MCY FY 2020 Earnings Report — Mercury General Corporation Revenue & Financial Results | Market Cap Arena

Mercury General CorporationMCY

FY 2020 Earnings

Reported February 16, 2021

Quarter Comparison

Revenue

Operating Income

Gross Margin

Net Margin

EPS (Diluted)

Free Cash Flow

Metric	FY 2020	Prior Q	FY 2019	QoQ Change	YoY Change
Revenue	$3.8B	—	$4.0B	—	-4.7%
Op. Income	$459M	—	$378M	—	21.3%
Gross Margin	20.1%	—	16.7%	—	3.4pp
Net Margin	9.9%	—	8.1%	—	1.8pp
EPS (Diluted)	$6.77	—	$5.78	—	17.1%
Free Cash Flow	$566M	—	$480M	—	17.9%

Revenue Flow

Item	Amount
REVENUE	$3.8B
Cost of Revenue	$3.0B
GROSS PROFIT	$761M
R&D Expenses	$0
Selling & Marketing	$0
General & Administrative	$0
SG&A Expenses	$0
Other Expenses	$303M
Operating Expenses	$303M
Cost & Expenses	$3.3B
OPERATING INCOME	$459M
Interest Income	$0
Interest Expense	$17M
Other Income/Expenses	$0
INCOME BEFORE TAX	$459M
Income Tax Expense	$84M
Net Income from Continuing Ops	$375M
Net Income from Discontinued Ops	$0
Other Adjustments	$0
NET INCOME	$375M
Net Income Deductions	$0
BOTTOM LINE NET INCOME	$375M
D&A	$68M
EBIT	$476M
EBITDA	$544M
EPS	$7
EPS Diluted	$7

Income Statement

Item	Amount
REVENUE	$3.8B
Cost of Revenue	$3.0B
GROSS PROFIT	$761M
R&D Expenses	$0
Selling & Marketing	$0
General & Administrative	$0
SG&A Expenses	$0
Other Expenses	$303M
Operating Expenses	$303M
Cost & Expenses	$3.3B
OPERATING INCOME	$459M
Interest Income	$0
Interest Expense	$17M
Other Income/Expenses	$0
INCOME BEFORE TAX	$459M
Income Tax Expense	$84M
Net Income from Continuing Ops	$375M
Net Income from Discontinued Ops	$0
Other Adjustments	$0
NET INCOME	$375M
Net Income Deductions	$0
BOTTOM LINE NET INCOME	$375M
D&A	$68M
EBIT	$476M
EBITDA	$544M
EPS	$7
EPS Diluted	$7

Cash Flow Statement

Item	Amount
Net Income	$375M
Depreciation & Amortization	$68M
Stock-Based Compensation	$142.0K
Deferred Income Tax	-$86M
Other Non-Cash Items	$14M
Change in Working Capital	$234M
OPERATING CASH FLOW	$606M
Capital Expenditure	-$40M
Acquisitions (Net)	$0
Purchases of Investments	-$2.1B
Sales/Maturities of Investments	$1.7B
Other Investing Activities	$21M
NET CASH FROM INVESTING	-$411M
Net Debt Issuance	-$609.0K
Common Stock Repurchased	$0
Common Dividends Paid	-$140M
Other Financing Activities	$0
NET CASH FROM FINANCING	-$140M
FREE CASH FLOW	$566M
Net Change in Cash	$54M

Balance Sheet

Item	Amount
Cash & Equivalents	$348M
Short-Term Investments	$376M
Net Receivables	$648M
Inventory	$0
Other Current Assets	-$1.4B
TOTAL CURRENT ASSETS	$0
PP&E (Net)	$219M
Goodwill	$43M
Intangible Assets	$11M
Long-Term Investments	$4.7B
Tax Assets	$0
Other Non-Current Assets	-$5.0B
TOTAL NON-CURRENT ASSETS	$0
TOTAL ASSETS	$6.3B
Account Payables	$194M
Short-Term Debt	$0
Deferred Revenue	$0
Other Current Liabilities	-$205M
TOTAL CURRENT LIABILITIES	$0
Long-Term Debt	$373M
Deferred Revenue NC	$0
Deferred Tax Liabilities	$41M
Other Non-Current Liabilities	-$457M
TOTAL NON-CURRENT LIABILITIES	$0
TOTAL LIABILITIES	$4.3B
Common Stock	$99M
Additional Paid-In Capital	$0
Retained Earnings	$1.9B
Treasury Stock	$0
Accum. Other Comp. Income	$0
Other Equity	$0
TOTAL STOCKHOLDERS' EQUITY	$2.0B
Minority Interest	$0
TOTAL EQUITY	$2.0B
TOTAL LIABILITIES & EQUITY	$6.3B
Total Debt	$416M
Net Debt	$68M