Beazley plc (LON:BEZ) results for period ended 30 June 2019
· Profit before tax of $166.4m (30 June 2018: $57.5m)
· Return on equity (annualised) of 19% (30 June 2018: 6%)
· Gross premiums written increased by 12% to $1,483.6m (30 June 2018: $1,323.8m)
· Combined ratio of 100% (30 June 2018: 95%)
· Rate increase on renewal portfolio of 5% (30 June 2018: increase of 3%)
· Prior year reserve releases of $3.4m (30 June 2018: $48.1m)
· Net investment income of $170.3m (30 June 2018: $8.0m)
· First interim dividend of 4.1p (30 June 2018: 3.9p)
| Period ended30 June 2019 | Period ended30 June 2018 | % movement | |
| Gross premiums written ($m) | 1,483.6 | 1,323.8 | 12% |
| Net premiums written ($m) | 1,225.5 | 1,105.3 | 11% |
| Profit before tax ($m) | 166.4 | 57.5 | 189% |
| Earnings per share (pence) | 20.4 | 6.6 | |
| Net assets per share (pence) | 232.3 | 210.4 | |
| Net tangible assets per share (pence) | 214.2 | 191.6 | |
| Earnings per share (cents) | 26.4 | 9.1 | |
| Net assets per share (cents) | 295.4 | 281.3 | |
| Net tangible assets per share (cents) | 272.4 | 256.2 | |
| Dividend per share (pence) | 4.1 | 3.9 |
Andrew Horton, Chief Executive Officer, said:
“Beazley achieved strong premium growth of 12% in the first half of the year. Claims concentrated largely in our marine and reinsurance divisions drove our combined ratio to 100%, but premium rates have adjusted accordingly and margins in many lines of business now look healthier than they have in some years. We expect to achieve double digit growth over the full year, while continuing to reserve prudently.”
“Our investment return was 3.3% for the first half of 2019, with nearly all asset classes performing strongly. Investment returns are expected to be lower in the second half of the year.”
