George Quinn, CFO of the Zurich Insurance Group (VTX:ZURN), has said that the promises made by Donald Trump during the campaign, when implemented, will be good for their two large businesses.
The New President Will Be Good For Zurich Insurance
Talking to the reporters of CNBC, he said, “Some of the commitments that the president has made around infrastructure spend and changed tax reform could be very beneficial, could prompt some growth. And of course if the U.S. economy grows given the size of the business we have there, this could be very beneficial for us”.
But Quinn reiterated that Zurich is not going to be harmed in any way even if the president does not implement the promises he made. “We are not going to be derailed with any change. We’ll cope with whatever changes emerge in the U.S”. Execution is going to be the focus for us, he added.
The CFO said, there is sure to be some change, as what happens with every new president, but the changes we are expecting this time could be positive for Zurich Insurance. But we are ready for it even if the changes don’t quite work out.
Based out of Zurich in Switzerland, revenue of the business was 67.99 billion in 2015. It is the largest insurance business in the country.
Zurich Insurance Posts Impressive Results
Recently, the company posted an extremely impressive 342 percent increase in their third-quarter net profit. Their net profit for the third quarter has gone up to $912 million. In the same period last year, it was just $207 million. This was way higher than what the analysts had predicted.
This was mainly achieved after Zurich Insurance carried out a detailed restructuring of the business, under the guidance of Mario Greco, the Chief Executive Officer.
Also, the total business volumes, which is a measure of policy fees, and gross written premiums has come down by 1 percent to $15.56 billion. Return on investment for the business in this quarter stood at 1.4 percent, while in the same period of last year, this was just 1.1 percent.
Mario Greco had earlier left Zurich Insurance (VTX:ZURN) to join a rival business, but returned soon and took over as the CEO.
He is going to reveal more information on the next phase of the strategic overhaul of Zurich at an investor’s day program in London next Thursday.