DAYTONA BEACH and TAMPA, Fla., April 16 /PRNewswire/ -- Brown & Brown, Inc. (NYSE: BRO) today announced a new record for its earnings in the first quarter.
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Net income per share for the quarter ended March 31, 2001, was $0.41, an increase of 32% over the $0.31 in net income per share reported for the quarter ended March 31, 2000. Net income rose to $12,174,000 for the first quarter of 2001, versus net income of $9,043,000 for the quarter ended March 31, 2000, an increase of 35%.
Total revenues for the quarter ended March 31, 2001 were up 37%, to $77,215,000, compared with $56,212,000 recorded in the corresponding quarter in 2000. This increase in revenues reflects the additional revenues from several acquisitions completed since January 1, 2001, including the transaction with Riedman Corporation. Excluding acquisitions, the Company's internal growth rate of commission and fee revenues was 9% for the quarter ended March 31, 2001.
J. Hyatt Brown, Chairman, President and CEO, commented, "Quarter One was Gangbusters! The 32% increase in net income per share was more than double our articulated corporate goal of 15% growth ad infinitum. A slight firming in rates, increasing margins at "old" Brown & Brown offices and efficient integration of acquisitions accounted for our great first quarter."
Brown & Brown, Inc. provides a broad range of insurance products and services, as well as risk management, employee benefit administration, and managed health care services through offices located across the United States. The company is ranked by "Business Insurance" magazine as the nation's ninth largest independent insurance intermediary organization. Our Web address is www.brown-n-brown.com.
This press release may contain certain statements relating to future results which are forward-looking statements, as that term is defined in the Private Securities Litigation Reform Act of 1995. These forward-looking statements are subject to certain risks and uncertainties that could cause actual results to differ materially from historical results or those anticipated, depending on a variety of factors such as general economic conditions around the country, fluctuations in equity and fixed income markets, downward commercial property and casualty premium pressures, the competitive environment, the potential occurrence of a major natural disaster in certain areas of the States of Arizona, Florida and/or New York, where significant portions of the Company's business are concentrated, the actual costs of resolution of contingent liabilities, and those factors relevant to Brown & Brown's integration of acquisitions, including any material adverse changes in the customers of the companies whose operations have been acquired and/or any material adverse changes in the business and financial conditions of Brown & Brown or acquired companies and their respective customers. Further information concerning the company and its business, including factors that potentially could materially affect the Company's financial results, are contained in the Company's filings with the Securities and Exchange Commission. All forward-looking statements included in this press release are made only as of the date of this press release, and we do not undertake any obligation to publicly update or correct any forward-looking statements to reflect events or circumstances that subsequently occur or which we hereafter become aware.
BROWN & BROWN, INC.
CONSOLIDATED STATEMENTS OF INCOME
(In thousands, except per share data)
For the three months
ended March 31, (Unaudited)
2001 2000*
REVENUES
Commissions and fees $75,828 $54,678
Investment income 1,107 981
Other income 280 553
Total revenues 77,215 56,212
EXPENSES
Employee compensation and benefits 39,544 28,753
Other operating expenses 11,322 9,037
Depreciation 1,422 1,242
Amortization 3,329 2,167
Interest 1,640 216
Total expenses 57,257 41,415
Income before income taxes 19,958 14,797
Income taxes 7,784 5,754
Net income $12,174 $9,043
Net income per share:
Basic $0.42 $0.31
Diluted $0.41 $0.31
Weighted average number of shares
outstanding:
Basic 29,173 28,752
Diluted 29,460 28,765
* Restated for pooling-of-interests.
Brown & Brown, Inc.
First Quarter Core Commissions and Fees (1)
Less
Acqui-
Total Total sition Internal
3/31/01 3/31/00 Change Growth% Revenues Growth%
Florida Retail $23,978 $19,412 $4,566 23.5% $3,213 7.0%
Southwest Retail 8,445 5,420 3,025 55.8% 2,550 8.8%
National Retail 18,221 10,035 8,186 81.6% 8,298 (1.1)%
Total Retail 50,644 34,867 15,777 45.2% 14,061 4.9%
Professional
Programs 3,517 3,424 93 2.7% -- 2.7%
Commercial
Programs 889 1,272 (383) (30.1)% 16 (31.4)%
Total Programs 4,406 4,696 (290) (6.2)% 16 (6.5)%
Brokerage 6,832 4,873 1,959 40.2% 41 39.4%
TPA Services 5,747 4,002 1,745 43.6% 713 25.8%
Total Core
Commissions
and Fees $67,629 $48,438 $19,191 39.6% $14,831 9.0%
(1)Total Commission and Fees excluding profit sharing contingency
revenues.
SOURCE Brown & Brown, Inc.
Web site: http: //www.brown-n-brown.com
Photo: NewsCom: http: //www.newscom.com/cgi-bin/prnh/20001003/BROLOGO PRN Photo Desk,
888-776-6555 or 201-369-3467
CONTACT: Cory Walker, Chief Financial Officer of Brown & Brown, Inc., 904-239-7250
CAPTION: BROLOGO BROWN & BROWN LOGO Brown & Brown, Inc. logo. (PRNewsFoto)[HD] DAYTONA BEACH AND TAMPA, FL USA 10/03/2000