Crawford profit slides amid international gains
Claims management group Crawford & Co reported weaker full-year net profit as impairment charges offset a stronger operating result from its international division.
Profit fell 23% to $US27.7 million ($34.5 million), including the impact of a $US19.6 million ($24.5 million) charge related to the Garden City Group legal services business.
Operating earnings at the international division increased 9% to $US47.2 million ($58.9 million) while profit from the Broadspire third party administration service also rose 9% to $US32.7 million ($40.8 million).
CEO Harsha Agadi said the company had invested heavily in the third and fourth quarters to support clients as they managed an unprecedented level of catastrophe activity.
“We believe this investment has differentiated Crawford in the market and positions the company, along with our pending business segment realignment, to increase our market share and grow revenues,” he said.
The company is reorganising into three operating segments that will be known as Crawford Claims Solutions, Crawford TPA Solutions – Broadspire, and Crawford Specialty Solutions.