Calliden’s first profit result since floating on the Australian Stock Exchange has been sunk after weather-related claims from the Newcastle storms wiped $750,000 from the company’s balance sheet.

The emerging underwriter booked a loss of $620,000 for the half year to June 2007 on revenue up 164% to $37.8 million. The result is nearly half the loss incurred by Calliden in the first half of 2006.

Calliden’s total exposure to the storms was $1.5 million, reduced to $750,000 on reinsurance returns.

Notwithstanding future losses, Calliden CEO Nick Kirk expects to break even in the December quarter, tipping a full-year profit of $7.5 million to $8.5 million.

Fuelling Calliden’s profit drive is the acquisition of Australian Unity’s general insurance business, completed last month, and strong organic growth.

Mr Kirk says the addition of the Australian Unity book has taken Calliden’s total GWP to nearly $200 million.

“The acquisition… has completely transformed our operations,” he said.

“With the addition of Australian Unity General Insurance, which we’ve renamed Calliden Insurance Limited, Mansions of Australia and a 50% interest in Farmers Mutual Insurance, we now have scale.

“The acquisition brings us new niches, wider geographical coverage and a sound and profitable foundation to grow the business.”