RGA reports Q2 profits up 30%

by David Masters

Story link: RGA reports Q2 profits up 30%

Reinsurance Group of America (RGA) has post its second quarter results, with net income up 30% on year.

Net income for the quarter was $110.7 million, equivalent to $1.73 per diluted share. This is compared to net income of $77.5 million, $1.20 per diluted share, for the second quarter of 2007.

Operating income was also up at $109.7 million compared to $84.6 million a year earlier.

Net premiums for the quarter increased 12% on year, up to $1,358.6 million compared to $1,207.6 million for the same period in the previous year.

Total revenues increased to $1.64 billion, up from $1.5 billion a year ago.

Shareholders will be paid a regular quarterly dividend of $0.09 per share, payable to shareholders on 25th August.

Despite a strong second quarter, RGA’s profits for the first half of 2008 are down 7.5% on year, falling to $142.2 million compared to $153.7 million during the first half of 2007.

President and CEO Greig Woodring said the ’strong results’ for the second quarter offset a weak first quarter, allowing the company to better meet opportunities and challenges.

RGA, based in St. Louis, offers reinsurance to life insurance companies.