Q1 2024 Earnings Summary
Reported on Jan 4, 2025 (After Market Close)
Pre-Earnings Price$381.74Last close (Apr 26, 2024)
Post-Earnings Price$381.74Last close (Apr 26, 2024)
Price Change
$0.00(0.00%)
- Improved Profitability and Combined Ratio: The combined ratio improved significantly to 106% in Q1 2024 from 122.7% in Q1 2023, indicating better underwriting performance and profitability.
- Strong Premium Growth and Retention: Direct and assumed written premium of the Exchange increased by 19%, with new business premium growing 32.4% compared to the same period last year. Policy retention remained solid at 91.2%, demonstrating strong customer loyalty.
- Increasing Operating Income and Shareholder Returns: Operating income increased over 25% to nearly $139 million in Q1 2024. Additionally, the company paid over $59 million in dividends to shareholders in the first three months of 2024, reflecting strong financial performance and commitment to shareholder returns.
- Erie Indemnity Company's combined ratio, while improving, remains above 100%, at 106% in the first quarter of 2024, indicating underwriting losses.
- The company's non-commission expenses increased by $14 million, driven by increased personnel and agent-related costs.
- Significant investments in technology modernization could lead to increased expenses in the short term, potentially impacting profitability.