GALVESTON, Texas, Oct. 22, 2012 (GLOBE NEWSWIRE) -- American National Insurance Company (Nasdaq:ANAT) announced third quarter 2012 net income of $59,186,000 ($2.20 per diluted share) compared to net income of $57,650,000 ($2.16 per diluted share) for the same period in 2011.
Third quarter after tax operating income, which excludes after tax net realized investment gains, increased to $50,782,000 ($1.89 per diluted share), as compared with $49,408,000 ($1.85 per diluted share) for the same period in 2011. After tax net realized investment gains were $8,404,000 ($0.31 per diluted share) for the third quarter of 2012 as compared with the net realized gains of $8,242,000 ($0.31 per diluted share) for the third quarter of 2011.
Net income for the nine months ended September 30, 2012 was $124,908,000 ($4.65 per diluted share), a decrease from net income of $134,418,000 ($5.03 per diluted share) for the same period in 2011. A lower level of realized gains on investments was the primary reason for the reduction in net income. The decrease was partially offset by improved property and casualty and annuity segment results.
After tax operating earnings for the first nine months of 2012, which exclude after tax net realized investment gains and losses, were $108,802,000 ($4.05 per diluted share) compared to $96,954,000 ($3.63 per diluted share) for the same period in 2011. After tax operating earnings improved as a result of increased earnings in the property and casualty and annuity segments. After tax net realized investment gains totaled $16,106,000 ($0.60 per diluted share) for the first nine months of 2012 compared with net realized investment gains of $37,464,000 ($1.40 per diluted share) for the same period in 2011.
Total assets as of September 30, 2012 increased to $23.0 billion, a 2.5% increase from the end of 2011. Stockholders' Equity as of September 30, 2012 increased to $3.8 billion, up 5.1% from the end of 2011. Book value per diluted share was $142.44 at September 30, 2012 as compared to $136.16 per diluted share at December 31, 2011. Total revenues for the nine months ended September 30, 2012 were slightly less than 2011, primarily as a result of a decrease in realized investment gains.
The 2011 net income included herein reflects the changes necessary to adopt, on a retrospective basis, ASU 2010-26 regarding deferred acquisition costs. The adjustment of prior year income amounts is part of the changes necessary to conform to the new accounting standard. The retrospective adoption reduced net income for the first nine months of 2011 by $1,691,000 from the amounts reported in the prior year.
| American National Insurance Company | ||||
| COMPARATIVE OPERATIONAL HIGHLIGHTS | ||||
| Compiled on a GAAP basis (Preliminary & Unaudited)* | ||||
|
Quarter Ended September 30, |
Nine Months Ended September 30, |
|||
|
2012 |
As adjusted** 2011 |
2012 |
As adjusted** 2011 |
|
| Revenues | $ 760,068,000 | $ 732,710,000 | $ 2,233,705,000 | $ 2,246,363,000 |
| After-tax earnings: | ||||
| Operating earnings *** | $ 50,782,000 | $ 49,408,000 | $ 108,802,000 | $ 96,954,000 |
| Net realized investment gains | 8,404,000 | 8,242,000 | 16,106,000 | 37,464,000 |
| Net income | 59,186,000 | 57,650,000 | 124,908,000 | 134,418,000 |
| Per share earnings: | ||||
| Operating earnings – Diluted *** | $ 1.89 | $ 1.85 | $ 4.05 | $ 3.63 |
| Net realized investment gains | ||||
| – Diluted | 0.31 | 0.31 | 0.60 | 1.40 |
| Net income – Diluted | 2.20 | 2.16 | 4.65 | 5.03 |
| Weighted average number of shares | ||||
| upon which computations are based: | ||||
| Diluted | 26,870,655 | 26,718,464 | 26,859,100 | 26,706,798 |
| Basic | 26,736,464 | 26,559,950 | 26,699,211 | 26,559,865 |
| As of | ||||
|
September 30, 2012 |
As Adjusted ** December 31, 2011 |
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| Book value per diluted share | $ 142.44 | $ 136.16 | ||
| * Results are preliminary and unaudited. American National expects to timely file its third quarter 2012 Form 10-Q in November. | ||||
| ** 2011 amounts have been adjusted for the adoption of ASU 2010-26. | ||||
| *** Operating earnings exclude after-tax realized investment gains and losses. The sum of Operating earnings (losses) and Net realized investment gains (losses) is equal to Net income (loss). | ||||
American National Insurance Company (American National), headquartered in Galveston, Texas was founded in 1905 and is licensed to conduct the business of insurance in all states except New York. American National has been evaluated and assigned the following ratings by nationally recognized rating agencies: A (Excellent) by A.M. Best Company, third highest of 13 active company ratings noted as "An excellent ability to meet their ongoing insurance obligations" and A (Strong) by Standard & Poor's, sixth highest of 20 active company ratings noted as "Strong capacity to meet financial commitments but somewhat subject to adverse economic conditions."
American National is also a family of companies that has, on a consolidated GAAP basis, $23.0 billion in assets, $19.2 billion in liabilities and $3.8 billion in stockholders' equity. The American National family of companies offers a broad line of products and services, which include life insurance, annuities, health insurance, credit insurance, pension products and property and casualty insurance for personal lines, agribusiness, and targeted commercial exposures. The American National family of companies operates in all 50 states and its major insurance subsidiaries include American National Life Insurance Company of Texas, American National Life Insurance Company of New York, American National Property and Casualty Company, Standard Life and Accident Insurance Company, Farm Family Life Insurance Company, Farm Family Casualty Insurance Company and United Farm Family Insurance Company.
For more information, including company news and investor relations information, visit the company's web site at www.anico.com.
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