Allstate operating income declines
Allstate Corp., the nation’s No. 2 property and casualty insurer, said Wednesday that its second-quarter profit climbed 16% on strong auto insurance sales but operating income fell on significantly higher catastrophe-related costs.
The results fell short of Wall Street’s expectations and Allstate’s stock edged lower in after-hours trading.
Net income was $1.40 billion, or $2.30 a share, up from $1.21 billion, or $1.89, a year earlier.
The Northbrook, Ill.-based company said operating earnings were $1.07 billion or $1.76 a share. That was 4 cents a share less than analysts estimated on average.
Revenue increased 7% to $9.46 billion from $8.88 billion.