Investors Title Company Announces First Quarter Earnings

Apr 27, 2001, 01:00 ET from Investors Title Company

    CHAPEL HILL, N.C., April 27 /PRNewswire/ -- J. Allen Fine, Chairman of
 Investors Title Company (Nasdaq:   ITIC), announced that for the quarter ended
 March 31, 2001, the Company's net income increased 61% to $840,124 compared
 with $521,607 for the prior year period.  Net income per diluted share equaled
 $0.32 versus $0.20 per diluted share in the same period last year.  Net
 premiums written increased 37% to $11,437,725, investment income increased 16%
 to $685,877 and total revenues increased 35% to $12,589,252 compared with the
 prior year period.
     Chairman Fine added, "Stimulated by the decline in mortgage rates at the
 end of last year, mortgage refinancing picked up significantly in the first
 quarter of 2001.  This contributed substantially to the increase in our
 premiums written.  We also experienced continued growth in revenue from
 premiums generated in new operating territories."
     Investors Title Company is engaged in the business of issuing and
 underwriting title insurance policies.  Title insurance is typically sold when
 real estate is purchased.  Policies are issued through 29 company-owned branch
 offices and a network of agents located across sixteen states.
 
 
                    Investors Title Company and Subsidiaries
                            Consolidated Balance Sheets
                    As of March 31, 2001 and December 31, 2000
 
 
                                             March 31, 2001  December 31, 2000
     Assets
        Cash and cash equivalents              $  7,167,875      $  7,850,991
 
       Investments in securities:
         Fixed maturities:
           Held-to-maturity, at amortized
            cost                                  4,965,586         4,375,127
           Available-for-sale, at fair
            value                                33,630,405        31,710,705
           Equity securities, at fair
            value                                 4,533,222         4,970,069
             Total investments                   43,129,213        41,055,901
 
       Premiums receivable, net                   4,005,044         3,023,304
       Accrued interest and dividends               566,971           616,652
       Prepaid expenses and other assets            649,953         1,091,416
       Property acquired in settlement of
        claims                                      294,510           204,117
       Property, net                              5,220,494         5,496,626
       Deferred income taxes, net                   241,805                --
 
     Total Assets                               $61,275,865       $59,339,007
 
     Liabilities and Stockholders' Equity
     Liabilities:
       Reserves for claims                      $18,619,665       $17,944,665
       Accounts payable and accrued
        liabilities                               1,955,671         1,918,034
       Commissions and reinsurance
        payables                                    223,669           222,748
       Premium taxes payable                         71,283                --
       Current income taxes payable                 478,721            24,069
       Deferred income taxes, net                        --            39,842
           Total liabilities                     21,349,009        20,149,358
 
     Stockholders' Equity:
       Common stock                                       1                 1
       Retained earnings                         37,727,661        37,021,270
       Accumulated other comprehensive
        income (net unrealized gain on
        investments)                              2,199,194         2,168,378
           Total stockholders' equity            39,926,856        39,189,649
 
     Total Liabilities and Stockholders'
      Equity                                    $61,275,865       $59,339,007
 
 
                      Investors Title Company and Subsidiaries
                         Consolidated Statements of Income
                              March 31, 2001 and 2000
 
 
                                                      For The Three
                                                       Months Ended
                                                         March 31
                                              2001                    2000
     Revenues:
       Underwriting income:
          Premiums Written                 $11,501,245              $8,443,307
          Less-premiums for reinsurance
           ceded                                63,520                  73,169
               Net premiums written         11,437,725               8,370,138
          Investment income-interest and
           dividends                           685,877                 591,791
          Net realized gain on sales of
           investments                           2,205                  62,867
          Other                                463,445                 301,437
               Total                        12,589,252               9,326,233
 
     Operating Expenses:
          Commissions to agents              5,320,218               3,377,871
          Provision for claims               1,410,645               1,244,804
          Salaries and employee benefits     2,462,829               2,488,329
          Office occupancy and operations    1,217,194                 908,464
          Business development                 331,273                 262,556
          Taxes, other than payroll and
           income                               60,844                  53,461
          Premium and retaliatory taxes        286,177                 211,624
          Professional fees                    222,379                 171,691
          Other                                 99,569                  28,226
               Total                        11,411,128               8,747,026
 
     Income Before Income Taxes              1,178,124                 579,207
 
     Provision For Income Taxes                338,000                  57,600
 
     Net Income                            $   840,124              $  521,607
 
     Basic Earnings per Common Share             $0.33                   $0.20
 
     Weighted Average Shares Outstanding -
      Basic                                  2,566,921               2,643,241
 
     Diluted Earnings per Common Share     $      0.32              $     0.20
 
     Weighted Average Shares Outstanding -
      Diluted                                2,609,470               2,646,215
 
 
 
                      Investors Title Company and Subsidiaries
                     Net Premiums Written By Branch and Agency
                 For the Three Months Ended March 31, 2001 and 2000
 
 
                                 For Three Months Ended
                                         March 31
                                2001       %       2000        %
              Branch        $ 4,331,356    38   $3,604,130    43
 
              Agency          7,106,369    62    4,766,008    57
 
              Total         $11,437,725   100   $8,370,138   100
 
 
 
                      Investors Title Company and Subsidiaries
                           Net Premiums Written By State
                 For the Three Months Ended March 31, 2001 and 2000
 
 
     State                                              2001              2000
     Georgia                                      $   44,237        $   68,917
     Indiana                                           1,553           112,184
     Maryland                                        186,572           139,672
     Michigan                                      2,182,765         1,452,644
     Minnesota                                       444,314           141,783
     Mississippi                                       5,778             5,541
     Nebraska                                        267,112           316,913
     New York                                        649,551            72,621
     North Carolina                                4,301,891         3,576,796
     Ohio                                              4,470                --
     Pennsylvania                                    627,132           131,750
     South Carolina                                  807,680           770,103
     Tennessee                                       447,704           244,553
     Virginia                                      1,287,536         1,132,474
     West Virginia                                   241,468           262,846
     Wisconsin                                           921             3,942
     Reinsurance Income                                  561            10,568
     Reinsurance Ceded                               (63,520)          (73,169)
       Net Premiums Written                      $11,437,725        $8,370,138
 
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SOURCE Investors Title Company
    CHAPEL HILL, N.C., April 27 /PRNewswire/ -- J. Allen Fine, Chairman of
 Investors Title Company (Nasdaq:   ITIC), announced that for the quarter ended
 March 31, 2001, the Company's net income increased 61% to $840,124 compared
 with $521,607 for the prior year period.  Net income per diluted share equaled
 $0.32 versus $0.20 per diluted share in the same period last year.  Net
 premiums written increased 37% to $11,437,725, investment income increased 16%
 to $685,877 and total revenues increased 35% to $12,589,252 compared with the
 prior year period.
     Chairman Fine added, "Stimulated by the decline in mortgage rates at the
 end of last year, mortgage refinancing picked up significantly in the first
 quarter of 2001.  This contributed substantially to the increase in our
 premiums written.  We also experienced continued growth in revenue from
 premiums generated in new operating territories."
     Investors Title Company is engaged in the business of issuing and
 underwriting title insurance policies.  Title insurance is typically sold when
 real estate is purchased.  Policies are issued through 29 company-owned branch
 offices and a network of agents located across sixteen states.
 
 
                    Investors Title Company and Subsidiaries
                            Consolidated Balance Sheets
                    As of March 31, 2001 and December 31, 2000
 
 
                                             March 31, 2001  December 31, 2000
     Assets
        Cash and cash equivalents              $  7,167,875      $  7,850,991
 
       Investments in securities:
         Fixed maturities:
           Held-to-maturity, at amortized
            cost                                  4,965,586         4,375,127
           Available-for-sale, at fair
            value                                33,630,405        31,710,705
           Equity securities, at fair
            value                                 4,533,222         4,970,069
             Total investments                   43,129,213        41,055,901
 
       Premiums receivable, net                   4,005,044         3,023,304
       Accrued interest and dividends               566,971           616,652
       Prepaid expenses and other assets            649,953         1,091,416
       Property acquired in settlement of
        claims                                      294,510           204,117
       Property, net                              5,220,494         5,496,626
       Deferred income taxes, net                   241,805                --
 
     Total Assets                               $61,275,865       $59,339,007
 
     Liabilities and Stockholders' Equity
     Liabilities:
       Reserves for claims                      $18,619,665       $17,944,665
       Accounts payable and accrued
        liabilities                               1,955,671         1,918,034
       Commissions and reinsurance
        payables                                    223,669           222,748
       Premium taxes payable                         71,283                --
       Current income taxes payable                 478,721            24,069
       Deferred income taxes, net                        --            39,842
           Total liabilities                     21,349,009        20,149,358
 
     Stockholders' Equity:
       Common stock                                       1                 1
       Retained earnings                         37,727,661        37,021,270
       Accumulated other comprehensive
        income (net unrealized gain on
        investments)                              2,199,194         2,168,378
           Total stockholders' equity            39,926,856        39,189,649
 
     Total Liabilities and Stockholders'
      Equity                                    $61,275,865       $59,339,007
 
 
                      Investors Title Company and Subsidiaries
                         Consolidated Statements of Income
                              March 31, 2001 and 2000
 
 
                                                      For The Three
                                                       Months Ended
                                                         March 31
                                              2001                    2000
     Revenues:
       Underwriting income:
          Premiums Written                 $11,501,245              $8,443,307
          Less-premiums for reinsurance
           ceded                                63,520                  73,169
               Net premiums written         11,437,725               8,370,138
          Investment income-interest and
           dividends                           685,877                 591,791
          Net realized gain on sales of
           investments                           2,205                  62,867
          Other                                463,445                 301,437
               Total                        12,589,252               9,326,233
 
     Operating Expenses:
          Commissions to agents              5,320,218               3,377,871
          Provision for claims               1,410,645               1,244,804
          Salaries and employee benefits     2,462,829               2,488,329
          Office occupancy and operations    1,217,194                 908,464
          Business development                 331,273                 262,556
          Taxes, other than payroll and
           income                               60,844                  53,461
          Premium and retaliatory taxes        286,177                 211,624
          Professional fees                    222,379                 171,691
          Other                                 99,569                  28,226
               Total                        11,411,128               8,747,026
 
     Income Before Income Taxes              1,178,124                 579,207
 
     Provision For Income Taxes                338,000                  57,600
 
     Net Income                            $   840,124              $  521,607
 
     Basic Earnings per Common Share             $0.33                   $0.20
 
     Weighted Average Shares Outstanding -
      Basic                                  2,566,921               2,643,241
 
     Diluted Earnings per Common Share     $      0.32              $     0.20
 
     Weighted Average Shares Outstanding -
      Diluted                                2,609,470               2,646,215
 
 
 
                      Investors Title Company and Subsidiaries
                     Net Premiums Written By Branch and Agency
                 For the Three Months Ended March 31, 2001 and 2000
 
 
                                 For Three Months Ended
                                         March 31
                                2001       %       2000        %
              Branch        $ 4,331,356    38   $3,604,130    43
 
              Agency          7,106,369    62    4,766,008    57
 
              Total         $11,437,725   100   $8,370,138   100
 
 
 
                      Investors Title Company and Subsidiaries
                           Net Premiums Written By State
                 For the Three Months Ended March 31, 2001 and 2000
 
 
     State                                              2001              2000
     Georgia                                      $   44,237        $   68,917
     Indiana                                           1,553           112,184
     Maryland                                        186,572           139,672
     Michigan                                      2,182,765         1,452,644
     Minnesota                                       444,314           141,783
     Mississippi                                       5,778             5,541
     Nebraska                                        267,112           316,913
     New York                                        649,551            72,621
     North Carolina                                4,301,891         3,576,796
     Ohio                                              4,470                --
     Pennsylvania                                    627,132           131,750
     South Carolina                                  807,680           770,103
     Tennessee                                       447,704           244,553
     Virginia                                      1,287,536         1,132,474
     West Virginia                                   241,468           262,846
     Wisconsin                                           921             3,942
     Reinsurance Income                                  561            10,568
     Reinsurance Ceded                               (63,520)          (73,169)
       Net Premiums Written                      $11,437,725        $8,370,138
 
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 SOURCE  Investors Title Company