Everest Group posts profit on strong underwriting, reinsurance growth
(Reuters) - Everest Group reported a third-quarter profit on Wednesday, helped by strong growth in its reinsurance segment and overall gross written premiums.
Everest Group said gross written premium rose 23.4% to $4.4 billion in the quarter, while reinsurance posted record growth of 32.7% on a constant dollar basis.
"We continue to expand our global reinsurance portfolio at significantly improved risk adjusted returns," said CEO Juan Andrade in a statement.
The demand environment for the insurance sector remains strong against a weakening economy, with analysts expecting the companies, usually considered recession-proof, to stay resilient.
Policies are often guaranteed by employers as benefits are mandated as per Federal laws, ensuring continued sales even during times of corporate expense cutbacks.
Operating income came in at $613 million, or $14.14 per share, for the three months ended Sept. 30, compared with a net operating loss of $205 million, or $5.28 per share, a year earlier.
(Reporting by Manya Saini in Bengaluru; Editing by Anil D'Silva)