Capital Title Group Reports First Quarter Revenue and Earnings Surpass Analyst's Projections
April 24, 2002
Revenue Up 57.4%, Pre-Tax Income Up 274.6%, and Net Income Up 123.1%
PHOENIX /PRNewswire-FirstCall/ -- Capital Title Group, Inc. (Nasdaq: CTGI) -- a regional provider of title insurance and real estate-related services, announced results for the first quarter ended March 31, 2002 that topped analyst's projections. Revenues for the three month period were $19,394,830, a 57.4 percent increase compared with $12,322,905 in the first quarter period 2001. Pre-tax income for the first quarter 2002 rose a significant 274.6 percent to $1,878,956 compared to $501,558 pre-tax income in the prior year period. Net income of $1,118,956 or $0.06 per diluted share for the three month period was an impressive 123.1 percent increase, after applicable income taxes, compared to net income of $501,558 or $0.03 per diluted share for the first quarter ended March 31, 2001. Net income in the prior quarters were not subject to income tax due to available loss carryforwards which were fully utilized during 2001.
"The first quarter of 2002 was another outstanding period," said Donald R. Head, chairman, president and chief executive officer of Capital Title Group. "We improved our market share in California through internal growth and the opening of four branch locations that increased our presence in San Diego and Orange counties. We now have 30 branches located in ten California markets. Our 36th Arizona branch was opened in the largest county in Arizona where we are one of the top three providers of title and escrow services.
"Overall we continue to see the benefits of our investment in the California market that has been developed on our successful Arizona business model. The profitable operations from both areas contributed to the impressive 274.6 percent increase in pre-tax income for the quarter as revenue increased and costs were tightly controlled. The 123.1 percent increase in after tax net income is rewarding to report knowing that it is through the commitment of our entire staff, now over 800, that we succeed," Head stated.
As previously reported, the anticipated closing of the company's asset purchase from BridgeSpan Title Company was completed on April 1, 2002. In the approximate $4.3 million cash transaction, the company acquired an interest in a joint title plant for the northern California counties of Santa Clara, San Mateo and Sacramento in addition to five branch offices located in communities that are high volume growth markets.
Headquartered in Phoenix, Arizona, Capital Title Group, Inc. is a regional title insurance agent with 66 offices representing five title insurance companies and also offers real estate-related services for residential and commercial customers through its wholly owned subsidiaries, Capital Title Agency in Arizona with 36 branch operations and New Century Title Company in California with 30 branches located strategically in major markets.
Visit the company's web sites www.capitaltitlegroup.com and www.newcenturytitle.com
Copyright: Inman News Service