Cincinnati Financial beats profit estimates on higher premiums
Feb 6 (Reuters) - Cincinnati Financial posted fourth-quarter profit above market expectations on Tuesday, boosted by higher premiums on the insurer's products.
With policies often guaranteed by employers or mandated by governments, insurers have seen resilient demand for their products, irrespective of wider economic conditions.
The company's earned premiums in the quarter ended Dec. 31 stood at $2.06 billion, up 10% from a year earlier.
"Our ability to price on a policy-by-policy basis will support our efforts to maintain appropriate pricing as we navigate a challenging market environment in 2024," CEO Steven J. Johnston said in a statement.
Cincinnati posted an adjusted operating income of $2.28 per share in the quarter, compared with analysts' average estimate of $1.95 per share, according to LSEG data.
The quarter benefited from a 15% surge in investment income to $239 million on strong capital markets.
(Reporting by Sri Hari N S in Bengaluru; Editing by Shinjini Ganguli)
