Greenwich, CT – W. R. Berkley Corporation (NYSE: WRB) today reported net income for the second quarter of 2016 of $109 million, or 85 cents per share.
Second quarter highlights included:
- Net premiums written increased 6.4%.
- The combined ratio was 92.3% before catastrophe losses and 94.9% after catastrophe losses.
- Book value per share grew 3.2% in the quarter and 7.1% for the first six months of 2016.
- Pre-tax return on equity was 13.8%.
The Company commented:
We are pleased with our results for the second quarter, especially in light of significant industry-wide catastrophe activity as well as global uncertainty that contributed to volatility in the financial markets. Although the environment remains competitive, net premiums written continued to grow as we target areas of the market that offer attractive margins. We continue to find opportunities to attract talented individuals with the knowledge and expertise to build new specialty businesses and strengthen our franchise. During the quarter, we announced the creation of a high net worth personal lines business and the formation of Berkley Insurance Asia. We expect to announce other new ventures during the balance of the year.
As we previously stated, we expect to report a pre-tax gain of approximately $130 million from the sale of an investment in our alternative portfolio in the third quarter. Investing for total return remains an important part of our strategy to build long-term shareholder value in a low interest rate environment. These gains cause variability in our quarterly results, but we expect them to enhance our overall returns.
Our Company is well positioned for the current environment and has the strength and flexibility to respond to changes as they occur. Accordingly, we remain optimistic about the second half of 2016.
The complete results release is available here: W. R. Berkley Corporation Second Quarter 2016 Results