Employers Holdings, Inc. Reports First Quarter 2016 Net Income of $0.64, Net Income Excluding the Impact of the LPT of $0.54 and Operating Income per Diluted Share of $0.52
First Quarter Return on Equity of 10.7% and Operating Return on Equity of 7.8%
- First quarter net income, net income excluding the impact of the LPT and operating income of $21.0 million, $17.9 million and $17.0 million, respectively.
- First quarter combined ratio and combined ratio excluding the impact of the LPT of 95.0% and 96.8%, respectively, an improvement of 4.6 and 4.8 percentage points, year over year, respectively.
- First quarter net written premiums of $188.7 million, an increase of $16.8 million year-over-year.
- Book value per share of $30.48 and adjusted book value per share of $27.30 increased 6% and 9%, respectively, year-over-year.
- Board of Directors approved quarterly dividend per share of $0.09.
- In-force payroll exposure increased 2.8% overall, while exposure in California declined 0.6% year-over-year.
- In-force policies increased 0.6% overall, while policy count declined 4.5% in California year-over-year.
- Net rate decreased 3.1% overall.
- Net earned premiums increased 8.6% in the quarter, driven primarily by higher final audit premiums year-over-year.
- Net investment income increased $0.9 million, to $17.8 million for the quarter, year-over-year.
Reno, Nevada-April 27, 2016-Employers Holdings, Inc. (“EHI” or the “Company”) (NYSE:EIG) today reported net income and net income excluding the impact of the LPT of $21.0 million, or $0.64 per diluted share, and $17.9 million, or $0.54 per diluted share, respectively, for the first quarter of 2016. Operating income was $17.0 million, or $0.52 per diluted share, for the quarter ended March 31, 2016. These results were primarily due to a decrease in the current accident year loss estimate of 3.6 points over the previous year’s first quarter. The Company’s commission expense ratio and other underwriting expense ratio were relatively unchanged over the previous year’s first quarter. Per diluted share amounts benefited slightly from the impact of share repurchases.