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NASHVILLE, TN / ACCESSWIRE / August 13, 2024 / First Acceptance Corporation (OTCQX:FACO) today reported its financial results for the three and six months ended June 30, 2024. A quarterly report can be found at www.otcmarkets.com/stock/FACO/disclosure.
Income before income taxes, for the three months ended June 30, 2024 was $8.1 million, compared with $4.2 million for the three months ended June 30, 2023. Net income for the three months ended June 30, 2024 was $5.8 million, compared $3.2 million for the three months ended June 30, 2023. Diluted net income per share was $0.15 for the three months ended June 30, 2024, compared with $0.08 for the same period in the prior year.
Income before income taxes, for the six months ended June 30, 2024 was $17.0 million, compared with $5.6 million for the six months ended June 30, 2023. Net income for the six months ended June 30, 2024 was $12.7 million, compared with $4.3 million for the six months ended June 30, 2023. Diluted net income per share was $0.33 for the six months ended June 30, 2024, compared with $0.11 for the same period in the prior year.
For the three months ended June 30, 2024, we recognized unfavorable prior period loss and LAE development of $4.8 million, compared with favorable prior period loss and LAE development of $0.1 million for the same period in the prior year. For the six months ended June 30, 2024, we recognized $8.8 million of unfavorable prior period loss and LAE development compared with $0.7 million for the same period in the prior year.
The Company's President and Chief Executive Officer, Ken Russell, commented "The quarter ended June 30, 2024 marks the Company's sixth consecutive profitable quarter reflecting a steady continuation of the favorable market trends we have experienced since the fourth quarter of 2022. Since then, premium growth has sustained across all our distribution channels through a combination of rate increases and increased production. Throughout, our loss ratio has remained within our expectations, as has our expense ratio, which was favorably impacted by the sale of our insurance agency operations in December 2023. Investment income has also grown to become a more significant component of our net income. Going forward, I remain confident that our Company is well positioned to continue this profitable success ".
About First Acceptance Corporation
First Acceptance Corporation is an insurance holding company headquartered in Nashville that underwrites non-standard personal automobile insurance through insurance companies known as the First Acceptance Insurance Group.