Mercury General Corp. (MCY) reported that its first-quarter net income decreased to $66.46 million or $1.21 per share, from $73.36 million or $1.34 per share last year. Operating income decreased to $37.83 million or $0.69 per share, from $39.13 million or $0.71 per share prior year. Total revenues rose to $740.15 million from $722.68 million prior year.
On average, five analysts polled by Thomson Reuters expected the company to report profit of $0.48 per share for the quarter. Analysts' estimates typically exclude special items. Analysts expected revenue of $703.27 million for the quarter.
The company said its results were favorably impacted by approximately $3 million of positive reserve development, arising primarily from Florida and New Jersey business. The first quarter results were impacted by approximately $10 million of pre-tax restructuring charges related to the consolidation of operations outside of California into hubs located in Florida, New Jersey and Texas.
The Board of Mercury General declared a quarterly dividend of $0.6125 per share. The dividend will be paid on June 27, 2013 to shareholders of record on June 13, 2013.
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