Fairfax reports Q1 profit
Fairfax Financial Holdings reported a profit of US$290.2 million in its latest quarter, compared with a loss a year ago, helped by strong investment gains. The insurance and investment management firm, which keeps its books in U.S. dollars, said the profit amounted to $14.02 per diluted share in its latest quarter compared with a loss of $39.6 million or $3.55 per diluted share a year ago.
The results included net investment gains of $415.6 million, offset by $136.8 million related to Chilean earthquake losses. A year ago, the company reported $153 million in investment losses. Revenue totaled $1.80 billion, up from $1.28 billion in the first three months of 2009.
“Our investment results, with record quarterly investment income and significant investment gains, are gratifying, but we remain mindful of the considerable risks in these volatile markets,” chairman and chief executive Prem Watsa said in a statement.
“Our operating companies will continue to focus on disciplined underwriting and prudent reserving.”
