Meadowbrook Insurance Group has reported that its net income grew to $7.1 million, or $0.19 per diluted share, for the quarter ended March 31, 2008, from a net income of $6.9 million, or $0.23 per dilutive share, for the comparable period in 2007.
Net operating income, excluding amortization, increased 22% to $8.6 million, compared to $7.1 million in 2007. Revenues for the quarter rose 2.7%, or $2.3 million, to $85.2 million, compared to $82.9 million in the same quarter of 2007.
Net earned premiums increased $818,000, or 1.3%, to $66 million for the quarter from $65.2 million in the comparable period in 2007. This increase was primarily the result of new programs implemented in 2007, as well as selective organic growth in existing programs that meet our corporate underwriting guidelines and our controls over price adequacy.
For the period, net investment income improved by 16.1% to $7.1 million. Meanwhile, interest expense for the quarter decreased slightly to $1.3 million, from $1.5 million for the corresponding period in 2007.
Robert Cubbin, president and CEO of Meadowbrook Insurance, said: Despite a more competitive environment, we continued to see growth within our underwriting subsidiaries. We are committed to maintaining appropriate levels of underwriting profitability and remain confident in our growth plans for full year 2008.