Sagicor at Lloyd’s mars results
Sagicor Financial Corporation’s London operation, Sagicor at Lloyd’s, continues to be a drag on the financial performance of the Barbados-headquartered group.
As was the case for the previous two quarters, the company’s financial results for the nine-month period ended September 30, 2011, were overshadowed by the impact of the natural disasters that occurred earlier this year in Japan, Australia and New Zealand.
The third quarter also included claims of US$6 million from the more recent Hurricane Irene.
Group net income for the period, excluding the Sagicor at Lloyd’s segment, stood at US$48.5 million compared to US$34.8 million for the first nine months of 2010. However, Sagicor at Lloyd’s posted a net loss of US$28.2 million, up from US$1.4 million in 2010, which resulted in group net income of US$20.3 million, down from the US$33.4 million recorded in 2010.
Overall, group revenue for the period surpassed the billion-dollar threshold to reach US$1.02 billion, an increase of 13 per cent over that for 2010.
Total benefits increased to US$644.9 million from US$560.9 million in 2010.
In a statement accompanying the recently published results, chairman Stephen McNamara said the rise in benefits was a consequence of the increased catastrophe insurance claims and the growth in premium revenue.
He said expenses also reflected the continued growth in business and increased to US$351 million from US$301.6 million in 2010.
Commissions and other selling expenses accounted for US$35.6 million of the expense increase.
At September 30, 2011, total assets of Sagicor Financial were US$5.33 billion and represented an increase of US$459.4 million. Financial investments totalled US$4.07 billion and comprised 76 per cent of total assets.
Total liabilities increased by US$410.8 million over the nine-month period to reach US$4.53 billion.