Everest Re Group Ltd.RE reported first-quarter 2016 operating earnings of $5.19 per share that missed the Zacks Consensus Estimate by 7.6%. Earnings declined 29.3% year over year. The company’s earnings miss was primarily due to challenges in investment and underwriting activities with foreign currency fluctuations and declining rates affecting reinsurance business.Including net realized capital losses of $1.19 per share, the company reported net income of $4.00 per share, down 44.4% year over year. The company’s shares fell in after hours trading session following lackluster earnings results. We wait to see how the share price reacts during the trading session. Operational UpdateEverest Re’s total operating revenue of $1.32 billion decreased 10.6% year over year due to lower premiums earned. Revenues also missed the Zacks Consensus Estimate of $1.47 billion by 10.32%.Gross written premiums declined 5% year over year to $1.4 billion. Excluding foreign currency fluctuations, premiums were down 3%.Everest Re’s net investment income came in at $102.5 million in the quarter, down 16.4% year over year. This included a $6.2 million loss on limited partnership investments.Total claims and expenses decreased 0.6% year over year. Decrease in losses incurred and loss adjustment expenses, and commission, brokerage, taxes and fees reduced overall expenses.Combined ratio was 86% in the first quarter, deteriorating 290 basis points year over year.. Excluding catastrophe losses arising from the Taiwan earthquake and prior year development, combined ratio deteriorated 220 basis points to 85.3%.Financial UpdateEverest Re exited the quarter with total assets of $20.8 billion, up from $20.5 billion at 2015 end. Everest Re’s shareholder equity at the end of the reported quarter was $7.8 billion, higher than the 2015-end level of $7.6 billion.Total cash balance at the end of the quarter was $328.9 million, up from $283.6 million as of Dec 31, 2015. Everest Re's cash flow from operations was $367.1 million in the first quarter, up 4.7% year on year.Book value per share increased 4% from year-end 2015 to $184.91 as of Mar 31, 2016.Return on equity was 12% for the reported quarter.Share Repurchase UpdateDuring the quarter, Everest Re bought back 0.46 million shares for $85.9 million at an average price of $185 per share. The company now has 3.6 million shares available for repurchase.Zacks Rank and Other StocksEverest Re carries a Zacks Rank #2 (Buy). The bottom line at The Travelers Companies, Inc. TRV missed Zacks Consensus Estimate, while earnings of First American Financial FAF and RLI Corp. RLI beat the same.Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report RLI CORP (RLI): Free Stock Analysis Report TRAVELERS COS (TRV): Free Stock Analysis Report EVEREST RE LTD (RE): Free Stock Analysis Report FIRST AMER FINL (FAF): Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research