-- CFRA, an independent research provider, has providedwith the following research alert. Analysts at CFRA have summarized their opinion as follows:
FFH reported net earnings of $695.7M ($31.11/share), down from $945.7M ($42.70/share) in the prior period, driven by net investment losses of $385.9M versus gains of $1,056.1M due to mark-to-market bond losses from rising rates. P&C operations significantly outperformed with adjusted operating income rising to $1,213.4M from $685.5M and combined ratio improving to 94.1% from 98.5%, benefiting from much lower catastrophe losses of $119.3M versus $781.3M. The company expects to close two major transactions in Q2: the sale of 23.1% of Poseidon for approximately $1.9B and Eurolife operations for $935M. FFH repurchased 374,883 shares for $631M while book value per share remained essentially flat after adjusting for the $15 dividend. We view the quarter as uninspiring given flat BVPS despite aggressive buybacks, however the significantly improved combined ratio and mark-to-market noise make for a more attractive underlying story.