(RTTNews.com)-Auto insurance group Progressive Corp.(PGR)reported Thursday 529 percent jump in profit for the month of August,benefited by an increase in net premiums earned and gains on securities.
The Mayfield Village,Ohio-based holding company's net income for the month surged to$141.5 million or$0.23 per share from$22.5 million or$0.04 per share in the previous year.
Total revenues for the month were$1.43 billion,and total expenses were$1.22 billion.Net premiums earned grew 8 percent to$1.25 billion.
The results for the month included pre-tax net realized gains on securities totaling$141.9 million,compared to a loss of$35.7 million last year.
Combined ratio for the month,or the amount of premiums paid as claims,decreased 1.1 percentage points to 96.5 percent.
For August,the company's total personal lines policies in force increased 5 percent to 12.89 million.Of this,total personal auto policies grew 6 percent to 8.89 million,with a 5 percent rise in Agency Auto policies and 6 percent growth in Direct Auto policies.Total special lines policies for the month grew 4 percent from last year to 4 million.
Total commercial auto policies in the month rose 3 percent to 527 thousand.
The company noted,during August,it incurred about$20 million,or 1.6 loss ratio points,of total catastrophe losses,compared to$37 million,or 3.2 points,in August 2011.
Year-to-date,the company's net income declined 15 percent to$576.7 million.On a per share basis,earnings were$0.95,lower than$1.05 per share a year earlier.Total revenues grew 8 percent to$11.21 billion.
PGR is currently trading at$20.19,down 0.25 percent,on a volume of 817 thousand shares.
