-- CFRA, an independent research provider, has providedwith the following research alert. Analysts at CFRA have summarized their opinion as follows:
IFC reported NOIPS of CAD4.33 per share, up 8% Y/Y and above consensus of CAD4.06, while diluted EPS reached CAD4.12, increasing 12% Y/Y and exceeding expectations of CAD3.69. The combined ratio held at 91.3%, matching prior year levels, as operating direct premiums written grew 4% to CAD5.6B with Canada up 5%, UK&I up 2%, and US up 4%. As the laggard in our insurance coverage with -15% 1-year share price performance, we consider NOIPS and BVPS growing 8%-13% and the combined ratio remaining sub-92% constructive performance. The company expects full-year investment income of approximately CAD1.7B. Canada segment improved with a 89.3% combined ratio, while UK&I deteriorated to 103.2% due to catastrophe losses and large claims. Operating ROE climbed 290 bps to 19.4%, while total capital margin expanded to CAD4.0B, up CAD916M from prior year. The strengthened balance sheet increasingly provides capacity for acquisitions and share repurchases.