NYSE$WRB

W R Berkley Corporation · Q3 2024 earnings

Q3 2024 earnings · · Investor relations

Briefing

W. R. Berkley reported record third quarter net income, driven by strong underwriting margins and increasing investment income.

W. R. Berkley Corporation reported record third quarter net income of $366 million, with a return on equity of 19.6% and an operating return on equity of 20.0%. The company's performance was driven by strong underwriting margins and increasing investment income. The combined ratio was 90.9%, and net investment income increased by 19.5% compared to the prior year.

  • Return on equity and operating return on equity of 19.6% and 20.0%, respectively.
  • Net investment income grew 19.5% to $323.8 million compared to the prior year.
  • The current accident year combined ratio before catastrophe losses of 3.3 loss ratio points was 87.6%, and the reported combined ratio was 90.9%.
  • Average rate increases excluding workers' compensation were approximately 8.4%.

Headline financials

Total Revenue

$3.4B

Previous: $3.03B+12.2%
EPS

$0.91

Previous: $0.90+1.1%
Gross premiums written

$3.63B

No prior period
Net premiums written

$3.06B

No prior period
GAAP Combined ratio

90.9%

Previous: 90.2%+0.8%
Return on equity

19.6%

Previous: 19.8%-1.0%
Operating return on equity

21.1%

Previous: 21.7%-2.8%
Net investment income

$324M

No prior period
Book value per share

$22.09

No prior period
Capital Expenditures

-$13.2M

No prior period
Free Cash Flow

$366M

Previous: $334M+9.6%
Net Income

$366M

Previous: $334M+9.6%
Operating Income

-$1.35B

Previous: -$1.22B-11.1%
Gross Profit

$474M

Previous: $420M+13.0%
Stock-Based Comp

$13.5M

Previous: $12.7M+5.9%

Revenue & EPS history

W. R. Berkley · Revenue · Quarterly

$3.4B

Q3 2024+12.2%vs Q3 2023
Beat estimate in 12 of 15 quarters(80%)
ActualEstimate

Revenue by segment

W. R. Berkley · $2.25B total across 2 segments · Q1 2022

  • Insurance
    $1.96B
  • Reinsurance & Monoline Excess
    $286M

Forward guidance

We expect to continue to deliver outstanding risk-adjusted returns to our shareholders for the remainder of 2024 and beyond.

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 Q3 2024

Historical avgQ3 2024

+0.1%

Avg return

Earnings day

+0.6%

Avg return

5 days after

+2.8%

Avg return

30 days after

57%

39 / 69 earnings

Positive

+8.4%

Q4 2023

Best reaction

-8.5%

Q1 2023

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-0.5%+1.2%+3.3%
Q4 2025+0.4%+2.5%+7.0%
Q3 2025+2.2%+2.1%+5.2%
Q2 2025-1.1%+1.5%+3.2%
Q1 2025+5.2%+4.7%+7.2%
Q4 2024+3.2%+2.3%+6.7%
Q3 2024-4.5%-5.1%-0.5%
Q2 2024+1.3%+4.9%+11.8%
Q1 2024-6.7%-8.1%-5.5%
Q4 2023+8.4%+5.7%+11.1%
Q3 2023+5.5%+3.2%+12.3%
Q2 2023+1.6%+0.2%+2.2%
Q1 2023-8.5%-8.3%-8.2%
Q4 2022-3.1%-1.8%-7.1%
Q3 2022-3.2%+2.7%+4.2%
Q2 2022-1.6%-0.2%+6.2%
Q1 2022-1.0%-2.2%+1.5%
Q4 2021+2.8%+4.2%+10.7%
Q3 2021+4.8%+4.3%+2.3%
Q2 2021-2.2%-2.9%-0.2%
Q1 2021-0.3%+0.7%-2.8%
Q4 2020-6.7%-5.9%+5.6%
Q3 2020+6.4%+7.4%+9.2%
Q2 2020+0.8%+0.9%-5.1%
Q1 2020-7.2%-9.1%+0.9%
Q4 2019+1.6%+2.7%-2.2%
Q3 2019+1.3%-2.1%-4.4%
Q2 2019+3.1%+5.7%+9.3%
Q1 2019+4.6%+5.1%+6.5%
Q4 2018+2.6%+3.5%+11.4%
Q3 2018-0.5%+0.8%+6.2%
Q2 2018-0.5%+1.0%+4.0%
Q1 2018+1.9%+1.5%+2.9%
Q4 2017+1.8%+2.3%-5.3%
Q3 2017+0.4%-0.7%-5.2%
Q2 2017-3.0%-3.2%-6.0%
Q1 2017+0.3%-0.0%-0.1%
Q4 2016-0.3%+0.8%+5.5%
Q3 2016+2.3%+1.4%+9.9%
Q2 2016-0.4%-1.3%-1.0%
Q1 2016+1.9%
Q4 2015+0.5%
Q3 2015+2.3%
Q2 2015-2.8%
Q1 2015+0.3%
Q4 2014-2.4%
Q3 2014+3.4%
Q2 2014+0.5%
Q1 2014+2.8%
Q4 2013+0.7%
Q3 2013-1.7%
Q2 2013-3.5%
Q1 2013-0.7%
Q4 2012-1.0%
Q3 2012+1.9%
Q2 2012-2.1%
Q1 2012+0.7%
Q4 2011-0.7%
Q3 2011+2.0%
Q2 2011-7.5%
Q1 2010+1.2%
Q1 2011+3.1%
Q4 2010-0.9%
Q3 2010-3.2%
Q3 2009-3.2%
Q4 2009+0.6%
Q2 2010+0.6%
Q4 2008+0.6%
Q2 2009+0.6%

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