Home | Business News | Browse by Publication | B | Business Wire

Aspen Insurance Holdings Limited Reports Fourth Quarter Net Profit of $30.3 Million.

Article Excerpt
HAMILTON, Bermuda -- Aspen Insurance Holdings Limited (NYSE:AHL) (BSX:AHL BH):

--GAAP underwriting profits for all segments, other than the property reinsurance segment, were solid in the fourth quarter and in 2005

--Net investment income grew 78% to $121 million in 2005

--$790 million of new capital provides underwriting flexibility and security in 2006

Aspen Insurance Holdings Limited (NYSE:AHL) (BSX:AHL BH) today reported a net profit of $30.3 million, or $0.31 per diluted share, for the three months ended December 31, 2005 and a net loss of $(177.8) million, or $(2.40) per diluted share for the twelve months ended December 31, 2005.

Gross written premiums were $245.0 million for the fourth quarter 2005 and $2,092.5 million for the twelve months ended December 31, 2005.

Net investment income was $39.3 million for the fourth quarter 2005 and $121.3 million for the twelve months ended December 31, 2005.

Chris O'Kane, chief executive officer, said, "Our results for 2005 are clearly very disappointing and do not meet our expectations. The insurance industry, including Aspen, has a great deal to learn from the hurricanes of 2004 and 2005 and I am confident that Aspen is in the vanguard of putting these new insights to work. We have benefited in the past from our diversified underwriting strategy and 2006 will see greater diversification of our portfolio as we redeploy our capital in favor of the best underwriting opportunities."

Shareholders' equity increased from $1,481.5 million at December 31, 2004 to $2,039.8 million at December 31, 2005.

During the quarter the company raised $597 million through issuance of common equity and a further $194 million through the issuance of Perpetual Preferred Income Equity Replacement Securities. Of the proceeds raised, $560 million was downstreamed to Aspen Insurance Limited and $15 million to Aspen Specialty Insurance Company prior to the year end and $150 million is being downstreamed to Aspen Insurance UK Limited in 2006.

Earnings conference call

Aspen will hold a conference call tomorrow, February 17, 2006 at 8:30 a.m. (ET) to discuss its 2005 fourth quarter and year-end financial results. Investors may participate in the live conference call by dialing 800-473-6123 (toll-free domestic U.S.) or 973-582-2706 (international); conference ID: 6903649. Please call to register at least 10 minutes before the conference call begins. A replay of the call will be available for 10 days via telephone starting approximately two hours following the live call on February 17, 2006, and can be accessed at 877-519-4471 (toll-free domestic U.S.) or 973-341-3080 (international); digital pin: 6903649. The live...

View this article FREE - Now for a Limited Time, try Goliath Business News
Free for 3 Days!