Old Republic posts quarterly earnings
Old Republic International Corporation’s (ORI) earnings for the first quarter 2014 were boosted by moderately improved performance in general insurance and by the continuation of a strong turnaround in the run-off mortgage guaranty line.
“While title insurance operations remained profitable, a transitory real estate and mortgage market downturn halted the fast-paced earnings progress of the past three years,” the company’s earnings stated.
“Consolidated net income was greatly enhanced by the realization of above-normal gains from sales of investment securities,” it added.
The company posted operating revenue for the first quarter of $1,239 million, slightly down from $1,265 million for the same period a year ago.
“The decline in title insurance premiums and fees reflects a significant drop in refinance transactions since mid-year 2013. The effects of the latter were magnified by adverse winter weather conditions, a rise in mortgage interest rates and lingering uncertainty about credit availability. These negative factors were partially offset by the Company's continuing market share gain,” the earnings said.