Maiden profits rise 14%
Bermuda-based reinsurer Maiden Holdings Ltd saw full-year profits rise by more than 14 percent to nearly $70 million last year, the company reported last night.
Maiden said fourth-quarter profits were also up by 14.4 percent, year on year, to $19.1 million. Earnings per share of 24 cents exceeded the expectations of analysts polled by Bloomberg by a cent.
The company, which acquired GMAC International Insurance Services last November, said gross premiums written rose significantly to $1.3 billion in 2010, compared to $1.05 billion the year before.
“The Maiden team once again delivered solid results for our shareholders even in the face of the continued challenging underwriting and investment landscape,” said Art Raschbaum, Maiden's president and chief executive officer.
“During the year, we continued to benefit from the stability of our strong, non-catastrophe oriented client value proposition, disciplined underwriting philosophy, and growth tied to our long-term strategic relationships.
“Our November acquisition of the GMAC International Insurance Services platform provides us with a strong entry point to the international market and we are confident in our ability to leverage this unique platform to drive additional growth in 2011 and beyond.
“These factors, in addition to our continued commitment to maintaining a strong, efficient balance sheet and disciplined approach to investing, solidly position Maiden to continue to deliver long-term value for our shareholders.”
Shareholders' equity of $750.2 million rose 10.9 percent from year-end 2009 and book value per share increased 8.1 percent to $10.40 from $9.62 12 months earlier.
Maiden's full-year combined ratio - the number of premium dollars spent on claims and expenses - was 96.9 percent in 2010, compared with 95.9 percent in 2009. The combined ratio for the fourth quarter was 97.3 percent compared to 95.5 percent in the same period a year earlier.