Despite experiencing almost USD1 billion (£625m) in natural catastrophe losses Catlin managed to avoid the red in 2011, according to the company’s financial results released today.
The group reported less than a fifth of it’s before tax profit from the year before at USD71 million (£45m), down from USD406 (£256m) the year before.
This drop is understandable considering the USB961 million (£607m) natural catastrophe losses the company experienced.
The company also saw notable increases in premiums written, both in size and quantity.
“2011 was a tough year for the insurance industry and for Catlin due to the extraordinary series of natural catastrophes,” said Sir Graham Hearne, Chairman of Catlin Group Limited.
“However, Catlin performed well. Whilst the Group sustained nearly US$1 billion in gross losses from natural catastrophe claims, Catlin’s profit before tax amounted to US$71 million.
“Catlin has not only grown in size, but it has significantly increased value for its shareholders since its initial public offering, despite the tough economic conditions during much of that period.
“Since 31 March 2004, Catlin has produced total shareholder return amounting to 93 per cent, compared with average total shareholder return of 71 per cent for FTSE 350 companies during that same period.”
Stephen Catlin, CEO of the group, added, “I believe that Catlin today is in a strong position. We have a structure that is capable of substantial, profitable growth at a time when excellent opportunities are arising.”
The company also increased its dividend to 28 pence per share.
