EMC Insurance Group has reported a net loss of $940,000, or $0.07 per share, for the second quarter ended June 30, 2008, compared to net income of $13.99 million, or $1.02 per share, for the second quarter of 2007.
The company reported an operating loss of $1.18 million, or $0.09 per share, for the second quarter ended June 30, 2008, compared to operating income of $13.85 million, or $1.01 per share, for the same quarter of 2007. Investment income increased 3% to $11.99 million for the second quarter of 2008 from $11.65 million for the same period in 2007.
For the first six months of 2008, operating income was $8.93 million, or $0.65 per share, compared to $27.7 million, or $2.01 per share, for the same period of 2007. Net income was $7.28 million, or $0.53 per share, compared to $28.7 million, or $2.09 per share, for the same period of 2007. For the first six months of 2008, investment income increased 1.3% to $23.94 million from $23.64 million for the same period of 2007.
Bruce Kelley, president and CEO of EMC Insurance, said: Midwest storm losses were the driving force behind our second quarter results. The company’s underlying book of business continued to perform reasonably well and within expectations, given the competitive market conditions; however, catastrophe and storm losses more than doubled to a record $23.5 million from $9.79 million in the second quarter of 2007.