Max Re Sees Net Drop 65 Percent
NU Online News Service, Nov. 5, 2:48 p.m. EST?Hamilton, Bermuda-based reinsurer Max Re Capital, Ltd. reported income loss of 65 percent for the third quarter that the insurer said was due to poor performance in the equity market.
"Our disappointing investment returns overshadowed a vibrant property and casualty underwriting environment," said Robert J. Cooney, chairman, president and chief executive officer, in a statement.
For the third quarter, net income dropped 65 percent, or $5.6 million, going from a loss in 2001 of $8.7 million to a loss of $14 million. Net earnings per share for the period declined 11 cents, from a loss of 26 cents a share in 2001 to a loss of 37 cents per share this quarter.
Total revenues increased 74 percent, or $48 million, going from $65.3 million to $113.5 million.
Gross premium written increased 55 percent for the period, from $42.4 million in 2001 to $65.7 million.
For the nine months ending Sept. 30, net income declined 120 percent, going from a loss of $7.6 million in 2001 to $16.7 million. Earnings per share declined an additional 17 cents, going from a loss of 26 cents a share in 2001 to a loss of 43 cents a share.
Revenues are also down for the nine months by 2 percent, or $5.8 million, going from $308 million in 2001 to $302 million for this year.
Gross premium written continues to see growth in the nine months, increasing 13 percent, or $60 million, going from $471 million in 2001 to $531 million.
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