November 9, 2015

American Independence Corp. Announces 2015 Third-Quarter and Nine-Month Results

NEW YORK, Nov. 09, 2015 (GLOBE NEWSWIRE) -- American Independence Corp. (NASDAQ:AMIC) today reported 2015 third-quarter and nine-month results.

Financial Results

AMIC reported net income of $1.6 million ($.20 per diluted share) for the three months ended September 30, 2015 compared to $2.1 million ($.25 per diluted share) for the three months ended September 30, 2014.  AMIC reported net income of $3.3 million ($.40 per diluted share) for the nine months ended September 30, 2015 compared to $3.2 million ($.39 per diluted share) for the nine months ended September 30, 2014

Revenues increased to $46.7 million for the three months ended September 30, 2015 compared to revenues of $41.2 million for the three months ended September 30, 2014, primarily due to an increase in premiums, agency income and fee income.  Revenues increased to $135.9 million for the nine months ended September 30, 2015 compared to revenues of $124.3 million for the nine months ended September 30, 2014, primarily due to an increase in premiums and fee income, offset by a decrease in agency income. 

Chief Executive Officer's Comments

Roy T. K. Thung, Chief Executive Officer, commented, "We are pleased with the continuing growth in earned premium of business written by IHC Risk Solutions, as evidenced by the 32% growth in our direct business written for the twelve months ended October 31, 2015.  With respect to our fully insured operating companies, we continue to build out the direct-to-consumer distribution that is essential to our future growth as a specialty health company, and we are pleased with the growth and excellent profitability of our ancillary and disability lines of business.  Income was negatively impacted in the quarter by realized investment losses of $162,000 versus gains of $580,000 for the three months ended September 30, 2015 and 2014, respectively.  Our financial condition and balance sheet remain strong.  We have grown our book value to $11.85 per share at September 30, 2015 from $11.34 per share at December 31, 2014."

About American Independence Corp.

American Independence Corp. is a holding company principally engaged in health insurance and reinsurance.  It provides specialized health coverage and related services to commercial customers and individuals.  Through Independence American Insurance Company and its other subsidiaries, it offers medical stop-loss, non-subscriber occupational accident, pet insurance, short-term medical, vision, dental and various supplemental products, which are marketed through its subsidiaries IHC Specialty Benefits, Inc. (including www.healthedeals.com and www.aspiraAmas.com, IPA Direct, LLC and IPA Family, LLC.  AMIC markets medical stop-loss through its marketing and administrative company IHC Risk Solutions, LLC.

Forward-Looking Statements

Certain statements and information contained in this release may be considered "forward-looking statements," such as statements relating to management's views with respect to future events and financial performance.  Such forward-looking statements are subject to risks, uncertainties and other factors that could cause actual results to differ materially from historical experience or from future results expressed or implied by such forward-looking statements.  Potential risks and uncertainties include, but are not limited to, economic conditions in the markets in which American Independence Corp. (AMIC) operates, new federal or state governmental regulation, AMIC's ability to effectively operate, integrate and leverage any past or future strategic acquisition, and other factors which can be found in AMIC's other news releases and filings with the Securities and Exchange Commission.  AMIC expressly disclaims any duty to update its forward-looking statements unless required by applicable law.



American Independence Corp.
Condensed Consolidated Statements of Income
(In thousands, except per share data)
(Unaudited)
     
  Three Months Ended Nine Months Ended
  September 30,  September 30,
   2015  2014   2015    2014 
         
Premiums earned$ 37,429 $33,927$ 110,878 $ 100,055 
Fee and agency income  8,821  5,944   22,443   21,481 
Net investment income  586  544  1,696   1,645 
Net realized investment gains (losses)  (162) 580  190   863 
Other income   57  162  691   220 
         
  Revenues  46,731  41,157  135,898   124,264 
         
Insurance benefits, claims and reserves  24,189   21,229  73,455   64,012 
Selling, general and administrative expenses  19,407  16,215  55,933   53,703 
Amortization and depreciation  449  418  1,128   1,280 
         
 Expenses  44,045  37,862  130,516   118,995 
         
Income before income tax  2,686  3,295  5,382   5,269 
Provision for income taxes  1,050  1,339  2,037   1,988 
         
Net income  1,636   1,956  3,345   3,281 
 Less: Net (income) loss attributable to the non-controlling interest    101  (95)  (125)
         
Net income attributable to American Independence Corp.$ 1,641 $2,05 $ 3,250 $ 3,156 
         
Basic income per common share:        
 Net income attributable to        
  American Independence Corp. common stockholders$ .20 $.25$ .40 $ .39 
         
Weighted-average shares outstanding  8,083  8,079  8,080   8,076  
         
Diluted income per common share:        
 Net income attributable to        
  American Independence Corp. common stockholders$ .20 $.25$ .40 $ .39 
         
Weighted-average diluted shares outstanding  8,094  8,097  8,092   8,102 



American Independence Corp.
Condensed Consolidated Balance Sheets
(In thousands, except per share data)
      
  September 30,   
   2015   December 31,
ASSETS: (Unaudited)   2014 
 Investments:     
 Securities purchased under agreements to resell$ 4,616  $ 3,143  
 Trading securities  1,107    1,138 
 Fixed maturities available-for-sale, at fair value  84,840    73,608 
 Equity securities available-for-sale, at fair value  1,025    1,013 
      
 Total investments  91,588    78,902 
      
 Cash and cash equivalents  6,235    4,569 
 Restricted cash  17,531    18,881 
 Accrued investment income  772    652 
 Premiums receivable  17,797    13,257 
 Net deferred tax asset  7,694    12,025 
 Due from reinsurers  5,703    5,532 
 Goodwill  6,134    - 
 Intangible assets  14,476    9,915 
 Accrued fee income  5,027    4,469 
 Due from securities brokers  533    293 
 Other assets  14,012    17,286 
      
 TOTAL ASSETS$ 187,502  $ 165,781 
      
LIABILITIES AND STOCKHOLDERS' EQUITY:     
 LIABILITIES:     
 Policy benefits and claims$ 43,819  $  33,616 
 Premium and claim funds payable  17,516    18,881 
 Commission payable  6,132    4,672 
 Accounts payable, accruals and other liabilities  16,476     11,283 
 Debt  3,189    - 
 State income taxes payable  618    597 
 Due to securities brokers  78    58 
 Due to reinsurers  786    2,334 
       
 Total liabilities  88,614    71,441 
        
STOCKHOLDERS' EQUITY:     
 American Independence Corp. stockholders' equity:     
  Preferred stock, $0.10 par value, 1,000 shares designated; no shares issued     
  and outstanding  -    - 
  Common stock, $0.01 par value, 15,000,000 shares authorized; 9,181,793 shares     
  issued, respectively; 8,088,105 and 8,079,215 shares outstanding, respectively  92    92 
  Additional paid-in capital  80,116    79,746 
  Accumulated other comprehensive gain (loss)  484    (154)
  Treasury stock, at cost, 1,093,688 and 1,102,578 shares, respectively  (10,161)   (10,243)
  Retained earnings  25,303    22,139 
  Total American Independence Corp. stockholders' equity  95,834    91,580 
 Non-controlling interest in subsidiaries  3,054    2,760 
  Total equity  98,888    94,340 
  TOTAL LIABILITIES AND EQUITY$ 187,502  $  165,781 


 

CONTACT:  LOAN NISSER

(646) 509-2107

www.americanindependencecorp.com

Source: American Independence Corp.

News Provided by Acquire Media


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