Aspen Q3 Net Income of $144.7 Million; Net ROE 22%; Conf. Call Today

Aspen Insurance Holdings reported greatly improved third quarter 2009 results, compared to 2008. The Bermuda-based specialty insurer recorded third quarter net income after tax of $144.7 million, compared with a net loss after tax of $126.1 million for the same quarter last year.

Other highlights cited in the Company’s report were as follows:
— Diluted book value per share of $33.07, up 26.2 percent over the third quarter of 2008 and up 8.9 percent over the second quarter of 2009.
— Net investment income of $58.9 million, up 205.2 percent over the same quarter last year.
— Diluted operating earnings per share of $1.40 for the quarter, compared with a diluted operating loss per share of $1.02 for the third quarter of 2008.
— Annualized net income return on equity of 22.0 percent for the third quarter and 18.4 percent for the nine month period.
— Annualized operating return on equity of 19.2 percent for the third quarter and 17.7 percent for the nine month period.

Gross written premiums for the quarter rose by 11.1 percent to $490.3 million. For the first nine months of the year Aspen’s gross written premiums totaled $1.661 billion, a 6.1 percent rise.

The combined ratio for both periods also returned to a reasonable figure, dropping from123.3 percent for Q3 2008 to 80.3 percent for Q3 2009, and from 96.5 percent for the first nine months of 2008 to 84 percent this year.

CEO Chris O’Kane commented: “I am delighted to report record earnings for the quarter of $145 million which reflect both a benign period for cat losses and the welcome improvement in investment markets. Our combined ratio for the quarter was 80.3 percent reflecting particularly strong performance from our property reinsurance segment.

“The book yield on our investment portfolio has held well at 4.4 percent and unrealized gains for the quarter increased by just over $107 million from the half year stage.

“Such good results, however, could lead to even greater challenges for 2010. Responsible underwriting remains the watchword and we continue to manage our business with consideration of both risk and opportunity in equal measure.”

Aspen will hold a conference call to discuss its financial results today Thursday, October 29, 2009 at 8:30 a.m. (Eastern Time).
Participant Dial-In Numbers: +1 (888) 459-5609 (US Toll Free) +1 (404) 665-9920 (International)
Conference ID: 31917197
Please call to register at least 10 minutes before the conference call begins.

The conference call will be webcast live in the ‘presentations’ section of the Investor Relations page of Aspen’s website at: www.aspen.bm. The complete earnings statement and a detailed financial supplement are also posted on the website, as well as a brief slide presentation which may be used for reference during the earnings call.

A replay of the call will be available for 14 days via telephone and Internet starting two hours following the end of the live call.
Replay Access:
+1 (800) 642-1687 (US Toll Free)
+1 (706) 645-9291 (International)
Replay ID: 31917197

Source: Aspen Insurance Holdings

Topics Profit Loss