Everest Group Ltd, the Bermudian-based (re)insurer, has reported net income of $678 million in the third quarter of the year.

That compares with a third-quarter 2022 net loss of $319 million.

Operating income was $613 million, compared with a third-quarter 2022 net operating loss of $205 million.

Everest president and chief executive Juan C. Andrade said: “Everest’s third-quarter performance was excellent. We delivered outstanding returns including a near 20 per cent operating return on equity and an annualised 25 per cent total shareholder return.

"We are leaning into the hard reinsurance market, where favourable conditions and the global flight to quality persist.

“As a lead market and preferred partner, we are well positioned for the upcoming January renewals. We continue to expand our global reinsurance portfolio at significantly improved risk-adjusted returns.”

He added: “In addition, our primary insurance business continues to generate strong and consistent underwriting income, with a significant year-over-year improvement.

“Supporting the strong underwriting performance of our two businesses, our high-quality investment portfolio continues to deliver outstanding returns, generating over $400 million in net investment income in the quarter and over $1 billion year-to-date.

“We have significant momentum heading into the final quarter of the year, with strong tailwinds and exceptional talent powering our disciplined execution and industry-leading shareholder returns."

Everest reported a GAAP combined ratio of 91.4 per cent, including 5.0 points of catastrophe losses versus the third-quarter 2022 figure of 112.0 per cent, including 27.4 points of catastrophe losses.

The company had $4.4 billion in gross written premium with year-over-year growth of 23.4 per cent in constant dollars as reported for the group.

Combined ratios were 91.0 per cent for reinsurance and 92.6 per cent for insurance.

Pre-tax underwriting income was $301 million versus a pre-tax underwriting loss of $367 million in the prior year.

There were $170 million of pre-tax catastrophe losses net of recoveries and reinstatement premiums, driven by a number of mid-sized events globally, versus $730 million in the prior year.

Net investment income improved to $406 million versus $151 million in the prior year third quarter, driven by strong fixed income and alternative investment returns.

Everest had operating cash flow for the quarter of $1.4 billion, a company record, versus $1.1 billion in the third quarter 2022.

In the reinsurance segment, gross written premiums grew 32.7 per cent on a constant dollar basis, when adjusting for reinstatement premiums, to approximately $3.2 billion, a new quarterly premium record for the segment.

Growth was broad-based across geographies and lines.

Robust pricing momentum continued in the third quarter, the company said, with cat pricing up more than 30 per cent with improved terms/conditions.

Pre-tax catastrophe losses fell to $160 million net of estimated recoveries and reinstatement premiums, from $620 million a year ago.

In the insurance segment, the company said, gross written premiums rose to $1.2 billion, a 3.5 per cent increase year-over-year in constant dollars, driven by a diversified mix of property and specialty lines, partially offset by lower written premiums in mono line workers' compensation and financial lines.

Everest reported an underwriting profit of $66 million for the quarter, $196 million year-to-date.

Pre-tax catastrophe losses were $10 million, net of estimated recoveries and reinstatement premiums, in the quarter versus $110 million in the prior year.

Common share dividends were declared and paid in the quarter of $1.75 per share equal to $76 million.