The First American Financial Corporation reports record net income and record ...
July 26, 1993, SANTA ANA, CALIFORNIA
For the second quarter, net income was $17.5 million, a 31 percent increase over net income of $13.4 million in the same period 1992, while revenues for the quarter were $333.5 million, an increase of 19 percent over last year's $280.9 million. Earnings per share for the quarter rose to $1.55 from $1.50 in the same period 1992 despite a 26 percent increase in average shares outstanding.
For the six-month period ended June 30, 1993, net income reached $26.2 million, which included a one-time tax benefit of $4.2 million, compared with $19.7 million earned in the same period 1992. During the first half of 1993, revenues increased to $612.5 million from $509.3 million in the prior year, an increase of 20 percent.
According to President Parker S. Kennedy, the company's direct title operations processed and closed a record number of title orders during the second quarter due to continued refinance activity and an increase in resale housing transactions throughout the country, together with gains in the company's national market share.
"We are extremely pleased with our second quarter results," Kennedy said, "and are encouraged by the record volume of new orders opened during the period. These new orders would normally indicate strong revenues for the third quarter from our direct title operations and serve as an indication of near-term revenues in our agency title operations as well as our tax service and home warranty divisions."
The First American Financial Corporation, based in Santa Ana, Calif., is a leading provider of real estate financial services, including title insurance, tax monitoring and home warranty services, to real property buyers and mortgage lenders. The company also operates a trust and banking business in Southern California and credit reporting and property information services in selected Eastern states. The company offers its title services through a network of more than 300 offices and 4,000 agents in all 50 states. It also provides title services abroad in the Bahamas, Bermuda, Canada, Guam, Mexico, Puerto Rico, the U.S. Virgin Islands and the United Kingdom.
Quarter ended June 30: 1993 1992 Revenues $333,495,000 $280,886,000 Net income $ 17,521,000 $ 13,421,000 Net income per share $ 1.55 $ 1.50
Six months ended June 30: Revenues $612,461,000 $509,257,000 Net income before accounting change $ 22,005,000 $ 19,675,000 Accounting change $ 4,200,000 -- Net income $ 26,205,000 $ 19,675,000 Per share data: Net income before accounting change $ 1.95 $ 2.20 Accounting change $ .37 -- Net income $ 2.32 $ 2.20 Average shares outstanding 11,309,000 8,943,000