Watson hails strong growth in Argo results
Argo Group’s CEO Mark Watson has praised the company’s second quarter and first half 2017 results, which showed the company increasing its net income over both periods.
“Argo Group’s results for the first six months of 2017 reflect strong investment returns and profitable growth in our US, Bermuda, and Latin America operations,” said Watson. “Book value per share grew 8.2 percent over the past 12 months and the annualised return on average shareholder’s equity was 9 percent at June 30, 2017. These results demonstrate continued value creation for our shareholders through our focus on specialised products and distribution globally.”
The company reported that net income for the second quarter of 2017 came to $30.9 million, a 48.9 percent rise on the $30.9 million it made in the same quarter of 2016. The quarterly results take the company to total net income of $82.7 million for the first half of the year, again a rise of 41.1 percent on the $58.6 million it made in the same period of 2016.
Argo also reported that gross written premiums for the quarter were up 22.6 percent to $687.2 million compared to $560.6 million for the second quarter of 2016. Gross written premiums over the first six months of 2017 were up 19.0 percent to $1.3 billion compared to the $1.1 billion written over the same period of 2016.
Net investment income for the second quarter of 2017 was $43.6 million, compared to $35.7 million for the same period of 2016. First half 2017 net investment income totalled $74.1 million, again up on the $56.9 million Argo Group reported for first six months of 2016.
Argo’s Group’s combined ratio did however tick upwards slightly. For the second quarter of 2017 it came to 96.6 percent, a small rise on the 95.6 percent it reported in the second quarter of 2016. For the first half of 2017 Argo reported a combined ratio of 97.8 percent, a three percent rise from the 94.8 percent it saw in the first half of 2016.
