Segment Reporting

3 Months Ended

Mar. 31, 2025

Segment Reporting [Abstract]

Segment Reporting Disclosure

2.    SEGMENT INFORMATION

The Company reports its results of continuing operations in two segments: Specialty Property and Casualty Insurance and Insurance Distribution. These reportable segments offer distinct products and services as further described in Note 1. Background and Business Description. The operating entities within each segment are wholly or majority owned by separate intermediate holding companies: Everspan Holdings, LLC for Specialty Property and Casualty Insurance and Cirrata Group, LLC for Insurance Distribution. The Company's segments have separate management teams with incentive compensation structures based on segment level performance. Financial reporting for each segment is regularly provided to the Company's Chief Executive Officer, who is the chief operating decision maker ("CODM") for purposes of monitoring the businesses, assessing performance and allocating resources.

The following tables summarize the components of the Company’s total revenues and expenses, and pretax income (loss) by reportable business segment. Information provided below for “Corporate and Other” primarily relates to the operations of AFG, which will include investment income on its investment portfolio and costs to maintain the operations of AFG, including public company reporting, capital management and business development costs for the acquisition and development of new business initiatives. As a result of the Company reporting the results of operations of AAC as discontinued operations, certain corporate costs charged to AAC totaling $2,763 for the three months ended March 31, 2025 and $3,944, for the three months ended March 31, 2024, have been reported in Net income from continuing operations on the Consolidated Statements of Total Comprehensive Income and included in Corporate and Other in the tables below.

	Three Months Ended March 31, 2025								Three Months Ended March 31, 2024
	Reportable Segments								Reportable Segments
	Specialty Property & Casualty Insurance		Insurance Distribution		Corporate & Other		Total		Specialty Property & Casualty Insurance		Insurance Distribution		Corporate & Other		Total
Revenues:
Net premiums earned	$	15,678					$	15,678	$	25,579					$	25,579
Commission income			$	36,771			36,771				$	17,729			17,729
Servicing and other fees			4,964				4,964				—				—
Program fees	3,652						3,652		2,567						2,567
Net investment income	1,842		376		597		2,815		1,399		50		$	2,192	3,640
Other income (expense)	(1)		(1,113)		(10)		(1,124)		(3)		86		(47)		36
Total revenues from continuing operations (1)	21,171		40,998		587		62,756		29,542		17,865		2,145		49,551
Less:
Losses and loss adjustment expenses	10,496						10,496		19,355						19,355
Policy acquisition costs	3,841						3,841		4,424						4,424
Commission expenses			10,365				10,365				9,822				9,822
Intangible amortization and depreciation	—		8,872		304		9,176		—		1,149		465		1,614
Interest expense			5,454				5,454				—				—
Compensation expense	3,510		13,533		5,844		22,887		1,760		2,296		6,490		10,546
Non Compensation expense	1,821		5,017		8,806		15,644		2,182		625		4,222		7,029
Total expenses from continuing operations	19,668		43,241		14,954		77,863		27,721		13,892		11,177		52,790
Segment pretax income (loss)	1,503		(2,243)		(14,367)		(15,107)		1,821		3,973		(9,032)		(3,239)
Segment income tax expense (benefit)	78		(500)		(195)		(617)		106		118		(94)		130
Segment net income (loss)	1,425		(1,743)		(14,172)		(14,490)		1,715		3,855		(8,938)		(3,369)
Segment net (income) loss attributable to noncontrolling interest	—		(1,654)				(1,654)		2		(703)				(701)
Segment net income (loss) attributable to Ambac shareholders	$	1,425	$	(3,397)	$	(14,172)	(16,144)		$	1,713	$	3,152	$	(8,938)	(4,070)
Reconciliation to consolidated net income (loss) attributable to Ambac stockholders
Discontinued operations							(30,247)								24,140
Net income (loss) attributable to Ambac shareholders							$	(46,391)							$	20,070
Reconciliation of segment assets to consolidated total assets
Total assets	$	802,856	$	929,172	$	129,250	$	1,861,278	$	608,006	$	155,722	$	210,671	$	974,399
Discontinued operations							6,392,004								7,454,216
Total consolidated assets							$	8,253,282							$	8,428,615
EBITDA Reconciliation
Segment net income (loss)	$	1,425	$	(1,743)	$	(14,172)	$	(14,490)	$	1,715	$	3,855	$	(8,938)	$	(3,369)
Adjustments:
Interest expense	—		5,454		—		5,454		—		—		—		—
Income taxes	78		(500)		(195)		(617)		106		118		(94)		130
Depreciation	—		109		305		413		—		10		465		475
Intangible amortization	—		8,763		—		8,763		—		1,139		—		1,139
EBITDA	1,503		12,083		(14,062)		(477)		1,821		5,122		(8,567)		(1,625)
Add: Impact of noncontrolling interests			(5,000)				(5,000)		2		(920)				(920)
Ambac EBITDA	$	1,503	$	7,083	$	(14,063)	$	(5,477)	$	1,823	$	4,202	$	(8,567)	$	(2,545)

(1)Inter-segment revenues and inter-segment pre-tax income (loss) amounts are insignificant and are not presented separately.