NYSE$PRA

ProAssurance Corporation · Q4 2021 earnings

Q4 2021 earnings · · Investor relations

Briefing

ProAssurance reported net and operating income for the fourth quarter and year-end 2021.

ProAssurance Corporation reported a net income of $32.1 million and an operating income of $33.4 million for the three months ended December 31, 2021. The higher net income was primarily driven by improved underwriting results in the Specialty Property & Casualty segment and strong investment performance. Consolidated gross premiums written increased due to top line growth in the Specialty P&C segment through the NORCAL acquisition.

  • Gross premiums written of $218.1 million, up 34.8% year-over-year.
  • Net premiums earned of $273.1 million, up 46.0% year-over-year.
  • Net favorable prior accident year reserve development of $18.3 million.
  • Combined ratio excluding transaction-related costs of 96.5%, a 9.3 percentage point improvement year-over-year.

Headline financials

Total Revenue

$273M

Previous: $187M+46.0%
EPS (adj)

$0.62

Previous: $0.06+933.3%
Combined Ratio

97.0%

Previous: 105.8%-8.3%
Operating Ratio

90.1%

Previous: 97.2%-7.3%
Return on Equity

10.5%

Previous: 4.3%+144.2%
Net Loss Ratio

72.2%

Previous: 74.9%-3.6%
Underwriting Expense Ratio

24.8%

Previous: 30.9%-19.7%
Net Income

$32.1M

Previous: $14.3M+124.7%
Operating Income

$33.4M

Previous: $21.6M+54.8%
Gross Profit

$298M

Previous: $208M+43.6%
Cash & Equivalents

$144M

Previous: $216M-33.5%
Total Assets

$6.19B

Previous: $4.65B+33.0%
Stock-Based Comp

$1.07M

Previous: $788K+36.0%

Revenue & EPS history

ProAssurance · Revenue · Quarterly

$273M

Q4 2021+46%vs Q4 2020
Beat estimate in 5 of 16 quarters(31%)
ActualEstimate

Revenue by segment

ProAssurance · $266M total across 3 segments · Q4 2021

  • Specialty P&C
    $208M
  • Workers' Compensation Insurance
    $42.2M
  • Segregated Portfolio Cell Reinsurance
    $16.2M

Forward guidance

The hard work they have put in - including bringing NORCAL on board - is paying off in improved results, and we are enthusiastic about carrying this momentum into 2022.

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 2021

Historical avgQ4 2021

-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

Earnings price reactions
QuarterReport dateReaction (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%

Discussion

Share your read of this quarter. Sign-in carries your eToro identity.

Join the conversation

Sign in with eToro to post your read of this quarter and vote on others'.

Sign in with eToro