This Day On The Street
Continue to site right-arrow
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
TheStreet Open House

Aspen Reports Results For The Quarter And Full Year Ended December 31, 2011

Stocks in this article: AHL

Aspen Insurance Holdings Limited (“Aspen” or the “Company”) (NYSE: AHL) today reported net income after tax of $13.5 million, or $0.11 per diluted share, for the fourth quarter of 2011. For the full year 2011, net loss after tax was $105.8 million, or $1.82 per diluted share. Performance in Aspen’s insurance segment was strong, a result of significant growth in certain niche areas and improvement across a number of lines. Reinsurance results were materially impacted by a high frequency and severity of natural catastrophes in 2011, which were partially offset by a good performance in casualty and specialty reinsurance lines.

Operating highlights for the quarter ended December 31, 2011

  • Strong performance in the insurance segment with an improvement in the loss ratio to 58.0% in the fourth quarter of 2011 compared with 77.4% in the fourth quarter of 2010
  • Net earnings per diluted share of $0.11 for the quarter ended December 31, 2011 compared with $1.12 in the fourth quarter of 2010
  • Operating earnings per diluted share of $0.01 for the quarter ended December 31, 2011 compared with operating earnings per diluted share of $1.02 in the fourth quarter of 2010
  • Diluted book value per share of $38.43, down 1.2% from the fourth quarter of 2010 and up 0.4% from September 30, 2011
  • Annualized net income return on average equity of 1.2% for the fourth quarter of 2011 and annualized operating return on average equity of nil
  • Gross written premiums of $458.7 million for the fourth quarter of 2011, compared with $412.8 million for the fourth quarter of 2010
  • Combined ratio of 114.1%, or 89.2% excluding catastrophe losses for the quarter ended December 31, 2011 compared with a combined ratio of 95.3% or 88.3% excluding catastrophe losses for the fourth quarter of 2010
  • Prior year net reserve releases of $22.0 million for the quarter ended December 31, 2011 compared with $12.6 million of net reserve releases in the fourth quarter of 2010
         
Financial highlights, quarter ended December 31, 2011 (unaudited)

$ in millions, except per share amounts and percentages

 
Q4 2011   Q4 2010   Change
Gross written premiums $ 458.7 $ 412.8 11.1 %
Net earned premiums $ 489.4 $ 499.7 (2.1 )%
Net investment income $ 54.2 $ 57.0 (4.9 )%
Operating income after tax $ 6.1 $ 75.8 (92.0 )%
Net income after tax $ 13.5 $ 92.7 (85.4 )%
Diluted net income per share $ 0.11 $ 1.12 (90.2 )%
Diluted operating earnings per share $ 0.01 $ 1.02 (99.0 )%
Annualized net income return on equity 1.2 % 13.2 %
Annualized operating return on equity - % 10.8 %
Combined ratio 114.1 % 95.3 %
Book value per ordinary share $ 39.89 $ 40.96 (2.6 )%
Diluted book value per ordinary share $ 38.43     $ 38.90     (1.2 )%
 
         
Financial highlights, full year ended December 31, 2011 (unaudited)

$ in millions, except per share amounts and percentages

 
  2011       2010     Change
Gross written premiums $ 2,207.8 $ 2,076.8 6.3 %
Net earned premiums $ 1,888.5 $ 1,898.9 (0.5 )%
Net investment income $ 225.6 $ 232.0 (2.8 )%
Operating income/(loss) after tax $ (66.1 ) $ 258.9 (125.5 )%
Net income/(loss) after tax $ (105.8 ) $ 312.7 (133.8 )%
Diluted net income/(loss) per share $ (1.82 ) $ 3.62 (150.3 )%
Diluted operating earnings/(loss) per share $ (1.26 ) $ 2.94 (142.9 )%
Annualized net income/(loss) return on equity (5.3 )% 11.2 %
Annualized operating return/(loss) on equity (3.7 )% 9.1 %
Combined ratio   115.6 %     96.7 %    
 

Chris O’Kane, Chief Executive Officer commented, “A combination of natural catastrophes and global economic uncertainty made 2011 a very difficult year for our industry. Aspen reported an operating loss of $1.26 per share and a book value of $38.43 per share for 2011, down 1.2% from year end 2010.

1 of 9

Select the service that is right for you!

COMPARE ALL SERVICES
Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
DOW 17,118.12 +143.81 0.85%
S&P 500 0.00 -2.75 -0.14%
NASDAQ 4,542.5510 -6.6750 -0.15%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs