Definity Financial Corporation Reports Second Quarter 2022 Results

TORONTO, August 2, 2022 /CNW/ – (TSX: DFY)
(in Canadian dollars except as otherwise noted)

Highlights

• Premiums increased 12.6% in the quarter, driven by growth across all lines of business, with double digit growth continuing in commercial lines, Sonnet, and personal property

• Combined ratio¹ of 95.8% in Q2 2022 was bolstered by the strong underwriting performance in our personal auto and commercial lines, and remained in our target range despite elevated catastrophe losses¹ of 5.8 percentage points in the quarter

• Operating net income¹ of $48.8 million in Q2 2022, compared to $52.6 million in Q2 2021, resulting in operating EPS¹ of $0.42 per share. Operating ROE¹ was 10.7% over the last twelve months

• Financial position remained resilient, despite significant declines in capital markets, with book value per share¹ of $19.51, down 4.4% in the quarter but 3.4% higher than a year ago

Executive Messages

“The underlying strength in our business, against the backdrop of ongoing firm market conditions, was once again demonstrated by delivering a 95.8% combined ratio in a quarter with the 6^th largest catastrophe event in Canadian history. Profitability in personal auto remained strong, but was down from a year ago, reflecting claims frequency moving off pandemic-related lows as well as the impact of inflation on claims severity. Our commercial business is generating solid…