RenRe sees Q1 2018 profits fall
RenaissanceRe Holdings has reported net income of $56.7 million in the first quarter of 2018, a fall from the $92.4 million it made in the first quarter of 2017.
Operating income totalled $135.2 million for the quarter, compared to $53.7 million in the first quarter of 2017. The Company reported an annualised return on average common equity of 5.7 percent and an annualised operating return on average common equity of 13.5 percent in the first quarter of 2018, compared to 8.3 percent and 4.8 percent, respectively, in the first quarter of 2017.
“I am pleased with our solid results and very strong execution in the first quarter,” said Kevin O'Donnell, chief executive officer. “We delivered an annualised operating return on average common equity of 13.5 percent for the quarter, highlighted by low catastrophe activity, strong growth in premiums, prior year favourable development and a continued increase in operating efficiency. The January 1 renewal was successful, as we increased both the size and efficiency of our portfolio of risk. Moving into the mid-year renewals, we remain focused on implementing our strategy in order to continue to build a diverse and profitable book of business and maximise shareholder value.”
Gross premiums written increased by $237.6 million, or 25.8 percent, to $1.2 billion, in the first quarter of 2018, compared to the first quarter of 2017, driven by increases of $186.4 million in the property segment and $51.1 million in the casualty and specialty segment.
The company also reported underwriting income of $129.6 million and a combined ratio of 70.6 percent in the first three months of 2018. The property segment generated underwriting income of $127.2 million and a combined ratio of 43.5 percent. The casualty and specialty segment generated underwriting income of $2.6 million and a combined ratio of 98.8 percent.