Bermuda-based insurer Catlin (CGL.L) swung back to profit in the first six months of 2012, helped by a sharp drop in natural catastrophe-related claims relative to last year.
Catlin, operator of the biggest syndicate in the Lloyd’s of London LOL.UL market, made a pretax profit of $231 million in the six months to June 30, compared with a loss of $201 million a year earlier, it said on Monday.
Analysts had expected a profit of $212 million, according to the average of 10 estimates collected by the company.
Catlin said the improvement reflected a lack of catastrophe claims during the first half, in contrast with the same period in 2011, when it absorbed a net $534 million loss as a result of natural disasters including Japan’s Tohoku earthquake.
The company is “in a solid position to take advantage of opportunities as they arise in the second half of the year,” Chief Executive and founder Stephen Catlin said in a statement.
London-listed Catlin is paying a dividend of 9.5 pence per share, an increase of 5 percent.
Catlin shares closed at 432 pence on Friday, valuing the company at about 1.6 billion pounds ($2.50 billion). The stock has risen 8.5 percent since the start of the year, lagging a 16 percent increase in the FTSE non-life insurance index .FTASX8530.
Reuters
