Homeowners Choice, Inc. reported unaudited consolidated earnings results for the third quarter and nine months ended September 30, 2009. For the quarter, the company reported net income of $815,000 or $0.11 diluted earnings per share on revenue of $12,781,000 compared to net income of $802,000 or $0.12 diluted earnings per share on revenue of $8,665,000 for the same period a year ago. Income before income taxes was $1,336,000 compared to $1,326,000 for the same period a year ago. Gross premiums earned more than doubled to $25.2 million from $12 million in the prior year quarter. Net premiums earned for the third quarter of 2009 increased 49% to $12.0 million from $8.1 million in the prior year quarter. The company reported investment income of $516,000 with $425,000 in the prior year period. For nine months, the company reported net income of $10,103,000 or $1.40 diluted earnings per share on revenue of $55,456,000 compared to net income of $7,538,000 or $1.33 diluted earnings per share on revenue of $30,052,000 for the same period a year ago. Income before income taxes was $16,385,000 compared to $12,148,000 for the same period a year ago. Book value increased from $5.43 at Dec. 31, 2008 to $6.99 at Sept. 30, 2009, an increase of 29%. Gross premiums earned more than doubled to $84.1 million from $37.0 million in the prior year period. Net premiums earned for the first nine months of 2009 increased 87% to $53.0 million from $28.3 million in the prior year period. Investment income was $1.2 million, up 7% from the prior year period.

Homeowners Choice, Inc. announced its results of operations for the three- and nine-month periods ended September 30, 2009. Net income for the third quarter of 2009 increased 2% to $815,000, or $0.11 per diluted share, compared with net income of $802,000, or $0.12 per diluted share, for the third quarter of 2008. Book value increased from $5.43 at Dec. 31, 2008 to $6.99 at September 30, 2009, an increase of 29%. "We are pleased to continue to report profitable underwriting results despite what has been a challenging environment, particularly with regard to reinsurance costs," said Homeowners Choice Chief Executive Officer F.X. McCahill. "Having successfully navigated the third quarter, we are now well positioned to resume policy growth. As we recently announced, we have been approved by the Florida Office of Insurance Regulation to assume 60,000 policies from Citizens, with a maximum of 30,000 policies in December 2009. Also, we were recently selected by the Florida Department of Financial Services as the replacement insurer for policyholders of American Keystone Insurance Company, which is in receivership. We plan to pursue strategic growth opportunities as they arise, including potential acquisitions and opportunities derived from the anticipated pullback by larger national carriers."

Homeowners Choice, Inc., Q3 2009 Earnings Call, Nov 10 2009