Travelers reported a 46% year-over-year jump in second-quarter net income to $2.2 billion, sending its stock up about 9% on Friday even as semiconductor stocks sold off and dragged major indexes lower. Catastrophe losses fell to $518 million before taxes from $927 million a year earlier, while favorable prior-year reserve development added $578 million and after-tax net investment income rose 14% to $883 million. The combined ratio improved to 83.6% from 90.3%, and the underlying combined ratio edged down to 84.1% from 84.7%. Net written premiums were roughly flat at $11.5 billion, up about 2% excluding a divested Canadian business. Core return on equity reached 24.9%, book value per share climbed 5% from year-end to $158.81, and the company returned about $1.6 billion to shareholders including $1.3 billion in buybacks.
The Travelers Companies IncTravelers reported a 46% jump in net income, improved combined ratio, and strong capital returns including $1.3B in buybacks.