GoshawK chairman Paul Spencer said the company was now on the road to recovery, following the appointment of a new management team in 2003.
Making a statement to the company's AGM, Spencer said the April 2004 renewal season had gone well for the company.
“We have developed an extremely sound book of international business and now turn our attention to developing a similar book in the US.”
Chief executive Russell Brooke said the bulk of the April renewals had come from the Japanese market, with strong support shown for the group's rebranded Bermuda operation, Rosemont Re.
Brooke said the market continued to soften but that the group was keeping up with its forecasted margins.
“Pricing has continued to soften against prior year rates by approximately 10% on average. However, margins remain broadly where anticipated at this point and terms and conditions are still acceptable on the business we have chosen to write.
“Rosemont Re's specialist focus allows the flexibility to respond to changing market conditions and retain discipline while still producing reasonable long-term returns on capital,” said Brooke.
Brooke also said the restructuring of the group's investment portfolio was now complete and that investment agreements had been signed with two main managers for the majority of its portfolio.
Following the group's restructure after the collapse of its Lloyd's operation, GoshawK will change its reporting currency from sterling to US dollars. Brooke said the change would more accurately reflect the group's trading operations.
The gradual cessation of GoshawK's unprofitable operations continued apace, said Brooke. The transfer of the managing agent agreement of Syndicate 102 from GoshawK to Cavell Management Services was completed in May.
Staff numbers at the group's London operations have also been reduced to a minimum, with a small number left to ensure proper administration and FSA compliance, said Brooke.
But he added that costs arising from winding up the group's dormant or non-core entities were expected to reach £1m for the year.
