Meadowbrook Insurance Group Inc. (NYSE:MIG) delivered a profit and met Wall Street’s expectations, AND came up short on beating the revenue expectation. The revenue miss is a negative sign to shareholders seeking high growth out of the company. Shares are up 2.77%.
Meadowbrook Insurance Group Inc. Earnings Cheat Sheet
Results: Adjusted Earnings Per Share decreased 6.67% to $0.14 in the quarter versus EPS of $0.15 in the year-earlier quarter.
Revenue: Decreased 11.36% to $191.67 million from the year-earlier quarter.
Actual vs. Wall St. Expectations: Meadowbrook Insurance Group Inc. reported adjusted EPS income of $0.14 per share. By that measure, the company missed the mean analyst estimate of $0.14. It missed the average revenue estimate of $208.78 million.
Quoting Management: Commenting on the quarterly results, Robert S. Cubbin, President and Chief Executive officer, stated: “Our first quarter results were consistent with our expectations. We are committed to our business plan and returning to our historic levels of underwriting profitability in the near term. We have enhanced our statutory surplus, stabilized reserves, continued to achieve rate increases in excess of loss ratio trends, and terminated underperforming programs and business. With these actions, we have returned to operating profitability and increased statutory surplus by $74.9 million during the quarter. We are also pleased that A.M. Best has affirmed our “A-”(excellent) financial strength rating.”
Key Stats (on next page)…