Montpelier Re Holdings logged operating income of $40 million for the last quarter, the firm revealed yesterday.

The Hamilton-based reinsurance firm took in 86 cents per common share — a shade below analysts’ expectations of 89 cents a share.

The firm’s Bermuda office also showed a slide in business — which was taken up by increases elsewhere in the firm.

Montpelier Re CEO and president Christopher Harris said: “Our underwriting teams executed well in a competitive market environment during the third quarter. driving solid profitability with a 74 percent combined ratio.”

And he added: “We are well positioned to navigate a challenging market by building on our strengths as a long-term partner for our investors and clients.”

Fully converted book value per common share was $32.27 — an increase of 2.3 percent on the previous quarter and an increase of 11.2 percent compared to the end of December last year, after taking account of common share dividends declared during the periods.

The firm also booked net income of $35 million (75 cents per common share).

Net income for the quarter ended in September included $16 million of net foreign exchange gains and $21 million of realised and unrealised investment losses.

The firm’s statement added that net premiums written in the third quarter were up 13 percent year-over-year, when adjusting for reinstatements, with increased writings within the company at Montpelier at Lloyd’s and collateralised reinsurance segments offsetting a decrease in writings at Montpelier Bermuda.

Montpelier added that net premiums earned in the third quarter were up seven percent on the same basis.

The loss ratio for the quarter was 38 percent, which includes $20 million of net losses from June 2014 catastrophe events.

But the firm said that was offset by $37 million of favourable prior year loss reserve movements.

The combined ratio was 74 percent for the quarter.

Montpelier and its operating subsidiaries forms a global provider of property and casualty reinsurance and insurance products.