Heritage Underwriting Agency plc – Interim Results - 24.9.07

Heritage released its interim results today.  The press release is available below.   

Highlights

   •Record 2007 interim results benefiting from highly attractive underwriting conditions in core business areas.

   •Profit before tax up 250% to £10.5m (2006 H1: £3.0m)

   •Earnings per share (fully diluted) up 28% to 9p (2006 H1: 7p)

   •Annualised first half year return on equity 24% (2006 H1: 21%)

   •Net tangible assets per share (fully diluted) up 8% to 84p (2006 FY: 78p)

Outlook

  •First half 2007 US property underwriting rates have held up well

   •Syndicate merger approved

   •Syndicate capacity proposed for 2008: £325m (2007: £315m)

   •Diversification into international property treaty and recruitment of class leading underwriters.

   •Ordinary shareholders net unearned premium reserve net of deferred acquisition costs £46.2m (2006 H1: £36.9m 2006 FY: £33.0m)

Richard Pexton, Chief Executive commented, 'The first half of 2007 has been a success. Rates continue to fall slightly but from high, profitable levels and we are confident of a more than satisfactory outcome for 2007.'

'Our diversification strategy is progressing well and new classes of business

have been started with leading class underwriters.'

'The syndicate merger was approved by Lloyd's which gives us a more efficient platform for 2008.'

To see the full report click here.