Loews Earnings Get a Boost from Insurance Arm

Banking, finance, and taxes

Published: July 29, 2013 7:15 am

Last Updated: April 28, 2020 12:45 am

Loews Corp. (NYSE: L) reported second-quarter 2013 results before markets opened this morning. The holding company reported net income of $269 million, or earnings per share (EPS) of $0.69, compared with $56 million, or EPS of $0.14 in the same period a year ago. Revenues for second quarter totaled $3.74 billion compared with year-ago second-quarter revenues of $3.37 billion. The Thomson Reuters consensus EPS estimate was $0.79.

Loews was hit hard in the first quarter of this year by the effects of Hurricane Sandy on its CNA insurance group. In the second quarter, the company’s net income rose “primarily due to higher earnings at CNA and improved investment income at the parent company.” Not having to pay claims does improve the bottom line.

The company’s revenues from its stake in Diamond Offshore Drilling Inc. (NYSE: DO) fell, and so did the earnings from the offshore driller. Revenues from Boardwalk Pipeline Partners L.P. (NYSE: BWP) rose, while operating profit at the company’s HighMount Exploration & Production company were up a bit.

Loews did not offer guidance in its news release, but the consensus analysts’ estimate for the third quarter calls for EPS of $0.78. For the year, the estimates call for EPS of $3.25 on revenues of $11.7 billion. Both estimates are down sharply from their levels at the end of the first quarter.

Shares are inactive in this morning’s premarket trading, and closed down about 0.2% on Friday, at $46.05 in a 52-week range of $39.04 to $47.10. The consensus target price for the shares was $46.00 before today’s report.

The Average American Has No Idea How Much Money You Can Make Today ^(Sponsor)

The last few years made people forget how much banks and CD’s can pay. Meanwhile, interest rates have spiked and many can afford to pay you much more, but most are keeping yields low and hoping you won’t notice.

But there is good news. To win qualified customers, some accounts are paying almost 10x the national average! That’s an incredible way to keep your money safe and earn more at the same time. Our top pick for high yield savings accounts includes other benefits as well. You can earn up to 3.80% with a Checking & Savings Account today Sign up and get up to $300 with direct deposit. No account fees. FDIC Insured.

Click here to see how much more you could be earning on your savings today. It takes just a few minutes to open an account to make your money work for you.

Our top pick for high yield savings accounts includes other benefits as well. You can earn up to 4.00% with a Checking & Savings Account from Sofi. Sign up and get up to $300 with direct deposit. No account fees. FDIC Insured.

¹https://www.fdic.gov/national-rates-and-rate-caps