It has been a strong start to the year for Montpelier Re, with the company recording a net income of $96.6 million for the first quarter.Taking into account dividends declared, the converted book value per common share has risen to $27.49, an increase of 5.6 percent over the first three months of 2013.“We kicked off 2013 with a very successful first quarter. Our strong underwriting results, solid investment performance, and active capital management all contributed to 5.6 percent growth in fully converted book value per common share. Both our London and Bermuda underwriting platforms produced strong profitability, and we are well positioned to navigate through a more complex operating environment, maintaining our sharp focus on delivering returns to shareholders,” said president and CEO Christopher Harris.The company’s first quarter profit was $13.8 million lower year-on-year. However, it saw net premiums written increase by three percent to $226 million. The loss ratio was 32 percent, which included $18 million of favourable prior year loss reserve movements, and the combined ratio was 62.4 percent compared with 58.9 percent year-on-year.Montpelier Re’s net investment income was $16 million, and the total return on the investment portfolio was 0.7 percent.During the first three months of the year the company repurchased 1,494,022 common shares at an average price of $24.60 per share ($37 million). This month the company has repurchased a further 600,000 shares at an average price of $25.75 ($15 million).As of March 31 shareholders’ equity was $1,709 million and total capital was $2,109 million.Operating income available to the common shareholders was $1.18 per common share ($66 million), representing a return on common equity of 4.4 percent, while net income available to common shareholders was $1.65 per common share ($92 million). The company said in a statement that net impact of realised and unrealised gains from investments and foreign exchange, which is included in net income but is not a component of operating income, was $26 million.