Security National Financial Corporation (SNFC) (NASDAQ: SNFCA) announced financial results for the year ended December 31, 2009.
SNFC announced revenues of $218,595,000 for the year ending December 31, 2009. Pre-tax earnings from operations increased 768% from $731,000 in 2008 to $6,348,000 in 2009. Net after tax earnings for the twelve month period increased 556% from $575,000 to $3,774,000.
Scott Quist, President of SNFC, noted: The economic environment within which we must operate continues to be very troubled. Of course we are gratified that we have maintained our revenues and increased our profitability during these times. This low interest rate environment continues to hamper life segment profitability and assuming moderately rising interest rates in the near future such increases would hamper mortgage segment profitability. We continue to see credit losses in both the publicly traded securities and residential mortgage sectors but hope that the worst of such losses are behind us. Such losses have been extremely difficult to accurately anticipate and predict.
SNFC has three business segments. The following table shows the revenues and earnings before taxes for the twelve months ended December 31, 2009 as compared to 2008 for each of the three business segments:
| Revenues | Earnings before Taxes | |||||||||||||||||||
| 2009 | 2008 | % | 2009 | 2008 | % | |||||||||||||||
| Life Insurance | $ | 55,129,000 | $ | 50,657,000 | 9 | % | $ | (434,000 | ) | $ | (1,941,000 | ) | - | |||||||
| Cemeteries/Mortuaries | $ | 12,837,000 | $ | 13,766,000 | (7 | %) | $ | (128,000 | ) | $ | (124,000 | ) | (3 | %) | ||||||
| Mortgages | $ | 150,629,000 | $ | 155,081,000 | (3 | %) | $ | 6,910,000 | $ | 2,796,000 | 147 | % | ||||||||
| Total | $ | 218,595,000 | $ | 219,504,000 | (0.4 | %) | $ | 6,348,000 | $ | 731,000 | 768 | % | ||||||||
Net earnings per common share were $.46 for the twelve months ended December 31, 2009, compared to $.07 per share for the prior year as adjusted for the effect of annual stock dividends. Book value per common share was $7.30 as of December 31, 2009, compared to $7.12 as of December 31, 2008.
The Company has two classes of common stock outstanding, Class A and Class C. The Class C shares share in distribution of earnings and capital on a 10-for-1 basis with the Class A shares; therefore, for earnings per share and book value per share calculations, the Class C shares are converted to Class A shares on a 10-for-1 basis. There were 8,196,674 Class A equivalent shares outstanding as of December 31, 2009.
| If there are any questions, please contact Mr. Scott M. Quist or Mr. Stephen M. Sill at: |
| Security National Financial Corporation |
| P.O. Box 57250 |
| Salt Lake City, Utah 84157 |
| Phone (801) 264-1060 |
| Fax (801) 265-9882 |
Scott M. Quist or Stephen M. Sill
801-264-1060
Fax: 801-265-9882