Fairfax Financial Holdings has reported net earnings of $563.6 million for the fourth quarter of 2007, compared to the net earnings of $159.1 million for the comparable quarter in 2006.
Total revenues of the company during the quarter rose to $2.40 billion from $1.64 billion reported in the same period of 2006. Investment income was $1.10 billion in the fourth quarter of 2007, compared to $234.5 million in the same quarter of 2006.
Fairfax has reported that its net income for 2007 climbed to $1.09 billion from $227.5 million recorded in 2006. Likewise, total revenues for the period also improved to $7.48 billion from $6.80 billion in 2006. Investment income for the year was $2.40 billion, compared to investment income of $1.51 billion in 2006.
Net premiums written during 2007 decreased to $4.5 billion from $4.8 billion, primarily as a result of the insurance and reinsurance operating companies’ disciplined response to the deteriorating pricing and intensifying competition associated with the softening underwriting cycle.
Prem Watsa, chairman and CEO of Fairfax, said: Our results in 2007 were the best in our 22-year history. As a result of exceptional performance by our operating and investment teams, we achieved record earnings in excess of $1 billion.