This Day On The Street
Continue to site
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

Assured Guaranty Ltd. Reports Results For Second Quarter 2013

Assured Guaranty Ltd. (NYSE:AGO) (“AGL” and, together with its subsidiaries, “Assured Guaranty” or the “Company”) announced today its financial results for the three-month period ended June 30, 2013 (“second quarter 2013”).

The Company reported operating income for second quarter 2013 of $98 million, or $0.52 per share, bringing operating income for the six-month period ended June 30, 2013 ("six months 2013") to $358 million, or $1.87 per share. This compares to the three-month period ended June 30, 2012 ("second quarter 2012") operating income of $114 million or $0.61 per share, and for the six-month period ended June 30, 2012 ("six months 2012") operating income of $185 million or $0.99 per share. This represents a decrease in operating income of 14% as compared to second quarter 2012, and an increase of 94% as compared to six months 2012. Six months 2013 operating income benefited from settlement agreements with providers of representations and warranties, premium accelerations and terminations, and lower loss expense than in the prior year. In second quarter 2013, the decline in operating income was primarily due to lower net earned premiums. Common share repurchases increased operating income per share by $0.02 for second quarter 2013 and by $0.04 for six months 2013.

Second quarter 2013 net income was $219 million, or $1.16 per share, compared with second quarter 2012 net income of $377 million, or $2.01 per share. The main drivers of the decrease in second quarter 2013 net income are lower non-economic net unrealized fair value gains and lower net earned premiums, which were partially offset by lower loss expense. Six months 2013 net income was $75 million, or $0.39 per share, compared with six months 2012 net loss of $106 million, or $0.58 per share. The increase in net income for six months 2013 is primarily due to lower loss expense.

“We continued to produce significant operating earnings in a challenging environment, once again demonstrating the effectiveness of our alternative strategies, as well as the strength of Assured Guaranty's well-established business model,” said Dominic Frederico, President and CEO. “We are optimistic about our prospects in a higher interest rate environment and as the market gets to know our new, 100% U.S. municipal insurance platform, Municipal Assurance Corp. We also look forward to growth in our international business, where we closed two important UK infrastructure transactions in July.”

1 of 12

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

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
Stocks Under $10

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

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Submit an article to us!
SYM TRADE IT LAST %CHG

Markets

DOW 18,092.75 +68.69 0.38%
S&P 500 2,117.30 +9.01 0.43%
NASDAQ 5,027.2810 +21.89 0.44%

Partners Compare Online Brokers

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs