Atlantic American Reports First Quarter Results oInsurance premiums increase 16.4% in 1^st quarter 2014 compared to 1^st quarter 2013 oLife and health and property and casualty insurance premiums increase 5.4% and 45.9%, respectively, in 1^st quarter 2014 compared to 1^st quarter 2013 o1^st quarter 2014 operating income of $0.9 million more than double 1^st quarter 2013 operating income of $0.3 million ATLANTA, May 12, 2014 (GLOBE NEWSWIRE) -- Atlantic American Corporation (Nasdaq:AAME) today reported first quarter 2014 results, which included a 16.4% increase in insurance premiums for the quarter ended March 31, 2014 to $38.4 million as compared to $33.0 million in the first quarter of 2013.Total revenues were up 12.3% in the comparable period.Net income declined slightly to $0.8 million or $0.03 per common share in the first quarter of 2014 as compared to $0.9 million or $0.04 per common share in the first quarter of 2013; however, operating income for the first quarter of 2014 was $0.9 million as compared to $0.3 million for the first quarter of 2013.Realized investment gains during the first quarter of 2014 were $0.1 million as compared to $0.7 million in the first quarter of 2013. Additionally, the Company announced that the Board of Directors has terminated the Company's existing stock repurchase plan and approved a new repurchase plan that allows for the repurchase of up to 750,000 shares of the Company's common stock from time to time in accordance with applicable securities laws and other requirements. Commenting on the quarter, Hilton H. Howell, Jr., Chairman, president and chief executive officer, stated, "Our solid premium growth has continued into 2014; although, with the award of a significant new state contract in 2013, the most significant increases in our earned premiums are now in our property and casualty operations.The combination of premium increases with reduced losses, as a percentage of the related premiums, in our life and health operations resulted in the substantial increase in our operating income in the first quarter of 2014 as compared with the same period in 2013.Further, we are pleased that the board has determined to provide the Company with a new share repurchase authorization.We believe this reflects our financial strength and evidences our continued commitment to our shareholders." Atlantic American is an insurance holding company involved through its subsidiary companies in specialty markets of the life, health, and property and casualty insurance industries.Its principal insurance subsidiaries are American Southern Insurance Company, American Safety Insurance Company, Bankers Fidelity Life Insurance Company and Bankers Fidelity Assurance Company. Note regarding Private Securities Litigation Reform Act: Except for historical information contained herein, this press release contains forward-looking statements that involve a number of risks and uncertainties.Actual results could differ materially from those indicated by such forward-looking statements due to a number of factors and risks detailed from time to time in statements and reports that Atlantic American Corporation files with the Securities and Exchange Commission. Atlantic American Corporation Financial Data Three Months Ended March 31, (Unaudited; In thousands, except per share data) 2014 2013 Insurance premiums Life and health $25,392 $24,092 Property and casualty 13,026 8,927 Investment income 2,598 2,905 Realized investment gains, net 108 678 Other income 36 48 Total revenue 41,160 36,650 Insurance benefits and losses incurred Life and health 16,731 18,040 Property and casualty 10,097 5,322 Commissions and underwriting expenses 9,907 9,283 Interest expense 429 577 Other expense 3,003 2,417 Total benefits and expenses 40,167 35,639 Income before income taxes 993 1,011 Income tax expense 173 89 Net income $820 $922 Earnings per common share (basic and diluted) $0.03 $0.04 Reconciliation of Net Income to non-GAAP measurements Net income $820 $922 Income tax expense 173 89 Realized investment gains, net (108) (678) Operating income $885 $333 March 31, December 31, Selected Balance Sheet Data 2014 2013 Total cash and investments $257,110 $262,063 Insurance subsidiaries 229,533 228,605 Parent and other 27,577 33,458 Total assets 311,942 319,381 Insurance reserves and policyholder funds 157,783 162,373 Debt 41,238 41,238 Total shareholders' equity 101,860 100,927 Book value per common share 4.52 4.47 Statutory capital and surplus Life and health 34,927 34,530 Property and casualty 39,088 39,092 CONTACT: John G. Sample, Jr. Senior Vice President and Chief Financial Officer Atlantic American Corporation 404-266-5501 Hilton H. Howell, Jr. Chairman, President & CEO Atlantic American Corporation 404-266-5505
Atlantic American Reports First Quarter Results
Press spacebar to pause and continue. Press esc to stop.