Sompo completes Endurance takeover
Bermuda-based Endurance helped boost the earnings of its new parent Sompo Holdings in the period April and June 2017.
The Japanese company finalised its acquisition of Endurance in March 2017, paying $6.3 billion for the re/insurer. Endurance is a specialty insurance group which writes both insurance and reinsurance mainly in the US and Bermuda.
In the Japanese insurer’s latest results, Endurance lifted Sompo’s overseas profit between April and June 2017, helping to improve the consolidated results.
Sompo reported consolidated net income up 7 percent year on year at ¥27.0 billion ($250 million) between April and June 2017, the first quarter of its 2017 financial year.
Sompo has acquired Endurance for an aggregate purchasing price of ¥637.5 billion ($6.3 billion) earlier in the year.
The acquisition boosted both the bottom-line and top-line of Sompo’s overseas insurance operations. Net written premiums in the overseas business jumped to ¥204.4 billion in the first quarter of the 2017 financial year from ¥93.0 billion in the same period a year ago. Overseas adjusted profit grew to ¥11.3 billion from ¥4.4 billion over the period.
A rise in net income in the domestic P&C insurance business was driven by improvements both in underwriting and investment profit, the company said in an August 10 presentation. Underwriting profit in the segment grew to ¥17.6 billion from ¥12.7 billion over the period while net income increased to ¥24.3 billion from ¥20.0 billion. The combined ratio remained unchanged at 92.8 percent over the period.
Sompo, Results, Endurance, Insurance, Reinsurance, Asia Pacific, North America