MCY FY 2009 Earnings Report — Mercury General Corporation Revenue & Financial Results | Market Cap Arena

Mercury General CorporationMCY

FY 2009 Earnings

Reported February 18, 2010

Quarter Comparison

Revenue

Operating Income

Gross Margin

Net Margin

EPS (Diluted)

Free Cash Flow

Metric	FY 2009	Prior Q	FY 2008	QoQ Change	YoY Change
Revenue	$3.1B	—	$2.4B	—	29.3%
Op. Income	$572M	—	-$451M	—	226.8%
Gross Margin	18.5%	—	-11.2%	—	29.8pp
Net Margin	12.9%	—	-10.0%	—	22.9pp
EPS (Diluted)	$7.32	—	$-4.41	—	266.0%
Free Cash Flow	$153M	—	$16M	—	849.1%

Revenue Flow

Item	Amount
REVENUE	$3.1B
Cost of Revenue	$2.5B
GROSS PROFIT	$578M
R&D Expenses	$0
Selling & Marketing	$0
General & Administrative	$0
SG&A Expenses	$0
Other Expenses	$7M
Operating Expenses	$7M
Cost & Expenses	$2.5B
OPERATING INCOME	$572M
Interest Income	$0
Interest Expense	$7M
Other Income/Expenses	$0
INCOME BEFORE TAX	$572M
Income Tax Expense	$168M
Net Income from Continuing Ops	$403M
Net Income from Discontinued Ops	$0
Other Adjustments	$0
NET INCOME	$403M
Net Income Deductions	$0
BOTTOM LINE NET INCOME	$403M
D&A	$36M
EBIT	$578M
EBITDA	$614M
EPS	$7
EPS Diluted	$7

Income Statement

Item	Amount
REVENUE	$3.1B
Cost of Revenue	$2.5B
GROSS PROFIT	$578M
R&D Expenses	$0
Selling & Marketing	$0
General & Administrative	$0
SG&A Expenses	$0
Other Expenses	$7M
Operating Expenses	$7M
Cost & Expenses	$2.5B
OPERATING INCOME	$572M
Interest Income	$0
Interest Expense	$7M
Other Income/Expenses	$0
INCOME BEFORE TAX	$572M
Income Tax Expense	$168M
Net Income from Continuing Ops	$403M
Net Income from Discontinued Ops	$0
Other Adjustments	$0
NET INCOME	$403M
Net Income Deductions	$0
BOTTOM LINE NET INCOME	$403M
D&A	$36M
EBIT	$578M
EBITDA	$614M
EPS	$7
EPS Diluted	$7

Cash Flow Statement

Item	Amount
Net Income	$403M
Depreciation & Amortization	$36M
Stock-Based Compensation	$763.0K
Deferred Income Tax	-$340M
Other Non-Cash Items	-$4M
Change in Working Capital	$93M
OPERATING CASH FLOW	$189M
Capital Expenditure	-$36M
Acquisitions (Net)	-$115M
Purchases of Investments	-$726M
Sales/Maturities of Investments	$842M
Other Investing Activities	$4M
NET CASH FROM INVESTING	-$32M
Net Debt Issuance	$120M
Common Stock Repurchased	$0
Common Dividends Paid	-$128M
Other Financing Activities	$398.0K
NET CASH FROM FINANCING	-$7M
FREE CASH FLOW	$153M
Net Change in Cash	$150M

Balance Sheet

Item	Amount
Cash & Equivalents	$186M
Short-Term Investments	$156M
Net Receivables	$290M
Inventory	$0
Other Current Assets	$0
TOTAL CURRENT ASSETS	$342M
PP&E (Net)	$202M
Goodwill	$43M
Intangible Assets	$67M
Long-Term Investments	$3.1B
Tax Assets	$36M
Other Non-Current Assets	-$3.1B
TOTAL NON-CURRENT ASSETS	$348M
TOTAL ASSETS	$4.2B
Account Payables	$0
Short-Term Debt	$0
Deferred Revenue	$0
Other Current Liabilities	$0
TOTAL CURRENT LIABILITIES	$27M
Long-Term Debt	$271M
Deferred Revenue NC	$0
Deferred Tax Liabilities	$0
Other Non-Current Liabilities	$2.2B
TOTAL NON-CURRENT LIABILITIES	$2.4B
TOTAL LIABILITIES	$2.5B
Common Stock	$0
Additional Paid-In Capital	$73M
Retained Earnings	$1.7B
Treasury Stock	$0
Accum. Other Comp. Income	-$597.0K
Other Equity	$0
TOTAL STOCKHOLDERS' EQUITY	$1.8B
Minority Interest	$0
TOTAL EQUITY	$1.8B
TOTAL LIABILITIES & EQUITY	$4.2B
Total Debt	$271M
Net Debt	$86M