View this article online: https://www.insurancejournal.com/news/international/2014/08/08/337096.htm
The Bermuda-based Catlin Group Limited posted strong increases in pretax profits and net income. The Group’s report for the first half of 2014 featured the following highlights in what it described as “challenging market conditions:”
– 118 percent increase in profit before tax to $318 million (30 June 2013: $145 million)
– 129 percent increase in net income to common stockholders to $273 million (30 June 2013: $118 million)
– 21.3 percent annualized return on net tangible assets (30 June 2013: 10.3 percent)
– 17.1 percent annualized return on equity (30 June 2013: 8.1 percent)
– 21 percent increase in net underwriting contribution to $536 million (30 June 2013: $ 441 million)
– 50.2 percent attritional loss ratio (30 June 2013: 50.9 percent)
– 85.0 percent combined ratio (30 June 2013: 88.1 percent)
– 1.6 percent total investment return for period (30 June 2013: 0.2 percent)
– 11 percent increase in gross premiums written to $3.66 billion (30 June 2013: US$3.30 billion)
Underlying growth in gross premiums written of 5 percent
– 5 percent increase in interim dividend to 10.5 pence or 17.7 US cents per share (30 June 2013: 10.0 pence or 15.5 US cents)
Chief Executive Stephen Catlin commented: “Our strategy is delivering excellent results. During the first half of 2014, profits before tax increased by 118 percent, while our annualized return on net tangible assets was 21.3 percent. Net underwriting contribution reached an all-time high, while the attritional loss ratio remained low, reflecting Catlin’s underwriting discipline.
“All areas of the business performed well. Average weighted premium rates decreased by 3.2 percent across our portfolio, with rating conditions remaining more resilient in our US, Europe, Asia-Pacific and Canada hubs than in the London and Bermuda markets. We continue to see opportunity for further profitable growth, thanks to our investment in our hubs world-wide.
“Our global footprint gives us the access to a wide range of business, both by class and by geography. Our reputation for underwriting and claims excellence is increasingly recognized by brokers and clients, supporting our leadership position in the marketplace and enhancing business retention. Catlin continues to build a business for the future, and we look ahead with confidence.”
Source: Catlin Group