Mercury Insurance 2007 Annual Report Download - page 42

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40 MERCURYNOW 2007
TEN YEAR SUMMARY
TEN YEAR SUMMARY
All dollar figures in thousands, except per share data 2007 2006 2005 2004
Operating Results (GAAP Basis):
Net premiums written $ 2,982,024 $ 3,044,774 $ 2,950,523 $ 2,646,704
Decrease (increase) in unearned premiums 11,853 (47,751) (102,790) (118,068)
Earned premiums 2,993,877 2,997,023 2,847,733 2,528,636
Losses and loss adjustment expenses 2,036,644 2,021,646 1,862,936 1,582,254
Underwriting expenses 818,481 825,508 769,116 673,838
Net investment income 158,911 151,099 122,582 109,681
Net realized investment gains (losses) 20,808 15,436 16,160 25,065
Other income 5,154 5,185 5,438 4,775
Interest expense 8,589 9,180 7,222 4,222
Income before income taxes 315,036 312,409 352,639 407,843
Income tax expense (benefit) 77,204 97,592 99,380 121,635
Net income $ 237,832 $ 214,817 $ 253,259 $ 286,208
Net income per share (basic) $ 4.35 $ 3.93 $ 4.64 $ 5.25
Net income per share (diluted) $ 4.34 $ 3.92 $ 4.63 $ 5.24
Operating ratios
Loss ratio 68.0% 67.5% 65.4% 62.6%
Expense ratio 27.4% 27.5% 27.0% 26.6%
Combined ratio 95.4% 95.0% 92.4% 89.2%
Investments:
Total investments, at fair value $ 3,588,675 $ 3,499,738 $ 3,242,712 $ 2,921,042
Yield on average investments
Before taxes 4.6% 4.5% 4.0% 4.1%
After taxes 4.0% 3.8% 3.5% 3.6%
Financial Condition:
Total assets $ 4,414,496 $ 4,301,062 $ 4,050,868 $ 3,622,949
Unpaid losses and loss adjustment expenses 1,103,915 1,088,822 1,022,603 900,744
Unearned premiums 938,370 950,344 902,567 799,679
Notes payable 138,562 141,554 143,540 137,024
Policyholders’ surplus 1,721,827 1,579,248 1,487,574 1,361,072
Total shareholders’ equity 1,861,998 1,724,130 1,607,837 1,459,548
Book value per share $ 34.02 $ 31.54 $ 29.44 $ 26.77
Other Information:
Return on average shareholders’ equity 12.5% 12.3% 15.8% 19.9%
Basic average shares outstanding (000’s) 54,704 54,651 54,566 54,471
Shares outstanding at year-end (000’s) 54,730 54,670 54,605 54,515
Dividends per share $ 2.08 $ 1.92 $ 1.72 $ 1.48
Price range (bids) of common stock $ 59.06-48.76 $ 59.90-48.75 $ 60.45-51.16 $ 60.26-46.29