a regional, multi-line property and casualty insurance company focusing exclusively on the food and beverage industry, today reported unaudited results for the three months ended March 31, 2024. FIRST QUARTER ENDED MARCH 31, 2024 – FINANCIAL RESULTS Net earnings totaled $2,239,000, or $0.76 per share, for the first quarter of 2024, compared to net earnings of $1,579,000, or $0.54 per share, for the first quarter of 2023. Book value per share increased to $21.88 at March 31, 2024, from $21.35 at December 31, 2023. This increase is due to increased net earnings, slightly offset by unrealized losses on our fixed income portfolio. Direct premiums written increased by $2,921,000, or 14.0%, to $23,736,000 for the first quarter of 2024, from $20,815,000 for the same period in 2023. Net premiums earned increased by $2,421,000, or 13.6%, to $20,222,000 for the three months ended March 31, 2024, from $17,801,000 for the same period in 2023. The increase in net premiums earned is driven by increased premium writings in 2024 and the latter half of 2023. For the first quarter of 2024, the Company ceded to reinsurers $3,370,000 of earned premiums, compared to $2,484,000 of earned premiums for the first quarter of 2023. The drivers of this increase include additional direct written premium in the current quarter plus the addition of a ceding allowance on our first property and casualty reinsurance contracts. Net investment income increased by $231,000, or 19.1%, to $1,440,000 for the first quarter of 2024, as compared to $1,209,000 for the same period in 2023. The increase is the result of an increase in the interest rates earned on the investments in our portfolio. Net unrealized gains on investments increased $635,000 year over year to $1,274,000 in gains for the first quarter of 2024, compared to gains of $639,000 for the same period in 2023. Losses and settlement expenses increased by $1,289,000, or 11.7%, to $12,337,000 for the first quarter of 2024, from $11,048,000 for the same period in 2023. This increase was in line with the additional earned premium this quarter. Policy acquisition costs and other operating expenses increased by $1,313,000, or 20.7%, to $7,663,000 for the first quarter of 2024, from $6,350,000 for the same period in 2023. The increase was mainly the result of increased commissions. Salary expense is up slightly quarter over quarter due to increased headcount.  Total assets increased by $5,416,000, or 2.6%, from $211,017,000 on December 31, 2023, to $216,433,000 on March 31, 2024. The investment portfolio, which consists of fixed income securities, common stocks, preferred stocks, property held for investment, and other invested assets, decreased by $112,000, or 0.1%, from $140,853,000 on December 31, 2023, to $140,741,000 on March 31, 2024. This decrease was due to our holding more cash and cash equivalents, which will be deployed to invested assets in the second quarter. Total equity increased by $1,681,000, or 2.5%, from $67,004,000 as of December 31, 2023, to $68,685,000 as of March 31, 2024. The main driver of this increase was our increased net earnings, slightly offset by unrealized losses on our fixed income portfolio. FIRST QUARTER ENDED MARCH 31, 2024 – FINANCIAL RATIOS The Company's losses and settlement expense ratio (defined as losses and settlement expenses divided by net premiums earned) was 61.0% for the three months ended March 31, 2024, compared with 62.1% the same period in 2023. The expense ratio (defined as the amortization of deferred policy acquisition costs and underwriting and administrative expenses divided by net premiums earned) was 37.9% for the three months ended March 31, 2024, compared to 35.7% for the same period in 2023. The Company's GAAP combined ratio (defined as the sum of the losses and settlement expense ratio and the expense ratio) was 98.9% for the three months ended March 31, 2024, compared to 97.8% for the same period in 2023. MANAGEMENT COMMENTARY "Our core insurance business remains strong as we start 2024. We have maintained pricing discipline and increased earned premiums by 13.6% year over year. Concurrently, losses and settlement expenses are up only 11.7%. The premium distribution continues to be balanced, with direct writings increasing by double digit percentages in over half the states in which we currently write. "We have worked with our investment partners to realign our investments to maintain higher rate fixed maturity securities and take advantage of the continued improvement in the equity markets. In addition, we have increased cash and cash equivalents in order to purchase additional invested assets in the second quarter. The continued positive cash flow from operations has allowed the Company to position the portfolio duration conservatively and appropriately. "We are pleased to see another unusually strong first quarter. We anticipate very healthy results this year as we enter new markets and states with our proven underwriting approach," stated Arron Sutherland, President and Chief Executive Officer. ABOUT ICC HOLDINGS, INC. ICC Holdings, Inc. is a vertically integrated company created to facilitate the growth, expansion, and diversification of its subsidiaries to maximize value to its stakeholders. The group of companies consolidated under ICC Holdings, Inc. engages in diverse, yet complementary business activities, including property and casualty insurance, real estate, and information technology. The Company's common shares trade on the NASDAQ Capital Market under the ticker symbol "ICCH". For more information about ICC Holdings, visit http://ir.iccholdingsinc.com. FORWARD-LOOKING STATEMENTS This press release, and oral statements made regarding the subjects of this release, contains forward-looking statements, within the meaning of the Private Securities Litigation Reform Act of 1995, or the Reform Act, which may include, but are not limited to, statements regarding the Company's plans, objectives, expectations, and intentions and other statements contained in this press release that are not historical facts, including statements identified by words such as "believe," "plan," "seek," "expect," "intend," "estimate," "anticipate," "will," and similar expressions. All statements addressing operating performance, events, or developments that the Company expects or anticipates will occur in the future, including statements relating to revenue and profit growth; future responses to and effects of the COVID-19 pandemic, including their effects on claims activity and the business operations of the Company and of our current and potential customers; new theories of liability; judicial, legislative, regulatory, and other governmental developments, including, but not limited to, liability related to business interruption claims related to COVID-19; litigation tactics and developments; product and segment expansion; regulatory approval in connection with expansion; downturns and volatility in global economies and equity and credit markets, including as a result of inflation and supply chain disruptions and continued labor shortages; interest rates and changes in rates could adversely affect the Company's business and profitability; and market share, as well as statements expressing optimism or pessimism about future operating results, are forward-looking statements within the meaning of the Reform Act. The forward-looking statements are based on management's current views and assumptions regarding future events and operating performance, and are inherently subject to significant business, economic, and competitive uncertainties and contingencies and changes in circumstances, many of which are beyond the Company's control. The statements in this press release are made as of the date of this press release, even if subsequently made available by the Company on its website or otherwise. The Company does not undertake any obligation to update or revise these statements to reflect events or circumstances occurring after the date of this press release.  Although the Company does not make forward-looking statements unless it believes it has a reasonable basis for doing so, the Company cannot guarantee their accuracy. The foregoing factors, among others, could cause actual results to differ materially from those described in these forward-looking statements. For a list of other factors which could affect the Company's results, see the Company's filings with the Securities and Exchange Commission, "Item 7. Management's Discussion and Analysis of Financial Condition and Results of Operations," including "Forward-Looking Information," set forth in the Company's Annual Report on Form 10-K for the year ended December 31, 2023. No undue reliance should be placed on any forward-looking statements. ICC Holdings, Inc. and Subsidiaries Condensed Consolidated Balance Sheets As of March 31, December 31, 2024 2023 (Unaudited) Assets: Investments and cash: Fixed maturity securities (amortized cost of $118,359,809 at 3/31/2024 and $119,336,041at 12/31/2023) $ 109,168,285 $ 110,955,697 Common stocks at fair value 13,369,954 12,191,621