Validus Reports 2016 Net Income Of $359.4M
Bermuda-based Validus Holdings reported net income available to Validus common shareholders of $7.8 million, or $0.10 per diluted common share, for the three months ended December 31, 2016, compared to $69.0 million, or $0.81 per diluted common share, for the three months ended December 31, 2015.
Net income available to Validus common shareholders was $359.4 million, or $4.36 per diluted common share, for the year ended December 31, 2016, compared to $374.9 million, or $4.34 per diluted common share, for the year ended December 31, 2015.
Net operating income available to Validus common shareholders was $64.3 million, or $0.80 per diluted common share, for the three months ended December 31, 2016, compared to $105.4 million, or $1.24 per diluted common share, for the three months ended December 31, 2015.
Net operating income available to Validus common shareholders was $319.2 million, or $3.88 per diluted common share, for the year ended December 31, 2016, compared to $409.7 million, or $4.74 per diluted common share, for the year ended December 31, 2015.
The annualized return on average equity was 0.8% for the three months ended December 31, 2016, compared to 7.6% for the three months ended December 31, 2015. The return on average equity was 9.7% for the year ended December 31, 2016, compared to 10.3% for the year ended December 31, 2015.
The annualized net operating return on average equity was 6.9% for the three months ended December 31, 2016, compared to 11.6% for the three months ended December 31, 2015. The net operating return on average equity was 8.6% for the year ended December 31, 2016, compared to 11.3% for the year ended December 31, 2015.
Book value per diluted common share at December 31, 2016 was $44.97, compared to $45.16 at September 30, 2016, reflecting quarterly growth of 0.4%, inclusive of common dividends.
Commenting on the results for the three months ended December 31, 2016, Validus’ Chairman and CEO Ed Noonan stated, “Validus had another strong year in 2016. Despite the global insurance market growing more competitive, we were able to deliver an 84.2% combined ratio and grow our book value per diluted share [including dividends] by 9.5%. We continue to position the Company well to weather the soft market while building the foundation to capitalize on better market conditions down the road.”
