(RTTNews) - Friday, insurance holding company Donegal Group, Inc. (DGICA:
News ), reported a rise in profit for the third quarter, as revenues grew 2.3% on higher net premiums written, as well as net realized investment gains.
The Marietta, Pennsylvania-based company's net income for the third quarter rose to $6.74 million or $0.27 per share of class A common stock and $0.24 per share of class B common stock, from $6.30 million or $0.25 per class A common stock, and $0.23 per class B share in the prior-year quarter.
On average, four analysts polled by Thomson Reuters expected the company to earn $0.34 per share for the quarter. Analysts' estimates typically exclude one-time charges and gains.
Quarterly revenues climbed 2.3% to $94.88 million from $88.00 million in the year-ago quarter. Analysts expected the company to report revenue of $94.58 million for the quarter.
Total net written premiums for the quarter increased 1.6% to $93.62 million from $92.18 million in the comparable quarter last year. Net premiums earned for the quarter were $88.00 million, down from $88.17 million in the prior year quarter.
Net investment income for the quarter was $5.11 million, compared to $5.80 million in the year-earlier period.
Net realized investment gains for the quarter were $0.19 million, compared to net realized investment losses of $2.81 million in the previous-year period.
Combined ratio for the quarter expanded to 98.9% from 95.5% last year. The impact of $2.4 million of weather-related losses in the Midwest operating region accounted for 2.7 points of the combined ratio. Expense ratio contracted to 32% from 33.0% in the year-earlier period, reflecting lower expenses incurred for underwriting-based incentive costs and the benefits of expense savings initiatives commenced in the fourth quarter of 2008.
Combined loss and expense ratio for the quarter was 85.4% , down from 98.1% in the year-earlier period.
For the nine-month period, net income declined to $11.30 million or $0.45 per share of class A common stock and $0.41 per share of class B common stock, from $19.15 million or $0.76 per class A common stock and $0.69 per class B share in the prior-year period.
Total revenues for nine months increased to $285.16 million from $276.47 million in the same period last year.
Donegal Group also declared a quarterly cash dividend of $0.1125 per share of Class A common stock and $0.10 per share of Class B common stock payable on October 15, 2009, to stockholders of record as of the close of business on November 2, 2009.
| | To receive FREE breaking news email alerts for Donegal Group Inc. and others in your portfolio |
|
1
2
Next Page