Midland Sees Q3 Profit Despite Hurricanes

Cincinnati-based specialty insurer the Midland Co. projected a third-quarter profit, despite volatile weather conditions during the quarter.

“We are anticipating earnings per share for the third quarter to be between 11 cents and 15 cents (after-tax, diluted), which includes about 1 cent for realized capital gains,” said John W. Hayden, Midland’s president and CEO. “We are pleased to report that we are still on track to meet the low end of our previously reported full-year earnings per share guidance of $2.40 to $2.60, which includes an estimated 19 cents of realized capital gains.”

Hayden also commented on the impact from hurricanes Charley, Frances, Ivan and Jeanne. “Right now, we are estimating after-tax losses from these hurricanes, after considering reinsurance recoveries and other catastrophe-related items, to be about $18 million, or 93 cents per share (after-tax, diluted). Typically, we would expect third-quarter catastrophe losses in the range of 25 to 30 cents per share.”

Midland subsidiary the American Modern Insurance Group accounts for about 96 percent of the company’s consolidated revenue.

Latest Comments

• October 12, 2004 at 12:41 pm

  Moriardi says:

  Profits have been up substantially since Livingston was shown the door!!!