$MLCIL

Mount Logan Capital Inc.

CIK:0002051820|SEC Filings

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (UNAUDITED) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2026	Jun. 30, 2025	Jun. 30, 2026	Jun. 30, 2025
Asset Management
Equity investment earning			$ 515	$ 324
Insurance Solutions
Net premiums	$ (4,474)	$ (4,238)	(8,718)	(8,251)
Total revenues	8,747	17,130	19,394	32,180
Insurance Solutions
Amortization of deferred acquisition costs			1,411	1,460
Total expenses	12,735	19,246	29,147	42,411
Investment and other income (loss) - Asset Management
Loss on extinguishment of debt	0	0	(472)	0
Income (loss) before taxes	(4,177)	(943)	(10,147)	(7,612)
Net income (loss)	$ (4,177)	$ (934)	$ (10,147)	$ (7,639)
Earnings per share
Net income (loss) attributable to common shareholders - Basic (in dollars per share)	$ (0.37)	$ (0.14)	$ (0.88)	$ (1.14)
Net income (loss) attributable to common shareholders - Diluted (in dollars per share)	$ (0.37)	$ (0.14)	$ (0.88)	$ (1.14)
Weighted average shares outstanding – Basic (in shares)	11,188,768	6,789,843	11,490,663	6,683,097
Weighted average shares outstanding – Diluted (in shares)	11,188,768	6,789,843	11,490,663	6,683,097
Consolidated Entity, Excluding Consolidated VIE
Insurance Solutions
Net investment income	$ 15,269	$ 16,678	$ 31,945	$ 31,629
Net realized and change in unrealized gains (losses) from investment activities	484	3,838	(4,530)	5,310
Variable Interest Entity, Primary Beneficiary
Insurance Solutions
Net investment income and realized gain (loss), net	1,997	3,549	1,864	7,182
Management fees
Asset Management
Fee revenue	1,691	2,809	3,330	6,049
Incentive fees
Asset Management
Fee revenue	419	478	813	777
Advisory and transaction fees, net
Asset Management
Fee revenue	0	0	66	0
Asset Management
Asset Management
Equity investment earning	153	42	515	324
Insurance Solutions
Net realized and change in unrealized gains (losses) from investment activities	(967)	867	(1,318)	1,708
Total revenues	2,263	3,329	4,724	7,150
Asset Management
Administration and servicing fees	3,305	1,812	6,944	3,049
Transaction costs	(48)	2,753	34	7,298
Compensation and benefits	215	1,836	426	4,216
Amortization and impairment of intangible assets	674	1,889	1,118	2,799
Interest and other credit facility expenses	2,172	1,960	4,177	3,906
General, administrative and other	1,865	1,258	4,873	2,981
Insurance Solutions
Compensation and benefits	215	1,836	426	4,216
General, administrative and other	1,865	1,258	4,873	2,981
Total expenses	8,183	11,508	17,572	24,249
Investment and other income (loss) - Asset Management
Net realized and change in unrealized gains (losses) from investment activities	(967)	867	(1,318)	1,708
Dividend income	5	29	65	67
Interest income	301	271	685	539
Other income (loss), net	472	6	646	305
Total investment and other income (loss)	(189)	1,173	(394)	2,619
Income (loss) before taxes	(4,177)	(943)	(10,147)	(7,612)
Income tax (expense) benefit — Asset Management	0	9	0	(27)
Asset Management \| Management fees
Asset Management
Fee revenue	1,691	2,809	3,330	6,049
Asset Management \| Incentive fees
Asset Management
Fee revenue	419	478	813	777
Asset Management \| Advisory and transaction fees, net
Asset Management
Fee revenue	0	0	66	0
Insurance Solutions
Insurance Solutions
Net premiums	(4,474)	(4,238)	(8,718)	(8,251)
Product charges	168	722	286	1,582
Net investment income	18,476	20,514	38,696	39,363
Net investment income (loss) on funds withheld	(6,935)	(6,826)	(6,321)	(12,576)
Other income	(25)	78	144	154
Total revenues	6,484	13,801	14,670	25,030
Asset Management
Compensation and benefits	0	223	0	467
General, administrative and other	3,633	3,270	7,894	6,956
Insurance Solutions
Net policy benefit and claims (remeasurement gain on policy liabilities of $6,064 and $10,523 and $2,945 and $3,025 for the three and six months ended June 30, 2026 and 2025, respectively)	(4,281)	(1,064)	(6,916)	729
Interest sensitive contract benefits	4,179	3,997	8,468	7,815
Amortization of deferred acquisition costs	703	905	1,411	1,460
Compensation and benefits	0	223	0	467
Interest expense	318	407	718	735
General, administrative and other	3,633	3,270	7,894	6,956
Total expenses	4,552	7,738	11,575	18,162
Investment and other income (loss) - Asset Management
Other income (loss), net	(25)	78	144	154
Insurance Solutions \| Consolidated Entity, Excluding Consolidated VIE
Insurance Solutions
Net investment income	15,269	16,678	31,945	31,629
Net realized and change in unrealized gains (losses) from investment activities	484	3,838	(4,530)	5,310
Insurance Solutions \| Variable Interest Entity, Primary Beneficiary
Insurance Solutions
Net investment income	3,207	3,836	6,751	7,734
Net realized and change in unrealized gains (losses) from investment activities	(1,210)	(287)	(4,887)	(552)
Net investment income and realized gain (loss), net	$ 1,997	$ 3,549	$ 1,864	$ 7,182

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED) - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2026	Jun. 30, 2025	Jun. 30, 2026	Jun. 30, 2025
Cash Flows from Operating Activities
Net income (loss)	$ (4,177)	$ (934)	$ (10,147)	$ (7,639)
Adjustments to reconcile net income (loss) to net cash used in operating activities:
Net realized (gains) losses on investments			1,876	1,996
Net realized (gains) losses on foreign currency			0	11
Net change in unrealized (gains) losses on investments			11,995	(7,316)
Net change in unrealized (gains) losses on foreign currency			0	(36)
Change in fair value of debt obligation			0	(1,339)
Payment in-kind interest			498	144
Equity investment earnings			(515)	(324)
Amortization of debt issuance costs			123	251
Amortization of deferred acquisition costs			1,411	1,460
Amortization of intangible assets			1,118	2,799
Net amortization of premiums and accretion of discounts on investments			(241)	177
Equity based compensation			79	643
Increase (decrease) in estimated credit losses			(3,136)	218
Write-off of unamortized debt issuance costs			472	0
(Increase) decrease in operating assets:
Reinsurance recoverable			734	3,623
Change in deferred acquisition costs			(88)	(3,393)
Distributions from equity method investments			1,762	892
Purchases of investments by consolidated VIEs			(51,579)	(33,952)
Proceeds from sale of investments by consolidated VIEs			37,107	30,932
Increase (decrease) in operating liabilities:
Due to related parties			1,689	3,086
Future policy benefits			(24,127)	(8,903)
Interest sensitive contract liabilities			8,468	7,815
Funds held under reinsurance contracts			(4,217)	(2,637)
Accrued expenses and other liabilities			(3,114)	5,619
Net cash used in operating activities			(31,516)	(6,993)
Investing Activities
Purchases of investments			(191,006)	(130,680)
Proceeds from sales and repayments of investments			188,588	147,725
Net cash provided by (used in) investing activities			(2,418)	17,045
Financing Activities
Shareholder dividends			(669)	(809)
Repurchase of common shares			(15,467)	0
Proceeds from borrowings of asset management business			45,597	0
Repayments of borrowings of asset management business			(24,000)	(768)
Financing costs paid and deferred			(2,309)	0
Proceeds from borrowings of insurance business			0	3,000
Repayments of borrowings of insurance business			(5,250)	0
Deposits on investment-type policies and contracts			0	42,996
Withdrawals on investment-type policies and contracts			(15,387)	(22,403)
Net cash provided by (used in) financing activities			(17,485)	22,016
Effect of Exchange Rate on Cash, Cash Equivalent, Restricted Cash, and Restricted Cash Equivalent, Continuing Operation
Supplemental disclosures of cash flow information
Interest received			39,128	44,178
Interest paid			4,228	3,431
Dividends received			318	742
Income taxes paid			$ 64	$ 243
Supplemental Disclosures of Non-Cash Investing and Financing Activities
Issuance of common shares for vested Restricted Share Units (in shares)			0	209
Issuance of common shares for investment purchases (in shares)			0	5,000
Issuance of common shares for share based compensation (in shares)			0	45
Variable Interest Entity, Primary Beneficiary
(Increase) decrease in operating assets:
Other assets			$ 90	$ (96)
Financing Activities
Net increase (decrease) in cash, cash equivalents and restricted cash, and cash and cash equivalents of consolidated VIEs			(51,419)	32,068
Cash, cash equivalents and restricted cash, and cash and cash equivalents of consolidated VIEs, beginning of the period			143,725	101,704
Cash, cash equivalents and restricted cash, and cash and cash equivalents of consolidated VIEs, end of period	92,306	133,772	92,306	133,772
Consolidated Entity, Excluding Consolidated VIE
(Increase) decrease in operating assets:
Other assets			(1,774)	(1,024)
Asset Management
Adjustments to reconcile net income (loss) to net cash used in operating activities:
Net realized (gains) losses on investments	0	(22)	(367)	(81)
Net change in unrealized (gains) losses on investments	967	(845)	1,690	(1,627)
Equity investment earnings	(153)	(42)	(515)	(324)
Financing Activities
Cash and cash equivalents	4,774	2,748	4,774	2,748
Insurance Solutions
Adjustments to reconcile net income (loss) to net cash used in operating activities:
Amortization of deferred acquisition costs	703	905	1,411	1,460
Financing Activities
Cash, cash equivalents and restricted cash, and cash and cash equivalents of consolidated VIEs, end of period	87,532	131,024	87,532	131,024
Restricted cash	11,640	11,258	11,640	11,258
Supplemental disclosures of cash flow information
Interest paid	600	400	900	700
Insurance Solutions \| Variable Interest Entity, Primary Beneficiary
Adjustments to reconcile net income (loss) to net cash used in operating activities:
Net realized (gains) losses on investments	(59)	(177)	647	(237)
Net change in unrealized (gains) losses on investments	1,269	464	4,240	789
Financing Activities
Cash and cash equivalents	16,029	22,233	16,029	22,233
Insurance Solutions \| Consolidated Entity, Excluding Consolidated VIE
Adjustments to reconcile net income (loss) to net cash used in operating activities:
Net realized (gains) losses on investments	389	1,908	1,596	2,325
Net change in unrealized (gains) losses on investments	(2,277)	(6,006)	6,065	(7,853)
Financing Activities
Cash and cash equivalents	$ 59,863	$ 97,533	$ 59,863	$ 97,533

CONDENSED CONSOLIDATED STATEMENTS OF FINANCIAL POSITION (UNAUDITED) - USD ($) $ in Thousands	Jun. 30, 2026	Dec. 31, 2025
ASSETS
Investments	$ 1,108,294	$ 1,106,786
Other assets	29,228	26,419
Reinsurance recoverable	271,121	272,918
Deferred acquisition costs	5,468	6,791
Goodwill	30,193	30,193
Assets	1,548,899	1,600,718
LIABILITIES
Future policy benefits	756,299	781,881
Accrued expenses and other liabilities	14,783	20,025
Liabilities	1,488,138	1,509,762
Commitments and Contingencies
EQUITY
Common shares	11	13
Warrants	1,426	1,426
Additional paid-in-capital	161,713	177,099
Retained earnings (accumulated deficit)	(131,562)	(120,746)
Accumulated other comprehensive income (loss)	29,173	33,164
Total equity	60,761	90,956
Total liabilities and equity	1,548,899	1,600,718
Variable Interest Entity, Primary Beneficiary
ASSETS
Cash and cash equivalents	92,306	143,725
Asset Management
ASSETS
Cash and cash equivalents	4,774	14,999
Investments	24,489	29,298
Other assets	12,380	11,165
Intangible assets	9,845	10,961
Goodwill	1,000	1,000
Assets	51,488	66,423
LIABILITIES
Due to related parties	13,532	11,844
Debt obligations	98,059	76,250
Accrued expenses and other liabilities	3,879	9,515
Liabilities	115,470	97,609
Asset Management \| Consolidated Entity, Excluding Consolidated VIE
ASSETS
Investments	24,489	29,298
Insurance Solutions
ASSETS
Cash and cash equivalents	87,532
Restricted cash	11,640	9,973
Derivatives	0	481
Other assets	16,848	15,254
Reinsurance recoverable	271,121	272,918
Intangible assets	2,444	2,444
Deferred acquisition costs	5,468	6,791
Goodwill	30,193	30,193
Assets	1,497,411	1,534,295
LIABILITIES
Future policy benefits	756,299	781,881
Interest sensitive contract liabilities	357,062	363,981
Funds held under reinsurance contracts	232,926	237,143
Debt obligations	12,000	17,250
Derivatives	3,477	1,388
Accrued expenses and other liabilities	10,904	10,510
Liabilities	1,372,668	1,412,153
Insurance Solutions \| Consolidated Entity, Excluding Consolidated VIE
ASSETS
Cash and cash equivalents	59,863	88,723
Investments	953,083	956,808
Other assets	15,983	14,299
Insurance Solutions \| Variable Interest Entity, Primary Beneficiary
ASSETS
Cash and cash equivalents	16,029	30,030
Investments	130,722	120,680
Other assets	$ 865	$ 955