NYSE$PRA
ProAssurance Corporation · Q4 2020 earnings
Q4 2020 earnings · · Investor relations
Briefing
ProAssurance reported a net income of $14.3 million and a Non-GAAP operating income of $3.3 million for Q4 2020.
ProAssurance Corporation reported a net income of $14.3 million, or $0.27 per share, and Non-GAAP operating income of approximately $3.3 million, or $0.06 per share, for the quarter ended December 31, 2020. The results reflect improvements in underwriting results and strong performance from investments in LPs/LLCs.
- Reported net income of approximately $14.3 million, or $0.27 per share, and Non-GAAP operating income of approximately $3.3 million, or $0.06 per share.
- Non-GAAP operating income included strong performance from investments in LPs/LLCs and improvement in underwriting results from the re-underwriting and rate strengthening efforts in the Specialty Property & Casualty segment, and the restructuring efforts in the Specialty P&C and Workers’ Compensation Insurance segments.
- Quarter-over-quarter improvement in consolidated results is also attributable to a lower net loss ratio in the Segregated Portfolio Cell Reinsurance segment, partially offset by a higher combined ratio in the Lloyd’s Syndicates segment driven by adverse prior year reserve development related to certain natural catastrophe losses.
- Consolidated gross premiums written in the current quarter decreased due to strategy to strengthen rate levels in the Specialty P&C segment, decreased participation in Syndicate 1729, and competitive market conditions in the Workers’ Compensation Insurance and SPCR segments.
Headline financials
Revenue & EPS history
ProAssurance · Revenue · Quarterly
$187M
Revenue by segment
ProAssurance · $272M total across 4 segments · Q4 2024
- Specialty P&C$187M—68.7%
- Workers' Compensation Insurance$43.3M—15.9%
- Corporate$29.5M—10.9%
- Segregated Portfolio Cell Reinsurance$12.4M—4.5%
Forward guidance
Management expects to close the NORCAL transaction in the second quarter of 2021, assuming all conditions are met.
Tailwinds
- Anticipating to close the transaction in the second quarter of 2021.
- California Department of Insurance completed its review of NORCAL’s conversion documents.
- NORCAL will begin solicitation of policyholders to vote on the plan to convert from a mutual company to a stock company and to elect the form of payment they wish to receive if the conversion occurs.
- Policyholders who choose to take stock in the converted NORCAL company will then decide whether to sell their shares to ProAssurance pursuant to tender offer to acquire the company.
- Management is pleased with the work accomplished in the last twelve months.
Headwinds
- Closing the transaction remains subject to an affirmative vote of the policyholders.
- Closing the transaction remains subject to final approval from the CDI after a public hearing scheduled for April 1.
- Closing the transaction remains subject to certain other regulatory approvals in states where NORCAL does business.
- Closing the transaction remains subject to satisfaction of conditions described in the acquisition agreement between the companies.
- Operating environment remains challenging due to the impact of the pandemic and the current loss environment in healthcare professional liability.
Historical earnings impact
How earnings announcements have historically affected this stock's price.
Avg. return before/after earnings
Based on 20 quarterly earnings reports · overlaid with Q4 2020
-0.4%
Avg return
Earnings day
-1.1%
Avg return
5 days after
-0.7%
Avg return
30 days after
56%
38 / 68 earnings
Positive
+18.1%
Q2 2024
Best reaction
-22.1%
Q3 2023
Worst reaction
| Quarter | Report date | Reaction (Day 0) | +5 days | +30 days |
|---|---|---|---|---|
| Q1 2026 | +0.0% | +0.2% | -0.5% | |
| Q4 2025 | +0.4% | +0.6% | +1.3% | |
| Q3 2025 | +0.2% | +0.3% | -0.4% | |
| Q1 2025 | -0.2% | +0.2% | +0.8% | |
| Q4 2024 | +14.3% | +10.8% | +65.5% | |
| Q3 2024 | +3.0% | +3.7% | +2.5% | |
| Q2 2024 | +18.1% | +15.5% | +14.6% | |
| Q1 2024 | +9.6% | +6.9% | +0.7% | |
| Q4 2023 | -4.7% | +0.2% | -0.8% | |
| Q3 2023 | -22.1% | -27.6% | -27.7% | |
| Q2 2023 | +8.2% | +8.2% | +3.7% | |
| Q1 2023 | -21.5% | -21.3% | -22.5% | |
| Q4 2022 | +4.7% | +3.7% | -5.9% | |
| Q3 2022 | -12.7% | -11.2% | -14.4% | |
| Q2 2022 | +6.1% | +6.7% | -4.3% | |
| Q1 2022 | -12.7% | -15.0% | -8.0% | |
| Q4 2021 | +1.1% | -0.9% | +3.4% | |
| Q3 2021 | -0.9% | -2.0% | -6.3% | |
| Q2 2021 | +5.4% | +17.5% | +23.7% | |
| Q1 2021 | +1.1% | -3.1% | -6.8% | |
| Q4 2020 | +5.0% | +5.6% | +13.7% | |
| Q3 2020 | -10.2% | +2.0% | +8.6% | |
| Q2 2020 | -2.1% | -5.1% | -12.2% | |
| Q1 2020 | -18.0% | -22.1% | -17.0% | |
| Q4 2019 | -0.2% | -5.4% | -22.7% | |
| Q3 2019 | +1.4% | -1.6% | -5.3% | |
| Q2 2019 | -0.6% | +1.6% | +3.7% | |
| Q1 2019 | -0.9% | +4.2% | +6.7% | |
| Q4 2018 | -3.7% | -9.3% | -22.3% | |
| Q3 2018 | +4.2% | -0.4% | -4.9% | |
| Q2 2018 | +5.5% | +6.8% | +16.1% | |
| Q1 2018 | -13.5% | -12.7% | -17.2% | |
| Q4 2017 | -6.9% | -5.4% | -7.5% | |
| Q3 2017 | +6.1% | +5.5% | +7.7% | |
| Q2 2017 | -5.0% | -6.0% | -10.7% | |
| Q1 2017 | +1.1% | -2.4% | -1.0% | |
| Q4 2016 | +8.9% | +4.9% | +4.0% | |
| Q3 2016 | -2.5% | -1.6% | +10.6% | |
| Q2 2016 | +2.4% | +5.4% | +5.7% | |
| Q1 2016 | +1.1% | — | — | |
| Q4 2015 | -3.3% | — | — | |
| Q3 2015 | -0.9% | — | — | |
| Q2 2015 | +0.1% | — | — | |
| Q1 2015 | -3.5% | — | — | |
| Q4 2014 | +0.1% | — | — | |
| Q3 2014 | -4.9% | — | — | |
| Q2 2014 | -0.4% | — | — | |
| Q1 2014 | -0.6% | — | — | |
| Q4 2013 | -2.2% | — | — | |
| Q3 2013 | +2.7% | — | — | |
| Q2 2013 | -6.3% | — | — | |
| Q1 2013 | +0.1% | — | — | |
| Q4 2012 | +0.9% | — | — | |
| Q3 2012 | -1.9% | — | — | |
| Q2 2012 | +0.9% | — | — | |
| Q1 2012 | +1.5% | — | — | |
| Q4 2011 | +5.7% | — | — | |
| Q4 2010 | +5.7% | — | — | |
| Q3 2011 | +2.0% | — | — | |
| Q2 2011 | +1.8% | — | — | |
| Q1 2010 | +0.4% | — | — | |
| Q1 2011 | +0.6% | — | — | |
| Q4 2008 | +8.2% | — | — | |
| Q3 2009 | +4.2% | — | — | |
| Q3 2010 | +4.2% | — | — | |
| Q2 2010 | -3.5% | — | — | |
| Q2 2009 | -3.5% | — | — | |
| Q4 2009 | -3.5% | — | — |
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