Operating income of $2.07 per share compares to a Sandy-related $0.16 a year ago. Net premiums written of $3B up 4% Y/Y. Excluding the impact of catastrophes, the combined ratio deteriorated to 83.4% from 81.5%.
P&C investment income of $284M falls 4% from a year ago.
3.5M shares repurchased at an average cost of $93.72. Book value per share of $64.38 compares to $60.45 at the end of 2012. The board approves a new $1.5B share repurchase program. The previous $1.3B program is complete.
Q1 2014 results are expected to be adversely affected by the severe winter - 2 declared catastrophes thus far encompassing 19 states. The preliminary estimate is $150M-$200M pre-tax, or $0.39-$0.52 per share.
Full year 2014 operating income is expected at $7.10-$7.40 per share on an increase of 2-4% in net written premiums and catastrophe losses having a negative impact of 500 basis points on the combined ratio. P&C investment income is expected to decline 4-6%.
More on Chubb (CB) Q2 earnings: Operating income per share of $1.77 up 29% Y/Y. Catastrophe losses of $237M vs. $223M a year ago. Combined ratio falls (a good thing) to 88.8% from 93.8%, excluding catastrophes, it fell to 80.9% from 86.3%. Net written premiums of $3.1B flat Y/Y. P&C investment income of $286M off 6%. 3.7M shares repurchased at average of $87.28/share. $758 buyback authorization remains. FY13 EPS guidance is upped to $7.30-$7.50 from $6.40-$6.80 even as catastrophe loss assumption is raised to 4.6% from 4%. Shares +2.4% AH. CC at 5 ET. (PR)