Globe Life's profit jumps on stronger underwriting, investment income
Oct 25 (Reuters) - Globe Life reported a nearly 24% jump in third-quarter profit on Wednesday, helped by higher insurance underwriting and investment income.
The demand environment for the insurance sector continues to remain strong in a weakening economy, with analysts expecting the companies, usually considered recession proof, to remain resilient.
Globe Life's insurance underwriting income on a per-share basis rose to $3.38 in the quarter, from $2.82 a year earlier.
Wall Street rebounded this year on hopes that the Federal Reserve could tame sky-high inflation without tipping the economy into a recession, amid hints the central bank was nearing the end of its fastest tightening cycle since the 1980s.
Globe Life said quarterly net investment income surged 8% compared to the year-ago quarter.
Net operating income came in at $2.71 per diluted share in the three months ended Sept. 30, compared with $2.19 per diluted share last year. (Reporting by Manya Saini in Bengaluru; Editing by Pooja Desai)
