Markel Corp. (NYSE:MKL) Q2 2020 Earnings Conference Call - Final Transcript

Jul 29, 2020 • 09:30 am ET


Markel Corp. (NYSE:MKL) Q2 2020 Earnings Conference Call - Final Transcript


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Thomas Gayner

mentioned earlier, revenues totaled $1.2 billion during the first six months of 2020 compared to $1.1 billion in 2019. EBITDA totaled $173 million compared to $160 million in previous year. Those result benefitted from the inclusion of VSC Fire & Security last year and one month of results from Lansing Building Products. Even without those additions, I am deeply encouraged by the results for Markel Ventures.

In many cases, the ventures managers faced extreme conditions as a result of COVID-19 shutdowns and unprecedented changes in customer behavior and ordering patterns. Additionally, keeping our workforce safe and manufacturing and field service operations continues to require new procedures and challenges. I am incredibly proud of how the people at ventures companies adapted to serve their customers and each other throughout this time. Those challenges all continue and we are by no means out of the woods, but I think the performance of the businesses in 2020 stands a testament to the value they bring to their customers.

We do not anticipate any acquisitions in the Ventures Group in the near-term. We continue to think that the best current capital allocation decision is to support the growth and opportunity in our insurance business. We continue to believe that Markel continues to be served well by our diversified three engine strategy of building excellent insurance investment and ventures operations.

While COVID-19 created a whirling negative cluster that eliminated the normal benefits of diversification during the first quarter, we're pleased to report rebounds and improvement to you this quarter. We look forward to future years when we get to use the word usual and in the word unprecedented and we appreciate your long-term support and partnership as we get from here to there.

With that, thank you very much and we'd now like to answer your questions. Operator if you can open the line for questions.