Zenith’s Profit Declines in 2nd Quarter, 1st Half
Zenith National Insurance Corp. reported profit declines for its second quarter and first half, when a gain from the settlement of litigation was offset by lower gains from the sale of investments and earthquake-related claims.
The Woodland Hills property, casualty, auto and workers’ compensation insurer earned $10.9 million in the three months ended June 30, down 28% from $15.1 million in net income a year before. Its revenue edged up slightly, to $151.3 million from $149.5 million.
For the six months, Zenith had net income of $19.1 million, a 31% decline from its $27.7-million profit in the first half of 1993. Its revenue edged down to $289.6 million from $292.8 million.
Zenith’s net income for the recent quarter and six months included a $1.1-million gain from litigation settled in 1993. But gains from sales of investments were just $300,000 in the second quarter, compared with $5.7 million in gains a year earlier. Losses from the January earthquake totaled $1.5 million in the second quarter and $7.4 million for the six months.