Mercury General Corp. reported on Monday that net income in the first quarter rose to $73.4 million from $58.2 million during the same time last year due to lower loss expenses and gains on investments.
Income rose to $1.34 per diluted share from $1.06 per share last year. Analysts had an average estimate of 68 cents per share.
The Los Angeles, Calif.-based company’s combined accident period ratio was 97.6 percent compared with 98.2 percent in 2011.
Mercury reported net premiums written of $658,287 compared with $658,217 million last year. Net realized investment gains rose to $52,663 million from $28,690 million last year. Total expenses fell from $628,632 in 2011 to $620,681 in the first quarter of the year.
The board of directors also declared a quarterly dividend of 61 cents per share to be paid on June 28, to shareholders of record on June 14.
Shares of Mercury (MCY) were down 19 cents to $45.31, near its 52-week high on the New York Stock Exchange in afternoon trading.
Mercury writes personal automobile insurance products, homeowners, commercial auto and property.
Was this article valuable?
Here are more articles you may enjoy.