Loews Corporation’s (L) fourth quarter income from continuing operations came in at 94 cents per share, 2 cents below the Zacks Consensus Estimate of 96 cents. However, the results were significantly better compared to the year-ago quarter’s results when the company had reported a loss of $2.20 per share.

For full-year 2009 Incorporatedome from continuing operations was $566 million or $1.31 per share, compared to a loss of $182 million or 38 cents per share in 2008.

Loews reported a 39.3% year-over-year increase in revenues to $3.82 billion in the quarter. Better results at Loews reflect improved investment results at its investment subsidiary, CNA Financial Corp. (CNA). The results were also positively impacted by gains from the sale of CNA’s common stock holdings in Verisk Analytics Inc. However, results were slightly down at Diamond Offshore Drilling Inc. (DO).

Quarterly results included net investment gains of $46 million compared to net investment losses of $282 million in the prior-year period.

Investment income was boosted by higher limited partnership results, partially offset by the impact of lower short-term interest rates. Moreover Incorporatedreased investment income from the holding company trading portfolio also contributed to the improved results.

The prior-year period included a $440 million non-cash impairment charge related to the carrying value of HighMount Exploration & Production LLC’s natural gas and oil properties, a $314 million non-cash goodwill impairment charge related to HighMount and impairment losses associated with CNA’s investment portfolio.

CNA Financial’s net income attributable to Loews Corp. increased to $182 million compared to a loss of $15 million in the year-ago quarter. However, Diamond Offshore’s net income reported a slight decrease to $128 million from $137 million in the prior-year period.

Boardwalk Pipeline Partners LP’s (BWP) earnings were almost flat at $28 million compared to $27 million in the year-ago period. HighMount Exploration reported earnings of $35 million compared to a loss of $717 million in the year-ago quarter, reflecting the impairment charges. Also, Loews Hotels incurred a loss of $4 million compared to earnings of $4 million a year ago.

Reported book value increased to $39.76 at Dec 31, 2009, from $39.54 per share at Sep 30, 2009 and $30.18 at December 31, 2008. The increase was primarily due to a $1.7 billion (after tax) improvement in fair value of its insurance subsidiary’s fixed maturities investment portfolio.

During the reported quarter, Loews acquired 5.8 million shares of its common stock for about $205 million. From Jan 1, 2010 through Feb 5, 2010, the company purchased an additional 1.6 million shares of its common stock for roughly $57 million. For the full year, the company bought back 10.5 shares of its common stock for about $348 million.

Based in New York, Loews Corp. is one of the largest diversified corporations in the United States. Its principal subsidiaries are CNA Financial Corporation, a 90% owned subsidiary; Diamond Offshore Drilling, Inc., a 50.4% owned subsidiary; HighMount Exploration & Production LLC, a wholly owned subsidiary; Boardwalk Pipeline Partners, LP, a 72% owned subsidiary; and Loews Hotels, a wholly owned subsidiary.

Zacks Investment Research

1. (AVY) Avery Dennison Corporation Reports Below ExpectationsAvery Dennison Corp. (AVY) posted fourth-quarter earnings of 44 cents per share, below the Zacks...
2. (FPL) FPL Group Reports Earnings Ahead of ExpectationsPower producer FPL Group Inc. (FPL) reported better-than-expected fourth quarter results, helped by a robust...
3. (SLM) Sallie Mae Reports Profits But Misses Consensus ExpectationsSLM Corporation (SLM), commonly known as Sallie Mae, reported fourth quarter core earnings of $249...
4. (L) Loews Corporation Upgraded by AnalystsWe are upgrading our recommendation on the shares of Loews Corp. (L) to Neutral. The...
5. (MTG) MGIC Investment Corporation Reports Ugly LossMGIC Investment Corp.’s (MTG) third-quarter loss of $4.44 per share was wider than the Zacks...
6. (L) Loews Corporation Reports ProfitLoews Corporation’s (L) third quarter income from continuing operations came in at $1.08 per share...

Search Posts by Tag: Boardwalk Pipeline Partners LP | BWP | CNA | CNA Financial Corporation | Diamond Offshore Drilling Inc | DO | L | Loews Corporation | Financial | Property & Casualty Insurance

RSS Feeds by Tag: Boardwalk Pipeline Partners LP | BWP | CNA | CNA Financial Corporation | Diamond Offshore Drilling Inc | DO | L | Loews Corporation | Financial | Property & Casualty Insurance |

Other Posts by: vitalstocks | RSS Feed for this author