PartnerRe Ltd. reports a second quarter loss of $174 million as the combination of catastrophe losses, restructuring charge and a drop in investments took a toll on earnings.
The Pembroke, Bermuda—based reinsurance company PartnerRe second quarter revenue dropped 19 percent to $1.04 billion in the quarter despite net written premiums increasing 15 percent to $1.3 billion.
For the first six months of the year, net income dropped 89 percent to $60 million as revenues decreased 11 percent to $2.34 billion. Net written premiums during the period rose 13 percent to $2.95 billion.
The second quarter combined ratio stood at 97.8, which includes 11.7 points from $112 million in losses due to European and Canadian floods.
Results include $127 million of favorable prior year development adding 13 points to the combined ratio.
PartnerRe incurred an operating expense charge of $43 million related to restructuring of the company’s business support and Global non-life operations.
Net investment income suffered, down 19 percent in Q2 to $125 million and off 18 percent to $248 million for the first six months of this year.
PartnerRe President and CEO Costas Miranthis says despite the quarter’s challenges it still managed an operating profit of more than $51 million.
Greenlight Capital Re reports Q2 net income of $28.5 million after reporting a loss the previous year.
Reversing its previous year loss, Greenlight Re reports Q2 net income of $28.5 million compared to a net loss of $36 million for the same period last year. Revenues in the quarter increased 68 percent to $157 million.
Net income over the first six months of this year is up $56 million to more than $85 million. The combined ratio for the period improved 2.5 points to 98.3. The company did not issue combined ratio for the quarter.
Greenlight CEO Bart Hedges says the company is pleased with its performance from both its underwriting and investment operations for the quarter, while acknowledging the reinsurance environment is in a competitive period.