Catlin Group Results: 27% Increase From 2012
Bermuda-based re/insurer Catlin Group Ltd reported a 27 percent increase in profit before tax to $432 million, compared to $339 million in 2012.
John Barton, Chairman of Catlin Group, said: “Catlin has produced strong financial results for 2013 as profit before tax increased by 27 per cent to US$432 million.
“The Group’s underwriting operations performed well, with net underwriting contribution amounting to slightly more than US$1.00 billion, an all-time record. Net tangible assets per share increased during 2013 by 9 per cent to US$7.17, whilst book value per share rose by 7 per cent to US$8.92.
“Whilst it is now clear that market conditions are becoming increasingly competitive for many classes of business underwritten by Catlin, margins are still strong. I believe that Catlin has the strategy, the infrastructure and most importantly the people in place to continue to produce good results for shareholders.”
Stephen Catlin, Chief Executive of Catlin Group Limited, said: ”Catlin’s net underwriting contribution exceeded US$1 billion for the first time in 2013 because of our steadfast focus on underwriting discipline and our investment in building underwriting hubs outside of the London market.
“Our attritional loss ratio – which measures the quality of our underwriting before exceptional losses and reserve movements are considered – remained at a low level of 50.1 per cent.
“At the same time, our non-London underwriting hubs produced net underwriting contribution of US$480 million, an 83 per cent increase. These hubs accounted for 48 per cent of the Group’s net underwriting contribution, compared with 33 per cent in 2012.
“I believe there are still good opportunities for Catlin, even in a softening market. Our diversified portfolio – by region and by product – allows us to see business that many of our competitors do not have the opportunity to write.
“Using our tested technical skills, we can select the business that we believe is most profitable. It also must be remembered that margins for most classes of business are still strong and that rates for some classes of business are still rising.
“Catlin continues to build a business for the future, and we look ahead with confidence.”
