The Hanover reports Q1 EPS $3.08, consensus $2.71

Reports Q1 revenue $1.55B, consensus $1.47B. “The year is off to an excellent start, highlighted by strong underwriting margins and operating return on equity of 15%,” said John Roche, president and chief executive officer at The Hanover. “In Specialty, we produced another quarter of exceptional profitability, reporting a sub-90s combined ratio while investing in capabilities and positioning ourselves for enhanced growth. We delivered strong performance in Core Commercial, growing our small commercial business by 8% while diligently executing on property profitability actions in middle market. In Personal Lines, we continued to take a disciplined and discerning approach to our growth, as we reposition this book to add more earnings resiliency and to drive strong, sustainable returns. We also began to reaccelerate new business in states where we reached target profitability on a written basis, while continuing to manage micro-concentrations and CAT vulnerability elsewhere, primarily in the Midwest. Our successful execution in the market is a testament to our proven strategy, experienced team and the strong relationships we have with the best independent agents across the country.”