Q2 2024 Oxbridge Re Holdings Ltd Earnings Call

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Sachi: Good afternoon. Welcome to Oxbridge Re's second quarter 2024 earnings call. My name is Sachi and I will be your conference operator this afternoon. At this time, all participants will be in a listen-only mode.

Operator: Joining us for today's presentation is Oxbridge Re's Chairman, President, and Chief Executive Officer, Jay Madhu, and Chief Financial Officer and Corporate Secretary, Rendon Timothy. Following Jay Madhu's remarks, we will open up the call for your questions. I would like to remind everyone that this call will be available via telephone replay until August 22nd, 2024 on the Investor Section, Investor Information Section of the Oxford Re Oxbridge Re website at www.oxbridgere.com. Now I would like to turn the call over to Renden Timothy, Chief Financial Officer of Oxbridge, who will provide the necessary cautions regarding the forward-looking statements that will be made by management during this call.

Speaker Change: Joining us for today's presentation is Oxbridge Re's Chairman, President and Chief Executive Officer, Jay Madhu, and Chief Financial Officer and Corporate Secretary, Wrendon Timothy.

Speaker Change: Following their remarks, we will open up the call for your questions.

Speaker Change: I would like to remind everyone that this call will be available via telephone replay until August 22, 2024 on the Investor Information section of the Oxbridge Re website at www.oxbridgere.com.

Wrendon Timothy: Now, I would like to turn the call over to Wrendon Timothy, Chief Financial Officer of Oxbridge Re, who will provide the necessary cautions regarding the forward-looking statements that will be made by management during this call.

Wrendon Timothy: Thank you, operator. During today's call, there will be forward-looking statements made regarding future events, including Oxbridge Re's future financial performance. These four look-in statements are made pursuant to the private security of education and reform up to 1995. Wood, such as on-to-speed estimates, expects intense plans, projects, and other similar woods and expressions, and tends to signify for looking, for other commitments and guarantees of future results, and conditions were rather subject to less risks, amongst others.

Wrendon Timothy: Thank you, Operator. During today's call, there will be forward-looking statements made regarding future events, including Oxford Re's future financial performance.

Wrendon Timothy: These four look-in statements are made pursuant to the Private Securities Litigation and Reform Act of 1995. Rules such as anticipates, estimates, expects, intends, plans, projects, and other similar rules and expressions are intended to signify four look-in statements.

Wrendon Timothy: for the containment and unguaranteed use of future results and conditions but rather subject to various risks and uncertainties.

Wrendon Timothy: A detailed discussion of these risks and uncertainties that could cause actual results and events to differ materially from forelooking statements is included in the section entitled Risk Factors contained in our Form 10-K filed on March 26, 2024, and our Form 10-Q filed today with the Securities and Exchange Commission. The occurrence of any of these risks and uncertainties could have a material adverse effect on a company's business, financial condition, and the volatility of earnings, which, in turn, can cause significant market price and trading volume fluctuations for one's security.

Wrendon Timothy: A detailed discussion of these risks and uncertainties that could cause actual results and events to differ materially from forward-looking statements is included in the section entitled Risk Factors, contained in our Form 10-K file on March 26, 2024, and our Form 10-Q file today with the Securities and Exchange Commission.

Wrendon Timothy: The occurrence of any of these risks and uncertainties could have the material adverse effect on the company's business, financial condition, and the volatility of earnings, which in turn can cause significant market price and trading volume fluctuations for more securities.

Wrendon Timothy: Any forward-looking statements made on this conference call speak only as of the date of this conference call, and, except as required by law, the company undertakes no obligation to update any further statements contained on this call or in any company presentation, either of the company's expectations or any related events, conditions, or circumstances. Now I'd like to turn the call over to our chairman president, and she thinks they can take off his son, Jay Madhu.

Wrendon Timothy: Any forward-looking statements made on this conference call speak only as of the date of this conference call. Except, as required by law, the company undertakes no obligation to update any forward-looking statements contained on this call or in any company presentation, even if the company's expectations or any related events, conditions, or circumstances change.

Wrendon Timothy: Now, I would like to turn the call over to our Chairman, President and Chief Executive Officer, Sanjay Madhu. Jay? Thank you, Wrendon, and welcome, everyone. Thank you for joining us today. Let me start by saying we are proud of the significant steps we have taken in the last year to fortify and diversify our business.

Jay Madhu: Thank you for joining us today. Let me start by saying we are proud of the significant steps we have taken in the last year to fortify and diversify our business. Our core business remains reinsurance, where we write fully collateralized policies to cover property losses from specific catastrophes. And because we write fully collateralized contracts, we believe we can compete efficiently with large carriers. We specialize in underwriting low frequency, high severe e-briss when we believe sufficient data exists to efficiently analyze a risk return profile of reinsurance kind.

Jay Madhu: Our core business remains reinsurance, where we write fully collateralized policies to cover property losses from specific catastrophes. And because we write fully collateralized contracts, we believe we can compete efficiently with large carriers.

Wrendon Timothy: We specialize in underwriting low-frequency, high-severity risks, where we believe sufficient data exists to efficiently analyze the risk-return profile of reinsurance contracts.

Jay Madhu: Our objective is to achieve long-term growth in book value for shared by writing business on a selective and opportunistic basis that will generate attractive underwriting profits relative to risk. Building on the Sustainable Re Insurance Foundation, we began to diversify our business in 2021 as a lead sponsor of Oxbridge's Acquisition Corps, the Special Purpose Acquisition Company, or SPAC, following, focusing on investing in disruptive technology. In August of 2023, Oxbridge Acquisition successfully completed its business combination with JetCley Eye Inc.

Wrendon Timothy: Our objective is to achieve long-term growth in book value per share by writing business on a selective and opportunistic basis that will generate attractive underwriting profits relative to risk.

Wrendon Timothy: Building on the Sustainable Reinsurance Foundation, we began to diversify our business in 2021 as a lead sponsor of Oxbridge Acquisition Corp., a special-purpose acquisition company, or SPAC, focusing on investing in disruptive technologies.

Wrendon Timothy: In August of 2023, Oxbridge Acquisition successfully completed its business combination with JetAI, Inc. The company developed software and offers fractional aircraft ownership, jet-carred aircraft brokerage, and chartered through its fleet of private aircraft and those of its operating partners.

Speaker Change: It operates in two segments, software and aviation. The software segment features the B2B Charter GPT app and the B2B Jet AI operator platform.

Speaker Change: The CharterGPT app uses natural language processing and machine learning to improve the private jet booking experience.

Speaker Change: The Jet AI Operator Platform offers a suite of stand-alone software products such as rear-out dine of light, rear-out and dine of light to enable FAA Part 135 Charter Providers to have revenue maximized efficiency and reduce environmental impact.

Speaker Change: The aviation segment features Jet Aircraft Fractionalization, Jet Cards, On Fleet Charter, Management, and Buyer's Brokerage.

Jay Madhu: With the completion of the business combination in August of 2023, the company began trading on the NASDAQ stock exchange. Our interest in Jet AI is recognized at Fair Value in other investments on our balance. In 2022, we expanded our business portfolio by establishing short-splash ink. Our newly focused subsidiary focuses on Web3 technology. Insurance Plus specializes in democratizing tokenized real-world assets, or RWAs, offering tokenized reinsurance securities as alternative investment opportunities. These securities leverage blockchain technology to ensure complete transparency and compliance with SEC guidelines, representing a significant advancement in the digital security mark.

Speaker Change: With the completion of the business combination in August of 2023, the company began trading on the NASDAQ Stock Exchange.

Speaker Change: Our Interest in Jet AI is recognized at fair value in other investments on our balance sheet.

Speaker Change: In 2022, we expanded our business portfolio by establishing ShortsPlus Inc., our new subsidiary focused on Web3 technology.

Speaker Change: Insurance Plus specializes in democratizing tokenized real-world assets, or RWAs, offering tokenized reinsurance securities as alternative investment opportunities. These securities leverage blockchain technology to ensure complete transparency and compliance with SEC guidelines.

Speaker Change: representing a significant advancement in the digital security market.

Jay Madhu: Consequently, this initiative aims to broaden investor participation, expanding opportunities beyond what traditionally has been a select group of ultra-high net worth individuals. Crucially, the establishment of Assurance Plus was achieved without incurring new debt or diluting equity for our shareholders, reflecting our effective approach to diversification.

Speaker Change: Consequently, this initiative aims to broaden investor participation, extending opportunities beyond what traditionally has been a select group of ultra-high net worth individuals.

Speaker Change: Crucially, the establishment of Insurance Plus was achieved without incurring new debt or diluting equity for our shareholders.

Speaker Change: reflecting our effective approach to diversification.

Jay Madhu: We are enthusiastic about the prospects of these new investments and remain committed to keeping our stakeholders informed of their progress in the forthcoming quarter. Looking ahead, we intend to position Oxbridge as a prominent player in the real world asset or RWA market with three cents. But the details on the street's direction will be shared later in the call.

Speaker Change: We are enthusiastic about the prospects of these new investments and remain committed to keeping our stakeholders informed of their progress in the forthcoming quarters.

Speaker Change: Looking ahead, we intend to position Oxbridge as a prominent player in the real-world asset or RWA Web3 sector.

Speaker Change: Further details on the strategic direction will be shared later in the call. In summary, we maintain a strong sense of optimism regarding the long-term outlook of our core reinsurance business along the successful integration of Assurance Plus as we embrace the RWA market more comprehensively.

Wrendon Timothy: I'd like to remind you that our typical contract period is from June 1 to May 31st of the following year. Put your second net premium earned net premiums in for the quarter and June 15, 2024, with 564,000 compared to 183,000 last year's second quarter. For the first six months, up to 20,000 net premiums in were 1.1 million, up from 183,000 in the same period last year. The increases are due to the prior year maximizing only one month of premiums because of the 2022, 2023 treaty, year premium acceleration on re-entrance contracts, and force due to the high rating in the year.

Speaker Change: I'll now turn things over to Wrendon to take us through our financial results.

Wrendon Timothy: Thank you, Jay. I'd like to remind you that our typical contract period is from June 1 to May 31 of the following year.

Wrendon Timothy: With respect to net premiums earned, net premiums earned for the quarter ended June 3, 2024, were $564,000 compared to $183,000 last year's second quarter. For the first six months of 2024, net premiums earned was $1.1 million.

Speaker Change: Up from 183,000 in the same period last year. The increases are due to the prior year recognizing only one month of premiums.

Speaker Change: because of the 2022-2023 Treaty Year Premium Acceleration on Reinsurance Contracts Enforced due to Hurricane Ian. In contrast for the quarter and the six months ended June 30, 2024, we recognize the full three and six months of premiums, respectively.

Speaker Change: There have been no losses to Deaton Court in 2024 or 2023.

Speaker Change: We got an investment income or net investment income.

Speaker Change: and other income decrease in the quarter and the full six months of 2020-24 due to less cash being held in our Mammam market accounts, we also recorded an unrealized loss of 1.5 million on our other investments resulting from more remasement of our investment in JTAI at CFLU.

Wrendon Timothy: We also recognize a $160,000 negative change in the fair value of our equity securities as of June 30, 2024, decreasing from an $81,000 positive change in the prior year. All of these factors taken together resulted in total revenue of 44,000 for the three months and June 30th, 2020 compared to 6,000 in the prior year, second quarter. For the 26 months of 2024, revenue was 81,000 negative compared to 1.23 million for the same period. [inaudible] from Owen Medinkum.

Speaker Change: We also recognize the $168,000 negative change in the fair value of our equity securities as of June 30, 2024, decreasing from $81,000 positive change in the prior year.

Speaker Change: All of these factors taken together resulted in total revenue to $44,000 for the three months and the June 30, 2024 compared to $691,000 in the prior year, second quarter.

Speaker Change: For the sixth month of 2024, total revenue was $81,000 negative compared to $1.23 million for the same period last year.

Speaker Change: [inaudible]

Wrendon Timothy: From early morning to negative change in the field value of equity, security, and investment in the second quarter, which generated a net loss of 18,000 or 14,000 per share, to a net loss of 85,000 or 1,000 per share in last year's second quarter. For the 36 months, and on June 30th, 2021 and 3, the net loss was 1.7 million compared to a net profit of 67,010 per share in the same period last year There were some results this year due to lower revenue driven by the increasing unrealized losses on other investments and equity securities that more than outweighed higher premium levels and management fee income from insurance losses.

Owen Medinkham: from Owen Medinkham.

Speaker Change: Primarily due to negative change in the fair value of equities, securities and investments in the second quarter, we generated a net loss of $821,014 per share to a net loss of $85,010 per share in last year's second quarter.

Speaker Change: for the first six months, and the June 2, 2021 and 3, the net loss of the 1.7-2 million compared to net loss of 67,000,000 and per share in the same period last year.

Speaker Change: There were some results this year due to lower revenue driven by the increase in unrealized loss on other investments and equity securities more than outweighed higher premium levels and management fee income from insurance pluses offering.

Wrendon Timothy: As we have discussed before him, we use risk measures to analyze the growth and profitability of all business operations. For a reinsurance business, you measure on the right in profitability by examining all those we show acquisition, we show expense, we show combined, on Lawshrewshire, which measures other item profitability, the ratio of loss and loss of a joint expenses, including a premium spoon.

Speaker Change: As we have discussed in front of a press call, we use the risk measures to analyze the growth and profitability of all business operations. For a re-insurance business, you measure underwriting profitability by examining all of those who show acquisition, ratio, expense, ratio, and combined ratio.

Speaker Change: Our loss ratio, which measures underwriting profitability, is the ratio of loss and loss adjustment expenses incurred in the premiums earned. With no losses or loss adjustment expenses in 2024-2023, the loss ratio was 0% in both periods.

Wrendon Timothy: With no losses, or losses of just an expenses in the 24th and 24th and 24th and 23rd, the loss ratio of 0% in both Koreas, or Acquisition Cost Ratio, which measures operational efficiency, compares policy acquisition costs to net premiums earned. The acquisition ratio increased marginally to 11% for the six-month period ended June 30, 2024, compared to 10.9% in the same period last year. Thank you very much, from 380.9% to 111.3% for the six-month end of June 30, 2024, from 601.6% to 105.5% when compared to prior periods.

Speaker Change: Our acquisition cost ratio, which measures operational efficiency, compares policy acquisition costs to net premiums earned. The acquisition ratio increased marginally to 11% for the six-month period ended June 30, 2024, compared to 10.9% in the same period last year.

Speaker Change: We have experienced research measures operating performance, complete policy acquisition course and general learning experiences with net premiums earned. The expense ratio for the 3-month period at the end of June 32, 2024 decreased.

Speaker Change: from 3-0.9% to 11.3% and for the 6-month-end legitimacy of 2020-4, from 6-1.6% to 105.5% will compete the prior 3 years.

Wrendon Timothy: The decreases were due to higher premium levels recognized during the three and six-month periods ending on June 30, 2024. Our combined ratio, which is used to measure underwriting performance, is the sum of the loss ratio and the expenditure, a minor issue for the three-month period and the June 30th year 2020 for increased from decreased from 38.9% to 11.3% and for six months, from 6 to 1.6% to 1.5.7% when compared to prior periods.

Speaker Change: The decreases with due to high premium level is recommended in the three and six months period and the due to get on 24. Our combined ratio, which is used to measure on the right in performance, is some of the loss ratio next month ratio.

Speaker Change: The combined ratio for the 3-month period and the June 30th, 2020-4.

Speaker Change: increased from, decreased from 388.9% to 111.3% in the first six months.

Speaker Change: with 61.6% to 105.7% when compared to prior periods. Decreases were due to higher premium levels recognized during the three and six month periods ended June 30th, 2024. Now turn to the balance sheet.

Speaker Change: Investment portfolio decreased to $138,000 on June 30, 2024 from $68,000 at prior year-end, primarily as a result of the sale of equity securities and the decrease in the fair value of the equity securities during the quarter.

Speaker Change: and other investments that decrease significantly from 2.4 million to 265 key.

Speaker Change: Due to the fear of value, change in our investment in jet air in the company has an equity investment measured at the air value.

Speaker Change: Cash-in-Cash Equivalence and Assuted Cash-in-Cash Equivalence increased to $3.9 million at June 30, 2024 compared with $3.7 million at December 31, 2023. Now I'd like to turn the call back over to Jay to wrap up before we take any of your questions. Jay?

Jay Madhu: Thank you, Wrendon. As highlighted earlier in today's discussion, we have implemented decisive and substantial measures to fortify and diversify our operations. In December of 2022, we established our Holy Own subsidiary with the objective of tokenizing securities representing fractional interest and reinsurance contracts underwritten by our reinsurance subsidiary. In the second quarter of 2023, we successfully concluded the initial offering of these security tokens, Delta Cat. This was issued on the Black Bindlines blockchain.

Jay Madhu: Thank you, Renden. As highlight an earlier and today's discussion, we have implemented decisive and substantial measures to fortifying diverse of higher operations.

Speaker Change: In December of 2022, we established Insurance Plus, our wholly owned subsidiary, with the objective of tokenizing securities representing fractional interests in reinsurance contracts underwritten by our reinsurance subsidiary.

Speaker Change: In the second quarter of 2023, we successfully concluded the initial offering of the security tokens DeltaCat 3. This was issued on the LiveLodge blockchain.

Jay Madhu: Furthermore, as previously reported, investors of Delta Catery received returns exceeding 49%, surpassing the initial 42% projection, despite the challenges posed by Hurricane Adalia, which made landfall as a category 3 hurricane in 2023. We believe these are the first tokenized re-insurance securities backed by a publicly-traded town. Surens Plus is poised to democratize access to reinsurance as an alternative investment avenue, leveraging the inherent advantages of blockchain technology to craft sophisticated visual security. Our tokens aim to facilitate broader investor participation, ensuring their interests are securely and transparently recorded on the blockchain. These opportunities previously out of the reach of many investors using the extremely high barrier to entry are now accessible for our innovative approach. Essentially, we have democratized access to reach.

Speaker Change: Furthermore, as previously reported, investors of Delta Catering received returns exceeding 49 percent, surpassing the initial 42 percent projection, despite the challenges posed by Hurricane Indalia, which made landfall as a Category 3 hurricane in 2023.

Speaker Change: We believe these are the first tokenized reinsurance securities backed by a publicly traded company.

Speaker Change: InsurancePlus is poised to democratize access to reinsurance as an alternative investment avenue, leveraging the inherent advantages of blockchain technology to craft sophisticated digital securities.

Speaker Change: Our tokens aim to facilitate broader investor participation, ensuring that interests are securely and transparently recorded on the blockchain.

Speaker Change: These opportunities, previously out of the reach of many investors due to the extreme high barrier to entry, are now accessible through our innovative approach. Essentially, we have a democratized access to reinsurance.

Jay Madhu: In the mid-2023, our investment in a special purpose acquisition company, Oxbridge Acquisition Corp, culminated in a business merger with Jet AI and a company specializing in functional aircraft ownership, jet-car services, aircraft brokerage, and charter services, facilitated by a suite of private aircraft. Concurrently with the finalization of the business merger, the company successfully listed its common shares and warned on that. Additionally, Oxbridge Re Hldg has initiated a strategic review process, forming a special committee at the board to consider a full range of strategic alternatives with the company and its red three division subsidiaries, insurance-plus holding some.

Speaker Change: In the mid-2023, our investment in a special purpose acquisition company, Oxford Jack Positioned Corp, culminated in a business merger with Jet AI, a company specializing in functional aircraft ownership, jet-car services, aircraft brokerage and charter services.

Speaker Change: facilitated by a suite of private aircraft.

Speaker Change: Concurrently, with the finalization of the business merger, the company successfully listed its common shares and warrants on NASDAQ.

Speaker Change: Additionally, Oxbridge Re Hldg has initiated a strategic review process

Speaker Change: forming a special committee of the board to consider a full range of strategic alternatives for the company and its Web 3.0 division subsidiary, Assurance Plus Holdings Limited. This process may include a sales, spin-out, merger, divestiture, recapitalization, or strategic transactions, or continue to operate as a public independent company.

Jay Madhu: This process may include a salesman hoc merger, divestiture, recapitalization, or strategic transactions or continue to operate as a public company for an indefinite period. In recent developments, Insurance Plus completed a private placement of over 2,087,000 participating shares represented by digital tokens, the epsilon category, under three of the participation share investment contract, raising approximately 2.9 million dollars. The Epsilon Caterie Participation Shares, represented by digital tokens issued on the Avalanche blockchain, have a targeted return of 42%. This follows the success of last year's token, Delta Caterie, which, while targeting a 42% return, paid out a remarkable 49.11% return, surpassing initial targets.

Speaker Change: In recent developments, SharesPlus completed a private placement of over 287,000 participating shares represented by a digital token, EPSILONCATRI, under a three-year participation share investment contract, raising approximately $2.9 billion.

Speaker Change: The epsilon category of participation shares represented by digital tokens issued on the Abelage blockchain, have a targeted turn of 42%.

Speaker Change: This follows the success of last year's token that like at three, which while targeting a 42% return pain after remarkable 49.11% returns surpassing initial projections.

Jay Madhu: Recently, insurance plus analysis of the strategic partnership with Zonix, a pioneer in digital asset management, which has issued over 4 billion assets on chain today. This strategic partnership is set to further expand our footprint. The collaboration aims to enhance our RWA tokenization and Web3 capabilities. Assurance Plus is well positioned with substantial growth potential for our shareholders. We are proud of this accomplishment and look forward to this new exciting entity diversification and accelerating our growth in the RW space in the coming years.

Speaker Change: Recently, Assurance Plus announced a strategic partnership with Zonix, a pioneer in digital asset management, which has issued over $4 billion in assets on-chain to date.

Speaker Change: This strategic partnership is set to further expand our footprint. The collaboration aims to enhance our RW tokenization and Web3 capabilities.

Speaker Change: Assurance Plus is well positioned with substantial growth potential for our shareholders. We are proud of this accomplishment and look forward to this new exciting entity diversification and accelerating our growth in the RWS space in the coming years.

Jay Madhu: These compelling opportunities not only augment our business but also enhance our risk profile, strategically positioning us to capitalize on growth with an emerging technology. We are especially enthusiastic about the anticipated value of these investments and the benefits they offer to our shareholders. As previously mentioned, we are currently in the process of rebranding Oxbridge as an RWA Web3 focused company, leveraging the significant progress we have achieved this year. Polkoss suggests an extraordinary expansion of the tokenized RW Market over the next decade with estimates exceeding 10 trillion.

Speaker Change: These compelling opportunities not only augment our business, but also enhance our risk profile, strategically positioning us to capitalize on growth within emerging technologies.

Speaker Change: We are especially enthusiastic about the anticipated value of these investments hold and the benefits they offer to our shareholders.

Speaker Change: As previously mentioned, we are currently in the process of rebranding Oxford of an RWA where three focused company, leveraging the significant progress we have achieved this year.

Falkas: Falkas suggest an extraordinary expansion of the tokenized RW Market over the next decade with estimates exceeding 10 trillion.

Jay Madhu: This has been further reinforced recently as secure ties announced that they have secured 47 million dollars in funding led by Blackrock to expand, arguably tokenization. This growth trajectory is fueled by the escalating adoption of blockchain technology across various traditional financials, including fiat currencies, equities, bonds, and Real Estate. Endorsements from its investors like Black Rock and Bank of America further affirm the transformative potential of tokenization and enhancing financial infrastructure efficiencies, reducing costs and optimizing supply and distribution chains.

Falkas: This has been further reinforced. Recently, as Securitize announced, they have secured 47 million funding led by BlackRock to expand RWA tokenization.

Speaker Change: This growth trajectory is fueled by the escalating adoption of blockchain technology across various traditional financial sectors.

Speaker Change: including fiat currencies, equities, bonds and real estate. Endorsements from institutions like BlackRock and Bank of America further affirm the transformative potential of tokenization in enhancing financial infrastructure efficiencies, reducing costs and optimizing supply and distribution chains. Moreover, industry analysis

Jay Madhu: Moreover, industry analysis from firms such as Boston Consulting Group anticipate a substantial surge in the tokenized asset market, potentially reaching $16 trillion by the year 2030. As pioneers in the subalming landscape, we hold a strong sense of optimism regarding the value that our rebranding efforts will unlock for our shareholders. We remain steadfast in our commitment to seizing the opportunities presented by this dynamic market shift. With that, we are ready to open the call for questions. Operator, please provide the appropriate instructions.

Falkas: From firms such as Boston Consulting Group, anticipate a substantial surge in the tokenized asset market, potentially reaching $16 trillion by the year 2030.

Speaker Change: As pioneers in the subaluminum landscape, we hold a strong sense of optimism regarding the value of our rebranding efforts we'll unlock for our shareholders.

Speaker Change: We remain steadfast in a commitment to see, to seizing the opportunities presented by this dynamic market shift. With that, we are ready to open a call for questions. Operator, please provide the appropriate instructions.

Operator: Thank you. We will now be conducting a question and answer session. If you would like to ask a question, please press star 1 on your telephone keypad. A confirmation tone will indicate your line in the question queue. You may press star 2 if you would like to remove your question from the queue. For participants using speaker equipment, it may be necessary to pick up your hands before pressing the star keys. One moment, please, while we pull for questions. The first question is from Kent Engelke from Capital Securities Management. Please go ahead.

Speaker Change: Thank you. We will now be conducting a question and answer session. If you would like to ask a question, please press star 1 on your telephone keypad. A confirmation tone will indicate your line is in the question queue. You may press star 2 if you would like to remove your question from the queue.

Speaker Change: for participants using speaker equipment, and maybe necessary to pick up your hands at before pressing the star keys.

Speaker Change: One moment, please, while we pull for questions.

Speaker Change: The first question is from Kent Engelke from Capital Securities Management. Please go ahead.

Kent Engelke: Hey Jay, hey Wrendon. Question on how much of market penetration do you all think that you can get on this ten trillion dollar market?

Jay Madhu: Hey Ken, thanks for coming.

Jay Madhu: Hey Ken, thanks for tuning in.

Kent Engelke: Hey, no problem. I don't think he's flying flat out here in Southern California.

Speaker Change: is one of the people out here in Southern California.

Jay Madhu: Yeah, currently, the size of the company we are. There is the market; the market is in trillions.

Speaker Change: Yeah, currently the size, the size of company we are...

Jay Madhu: We're not saying we're going to go out, you know; we could be 5% or 10% or whatever. The size that we are, the market is so vast that a few percentage points is an unfathomable number for us, right? So I'll leave it at that saying the market is so vast and the playing field ahead of us is so immense. We are, in my opinion, solidly entrenched and looking forward to this opportunity.

Speaker Change: There is the market, the market is in trillions.

Speaker Change: We're not saying we're going to go out, you know, we could be 5% or 10% or what have you. The size that we are, the market is so vast that a few percentage points is an unfathomable number for us, right? So, I'll leave it at that saying the market is so vast.

Speaker Change: and the playing field of ahead of us is so immense. We are, in my opinion, solidly entrenched in looking forward to this opportunity.

Speaker Change: How are you all marketing it and stuff like that because it as you said, it's a huge market Even 1% the Oxford shareholders will make a gazillion dollars. How are you marketing it all?

Jay Madhu: Yes, in the weeks to come, hopefully next week, we'll just make that a little bit more available to shareholders. But we have a whole plan for how we're rebranding and how we're doing things. There will be various different events that we will be going to. We have also been talking to various different banks that are interested, investment banks that are interested, and shareholders that are interested. But it will take quite a bit. It is a challenging effort. We're up for it.

Wrendon Timothy: Yes, in the weeks of calm, Wrendon will grow alive.

Speaker Change: Hopefully next week we'll just make that a little bit more.

Speaker Change: available to shareholders, but we have a whole plan of how we're rebranding and how we're doing things. There'll be various different.

Speaker Change: Events that we will be going to. We have also been talking to Mary as of in banks that are interested in investment banks that are interested, show help shareholders that are interested, but

Speaker Change: It will take quite a bit. It is a challenging effort.

Kent Engelke: Cool. I appreciate it. Thank you. Absolutely.

Speaker Change: We're up to it.

Speaker Change: Cool. I appreciate it. Thank you.

Operator: As a reminder, it is Star 1 to ask a question. And, again, that is Star One to Alpha Question. This concludes our question and answer session. I would like to turn the floor back over to Mr. Madhu for his closing comments.

Speaker Change: Absolutely.

Speaker Change: As a reminder, it is star one to ask a question.

Speaker Change: and again that is Star One to Alpha Questioner.

Speaker Change: This concludes our question and answer session. I would like to turn the floor back over to Mr. Madhu for his closing comments.

Jay Madhu: Thank you for joining us on today's call. Before we conclude, I would like to extend my gratitude to our employees, business partners, and investors for their unwavering support. I particularly want to acknowledge our dedicated Oxbridge team, whose extensive expertise has been instrumental in navigating and advancing our business amidst these challenging circumstances. Should you have any additional questions, please do not hesitate to reach out to us any time. Once again, thank you for your time and attention today and for your ongoing interest in Oxbridge. Albert

Mr. Madhu: Thank you for joining us on today's call. Before we conclude, I would like to extend my gratitude to our employees, business partners and investors for their unwavering support.

Madhu: I particularly want to acknowledge our dedicated Oxbridge team whose extensive expertise has been instrumental in navigating and advancing our business amidst these challenging circumstances.

Mr. Madhu: Should you have any additional questions, please do not hesitate to reach out to us any time. Once again, thank you for your time and attention today, and for your ongoing interest in Oxbridge. Operator.

Operator: Thank you. Before we conclude today's call, I would like to remind everyone that a recording of today's call will be available by telephone in the investor section of the company's website. Thank you for joining us today for our presentation. You may now disconnect.

Speaker Change: Thank you. Before we conclude today's call, I would like to remind everyone that a recording of today's call will be available by telephone in the investor section of the company's website. Thank you for joining us today for our presentation. You may now disconnect.

Kent Engelke: Hey Jay, hey Randon, question on how much of a market penetration you all face that you can get on this 10 trillion dollars.

Jay Madhu: In summary, we maintain a strong sense of optimism regarding the long-term outlook of our core resource business along with the successful integration of assurance plus as we embrace the RW market more confidently. I'll be back on things over and around it to take us through our financial rules. Thank you, Jay.

Jay Madhu: The company develops software and fractional and offers fashion and aircraft ownership, jetcard, aircraft brokerage, and charter through its fleet of private aircraft and those of its operating parts. It operates in two segments, software and aviation. The software segment features the B2B Charter GPT app and the B2B Jet AI operator platform. The Charter GPT app uses natural language processing and machine learning to improve the private jet booking experience. The JetAI Operator Platform offers a suite of stand-alone software products such as ReRoute and DynaFlight to enable FAA Part 135 charter providers to add revenue, maximize efficiency, and reduce environmental impact. The aviation segment features jet aircraft-faction-factionization, jet cars, on-fleet charter, management, and bios-broke.

Wrendon Timothy: The increases are due to high-up removal levels recognized due in the three and six-month period and the June 30th year 2020 for noted into the balance sheet. Thank you for watching. Due to the fear of value change in our investments in jet air, in which the company has an equity investment measured at fear of value, cash and cash equals lands on a shooting basis increased to 3.9 million on June 2, 2021, compared with 3.7 million at December 31, 2021. Now I'd like to turn the call back over to Jesus for a wrap-up before we take any of your questions.

Wrendon Timothy: In contrast, for the quarter and the six months ending June 15, 2024, we recognize the first three and six months of premium respect. There have been no losses to date, including 2024 or 2028. Regarding investment income or what investment income? Another income decrease in the quarter and the first six months of 2024 due to less cash being held in our money market accounts. We also recorded an unrealized loss of $1.5 million on our other investments, resulting from the remeasurement of our investment in Jet AI at fair value.