Toronto-based Fairfax Financial Holdings Ltd. has reported its financial results for the first quarter of 2023. The company announced earnings of US$1.3 billion, more than doubling the earnings of US$588.7 million recorded in the same period the previous year.
Net earnings per diluted share also witnessed an increase, reaching US$49.38 compared to US$22.67 in Q1 2022. The company attributed its success to notable net gains on investments, which stood at US$771.2 million, representing a significant turnaround from the US$195.2 million loss incurred in the prior year.
Fairfax reported growth in gross premiums written, amounting to US$7.1 billion for the quarter ended March 31, surpassing the US$6.7 billion recorded in the corresponding period in 2022. Moreover, net insurance revenues climbed to US$5.2 billion, up from US$4.7 billion, demonstrating robust growth in the core business.
Prem Watsa, chairman and CEO of Fairfax Financial Holdings Ltd., attributed the company's impressive performance to increased interest and dividends in its property and casualty insurance and reinsurance operations.
Watsa emphasized that the significantly higher operating income reflected positive industry trends and reinforced the company's position as a key player in the insurance sector.