Symetra Financial Earnings: Here’s Why the Stock is Up Now

Symetra Financial Corporation (NYSE:SYA) delivered a profit and beat Wall Street’s expectations, AND beat the revenue expectation. The revenue beat is a positive sign to shareholders seeking high growth out of the company. Shares are up 1.7%.

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Symetra Financial Corporation Earnings Cheat Sheet

Results: Adjusted Earnings Per Share decreased 13.95% to $0.37 in the quarter versus EPS of $0.43 in the year-earlier quarter.

Revenue: Rose 2.6% to $557.1 million from the year-earlier quarter.

Actual vs. Wall St. Expectations: Symetra Financial Corporation reported adjusted EPS income of $0.37 per share. By that measure, the company beat the mean analyst estimate of $0.34. It beat the average revenue estimate of $518.76 million.

Quoting Management: “Symetra delivered first quarter 2013 earnings that, although down from our best-ever first quarter results last year, were much-improved over fourth quarter 2012 numbers. The Deferred Annuities segment led the way, with earnings bolstered by higher investment income from prepayment activity and account value growth,” said Tom Marra, president and chief executive officer of Symetra Financial Corporation. “Challenges during the quarter included persistent low interest rates and higher medical stop-loss claims.”

Key Stats (on next page)…

Revenue increased 6.97% from $520.8 million in the previous quarter. EPS increased 54.17% from $0.24 in the previous quarter.

Looking Forward: Analysts have a neutral outlook for the company’s next-quarter performance. Over the past three months, the average estimate for next quarter’s earnings is a profit of $0.35 and has not changed. For the current year, the average estimate has moved down from a profit of $1.41 to a profit of $1.38 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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