Bermuda-based RenaissanceRe Holdings Ltd. reported net income available to common shareholders of $271.2 million or $4.32 per diluted common share in the second quarter, compared to net income available to common shareholders of $135.7 million or $2.13 per diluted common share for the same quarter of 2008.
“Operating income available to common shareholders was $254.1 million, or $4.05 per diluted common share in second quarter, compared to operating income available to common shareholders of $159.9 million, or $2.50 per diluted common share for the same quarter of 2008. Operating income excludes net realized gains on investments and net other-than-temporary impairments on fixed maturity investments available for sale of $18.9 million and $1.8 million, respectively, in the second quarter of 2009 and $2.4 million and $26.6 million, respectively, in the second quarter of 2008.”
RenRe also reported an annualized return on average common equity of 41.5 percent and an annualized operating return on average common equity of 38.9 percent in the second quarter of 2009, compared to 19.9 percent and 23.4 percent, respectively, in the second quarter of 2008. Book value per common share increased to $44.17 at June 30, 2009, an 11.4 percent increase in the second quarter of 2009, compared to a 2.8 percent increase in the second quarter of 2008.
Neill A. Currie, CEO, commented: “I am pleased to report a strong quarter with an annualized operating ROE of 39 percent and over 11 percent growth in book value per share in the quarter. We generated strong underwriting profits and had a successful June 1st renewal season. We are pleased with our portfolio of risks, which reflects improving market conditions in our Reinsurance segment, and our investment results benefited from spreads tightening and improving valuations during the quarter.
“With our strong balance sheet, liquidity and market position, we were able to increase capacity for our clients in Florida, both via organic growth of our already strong portfolio and by the successful execution of our newest joint venture, Timicuan Reinsurance II Ltd. We also launched our Lloyd’s syndicate, RenaissanceRe Syndicate 1458, and announced an agreement to acquire Spectrum Partners Ltd, its managing agency, to establish a fully-integrated platform to meet our clients’ evolving needs. These activities reflect our commitment to strengthening our franchise by investing in people, risk management capabilities and underwriting tools while maintaining strong underwriting discipline.”
RenRe reported that gross premiums written for the second quarter of 2009 increased $47.6 million, or 5.9 percent, to $855.2 million, compared to $807.6 million for the second quarter of 2008. “The increase was primarily due to a $67.8 million increase in gross premiums written in the Company’s Reinsurance segment and partially offset by a $16.1 million decrease in gross premiums written within the Company’s Individual Risk segment,” said the bulletin.
The complete earnings report, additional information and details on accessing the earnings conference call held on Wednesday, July 29, 2009 may be obtained on the Company’s web site at: www.renre.com.
Source: RenaissanceRe Holdings
Topics Profit Loss
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