View this article online: https://www.insurancejournal.com/news/international/2014/04/28/327389.htm
Bermuda-based Validus Holdings, Ltd. Reported net income available to Validus for the three months ended March 31, 2014 of $162.4 million, or $1.66 per diluted common share, compared to $223.2 million, or $1.90 per diluted common share, for the three months ended March 31, 2013.
Net operating income available to Validus for the three months ended March 31, 2014 was $146.1 million, or $1.49 per diluted common share, compared to $215.6 million, or $1.83 per diluted common share, for the three months ended March 31, 2013.
The report also noted the following financial highlights for the period:
– Gross premiums written for the three months ended March 31, 2014 were $1.012 billion compared to $1.1048 billion in Q1 2013, a decrease of $92.8 million, or 8.4 percent.-
– Net premiums earned for the three months ended March 31, 2014 were $483.0 million compared to $531.1 million in Q1 2013, a decrease of $48.1 million, or 9.1 percent.
– Underwriting income for the three months ended March 31, 2014 was $153.0 million compared to $210.1 million for the first quarter of 2013, a decrease of $57.0 million, or 27.1 percent.
– Combined ratio for the three months ended March 31, 2014 of 68.3 percent which included $39.4 million of favorable loss reserve development on prior accident years, benefiting the loss ratio by 8.2 percentage points compared to a combined ratio for the three months ended March 31, 2013 of 60.5 percent which included $65.8 million of favorable loss reserve development on prior accident years, benefiting the loss ratio by 12.4 percentage points.
– Net operating income available to Validus for the three months ended March 31, 2014 was $146.1 million compared to $215.6 million in Q1 2013, a decrease of $69.5 million, or 32.2 percent.
– Net income available to Validus for the three months ended March 31, 2014 was $162.4 million compared to $223.2 million in Q1 2013 million, a decrease of $60.9 million, or 27.3 percent.
– Annualized return on average equity of 17.7 percent and annualized net operating return on average equity of 15.9 percent.
Chairman and CEO Ed Noonan commented: “Validus delivered very solid results for the first quarter of 2014. The Company had $162.4 million in net income, 4.6 percent growth in book value per diluted share inclusive of dividends and a 17.7 percent annualized return on average equity.
“While there is clearly competition in the (re)insurance industry, Validus’ size, scale and our willingness to share analytical insights with our customers allows us to maintain a preferred position in the marketplace.”
Source: Validus Holdings