Erie Indemnity publishes Q1 2024 outcomes

Erie Indemnity Firm has disclosed its monetary outcomes for the primary quarter ending March 31.

The corporate reported a web revenue of $124.6 million, or $2.38 per diluted share, marking a rise from $86.2 million, or $1.65 per diluted share, recorded in the identical quarter of the earlier yr.

The agency skilled a 25.6% rise in working revenue earlier than taxes, which amounted to a rise of $28.3 million for the primary quarter of 2024, in comparison with the corresponding interval in 2023.

Concerning income specifics, administration price income from coverage issuance and renewal companies witnessed an upsurge of $107.6 million, or 19.3%, within the first quarter of 2024 relative to the primary quarter of 2023. Moreover, administration price income from administrative companies climbed by $1.7 million, or 11.5%, in the identical interval.

The price of operations linked to coverage issuance and renewal companies additionally noticed important adjustments. Commissions grew by $67 million, primarily resulting from a rise in direct and affiliated assumed written premium together with heightened agent incentive compensation. Moreover, non-commission bills escalated by $14.3 million.

This improve included a $4.4 million rise in underwriting and coverage processing prices, primarily pushed by greater underwriting report and personnel bills.

Conversely, data know-how prices decreased by $3.7 million, primarily resulting from an increase in capitalized skilled charges and personnel prices associated to technological initiatives. Gross sales and promoting expenditures surged by $4.3 million, primarily resulting from elevated agent-related prices, whereas administrative and different prices rose by $7.2 million, largely resulting from elevated personnel and journey bills.

The funding revenue earlier than taxes confirmed a sturdy restoration, posting $15.1 million within the first quarter of 2024, in distinction to a lack of $4.7 million within the first quarter of 2023. Internet funding revenue reached $15.9 million, a major enchancment from $2.2 million within the prior yr. This included $0.5 million of restricted partnership earnings, in comparison with losses of $10.8 million within the first quarter of 2023.

Moreover, the agency realized web beneficial properties of $1.9 million on investments through the quarter, a restoration from losses of $5.3 million in the identical quarter of the earlier yr. Internet impairment losses acknowledged in earnings had been reported at $2.7 million, up from $1.6 million within the first quarter of 2023.

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