Liberty Mutual Insurances first-quarter earnings sank 30.7 percent, due largely to a $130 million loss tied to Venezuelas recent devaluation of its currency in an effort to shore up its own finances.

The Boston-based insurers net income fell by $141 million to $318 million for the three months that ended March 31.

Revenue climbed 3 percent to $9.14 billion from $8.88 billion in the same period of 2012.

CEO David H. Long said the companys improved results, with pre-tax operating income up $79 million to $656 million, were masked by the impact of the Venezuelan currency devaluation, which will be substantially offset during the remainder of the year.

More importantly, our decision to grow where we can do so profitably, and to raise prices or contract in under-performing lines, is gaining traction, Long said in a statement. This pricing, profitability and selective growth momentum should continue for the foreseeable future as we adhere to the same disciplined strategy.

Liberty Mutual is the third largest property and casualty insurer in the United States based on 2012 direct written premiums.

Its net written premiums totaled $8.59 billion for the quarter, a 6.4 percent increase from last year.

See the article here:

Liberty Mutual earnings drop more than 30 percent