Hartford Sees Profit Slip but Beats Estimates

Profit for Hartford Financial Services Group (NYSE: HIG) declined in the second quarter. To gain insight into why the company reported as it did, investors might review the company's industry, financials, and commentary.

Earnings and Revenue:
Hartford managed to beat EPS estimates, though the company's revenues failed to top expectations. The company reported EPS of 3 cents/share versus the one cent/share estimate and revenues of $5.4 billion versus the $5.91 billion estimate. EPS fell 78.6% while revenue climbed 65% from the same period last year.

Hartford bounced back last quarter with a year over year revenue increase after two consecutive quarters of revenue declines.

Income:
For the year, Hartford reported net income of $3.68/share. The company trumped analyst projections of $3.10 by 18.7%. According to the reported number, the company's income fell 68.4% from last year's levels.

Official Comment:
"The Hartford's fundamental business results demonstrated solid performance in the second quarter, although catastrophe losses and an asbestos reserve increase affected results," said Liam E. McGee, chairman, president and chief executive officer of The Hartford. "We continue to execute our strategy and delivered 8% written premium growth in P&C Commercial Markets; an improved combined ratio, excluding catastrophes, in Consumer Markets; and core earnings growth in Wealth Management."

Industry:
Hartford's industry, insurance-multiline, is currently reporting price/earnings growth of 0.1%.

What to Do Next:
Now that you've gotten a round up of Hartford's latest numbers, you can make a better-informed decision about whether to buy, sell or hold those shares. Whatever you do, be sure to visit us before the company's next earnings release for a full preview.

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