PartnerRe Ltd. Earnings: Everything You Must Know Now

PartnerRe Ltd. (NYSE:PRE) delivered a profit and missed Wall Street’s expectations, BUT beat the revenue expectation. The revenue beat is a positive sign to shareholders seeking high growth out of the company.

PartnerRe Ltd. Earnings Cheat Sheet

Results: Adjusted Earnings Per Share decreased 59.09% to $0.90 in the quarter versus EPS of $2.20 in the year-earlier quarter.

Revenue: Rose 1.88% to $1.31 billion from the year-earlier quarter.

Actual vs. Wall St. Expectations: PartnerRe Ltd. reported adjusted EPS income of $0.90 per share. By that measure, the company missed the mean analyst estimate of $0.94. It beat the average revenue estimate of $1.23 billion.

Quoting Management: PartnerRe President & Chief Executive Officer Costas Miranthis said, “I am pleased that despite above average catastrophe and other large loss activity, as well as a meaningful expense charge related to the organizational restructuring we announced earlier in the quarter, we had a profitable operating quarter. Our book value was impacted by mark-to-market losses on our fixed income portfolio as a result of the recent increase in interest rates. Despite the negative impact on book value during the quarter, we believe a higher interest rate environment is beneficial to our business over the longer term.”

Key Stats (on next page)…

Revenue increased 0.93% from $1.3 billion in the previous quarter. EPS decreased 73.45% from $3.39 in the previous quarter.

Looking Forward: Analysts have a more positive outlook for the company’s next-quarter performance. Over the past three months, the average estimate for next quarter’s earnings has risen from a profit of $1.82 to a profit $1.90. For the current year, the average estimate has moved down from a profit of $8.56 to a profit of $8.31 over the last ninety days.

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(Company fundamentals provided by Xignite Financials. Email any earnings discrepancies to earnings [at] wallstcheatsheet.com)

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