What happened to QBE Insurance Group’s share price?
After closing at $11.61 per share yesterday, QBE shares are trading 6.8% higher today at $12.40.
Why are QBE shares rising?
The company reported its 2014 financial results, telling shareholders that the group has returned to profit with a US$1 billion rise in net profit. Net profit for the 2014 year was US$742 million, well up from its US$254 million loss a year earlier. The results were broadly in line with earlier guidance provided by the insurer.
The company will pay a final dividend of 22 Australian cents per share, taking annual dividends to 37 cents per share — 16% higher than the year before. The stock will trade ex-dividend on March 4.
What now for QBE Insurance Group Ltd?
The company said that it will ‘focus will be on maintaining underwriting discipline, exercising strict cost control and leveraging greater value from our substantial investment portfolio,’ and that, ‘as we focus on growing profit, we will target strong growth in dividends.’
for The Daily Reckoning Australia