France’s SCOR Group reported a healthy first quarter with net income rising 61 percent to €53 million ($68.34 million) from €33 million ($42.55 million) in Q1 2005.
Gross written premiums rose 18 percent to €734 million ($946 million). “This growth is due to the sharp increase in Non-Life business Treaties (up 31 percent), the sustained expansion of Large Corporate Accounts business (+29 percent) and the development of the Credit and Surety business (+46 percent) combined with the stability of the premiums written in Life reinsurance,” said the earnings announcement.
SCOR’s operating income for the first quarter rose 64 percent compared to 2005 to €99.8 million ($128.7 million) with non-life operating income of €81 million $104.4 million) and a Life operating income of €19 million ($24.5 million).
Chairman and CEO Denis Kessler commented: “The 1st Quarter 2006 is characterized by a series of positive developments from the SCOR Group. Non-Life January 1 renewals in Europe and those of April 1 in Asia are very satisfactory. Non-Life written premiums are up 31 percent. The combined ratio is 97.3 percent. Life reinsurance is developing throughout the world, outside of the U.S. Operating cash-flow is positive. The increased contribution from investments is a result of dynamic asset management. The streamlining of the Group into two subsidiaries dedicated to Life and Non-Life business, respectively, is complete. The Group is on the move. It benefits from larger degrees of freedom so as to take advantage of the positive current environment, in both the reinsurance as well as the financial markets.”
The full earnings report additional comments and a replay of the conference call discussing the results may be obtained on the Group’s Website at: www.scor.com.