MBIA Reports 1st Quarter 2016 Financial Results
SAN JUAN – MBIA Inc. reported Monday combined operating income of $16 million for the three months ended March 31, compared with $34 million in the same period of 2015. The decline for the three months was primarily the result of a decrease in net premiums earned and an increase in losses and loss adjustment expenses (LAE), the company said in its report.
Adjusted Book Value (ABV) per share increased to $31.74 as of March 31, from $29.69 as of Dec. 31, 2015. The increase in ABV per share “was driven primarily by a decrease in common shares outstanding resulting from share repurchases.” The company repurchased 15 million of its common shares during the first quarter of 2016.
Consolidated GAAP net loss was $78 million, or $(0.58) per diluted share, for the first quarter of 2016 compared with consolidated net income of $69 million, or $0.37 per diluted share, in the same period of 2015. The unfavorable comparison was primarily due to foreign exchange related losses on financial instruments and mark-to-market losses on insured derivatives.
“National’s new business platform continues to expand,” Bill Fallon, MBIA’s chief operating officer, said in the release containing the financial results. “We are making steady headway with our expanded new business team despite the ongoing challenging business environment for our industry.” Fallon added, “We continue to strive for appropriate resolutions for our Puerto Rico credits but progress remains slow as the debates rage as to the appropriate course of action for U.S. Congress to implement.”
The company will host a webcast and conference call for investors on Tuesday, May 10, at 8 a.m. (EDT) to discuss its first quarter financial results and other matters. The webcast and conference call will consist of brief remarks followed by a question and answer session.
The dial-in number for the call is (877) 694-4769 in the U.S. and (404) 665-9935 from outside the U.S. The conference call code is 91611568. A live webcast of the conference call will also be accessible on www.mbia.com.
A replay of the call will be available approximately two hours after the completion of the call on May 10 until 11:59 p.m. on May 24 by dialing (800) 585-8367 in the U.S. or (404) 537-3406 from outside the U.S. The replay call code is also 91611568. In addition, a recording of the call will be available on the company’s website approximately two hours after the completion of the call.