Everest Re Group Reports Fourth Quarter and Full Year 2020 Results: Full Year Net Income of $514 Million
Everest Re Group, Ltd. (“Everest” or the “Company”) today reported its 2020 fourth quarter and year end results.
Fourth Quarter 2020 Highlights
-
Net income of
$64 million equal to$1.59 per share -
Net operating loss of
$(44) million ,$(1.12) per common share -
Gross written premium growth of
13% -
Attritional combined ratio of
86.3% , a 4 point improvement year over year -
Pre-tax net catastrophe losses of
$70 million , Covid-19 Pandemic (“Pandemic”) losses of$76 million , and a prior year reserve strengthening of$400 million
Full Year 2020 Highlights
-
Net income of
$514 million ,$12.78 per diluted common share -
Net operating income of
$300 million ,$7.46 per diluted common share -
Growth in diluted book value per share of
11.4% inclusive of dividends -
Gross written premium growth of
15% -
Attritional combined ratio of
87.5% , ~ 1 point improvement year over year -
2020 cash flow from operations of
$2.9 billion
The following table summarizes the Company’s net income and related financial metrics and provides details on shareholders’ equity and book value per share.
| Net income and operating income | Q4 |
Full Year |
|
Q4 |
Full Year |
|||||
| All values in USD millions except for per share amounts and percentages | 2020 |
2020 |
|
2019 |
2019 |
|||||
| Everest Re Group | ||||||||||
| Net income | 63.6 |
|
514.2 |
|
217.6 |
|
1,009.5 |
|
||
| Net operating income (loss) | (44.2 |
) |
300.1 |
|
130.8 |
|
872.4 |
|
||
| Net income per diluted common share | 1.59 |
|
12.78 |
|
5.32 |
|
24.70 |
|
||
| Net operating income (loss) per diluted common share | (1.12 |
) |
7.46 |
|
3.20 |
|
21.34 |
|
||
| Net income annualized return on average equity | 2.8 |
% |
5.8 |
% |
10.0 |
% |
12.0 |
% |
||
| Net operating income annualized return on average equity | -2.0 |
% |
3.4 |
% |
6.0 |
% |
10.3 |
% |
||
| Year end equity and book value | ||||||||||
| Shareholders' equity | 9,726.2 |
|
9,132.9 |
|
||||||
| Book value per share | 243.25 |
|
223.85 |
|
||||||
| Growth in bvps adjusted for dividends | 11.4 |
% |
18.7 |
% |
||||||
| Notes | ||||||||||
| 1/ Refer to the reconciliation of net income to net operating income found later in this release | ||||||||||
Everest Re Group President & CEO Juan C. Andrade commented: “We are relentlessly executing our strategies from a position of strength in this robust market as evidenced by 2020 growth in gross written premiums of
The following information summarizes the Company’s underwriting results, on a consolidated basis and also by segment – Reinsurance and Insurance, with selected commentary on results by segment.
| Underwriting information - Everest Re Group | Q4 |
Full Year |
|
Q4 |
Full Year |
|
Year on year change
| |||||||
