NEWS RELEASE
CONTACT: Lester A. Aaron
Chief Financial Officer
(818) 591-9800
UNICO AMERICAN CORPORATION REPORTS RESULTS
FOR THE FIRST QUARTER ENDED MARCH 31, 2005
Woodland Hills, California, May 12, 2005 - Unico American Corporation (NASDAQ -
"UNAM") announced today that for its quarter ended March 31, 2005, revenues were
$15,481,114 and the net income was $1,505,180 ($0.27 diluted income per share)
compared with revenues of $15,680,191 and net income of $1,257,997 ($0.23
diluted income per share) for the quarter ended March 31, 2004.
Stockholders' equity was $43,310,111 at March 31, 2005, or $7.88 per common
share including unrealized after-tax investment loss of $256,662 compared to
stockholders' equity of $42,425,325 or $7.72 per common share including
unrealized after-tax investment gain of $376,172 at December 31, 2004.
Unico American Corporation is an insurance holding company that underwrites
property and casualty insurance through its insurance company subsidiary;
provides property, casualty, health and life insurance through its agency
subsidiaries; and provides insurance premium financing and membership
association services through its other subsidiaries.
(Table Follows)
UNICO AMERICAN CORPORATION AND SUBSIDIARIES
SUMMARY OF CONSOLIDATED FINANCIAL DATA
(UNAUDITED) ($ in
thousands, except per share)
Three Months Ended Ended
March 31
2005 2004
---- ----
Revenues
- --------
Insurance Company Revenues
Premium earned $16,676 $16,475
Premium ceded 3,850 3,889
------ ------
Net premium earned 12,826 12,586
Investment income 1,036 1,092
Other income 26 30
------ ------
Total Insurance Company Revenues 13,888 13,708
Other Revenues from Insurance Operations
Gross commissions and fees 1,373 1,711
Investment income 13 10
Finance charges and fees earned 203 247
Other income 4 4
------ ------
Total Revenues 15,481 15,680
------ ------
Expenses
- --------
Losses and loss adjustment expenses 8,372 8,957
Policy acquisition costs 2,606 2,479
Salaries and employee benefits 1,287 1,216
Commissions to agents/brokers 185 271
Other operating expenses 675 789
------ ------
Total Expenses 13,125 13,712
------ ------
Income Before Income Taxes 2,356 1,968
Income Tax Provision 851 710
----- -----
Net Income $1,505 $1,258
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PER SHARE DATA
- --------------
Basic
Earning Per Share $0.27 $0.23
Weighted Average Shares (000) 5,495 5,490
Diluted
Earning Per Share $0.27 $0.23
Weighted Average Shares (000) 5,616 5,578
INSURANCE COMPANY STATUTORY OPERATING RATIOS
- --------------------------------------------
Losses and Loss Adjustment Expenses 65.0% 71.0%
Underwriting Expenses 30.1% 28.0%
---- ----
Combined Ratio 95.1% 99.0%
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