NI Holdings, Inc. Files Results for First Quarter Ended March 31, 2022
06 Maio 2022 - 5:15PM
NI Holdings, Inc. (NASDAQ: NODK) today reported net income
attributable to NI Holdings of $1.9 million ($0.09 per share) and
return on average equity of 2.3% for the quarter ended March 31,
2022, compared to net income of $9.7 million ($0.45 per share) and
return on average equity of 11.2% in the prior year quarter.
- Direct written premiums grew 4.3%, driven by our commercial and
home and farm segments.
- Total underwriting gain increased 20.9% to $6.1 million, driven
by increased year-over-year profitability in our home and farm
segment.
- The return on average equity was 2.3% compared to 11.2% in the
prior year quarter, due to a significant reduction in unrealized
investment gains as a result of unfavorable equity market
conditions, partially offset by improved underwriting results.
- Total shareholders’ equity decreased 4.4% from year-end 2021 to
$332.3 million, driven by the impact of rising interest rates in
our fixed income portfolio.
- The Company repurchased 54,872 shares of common stock at an
average price of $18.17 per share for a total of $1.0 million
during the quarter.
|
NI Holdings Q1 2022 Financial Highlights: |
Dollars in thousands, except earnings per share (unaudited) |
|
|
Three Months Ended March 31, |
|
2022 |
2021 |
Change |
Net income attributable to NI
Holdings |
$1,909 |
$9,669 |
-80.3% |
Direct written
premiums(1) |
$75,533 |
$72,420 |
+4.3% |
Net earned premiums |
$69,587 |
$63,135 |
+10.2% |
Loss and LAE ratio(2) |
57.7% |
58.4% |
-0.7 pts |
Expense ratio(3) |
33.6% |
33.6% |
0 pts |
Combined ratio(4) |
91.3% |
92.1% |
-0.8 pts |
Return on average equity |
2.3% |
11.2% |
-8.9 pts |
Basic earnings per share |
$0.09 |
$0.45 |
-$0.36 |
|
|
|
|
(1) Direct written
premiums represents the amount of insurance premiums purchased by
policyholders during the period.(2) Loss and LAE ratio equals
losses and loss adjustment expenses, divided by net premiums
earned.(3) Expense ratio equals amortization of deferred policy
acquisition costs and other underwriting and general expenses,
divided by net premiums earned.(4) Combined ratio equals losses and
loss adjustment expenses, amortization of deferred policy
acquisition costs, and other underwriting and general expenses,
divided by net premiums earned. |
|
“We are off to a solid start with respect to our underwriting
performance in 2022”, said Michael J. Alexander, President and CEO.
“We were able to achieve excellent underwriting results, as
illustrated by our 91.3% combined ratio, while still producing
strong premium growth across our commercial, private passenger
auto, non-standard auto, and home and farm segments. We are already
starting to see the benefits of the pricing and underwriting
changes that we implemented during the second-half of 2021.
However, we continue to assess additional changes as the high
inflationary environment continues to drive increased loss
severity, especially in our private passenger auto and non-standard
auto segments.”
Earnings Conference Call
The Company will not hold an earnings conference call for first
quarter 2022. Our Quarterly Report on Form 10-Q as filed with the
SEC is available on the Company’s website at
http://www.niholdingsinc.com. Our latest Financial Supplement is
also available on the Company’s website.
About the Company
NI Holdings, Inc. is an insurance holding company. The company
is a North Dakota business corporation that is the stock holding
company of Nodak Insurance Company and became such in connection
with the conversion of Nodak Mutual Insurance Company from a mutual
to stock form of organization and the creation of a mutual holding
company. The conversion was consummated on March 13, 2017.
Immediately following the conversion, all of the outstanding shares
of common stock of Nodak Insurance Company were issued to Nodak
Mutual Group, Inc., which then contributed the shares to NI
Holdings in exchange for 55% of the outstanding shares of common
stock of NI Holdings. Nodak Insurance Company then became a
wholly-owned stock subsidiary of NI Holdings.
NI Holdings completed the acquisition of Direct Auto Insurance
Company on August 31, 2018, which is a wholly-owned stock
subsidiary of NI Holdings.
NI Holdings completed the acquisition of Westminster American
Insurance Company on January 1, 2020, which is a wholly-owned stock
subsidiary of NI Holdings.
Nodak Insurance Company owns American West Insurance Company and
Primero Insurance Company. Nodak Insurance Company also controls
Battle Creek Mutual Insurance Company as a result of an affiliation
agreement between the two companies.
NI Holdings’ financial statements are the consolidated financial
results of NI Holdings; Nodak Insurance, including Nodak
Insurance’s wholly-owned subsidiaries American West and Primero,
and its affiliate Battle Creek; Direct Auto; and Westminster.
Safe Harbor Statement
Some of the statements included in this news release,
particularly those anticipating future financial performance,
business prospects, growth and operating strategies, the impact of
pricing and underwriting changes on operating results, and similar
matters, are forward-looking statements within the meaning of the
U.S. Private Securities Litigation Reform Act of 1995. Actual
results could vary materially. Factors that could cause actual
results to vary materially include: our ability to maintain
profitable operations, the adequacy of the loss and loss adjustment
expense reserves, business and economic conditions, interest rates,
competition from various insurance and other financial businesses,
terrorism, the availability and cost of reinsurance, adverse and
catastrophic weather events, including the impacts of climate
change, legal and judicial developments, changes in regulatory
requirements, our ability to integrate and manage successfully the
insurance companies we may acquire from time to time, the impact of
inflation on our operating results, and other risks we describe in
the periodic reports we file with the Securities and Exchange
Commission. You should not place undue reliance on any such
forward-looking statements. We disclaim any obligation to update
such statements or to announce publicly the results of any
revisions that we may make to any forward-looking statements to
reflect the occurrence of anticipated or unanticipated events or
circumstances after the date of such statements.
For a detailed discussion of the risk factors that could affect
our actual results, please refer to the risk factors identified in
our SEC reports, including, but not limited to our Annual Report on
Form 10-K, as filed with the SEC.
Investor Relations Contact: Seth
DaggettExecutive Vice President, Treasurer and Chief Financial
Officer701-298-4348sdaggett@nodakins.com
Media Contact: Beth
DuFault701-298-4282bdufault@nodakins.com
NI (NASDAQ:NODK)
Gráfico Histórico do Ativo
De Mai 2024 até Jun 2024
NI (NASDAQ:NODK)
Gráfico Histórico do Ativo
De Jun 2023 até Jun 2024