Company: GLRE
Filing Date: 2025-03-10
Form Type: 10-K
Source: 0001385613-25-000007
Chunk: 676

Company: GREENLIGHT CAPITAL RE, LTD.
Filing Date: 2025-03-10
Form: 10-K
Item: Item 1A
Chunk 676
---
 Book Value Per Share

Our primary financial goal is to increase fully diluted book value per share over the long term. We use fully diluted book value as a financial measure in our incentive compensation plan.

We believe that long-term growth in fully diluted book value per share is the most relevant measure of our financial performance because it provides management and investors a yardstick to monitor the shareholder value generated. Fully diluted book value per share may also help our investors, shareholders, and other interested parties form a basis of comparison with other companies within the property and casualty reinsurance industry. Fully diluted book value per share should not be viewed as a substitute for the most comparable U.S. GAAP measure, which in our view is the basic book value per share.

52

We calculate basic book value per share as (a) ending shareholders' equity, divided by (b) the total ordinary shares issued and outstanding, as reported in the consolidated financial statements.

Fully diluted book value per share represents basic book value per share combined with any dilutive impact of in-the-money stock options and all outstanding restricted stock units, or “RSUs”.  We believe these adjustments better reflect the ultimate dilution to our shareholders.

The following table presents a reconciliation of the fully diluted book value per share to basic book value per share (the most directly comparable U.S. GAAP financial measure):

December 31, 2024December 31, 2023December 31, 2022Numerator for basic and fully diluted book value per share: Total equity as reported under U.S. GAAP$635,879 $596,095 $503,120 Denominator for basic and fully diluted book value per share: Ordinary shares issued and outstanding as reported and denominator for basic book value per share34,831,324 35,336,732 34,824,061 Add: In-the-money stock options (1) and all outstanding RSUs590,001 264,870 277,960 Denominator for fully diluted book value per share 35,421,325 35,601,602 35,102,021 Basic book value per share$18.26 $16.87 $14.45 Increase in basic book value per share ($)$1.39 $2.42 $0.40 Increase in basic book value per share (%)8.2 %16.8 %2.8 %Fully diluted book value per share$17