Trisura Group Reports First Quarter Results | Insurance Business America
The results show a strong performance in the first quarter
By Mika Pangilinan
Trisura Group released its latest financial results showing a strong performance for the first quarter of the year.
When it released its first-quarter financials, the specialty insurer reported net operating income of $28.6 million, or $0.61 per share, up 38.5% sequentially.
Insurance revenue also rose 58.3%, which Trisura attributed to profitable growth in Canada and core business in the US.
The Canadian business segment was shown to have achieved a combined ratio of 80.7% and an ROE of 28.4%, driven by strong underwriting performance across all lines.
Meanwhile, Trisura’s US fronting business generated $459.3 million in insurance revenue and reported $35.9 million in deferred fee income.
The growth in Canada was due to increased market share, expanding distribution relationships, new fronting agreements and the benefit of stable market pricing conditions in certain business segments, while the increase in the US was due to market conditions and the maturing of existing business programs.
Commenting on these results, President and CEO David Clare said that Trisura’s first quarter was impacted by the implementation of new IFRS standards and the winding-up of a US program, resulting in quarterly net income of $14.0 million, or 0 $.30 per share.
Clare said the company remains “well capitalized,” supported by excess cash and an undrawn $50 million turret, a debt-to-equity ratio of 12.8%, and a conservatively positioned investment portfolio .
Net investment income also rose 150.3% for the quarter, due to higher yields and a larger investment portfolio size.
“Expanding distribution relationships and evolving our platform resulted in an increase in market share and resulted in insurance revenue growth of 58.3%,” said Clare.
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