Net income of $231.9 million or $2.82 per diluted share
Radian Group, a Philadelphia-based mortgage insurance company, has reported a net income for the quarter ended June 30, 2009, of $231.9 million, or $2.82 per diluted share. This compares to a net loss of $392.5 million, or $4.91 per diluted share, for the prior-year quarter. The company’s book value per share at June 30, 2009, was $25.12.
Mortgage insurance claims paid of $167.7 million were lower than the company’s forecast, and consisted of $149.4 million of first liens and $18.3 million of second liens. In the third quarter, total first and second-lien claims paid are expected to be approximately $275 million to $300 million. The unrealised gains on derivatives were $272.3 million on total pre-tax income of $353.7 million.
As of June 30, 2009, Radian Asset had more than $900 million in statutory capital with an additional $1.84 billion in total claims, paying resources. At the end of June, Radian Asset paid a dividend of approximately $100 million to Radian Guaranty.