The Travelers Companies Earnings Cheat Sheet: A Very Profitable Quarter

S&P 500 (NYSE:SPY) component The Travelers Companies, Inc. (NYSE:TRV) reported net income above Wall Street’s expectations for the first quarter. The Travelers Companies, Inc. is a holding company that is engaged in providing commercial and personal property and casualty insurance products and services to businesses, government units, associations and individuals.

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The Travelers Companies Earnings Cheat Sheet for the First Quarter

Results: Net income for The Travelers Companies, Inc. rose to $839 million ($1.89/share) vs. $647 million ($1.25/share) YoY. A rise of 29.7% from the year earlier quarter.

Revenue: Rose 2.6% to $6.28 billion YoY.

Actual vs. Wall St. Expectations: TRV (NYSE:TRV) beat the mean analyst estimate of $1.54/share. Estimates ranged from $1.25 per share to $1.79 per share.

Quoting Management: “We are very pleased to be starting the year with strong earnings,” commented Jay Fishman, Chairman and Chief Executive Officer. “Underwriting results and net investment income reflected solid performance. In addition, we were pleased to see the favorable impact of pricing and improved economic conditions on net written premiums.”

Key Stats: Net income has dropped 1% year over year on average across the last five quarters. Performance was hurt by a 30.4% decline in the fourth quarter of the last fiscal year from the year earlier quarter.

Competitors to Watch: American Financial Group (NYSE:AFG), American International Group (NYSE:AIG), MetLife (NYSE:MET), RLI Corp (NYSE:RLI), White Mountain (NYSE:WTM), The Chubb Corp (NYSE:CB), AllState (NYSE:ALL), CNA Financial (NYSE:CNA), W.R. Berkeley (NYSE:WRB), Markel Corp (NYSE:MKL), HCC Insurance Holdings (NYSE:HCC), XL Group (NYSE:XL), Tower Group (NASDAQ:TWGP) Hartford Financial Services Group Inc. (NYSE:HIG) and W.R. Berkley Corporation (NYSE:WRB).

Today’s Performance: Shares of TRV (NYSE:TRV) are trading at $59.196as of April 21, 2011 at 8:24 AM ET, up 1.4% from the previous close.


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