Bermuda-based re/insurer Argo Group International Holdings Ltd beat analysts’ estimates, as profits for the third quarter were up over last year to $13.4 million.The profit broke down to 52 cents a share, compared to net loss of $10.8 million, or 39 cents per share, in the third quarter of 2011.Argo said net operating income was 59 cents per share, beating the consensus estimate of 57 cents expected by analysts tracked by Yahoo Finance.The company wrote significantly more business this year, with gross written premiums recorded as $485.5 million, an increase of $37.0 million, or 8.2 percent, over the same period last year.Catastrophe losses were also sharply lower this year. Estimated pre-tax catastrophe losses, net of reinsurance and estimated reinstatement premiums, were $13.9 million compared to $26.7 million in the second quarter of 2011.“The company posted another quarter of improved results with profitable growth in three of our four business segments,” said Argo Group CEO Mark Watson. ”The environment for both underwriting and investing remains challenging but our focus on expanding our business while improving our operating margins continues to yield results.”Underwriting results varied among Argo’s different lines. The firm’s combined ratio — reflecting the proportion of premium dollars spent on claims and expenses — for the July through September period was 102.3 percent, an improvement from the 113.3 percent recorded last year.The combined ratio figures for the different businesses were Excess and Surplus Lines at 95 percent, Commercial Specialty at 113.1 percent, International Specialty at 85.4 percent and Syndicate 1200 at Lloyd’s at 90.7 percent.Included in the results for the quarter was favourable prior-year loss development of $10.4 million, versus $2.0 million in the same period in 2011.Book value per share was $61.41 at September 30, 2012, an increase of 10.4 percent from $55.60 at the end of last year.During the second quarter, Argo repurchased $10.2 million of its outstanding common stock at an average share price of $30.34. During the first nine months of 2012, the company repurchased $37.6 million or 1,276,904 shares of its outstanding common stock, which represents 4.9 percent of shares outstanding at the end of last year.