Cincinnati Financial Posts Strong Q3 Gains

Cincinnati Financial Corporation reported that its net operating income, which excludes realized capital gains and losses, was $83 million, or 51 cents per diluted share, for this year’s third quarter versus $38 million, or 23 cents per share, for the comparable period last year.

“Net catastrophe losses included in this year’s third-quarter operating income totaled $5 million, or 2 cents per share after taxes, compared with $13 million, or 5 cents per share, in 2001,” said the bulletin. “Third-quarter net operating income totaled $83 million, or 51 cents per diluted share,” it continued.

Despite $11 million in capital losses, income figures for the period were up as well, with total net income for the third quarter of $72 million, or 44 cents per diluted share, versus $36 million, or 22 cents per share, in 2001.

The company said that ” revenues from pre-tax investment income, the primary source of profits, rose 7.1 percent to $113 million” during the third quarter, while total “revenues advanced 13.5 percent to $731 million,” and its p/c “statutory combined ratio improved to 97.4 percent.”