RenRe’s O’Donnell “Pleased With Performance”
RenaissanceRe Holdings Ltd. reported net income available to RenaissanceRe common shareholders of $170.8 million, or $4.42 per diluted common share, in the fourth quarter of 2014, compared to $268.7 million, or $6.05, respectively, in the fourth quarter of 2013.
Operating income available to RenaissanceRe common shareholders was $140.3 million, or $3.62 per diluted common share, for the fourth quarter of 2014, compared to $206.8 million, or $4.64, respectively, in the fourth quarter of 2013. The Company reported an annualized return on average common equity of 20.1% and an annualized operating return on average common equity of 16.5% in the fourth quarter of 2014, compared to 31.5% and 24.3%, respectively, in the fourth quarter of 2013.
Book value per common share increased $4.37, or 5.1%, in the fourth quarter of 2014 to $90.15, compared to a 7.7% increase in the fourth quarter of 2013. Tangible book value per common share plus accumulated dividends increased 5.5% in the fourth quarter of 2014, compared to an 8.1% increase in the fourth quarter of 2013.
For 2014, the Company reported net income available to RenaissanceRe common shareholders of $510.3 million, or $12.60 per diluted common share, compared to $665.7 million, or $14.87 per diluted common share in 2013. Operating income available to RenaissanceRecommon shareholders was $468.9 million, or $11.56 per diluted common share in 2014, compared to $630.6 million, or $14.08 per diluted common share in 2013.
The Company reported a return on average common equity of 14.9% and an operating return on average common equity of 13.7% in 2014, compared to 20.5% and 19.4%, respectively, in 2013. Book value per common share increased $9.86, or 12.3%, in 2014 to $90.15, compared to a 17.8% increase in 2013. Tangible book value per common share plus accumulated dividends increased 13.9% in 2014, compared to a 19.7% increase in 2013.
Kevin J. O’Donnell, CEO, commented: “I am pleased with RenaissanceRe’s performance, both for the fourth quarter and for the full year. We achieved solid growth in tangible book value per share plus accumulated dividends of 5.5% for the quarter and 13.9% for the year, while demonstrating discipline and objectivity about the risk we assumed and the pricing required. Our underwriting team executed extremely well during the most recent renewal period, as pressure on pricing from abundant capacity persisted.”
Mr. O’Donnell continued: “Over the past few years, we have steadily developed the spectrum of products, platforms and scale we offer, in anticipation of the evolving needs of our customers. The acquisition of Platinum Underwriters Holdings, Ltd. will accelerate our efforts, broadening our client and broker base and our capital flexibility. The preparation for the integration of the two entities is on track and we are looking forward to welcoming our new team members.
