Bermuda-based insurer XL Capital Ltd. said on Wednesday its second-quarter profit fell 63 percent as the company took several charges to boost reserves.

Net income fell to $135.9 million, or 97 cents a share, from $363.6 million, or $2.62 a share, a year earlier, the company said in a statement.

Excluding profits from investments, XL Capital said it made $101.3 million, or 72 cents a share, last quarter, down from $319.9 million, or $2.31 a share, during the comparable quarter last year.

Earlier this month, the company warned it would take an after-tax charge of roughly $186.3 million in the quarter to boost net reserves for its North American reinsurance operations, with 34 percent of the increase related to workers' compensation.

But in a statement on Wednesday, XL Capital said its second-quarter results included an additional after-tax charge of $63.3 million related to what it characterized as "an increase in future policy benefit reserves and a write off of deferred acquisition costs with respect to certain novated blocks of U.S.- based term-life mortality reinsurance business."

In the statement, the company's chief executive, Brian M. O'Hara, called the two charges "extremely disappointing" but said the company's underlying operations were "strong."

Sales during the quarter rose 30 percent to $4.1 billion.

So far this year, shares of XL Capital have fallen about 8 percent, while the S&P Insurance Index, made up of its peers, has risen about 3 percent.