UPDATE 1-Amtrust Q2 profit beats Street view

Tue Aug 3, 2010 8:30am EDT

* Q2 oper EPS $0.58 vs est $0.53

* Q2 net earned premiums up 43.5 pct

Aug 3 (Reuters) - Property and casualty insurer AmTrust Financial Services Inc (AFSI.O) reported a quarterly profit above market view, helped by a rise in net earned premiums.

For the second quarter, net income was $30.8 million, or 51 cents a share, compared with $26.8 million, or 45 cents a share, a year ago.

On an operating basis -- which typically excludes any investment gains and losses -- the company posted earnings of 58 cents a share.

Analysts on average were looking for a profit of 53 cents a share, according to Thomson Reuters I/B/E/S.

Net earned premiums rose 43.5 percent to $196.3 million.

AmTrust said the combined ratio was 85.7 percent during the quarter, up from 79.6 percent last year.

Combined ratio is the percentage of premiums an insurer has to pay out in claims and expenses. A figure over 100 indicates that underwriting was unprofitable.

Shares of the company closed at $13.25 Monday on Nasdaq. (Reporting by Swati Chitnis in Bangalore; Editing by Prem Udayabhanu)

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