W.R. Berkley Earnings: Third Consecutive Quarter of Profit Growth

W.R. Berkley Corporation (NYSE:WRB) reported net income above Wall Street’s expectations for the third quarter. W.R. Berkley is an insurance holding company in the United States, which operates in five business segments: specialty insurance, regional property casualty insurance, alternative markets, reinsurance and international.

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W.R. Berkley Corporation Earnings Cheat Sheet

Results: Net income for W.R. Berkley Corporation rose to $100.9 million (71 cents per share) vs. $76.4 million (53 cents per share) in the same quarter a year earlier. This marks a rise of 32.1% from the year-earlier quarter.

Revenue: Rose 11% to $1.42 billion from the year-earlier quarter.

Actual vs. Wall St. Expectations: W.R. Berkley Corporation beat the mean analyst estimate of 63 cents per share. It beat the average revenue estimate of $1.36 billion.

Quoting Management: William R. Berkley, chairman and chief executive officer, said: “We were very pleased with our third quarter results. Significant rate increases were a part of our substantial growth in the quarter, and we continue to see positive trends in most lines of business.”

Key Stats:
The company has now topped analyst estimates for the last four quarters. It beat the mark by 6 cents in the second quarter, by 10 cents in the first quarter, and by 5 cents in the fourth quarter of the last fiscal year.
Revenue has increased for four quarters in a row. Revenue increased 11.4% to $1.42 billion in the second quarter. The figure rose 11.7% in the first quarter from the year earlier and climbed 11.3% in the fourth quarter of the last fiscal year from the year-ago quarter.

Looking Forward: Over the past ninety days, the average estimate for the fourth quarter has fallen from 63 cents per share to 58 cents, indicating that analysts are growing pessisimistic about the company’s performance next quarter. In the past seven days, the average estimate for the fiscal year has declined from $2.62 per share to $2.61.

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(Company fundamentals provided by Xignite Financials. Earnings estimates provided by Zacks)

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