FARGO, North Dakota, Nov. 13, 2017 (GLOBE NEWSWIRE) — NI Holdings, Inc. (NASDAQ:NODK) today reported its financial results for the quarter ended September 30, 2017. Significant items included:
- Net loss attributable to NI Holdings of $2.7 million for third quarter 2017 compared to a loss of $1.0 million for third quarter 2016.
- Net premiums earned of $52.5 million, a slight decrease from third quarter 2016.
- Net realized capital gain on investments of $1.9 million, compared to $5.0 million for third quarter 2016.
- Assumed reinsurance losses of $2.5 million relating to hurricanes Harvey, Irma, and Maria in third quarter 2017, producing a modest underwriting loss compared to a modest underwriting gain in third quarter 2016.
- Earnings per share of ($0.12) in third quarter 2017, and $0.09 year-to-date.
- Total equity of $239.9 million as of September 30, 2017.
“Although our bottom line results for the quarter are down when compared to 2016, we are encouraged by improvement in our property and casualty lines of business,” said Michael J. Alexander, President and CEO. “While second and third quarter results in this industry can be impacted by higher frequency and severity of weather related losses, our experience this year has improved significantly over last year and are within expectations for our property and casualty lines. Our crop insurance lines of business were impacted by the effects of the early season drought conditions across the western portions of North Dakota; therefore, the results for our crop lines vary significantly when compared to the results in 2016. We remain optimistic that the crop insurance lines will produce an underwriting profit during the fourth quarter as additional premiums are earned. Finally, our assumed block of reinsurance business was adversely impacted by hurricanes Harvey, Irma, and Maria during August and September.”
Earnings Conference Call
The Company will not hold an earnings conference call for third quarter 2017. Our Quarterly Report on Form 10-Q as filed with the SEC is available on the Company’s website at http://www.niholdingsinc.com.
About the Company
NI Holdings, Inc. is an insurance holding company. The company is a North Dakota business corporation that is the stock holding company of Nodak Insurance Company and became such in connection with the conversion of Nodak Mutual Insurance Company from a mutual to stock form of organization and the creation of a mutual holding company. The conversion was consummated on March 13, 2017. Immediately following the conversion, all of the outstanding shares of common stock of Nodak Insurance Company were issued to Nodak Mutual Group, Inc., which then contributed the shares to NI Holdings in exchange for 55% of the outstanding shares of common stock of NI Holdings. Nodak Insurance Company then became a wholly-owned stock subsidiary of NI Holdings.
Nodak Insurance Company owns American West Insurance Company and Primero Insurance Company. Nodak Insurance Company also manages Battle Creek Mutual Insurance Company and reinsures 100% of the risk on all insurance policies issued by Battle Creek. NI Holdings’ financial statements are the consolidated financial results of Nodak Insurance, American West, Primero, and Battle Creek.
Safe Harbor Statement
Some of the statements included in this news release, particularly those anticipating future financial performance, business prospects, growth and operating strategies, and similar matters, are forward-looking statements within the meaning of the U.S. Private Securities Litigation Reform Act of 1995. Actual results could vary materially. Factors that could cause actual results to vary materially include: our ability to maintain profitable operations, the adequacy of the loss and loss adjustment expense reserves, business and economic conditions, interest rates, competition from various insurance and other financial businesses, terrorism, the availability and cost of reinsurance, adverse and catastrophic weather events, legal and judicial developments, changes in regulatory requirements, our ability to integrate and manage successfully the insurance companies we may acquire from time to time, and other risks we describe in the periodic reports we file with the Securities and Exchange Commission. You should not place undue reliance on any such forward-looking statements. We disclaim any obligation to update such statements or to announce publicly the results of any revisions that we may make to any forward-looking statements to reflect the occurrence of anticipated or unanticipated events or circumstances after the date of such statements.
For a detailed discussion of the risk factors that could affect our actual results, please refer to the risk factors identified in our SEC reports, including, but not limited to our Annual Report on Form 10-K, as filed with the SEC.
Investor Relations Contacts:
Brian Doom, Chief Financial Officer
Timothy J. Milius, CPA, Vice President, Finance