ARGO’S INTERNATIONAL OPERATIONS SWING TO UNDERWRITING LOSS

Bermudian re/insurer Argo Group International Holdings saw second-quarter net earnings fall 31% to $28.8m, largely reflecting its international operations’ swing to a $30.4m underwriting loss on unfavourable reserve development. Adjusted operating income per share fell to 48¢ from 95¢ and missed analysts’ forecast of $1.06. Argo’s results also reflected a $7.5m charge in connection with a proxy solicitation and a $4.8m increase in catastrophe losses. The combined ratio added 7.1 points to 103.4%, while gross written premiums rose 10.0% to $772.9m. For the first half, Argo’s net income jumped 80% to $120m owing to a swing to $64.5m in realised gains. The combined ratio added 2.9 points to 99.0%, while gross written premiums rose 8.6% to $1.53bn.