Q: Please comments on the Intact Financial earnings.
Are you concerned about the performance in UK&I ?
Stock has been very strong, going into earnings. Do you see more room to run ?
Thank You
Are you concerned about the performance in UK&I ?
Stock has been very strong, going into earnings. Do you see more room to run ?
Thank You
5i Research Answer:
EPS of $4.01 beat estimates of $3.47; revenue of $5.36B missed estimates of $5.48B. Book value $96.16. Combined ratio 91.3%, which was stable even with 2.5 points higher on catastrophe losses. Premiums written were $5.36B. ROE 16.5%. Underwriting business was solid and it remains on track to achieve its 2025 objectives. UK&I fell 4% and certainly is one area of concern. The company faces more competition but has outlined plans to improve this division. The conference call has not yet occurred and we may get more details then. We think the stock should have more room to go.