AUSTIN, Texas,
March 11, 2015
/PRNewswire/ -- Ross R. Moody, President of National
Western Life Insurance Company (Nasdaq: NWLI), announced today
fourth quarter 2014 consolidated net earnings of $28.1 million, or $7.94 per diluted Class A common share, compared
with consolidated net earnings of $27.8
million, or $7.87 per diluted
Class A common share, for the fourth quarter of
2013. For the year ended December 31, 2014, the Company reported
consolidated net earnings of $105.6
million, or $29.85 per diluted
Class A common share, compared with $96.2
million, or $27.19 per diluted
Class A common share, a year ago. The Company's
book value per share increased to $428.01 as of December 31,
2014 from $398.36 at
December 31, 2013.
The Company reported earnings from operations, excluding
net realized gains and losses on investments, of $25.0 million for the quarter ended December 31, 2014, or $7.05 per diluted Class A common share, compared
to $26.9 million, or $7.60 per diluted Class A common share, in the
same period for 2013. Mr. Moody commented on the earnings results
saying, "Business activity in the fourth quarter finished the year
strongly. Annuity sales increased 9% in the fourth quarter of this
year compared to last year and life insurance sales increased 6%
for the same period. Life insurance sales, in particular, performed
well and were up 31% over this year's third quarter." Earnings from
operations for the full year of $98.0
million, or $27.72 per diluted
Class A common share, represented an increase of 8% over the 2013
amount of $90.6 million, or
$25.60 per diluted Class A common
share. Mr. Moody observed that the Company's full year results
passed the previous record set in 2013. "This past year was a very
successful one from an operational standpoint. We decreased
operating expenses and benefited from a lower incidence of claims
and improved policy benefit experience," Mr. Moody
indicated.
Realized gains on investments of $11.6 million for the year ended December 31, 2014 added incremental earnings to
the Company's outcome for the year. Mr. Moody noted, "We are a buy
and hold company given the importance of maintaining discipline in
matching asset durations with that of our policyholder liabilities.
More often than not, in a low interest rate environment, realized
investment gains are the byproduct of bond calls and tenders. Our
bond portfolio again performed very well with over 98% of our
holdings rated investment grade at the end of the year and we
continued our experience of the past several years of avoiding any
significant impairments."
Founded in 1956, National Western Life is a stock life
insurance company offering a broad portfolio of individual
universal life, whole life and term insurance plans, annuity
products, and investment contracts meeting the financial needs of
its customers in 49 states as well as residents of various
countries in Central and South
America, the Caribbean,
Eastern Europe, Asia, and the Pacific Rim. The Company has approximately 264
employees and 21,470 contracted independent agents, brokers, and
consultants, and at December 31,
2014, maintained total assets of $11.4 billion, stockholders' equity of
$1.6 billion, and life insurance in
force of $23.1 billion.
Caution Regarding Forward-Looking
Statements:
This press release contains statements
which are or may be viewed as forward-looking within the meaning of
The Private Securities Litigation Reform Act of 2005.
Forward-looking statements relate to future operations, strategies,
financial results or other developments, and are subject to
assumptions, risks, and uncertainties. Factors that may cause
actual results to differ materially from those contemplated in
these forward-looking statements can be found in the Company's Form
10-K filed with the Securities and Exchange Commission.
Forward-looking statements speak only as of the date the statement
was made and the Company undertakes no obligation to update such
forward-looking statements. There can be no assurance that other
factors not currently anticipated by the Company will not
materially and adversely affect our results of operations.
Investors are cautioned not to place undue reliance on any
forward-looking statements made by us or on our behalf.
Summary of Consolidated Operating Results
(Unaudited)
|
(In thousands except per share
data)
|
|
|
Three Months Ended
|
|
Twelve Months Ended
|
|
December 31,
|
|
December 31,
|
|
2014
|
|
|
2013
|
|
|
2014
|
|
|
2013
|
|
Revenues:
|
|
|
|
|
|
|
|
|
|
|
|
Revenues, excluding investment and index option
gains
|
160,119
|
|
|
157,570
|
|
|
628,559
|
|
|
625,715
|
|
Realized and unrealized gains on index
options
|
19,338
|
|
|
99,160
|
|
|
68,616
|
|
|
225,899
|
|
Realized gains on investments
|
4,858
|
|
|
1,454
|
|
|
11,605
|
|
|
8,653
|
|
Total revenues
|
184,315
|
|
|
258,184
|
|
|
708,780
|
|
|
860,267
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Earnings:
|
|
|
|
|
|
|
|
|
|
|
|
Earnings from operations
|
24,955
|
|
|
26,897
|
|
|
98,045
|
|
|
90,622
|
|
Net realized gains on investments
|
3,158
|
|
|
945
|
|
|
7,543
|
|
|
5,625
|
|
Net earnings
|
28,113
|
|
|
27,842
|
|
|
105,588
|
|
|
96,247
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net earnings attributable to Class A
shares
|
27,318
|
|
|
27,054
|
|
|
102,602
|
|
|
93,524
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic Earnings Per Class A
Share:
|
|
|
|
|
|
|
|
|
|
|
|
Earnings from operations
|
7.06
|
|
|
7.61
|
|
|
27.74
|
|
|
25.64
|
|
Net realized gains on investments
|
0.89
|
|
|
0.27
|
|
|
2.13
|
|
|
1.59
|
|
Net earnings
|
7.95
|
|
|
7.88
|
|
|
29.87
|
|
|
27.23
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic Weighted Average Class A
Shares
|
3,436
|
|
|
3,435
|
|
|
3,436
|
|
|
3,435
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Diluted Earnings Per Class A
Share:
|
|
|
|
|
|
|
|
|
|
|
|
Earnings from operations
|
7.05
|
|
|
7.60
|
|
|
27.72
|
|
|
25.60
|
|
Net realized gains on investments
|
0.89
|
|
|
0.27
|
|
|
2.13
|
|
|
1.59
|
|
Net earnings
|
7.94
|
|
|
7.87
|
|
|
29.85
|
|
|
27.19
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Diluted Weighted Average Class A
Shares
|
3,438
|
|
|
3,437
|
|
|
3,437
|
|
|
3,439
|
|
Investor Relations
Contact:
Brian M.
Pribyl - Senior Vice President, Chief Financial Officer and
Treasurer
(512)
836-1010
bpribyl@nationalwesternlife.com
www.nationalwesternlife.com
To view the original version on PR Newswire,
visit:http://www.prnewswire.com/news-releases/national-western-life-announces-2014-fourth-quarter-earnings-and-full-year-earnings-300049103.html
SOURCE National Western Life Insurance Company