RLI FY 2010 Earnings Report — RLI Corp. Revenue & Financial Results | Market Cap Arena

FY 2010 Earnings

Reported February 25, 2011

Quarter Comparison

Revenue

Operating Income

Gross Margin

Net Margin

EPS (Diluted)

Free Cash Flow

Metric	FY 2010	Prior Q	FY 2009	QoQ Change	YoY Change
Revenue	$586M	—	$549M	—	6.8%
Op. Income	$178M	—	$132M	—	34.8%
Gross Margin	33.0%	—	27.7%	—	5.3pp
Net Margin	21.8%	—	17.1%	—	4.7pp
EPS (Diluted)	$1.50	—	$1.08	—	38.9%
Free Cash Flow	$98M	—	$116M	—	-15.7%

Revenue Flow

Item	Amount
REVENUE	$586M
Cost of Revenue	$392M
GROSS PROFIT	$193M
R&D Expenses	$0
Selling & Marketing	$0
General & Administrative	$8M
SG&A Expenses	$8M
Other Expenses	$7M
Operating Expenses	$15M
Cost & Expenses	$407M
OPERATING INCOME	$178M
Interest Income	$71M
Interest Expense	$6M
Other Income/Expenses	$0
INCOME BEFORE TAX	$178M
Income Tax Expense	$51M
Net Income from Continuing Ops	$127M
Net Income from Discontinued Ops	$0
Other Adjustments	$0
NET INCOME	$127M
Net Income Deductions	$0
BOTTOM LINE NET INCOME	$127M
D&A	$3M
EBIT	$185M
EBITDA	$188M
EPS	$2
EPS Diluted	$2

Income Statement

Item	Amount
REVENUE	$586M
Cost of Revenue	$392M
GROSS PROFIT	$193M
R&D Expenses	$0
Selling & Marketing	$0
General & Administrative	$8M
SG&A Expenses	$8M
Other Expenses	$7M
Operating Expenses	$15M
Cost & Expenses	$407M
OPERATING INCOME	$178M
Interest Income	$71M
Interest Expense	$6M
Other Income/Expenses	$0
INCOME BEFORE TAX	$178M
Income Tax Expense	$51M
Net Income from Continuing Ops	$127M
Net Income from Discontinued Ops	$0
Other Adjustments	$0
NET INCOME	$127M
Net Income Deductions	$0
BOTTOM LINE NET INCOME	$127M
D&A	$3M
EBIT	$185M
EBITDA	$188M
EPS	$2
EPS Diluted	$2

Cash Flow Statement

Item	Amount
Net Income	$127M
Depreciation & Amortization	$3M
Stock-Based Compensation	$0
Deferred Income Tax	$16M
Other Non-Cash Items	-$7M
Change in Working Capital	-$16M
OPERATING CASH FLOW	$100M
Capital Expenditure	-$2M
Acquisitions (Net)	$0
Purchases of Investments	-$962M
Sales/Maturities of Investments	$1.1B
Other Investing Activities	$0
NET CASH FROM INVESTING	$93M
Net Debt Issuance	$0
Common Stock Repurchased	-$24M
Common Dividends Paid	-$177M
Other Financing Activities	$3M
NET CASH FROM FINANCING	-$193M
FREE CASH FLOW	$98M
Net Change in Cash	$0

Balance Sheet

Item	Amount
Cash & Equivalents	$0
Short-Term Investments	$40M
Net Receivables	$107M
Inventory	$0
Other Current Assets	$190M
TOTAL CURRENT ASSETS	$26.0K
PP&E (Net)	$18M
Goodwill	$26M
Intangible Assets	$0
Long-Term Investments	$1.8B
Tax Assets	$0
Other Non-Current Assets	-$1.2B
TOTAL NON-CURRENT ASSETS	$697M
TOTAL ASSETS	$2.5B
Account Payables	$24M
Short-Term Debt	$0
Deferred Revenue	$0
Other Current Liabilities	-$66M
TOTAL CURRENT LIABILITIES	$1.6B
Long-Term Debt	$100M
Deferred Revenue NC	$0
Deferred Tax Liabilities	$0
Other Non-Current Liabilities	-$100M
TOTAL NON-CURRENT LIABILITIES	$100M
TOTAL LIABILITIES	$1.7B
Common Stock	$32M
Additional Paid-In Capital	$215M
Retained Earnings	$834M
Treasury Stock	-$393M
Accum. Other Comp. Income	$96M
Other Equity	$0
TOTAL STOCKHOLDERS' EQUITY	$791M
Minority Interest	$0
TOTAL EQUITY	$791M
TOTAL LIABILITIES & EQUITY	$2.5B
Total Debt	$100M
Net Debt	$100M