Donegal Group reports Q3 non-GAAP EPS 46c, consensus 10c

Reports Q3 revenue $251.74M, consensus $248.04M. Book value per share of $15.22 at September 30, from $14.26. “We are pleased that many of the strategic initiatives we implemented in recent years contributed to significant improvement in our financial results for the third quarter of 2024,” said CEO Kevin Burke. “With the exit from commercial lines markets in Georgia and Alabama essentially completed at the end of Q2, solid new business writings, rate achievement and retention levels led to a 6.4% increase in commercial lines net premiums written for Q3. Our personal lines net premiums written growth rate for Q3 was 5.4%, primarily attributable to strong rate increases and policy retention that were partially offset by intentional strategic actions to slow growth and further improve profitability. Despite higher-than-average weather-related losses during the quarter, primarily attributable to Hurricane Helene in late September, our combined ratio improved significantly to 96.4%, compared to 104.5% for the prior-year quarter. Our core loss ratios improved across all of our major lines of business. We attribute that improvement to the favorable impact of numerous ongoing underwriting initiatives and higher net premiums earned from renewal rate increases that we implemented over the past two years.We have growing confidence that the continuing execution of our strategies will deliver sustained excellent financial performance.”