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Sep 30, 2020

Mercury General Q3 2020 Earnings Report

Mercury General reported increased net income and operating income, driven by lower expenses and higher investment gains.

Key Takeaways

Mercury General Corporation reported a strong third quarter with a 71.6% increase in net income to $118.9 million and a 58.2% increase in operating income to $68.0 million. The combined ratio improved to 94.3%, and catastrophe losses were $29 million. The company also increased its quarterly dividend.

Net income increased by 71.6% to $118.9 million compared to Q3 2019.

Operating income rose by 58.2% to $68.0 million year-over-year.

Catastrophe losses, net of reinsurance, totaled $29 million.

The combined ratio improved to 94.3% from 98.6% in the prior year.

Total Revenue
$999M
Previous year: $987M
+1.2%
EPS
$1.23
Previous year: $0.78
+57.7%
Combined Ratio
94.3%
Previous year: 98.6%
-4.4%
Catastrophe Losses Net
$29M
Previous year: $3M
+866.7%
Net Investment Income
$32.1M
Gross Profit
$927M
Previous year: $917M
+1.1%
Cash and Equivalents
$322M
Previous year: $315M
+2.1%
Total Assets
$6.15B
Previous year: $5.87B
+4.6%

Mercury General

Mercury General

Mercury General Revenue by Segment

Forward Guidance

The company did not provide specific forward guidance in this report.

Revenue & Expenses

Visualization of income flow from segment revenue to net income