Progressive Reports June 2021 Results

Rhea-AI Summary

The Progressive Corporation (NYSE:PGR) reported robust growth in net premiums written for June 2021, totaling $3,627.3 million, a 13% increase year-over-year. Net premiums earned reached $3,459.9 million, up 14% from 2020. However, net income saw a significant decline of 72%, falling to $132.8 million from $470.9 million in June 2020. The company’s combined ratio increased to 100.5, indicating a loss on underwriting operations. The results for the quarter also reflect a similar trend, with total net income down 56% compared to the previous year, attributed partly to the acquisition of Protective Insurance Corporation.

Positive

• Net premiums written increased by 13% year-over-year, reaching $3,627.3 million.
• Net premiums earned rose 14% to $3,459.9 million compared to June 2020.

Negative

• Net income decreased by 72%, falling to $132.8 million from $470.9 million in June 2020.
• Combined ratio deteriorated to 100.5, indicating a loss on underwriting operations.
• Overall net income for the quarter down 56% to $790.1 million from $1,790.4 million.

MAYFIELD VILLAGE, OHIO, July 15, 2021 (GLOBE NEWSWIRE) -- The Progressive Corporation (NYSE:PGR) today reported the following results for June 2021 and the second quarter of 2021: 

	June							Quarter
(millions, except per share amounts and ratios; unaudited)	2021		2020		Change	2021		2020		Change
Net premiums written	$ 3,627.3		$ 3,201.6		13 %	$ 11,480.3		$ 10,140.0		13 %
Net premiums earned	$ 3,459.9		$ 3,023.1		14 %	$ 10,982.3		$ 9,648.6		14 %
Net income	$ 132.8		$ 470.9		(72) %	$ 790.1		$ 1,790.4		(56) %
Per share available to common shareholders	$ 0.22		$ 0.80		(72) %	$ 1.34		$ 3.04		(56) %
Total pretax net realized gains (losses) on securities	$ 124.2		$ 142.9		(13) %	$ 461.8		$ 890.8		(48) %
Combined ratio	100.5		86.9		13.6 pts.	96.5		87.7		8.8 pts.
Average diluted equivalent common shares	586.8		587.3		0 %	586.8		587.2		0 %

On June 1, 2021, we acquired Protective Insurance Corporation and subsidiaries (“Protective”). Therefore, our June 2021 companywide results include, for the first time, the results of Protective, which are predominately included in the Commercial Lines business results throughout the release. Periods prior to June 1, 2021, do not include Protective's results.

	June
(thousands; unaudited)	2021		2020		Change
Policies in Force
Personal Lines
Agency – auto	8,014.2		7,362.5		9 %
Direct – auto	9,581.3		8,507.6		13 %
Total personal auto	17,595.5		15,870.1		11 %
Total special lines	5,211.7		4,790.5		9 %
Total Personal Lines	22,807.2		20,660.6		10 %
Total Commercial Lines	916.6		775.8		18 %
Property business	2,655.5		2,336.1		14 %
Companywide Total	26,379.3		23,772.5		11 %

See Progressive’s complete monthly earnings release, including the "Monthly Commentary," for additional information.

About Progressive

The Progressive Group of Insurance Companies makes it easy to understand, buy and use auto insurance. Progressive offers choices so consumers can reach us whenever, wherever and however it's most convenient - online at progressive.com, by phone at 1-800-PROGRESSIVE, on a mobile device or in-person with a local agent.

Progressive provides insurance for personal and commercial autos and trucks, motorcycles, boats, recreational vehicles, and homes; it is the third largest auto insurer in the country, a leading seller of motorcycle and commercial auto insurance, and one of the top 15 homeowners insurance carriers. 

Founded in 1937, Progressive continues its long history of offering shopping tools and services that save customers time and money, like Name Your Price®, Snapshot®, and HomeQuote Explorer®.

The Common Shares of The Progressive Corporation, the Mayfield Village, Ohio-based holding company, trade publicly at NYSE:PGR.

Company Contact:
Douglas S. Constantine
(440) 910-3563
investor_relations@progressive.com

The Progressive Corporation
6300 Wilson Mills Road
Mayfield Village, Ohio 44143
http://www.progressive.com

Progressive June 2021 Complete Earnings Release: http://ml.globenewswire.com/Resource/Download/9fdec47d-bd7e-4cc4-b130-2178f47ad4bb

FAQ

What were Progressive's net premiums written for June 2021?

Progressive reported net premiums written of $3,627.3 million for June 2021, a 13% increase year-over-year.

How much did Progressive's net income drop in June 2021?

Net income for Progressive fell by 72% to $132.8 million in June 2021 compared to $470.9 million in June 2020.

What is Progressive's combined ratio for June 2021?

The combined ratio for Progressive in June 2021 was 100.5, indicating a loss on underwriting operations.

How did Progressive's financial results change after acquiring Protective Insurance?

The acquisition of Protective Insurance affected Progressive's results, contributing to a significant decline in net income.