LandAmerica Announces First Quarter Results
April 25, 2002
RICHMOND, Va., /PRNewswire-FirstCall/ -- LandAmerica Financial Group, Inc. (NYSE: LFG), a provider of title insurance and a broad range of real estate-related services, announced earnings for the first quarter, ended March 31, 2002, of $17.4 million, or $.93 per diluted share, compared to $6.6 million, or $.36 per diluted share in the comparable quarter of 2001. The first quarter 2002 results included after-tax charges of $2.1 million, or $.11 per diluted share, related primarily to office closures and restructuring at its OneStop operations.
The results for the 2002 first quarter, reflecting the new accounting rules in effect for goodwill, included $122,000 of amortization of acquisition-related intangibles, compared to $2.75 million in the first quarter of 2001. The first quarter of 2002 included after-tax gains from the sale of investments of $111,000, or $.01 per diluted share, while the first quarter of 2001 included after-tax losses from the sale of investments of $262,000, or $.01 per diluted share.
Operating revenues, excluding investment income, for the first quarter of 2002 increased 29% to $551.3 million, compared to $426.1 million in the comparable quarter of 2001.
During the first quarter of 2002, new open order counts totaled 237,556 compared to 256,865 in the same quarter of 2001, when we were seeing the strong effects of the declining interest rate environment on refinancing transactions.
Commenting on the company's performance, chairman and chief executive officer Charles H. Foster, Jr. noted, "We are very pleased with our results for the quarter. The first quarter of the year typically is seasonally weak. However, we enjoyed not only continued strength from residential refinancing transactions, but also a surprisingly resilient housing market.
"Our earnings for the first quarter of 2002, despite the charges related to our restructuring efforts at OneStop, have given us the strongest start for any year in our history. While refinancings are beginning to slow, the economy is showing early signs of recovery and overall housing activity remains strong. We are optimistic about our prospects for the remainder of the year as we expand our products and services to meet the needs of our customers."
Source: LandAmerica Financial Group, Inc.