For the third quarter of 2022 insurance and analytics provider, Verisk has reported a net income of $189.4 million, down 6.1% from the $ 201.7 million reported in the same period last year.
The firm’s consolidated revenues for Q3 2022 was $745.3 million, down 1.8%, compared to the $759.0 million reported in the same period last year. Despite this, its insurance segment revenue saw a 9.4% growth.
According to Verisk, the decline in the firm’s consolidated revenues was primarily due to the sale of the company’s environmental health and safety business (3E) and Verisk Financial Services segment.
Additionally, the suspension of all commercial operations in Russia negatively impacted revenue by $3.3 million in the third quarter of 2022.
Verisk’s insurance segment grew from $557.9 million in last year’s third quarter to $610.1 million in the third quarter of 2022.
The segment’s underwriting and rating revenues increased 11.7%, resulting primarily from annual increases in price derived from continued enhancements to the content of the solutions within Verisk’s industry-standard insurance programs, as well as selling expanded solutions to existing customers in commercial and personal lines.
Extreme events solutions and life solutions also contributed to the growth, the firm added.
Claims revenues grew 3.9% in the quarter. According to Verisk this was the result from growth in the firm’s claims analytics solutions and modest growth in its repair cost estimation solutions, offset by a tough comparison to a more active storm season in the prior year.
Verisk’s Energy and Specialized Markets segment revenue decreased 18.5% in the quarter, mainly due to the sale of the 3E business that closed on March 11, 2022 and the suspension of commercial operations in Russia, the firm noted.
Lee Shavel, CEO, commented: “Verisk reported solid operating results in the quarter while also delivering on our stated intention to become a global insurance-focused data, analytics, and technology company and to improve operating efficiency.
“As we move forward, I am confident that with our proprietary data sets, talented and dedicated people, deep industry knowledge, and technical expertise, Verisk is best positioned to create value for our customers by helping them evolve in a new digital environment, integrate rapidly growing data sets, and achieve new levels of efficiency.
Verisk also noted that the firm has signed a definitive agreement to sell its Energy business, Wood Mackenzie, to Veritas Capital for $3.1 billion in cash consideration payable at closing plus future additional contingent consideration of up to $200 million.
