JACKSONVILLE, Fla.,
Feb. 24, 2021 /PRNewswire/
-- Fidelity National Financial, Inc. (NYSE:FNF), a leading
provider of title insurance and transaction services to the real
estate and mortgage industries, today reported operating results
for the period ended December 31, 2020.
- Total revenue of approximately $3.8
billion in the fourth quarter versus $2.4 billion in the fourth quarter of 2019
- Fourth quarter net earnings from continuing operations of
$803 million and adjusted net
earnings from continuing operations of $588
million versus net earnings of $340
million and adjusted net earnings of $263 million for the fourth quarter of 2019
- Fourth quarter diluted EPS from continuing operations of
$2.74 and adjusted diluted EPS from
continuing operations of $2.01 versus
diluted EPS of $1.22 and adjusted
diluted EPS of $0.95 in the fourth
quarter of 2019
- Recognized gains were $573
million in the fourth quarter versus recognized gains of
$131 million in the fourth quarter of
2019 primarily due to mark to market accounting treatment of equity
and preferred stock securities whether the securities were disposed
of in the quarter or continue to be held in our investment
portfolio
Title
- Total revenue of approximately $3.0
billion versus approximately $2.3
billion in total revenue in the fourth quarter of 2019
- Total revenue, excluding recognized gains and losses, of
approximately $2.8 billion versus
approximately $2.2 billion in the
fourth quarter of 2019, an increase of 26.6%
- Pre-tax earnings of $896 million
and adjusted pre-tax earnings of $624
million versus pre-tax earnings of $468 million and adjusted pre-tax earnings of
$355 million in the fourth quarter of
2019
- Pre-tax title margin of 29.4% and adjusted pre-tax title margin
of 22.7% versus pre-tax title margin of 20.3% and adjusted pre-tax
title margin of 16.3% in the fourth quarter of 2019
- Fourth quarter refinance orders opened increased 90% on a daily
basis and refinance orders closed increased 86% on a daily basis
versus the fourth quarter of 2019; purchase orders opened increased
14% on a daily basis and purchase orders closed increased 18% on a
daily basis versus the fourth quarter of 2019
- Total commercial revenue of $322
million, a 0.3% increase versus total commercial revenue in
the fourth quarter of 2019, driven by a 1% increase in closed
orders; fourth quarter total commercial orders opened increased 3%
compared to the prior year
- Overall fourth quarter average fee per file of $2,116, an 11% decrease versus the fourth quarter
of 2019
Title Orders
|
|
|
Direct Orders
Opened *
|
|
|
Direct Orders
Closed *
|
Month
|
|
/ (%
Purchase)
|
|
/ (%
Purchase)
|
October
2020
|
|
|
259,000
|
40%
|
|
|
210,000
|
39%
|
November
2020
|
|
|
227,000
|
38%
|
|
|
190,000
|
37%
|
December
2020
|
|
|
242,000
|
35%
|
|
|
217,000
|
38%
|
|
|
|
|
|
|
|
Fourth Quarter
2020
|
|
|
728,000
|
38%
|
|
|
617,000
|
38%
|
|
|
|
Direct Orders
Opened *
|
|
|
Direct Orders
Closed *
|
Month
|
|
/ (%
Purchase)
|
|
|
/ (%
Purchase)
|
October
2019
|
|
|
195,000
|
50%
|
|
|
153,000
|
48%
|
November
2019
|
|
|
157,000
|
49%
|
|
|
127,000
|
49%
|
December
2019
|
|
|
140,000
|
51%
|
|
|
137,000
|
50%
|
|
|
|
|
|
|
|
Fourth Quarter
2019
|
|
|
492,000
|
50%
|
|
|
417,000
|
49%
|
* Includes an
immaterial number of non-purchase and non-refinance
orders
|
F&G
F&G, a leading provider of annuities and
life insurance, reported operating results for the fourth quarter
of 2020. As a result of acquisition accounting (purchase accounting
or PGAAP), financial results for periods after June 1, 2020 are generally not comparable to the
results of prior periods. Certain metrics, such as sales and
policyholder account values, are not affected by PGAAP and are
comparable to prior period data.
- Total Retail Annuity Sales of $1,309
million in the fourth quarter, an increase of 42 percent to
the prior year, and an increase of 23 percent from the sequential
quarter
- Fixed Indexed Annuities (FIA) Sales of $947 million in the fourth quarter, an increase
of 19 percent to the prior year, and an increase of 16 percent from
the sequential quarter
- Average Assets Under Management (AAUM) of $27.9 billion for the fourth quarter, up from
$27.0 billion in the sequential
period driven by net new business asset flows
- Net Investment Spread: FIA spread for the fourth quarter of 302
basis points; Total Spread, including all product lines, for the
fourth quarter of 255 basis points
- Net Earnings Attributable to Common Shareholders of
$137 million for the fourth quarter,
including a $2 million loss from
discontinued operations and $11
million net favorable mark-to-market and other items which
are excluded from Adjusted Net Earnings
- Adjusted Net Earnings From Continuing Operations Attributable
to Common Shareholders of $128
million for the quarter, including $68 million of net favorable notable items
William P. Foley, II, Chairman,
commented, "I am very proud of our team as they navigated a
challenging environment and delivered record results for both the
fourth quarter and full-year 2020 in our Title business. We
generated adjusted pre-tax title earnings of $624 million and an adjusted pre-tax title margin
of 22.7% as refinance and purchase orders opened remained strong
through the fourth quarter of 2020. We continued to see a rebound
in commercial real estate activity as total commercial orders
opened increased 3% in the quarter as compared to the year ago
fourth quarter.
We also made significant headway on our technology investments
in our Title business having recently announced both the inHere
Experience Platform and, subsequently, Close inHere. The inHere
platform transforms the overall experience of buying, selling, and
refinancing a home by helping to enhance the safety and simplicity
needed to start, track, notarize, and close the transaction. While
we continue to drive innovation in the Title industry, we believe
our significant national footprint will prove to be a real plus as
further adoption of our client facing and title automation
technology expands our competitive advantage.
Turning to F&G, the Company continues to execute on its
growth strategy and generated retail sales growth of over 40% in
the fourth quarter. The credit rating upgrade that F&G has
enjoyed as a result of the acquisition by FNF has opened additional
large market opportunities. F&G is gaining momentum in the
newly entered bank and broker dealer channel, generating
$500 million of channel sales since
their launch on July 1st.
Expansion into institutional products, including the pension risk
transfer market, will also be an area of strategic focus for
F&G in 2021. We expect F&G's next phase of growth to
benefit from leveraging FNF's expertise in capital allocation,
value creation and strategic oversight."
Mr. Foley concluded, "Finally, we will remain focused on
maintaining a balanced capital allocation strategy centered on
returning capital to shareholders while investing in the business
to drive growth. In the fourth quarter, our Board approved a 9.0%
increase in our quarterly cash dividend to $0.36 per share and announced a plan targeting
$500 million of share repurchases,
based on market conditions over the course of the following twelve
months. During the quarter we repurchased 3.8 million shares at an
average purchase price of $36.77 per
share."
Conference Call
We will host a call with investors and
analysts to discuss fourth quarter 2020 FNF results on Thursday, February 25, 2021, beginning at
12:00 p.m. Eastern Time. A live
webcast of the conference call will be available on the Events and
Multimedia page of the FNF Investor Relations website at
fnf.com. The conference call replay will be available via
webcast through the FNF Investor Relations website at fnf.com. The
telephone replay will be available from 3:00
p.m. Eastern Time on February 25,
2021, through March 4, 2021,
by dialing 1-844-512-2921 (USA) or
1-412-317-6671 (International). The access code will be 13715589.
An expanded quarterly financial supplement providing segment
results is available on the FNF Investor Relations website.
About Fidelity National Financial, Inc.
Fidelity
National Financial, Inc. (NYSE: FNF) is a leading provider of title
insurance and transaction services to the real estate and mortgage
industries. FNF is the nation's largest title insurance
company through its title insurance underwriters - Fidelity
National Title, Chicago Title, Commonwealth Land Title, Alamo Title
and National Title of New York -
that collectively issue more title insurance policies than any
other title company in the United States. More information
about FNF can be found at fnf.com.
About F&G
F&G is part of the FNF family of
companies. F&G is committed to helping Americans turn their
aspirations into reality. F&G is a leading provider of annuity
and life insurance products and is headquartered in Des Moines, Iowa. For more information, please
visit www.fglife.bm.
Use of Non-GAAP Financial Information
Generally
Accepted Accounting Principles (GAAP) is the term used to refer to
the standard framework of guidelines for financial accounting. GAAP
includes the standards, conventions, and rules accountants follow
in recording and summarizing transactions and in the preparation of
financial statements. In addition to reporting financial results in
accordance with GAAP, FNF has provided non-GAAP financial measures,
which it believes are useful to help investors better understand
its financial performance, competitive position and prospects for
the future. These non-GAAP measures include adjusted net earnings,
adjusted earnings per share, adjusted pre-tax title earnings,
adjusted pre-tax title earnings as a percentage of adjusted title
revenue (adjusted pre-tax title margin), F&G adjusted earnings,
F&G adjusted earnings attributable to common shareholders,
F&G adjusted operating return on common shareholders' equity
excluding AOCI, F&G net investment spread, F&G average
assets under management and F&G sales.
Any non-GAAP measures should be considered in context with the
GAAP financial presentation and should not be considered in
isolation or as a substitute for GAAP net earnings. Further, FNF's
non-GAAP measures may be calculated differently from similarly
titled measures of other companies. Reconciliations of these
non-GAAP measures to related GAAP measures are provided below.
Forward-Looking Statements and Risk Factors
This press
release contains forward-looking statements that involve a number
of risks and uncertainties. Statements that are not historical
facts, including statements regarding our expectations, hopes,
intentions or strategies regarding the future are forward-looking
statements. Forward-looking statements are based on management's
beliefs, as well as assumptions made by, and information currently
available to, management. Because such statements are based on
expectations as to future financial and operating results and are
not statements of fact, actual results may differ materially from
those projected. We undertake no obligation to update any
forward-looking statements, whether as a result of new information,
future events or otherwise. The risks and uncertainties which
forward-looking statements are subject to include, but are not
limited to: the ability of FNF to successfully integrate F&G's
operations and employees; the potential impact of the announcement
or consummation of the proposed F&G transaction on
relationships, including with employees, suppliers, customers and
competitors; changes in general economic, business, political and
COVID-19 conditions, including changes in the financial markets;
weakness or adverse changes in the level of real estate activity,
which may be caused by, among other things, high or increasing
interest rates, a limited supply of mortgage funding or a weak U.
S. economy; our potential inability to find suitable acquisition
candidates; our dependence on distributions from our title
insurance underwriters as a main source of cash flow; significant
competition that F&G and our operating subsidiaries face;
compliance with extensive government regulation of our operating
subsidiaries; and other risks detailed in the "Statement Regarding
Forward-Looking Information," "Risk Factors" and other sections of
FNF's Form 10-K and other filings with the Securities and Exchange
Commission ("SEC").
FNF-E
FIDELITY NATIONAL
FINANCIAL, INC.
FOURTH QUARTER
SEGMENT INFORMATION
(In millions, except
order information in thousands)
(Unaudited)
|
|
|
|
Consolidated
|
|
Title
|
|
F&G
|
|
Corporate and
Other
|
Three Months
Ended
|
|
|
|
|
December 31,
2020
|
|
|
|
|
Direct title
premiums
|
|
$
|
845
|
|
|
$
|
845
|
|
|
$
|
—
|
|
|
$
|
—
|
|
Agency title
premiums
|
|
1,102
|
|
|
1,102
|
|
|
—
|
|
|
—
|
|
Escrow, title related
and other fees
|
|
891
|
|
|
775
|
|
|
58
|
|
|
58
|
|
Total title and
escrow
|
|
2,838
|
|
|
2,722
|
|
|
58
|
|
|
58
|
|
|
|
|
|
|
|
|
|
|
Interest and
investment income
|
|
359
|
|
|
31
|
|
|
327
|
|
|
1
|
|
Recognized gains and
losses, net
|
|
573
|
|
|
290
|
|
|
282
|
|
|
1
|
|
Total
revenue
|
|
3,770
|
|
|
3,043
|
|
|
667
|
|
|
60
|
|
|
|
|
|
|
|
|
|
|
Personnel
costs
|
|
863
|
|
|
786
|
|
|
33
|
|
|
44
|
|
Agent
commissions
|
|
842
|
|
|
842
|
|
|
—
|
|
|
—
|
|
Other operating
expenses
|
|
453
|
|
|
396
|
|
|
30
|
|
|
27
|
|
Benefits & other
policy reserve changes
|
|
460
|
|
|
—
|
|
|
460
|
|
|
—
|
|
Depreciation and
amortization
|
|
107
|
|
|
36
|
|
|
64
|
|
|
7
|
|
Claim loss
expense
|
|
87
|
|
|
87
|
|
|
—
|
|
|
—
|
|
Interest
expense
|
|
28
|
|
|
—
|
|
|
8
|
|
|
20
|
|
Total
expenses
|
|
2,840
|
|
|
2,147
|
|
|
595
|
|
|
98
|
|
|
|
|
|
|
|
|
|
|
Pre-tax earnings
(loss) from continuing operations
|
|
$
|
930
|
|
|
$
|
896
|
|
|
$
|
72
|
|
|
$
|
(38)
|
|
|
|
|
|
|
|
|
|
|
Income tax
expense (benefit)
|
|
128
|
|
|
192
|
|
|
(67)
|
|
|
3
|
|
Earnings
(loss) from equity investments
|
|
6
|
|
|
6
|
|
|
—
|
|
|
—
|
|
Loss from
discontinued operations, net of tax
|
|
(2)
|
|
|
—
|
|
|
(2)
|
|
|
—
|
|
Non-controlling interests
|
|
5
|
|
|
5
|
|
|
—
|
|
|
—
|
|
|
|
|
|
|
|
|
|
|
Net earnings
(loss) attributable to common shareholders
|
|
$
|
801
|
|
|
$
|
705
|
|
|
$
|
137
|
|
|
$
|
(41)
|
|
|
|
|
|
|
|
|
|
|
EPS from
continuing operations attributable to common
shareholders - basic
|
|
$
|
2.75
|
|
|
|
|
|
|
|
EPS from
discontinued operations attributable to common
shareholders - basic
|
|
(0.01)
|
|
|
|
|
|
|
|
EPS attributable
to common shareholders - basic
|
|
$
|
2.74
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
EPS from
continuing operations attributable to common
shareholders - diluted
|
|
$
|
2.74
|
|
|
|
|
|
|
|
EPS from
discontinued operations attributable to common
shareholders - diluted
|
|
(0.01)
|
|
|
|
|
|
|
|
EPS attributable
to common shareholders - diluted
|
|
$
|
2.73
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Weighted average
shares - basic
|
|
292
|
|
|
|
|
|
|
|
Weighted average
shares - diluted
|
|
293
|
|
|
|
|
|
|
|
FIDELITY NATIONAL
FINANCIAL, INC.
FOURTH QUARTER
SEGMENT INFORMATION
(In millions, except
order information in thousands)
(Unaudited)
|
|
|
|
Consolidated
|
|
Title
|
|
F&G
|
|
Corporate and
Other
|
|
Three Months
Ended
|
|
|
|
|
December 31,
2020
|
|
|
|
|
Net earnings
(loss) attributable to common shareholders
|
|
$
|
801
|
|
|
$
|
705
|
|
|
$
|
137
|
|
|
$
|
(41)
|
|
|
|
|
|
|
|
|
|
|
Loss from
discontinued operations, net of tax
|
|
(2)
|
|
|
—
|
|
|
(2)
|
|
|
—
|
|
|
|
|
|
|
|
|
|
|
Net earnings
(loss) from continuing operations attributable
to common shareholders
|
|
$
|
803
|
|
|
$
|
705
|
|
|
$
|
139
|
|
|
$
|
(41)
|
|
|
|
|
|
|
|
|
|
|
Pre-tax earnings
(loss) from continuing operations
|
|
$
|
930
|
|
|
$
|
896
|
|
|
$
|
72
|
|
|
$
|
(38)
|
|
|
|
|
|
|
|
|
|
|
Non-GAAP
Adjustments
|
|
|
|
|
|
|
|
|
Recognized
(gains) and losses, net
|
|
(367)
|
|
|
(290)
|
|
|
(76)
|
|
|
(1)
|
|
Indexed
product related derivatives
|
|
54
|
|
|
—
|
|
|
54
|
|
|
—
|
|
Purchase price
amortization
|
|
29
|
|
|
18
|
|
|
7
|
|
|
4
|
|
Transaction
costs
|
|
5
|
|
|
—
|
|
|
4
|
|
|
1
|
|
|
|
|
|
|
|
|
|
|
Adjusted pre-tax
earnings (loss)
|
|
$
|
651
|
|
|
$
|
624
|
|
|
$
|
61
|
|
|
$
|
(34)
|
|
|
|
|
|
|
|
|
|
|
Total non-GAAP,
pre-tax adjustments
|
|
$
|
(279)
|
|
|
$
|
(272)
|
|
|
$
|
(11)
|
|
|
$
|
4
|
|
Income taxes
on non-GAAP adjustments
|
|
64
|
|
|
65
|
|
|
—
|
|
|
(1)
|
|
Total non-GAAP
adjustments
|
|
$
|
(215)
|
|
|
$
|
(207)
|
|
|
$
|
(11)
|
|
|
$
|
3
|
|
|
|
|
|
|
|
|
|
|
Adjusted net
earnings (loss) from continuing operations attributable
to common shareholders
|
|
$
|
588
|
|
|
$
|
498
|
|
|
$
|
128
|
|
|
$
|
(38)
|
|
|
|
|
|
|
|
|
|
|
Adjusted EPS from
continuing operations attributable to common
shareholders - diluted
|
|
$
|
2.01
|
|
|
|
|
|
|
|
FIDELITY NATIONAL
FINANCIAL, INC.
FOURTH QUARTER
SEGMENT INFORMATION
(In millions, except
order information in thousands)
(Unaudited)
|
|
|
|
Consolidated
|
|
Title
|
|
Corporate and
Other
|
Three Months
Ended
|
|
|
|
December 31,
2019
|
|
|
|
Direct title
premiums
|
|
$
|
656
|
|
|
$
|
656
|
|
|
$
|
—
|
|
Agency title
premiums
|
|
828
|
|
|
828
|
|
|
—
|
|
Escrow, title related
and other fees
|
|
692
|
|
|
642
|
|
|
50
|
|
Total title and
escrow
|
|
2,176
|
|
|
2,126
|
|
|
50
|
|
|
|
|
|
|
|
|
Interest and
investment income
|
|
55
|
|
|
49
|
|
|
6
|
|
Recognized gains and
losses, net
|
|
131
|
|
|
135
|
|
|
(4)
|
|
Total
revenue
|
|
2,362
|
|
|
2,310
|
|
|
52
|
|
|
|
|
|
|
|
|
Personnel
costs
|
|
717
|
|
|
681
|
|
|
36
|
|
Agent
commissions
|
|
628
|
|
|
628
|
|
|
—
|
|
Other operating
expenses
|
|
455
|
|
|
428
|
|
|
27
|
|
Depreciation and
amortization
|
|
46
|
|
|
39
|
|
|
7
|
|
Claim loss
expense
|
|
66
|
|
|
66
|
|
|
—
|
|
Interest
expense
|
|
11
|
|
|
—
|
|
|
11
|
|
Total
expenses
|
|
1,923
|
|
|
1,842
|
|
|
81
|
|
|
|
|
|
|
|
|
Pre-tax earnings
(loss)
|
|
$
|
439
|
|
|
$
|
468
|
|
|
$
|
(29)
|
|
|
|
|
|
|
|
|
Income tax
expense (benefit)
|
|
98
|
|
|
103
|
|
|
(5)
|
|
Earnings from
equity investments
|
|
3
|
|
|
2
|
|
|
1
|
|
Non-controlling interests
|
|
4
|
|
|
5
|
|
|
(1)
|
|
|
|
|
|
|
|
|
Net earnings
(loss) attributable to common shareholders
|
|
$
|
340
|
|
|
$
|
362
|
|
|
$
|
(22)
|
|
|
|
|
|
|
|
|
EPS attributable
to common shareholders - basic
|
|
$
|
1.24
|
|
|
|
|
|
EPS attributable
to common shareholders - diluted
|
|
$
|
1.22
|
|
|
|
|
|
|
|
|
|
|
|
|
Weighted average
shares - basic
|
|
274
|
|
|
|
|
|
Weighted average
shares - diluted
|
|
278
|
|
|
|
|
|
FIDELITY NATIONAL
FINANCIAL, INC.
FOURTH QUARTER
SEGMENT INFORMATION
(In millions, except
order information in thousands)
(Unaudited)
|
|
|
|
Consolidated
|
|
Title
|
|
Corporate and
Other
|
Three Months
Ended
|
|
|
|
December 31,
2019
|
|
|
|
Net earnings
(loss) attributable to common shareholders
|
|
$
|
340
|
|
|
$
|
362
|
|
|
$
|
(22)
|
|
|
|
|
|
|
|
|
Pre-tax earnings
(loss)
|
|
$
|
439
|
|
|
$
|
468
|
|
|
$
|
(29)
|
|
|
|
|
|
|
|
|
Non-GAAP
Adjustments
|
|
|
|
|
|
|
Recognized
(gains) and losses, net
|
|
(131)
|
|
|
(135)
|
|
|
4
|
|
Purchase price
amortization
|
|
27
|
|
|
22
|
|
|
5
|
|
Transaction
costs
|
|
—
|
|
|
—
|
|
|
—
|
|
Severance
costs
|
|
6
|
|
|
0
|
|
|
6
|
|
|
|
|
|
|
|
|
Adjusted pre-tax
earnings (loss)
|
|
$
|
341
|
|
|
$
|
355
|
|
|
$
|
(14)
|
|
|
|
|
|
|
|
|
Total non-GAAP,
pre-tax adjustments
|
|
$
|
(104)
|
|
|
$
|
(113)
|
|
|
$
|
9
|
|
Income taxes
on non-GAAP adjustments
|
|
24
|
|
|
28
|
|
|
(4)
|
|
Non-controlling interest on non-GAAP adjustments
|
|
(3)
|
|
|
(3)
|
|
|
—
|
|
Total non-GAAP
adjustments
|
|
$
|
(83)
|
|
|
$
|
(88)
|
|
|
$
|
5
|
|
|
|
|
|
|
|
|
Adjusted net
earnings attributable to common shareholders
|
|
$
|
263
|
|
|
$
|
274
|
|
|
$
|
(11)
|
|
|
|
|
|
|
|
|
Adjusted EPS
attributable to common shareholders - diluted
|
|
$
|
0.95
|
|
|
|
|
|
FIDELITY NATIONAL
FINANCIAL, INC.
YTD SEGMENT
INFORMATION
(In millions, except
order information in thousands)
(Unaudited)
|
|
|
|
Consolidated
|
|
Title
|
|
F&G
|
|
Corporate and
Other
|
Twelve Months
Ended
|
|
|
|
|
December 31,
2020
|
|
|
|
|
Direct title
premiums
|
|
$
|
2,699
|
|
|
$
|
2,699
|
|
|
$
|
—
|
|
|
$
|
—
|
|
Agency title
premiums
|
|
3,599
|
|
|
3,599
|
|
|
—
|
|
|
—
|
|
Escrow, title related
and other fees
|
|
3,092
|
|
|
2,782
|
|
|
138
|
|
|
172
|
|
Total title and
escrow
|
|
9,390
|
|
|
9,080
|
|
|
138
|
|
|
172
|
|
|
|
|
|
|
|
|
|
|
Interest and
investment income
|
|
900
|
|
|
151
|
|
|
743
|
|
|
6
|
|
Recognized gains and
losses, net
|
|
488
|
|
|
143
|
|
|
352
|
|
|
(7)
|
|
Total
revenue
|
|
10,778
|
|
|
9,374
|
|
|
1,233
|
|
|
171
|
|
|
|
|
|
|
|
|
|
|
Personnel
costs
|
|
2,951
|
|
|
2,778
|
|
|
65
|
|
|
108
|
|
Agent
commissions
|
|
2,749
|
|
|
2,749
|
|
|
—
|
|
|
—
|
|
Other operating
expenses
|
|
1,759
|
|
|
1,536
|
|
|
75
|
|
|
148
|
|
Benefits & other
policy reserve changes
|
|
866
|
|
|
—
|
|
|
866
|
|
|
—
|
|
Depreciation and
amortization
|
|
296
|
|
|
149
|
|
|
123
|
|
|
24
|
|
Claim loss
expense
|
|
283
|
|
|
283
|
|
|
—
|
|
|
—
|
|
Interest
expense
|
|
90
|
|
|
1
|
|
|
18
|
|
|
71
|
|
Total
expenses
|
|
8,994
|
|
|
7,496
|
|
|
1,147
|
|
|
351
|
|
|
|
|
|
|
|
|
|
|
Pre-tax earnings
(loss) from continuing operations
|
|
$
|
1,784
|
|
|
$
|
1,878
|
|
|
$
|
86
|
|
|
$
|
(180)
|
|
|
|
|
|
|
|
|
|
|
Income tax
expense (benefit)
|
|
322
|
|
|
432
|
|
|
(75)
|
|
|
(35)
|
|
Earnings
(loss) from equity investments
|
|
15
|
|
|
14
|
|
|
—
|
|
|
1
|
|
Loss from
discontinued operations, net of tax
|
|
(25)
|
|
|
—
|
|
|
(25)
|
|
|
—
|
|
Non-controlling interests
|
|
25
|
|
|
25
|
|
|
—
|
|
|
—
|
|
|
|
|
|
|
|
|
|
|
Net earnings
(loss) attributable to common shareholders
|
|
$
|
1,427
|
|
|
$
|
1,435
|
|
|
$
|
136
|
|
|
$
|
(144)
|
|
|
|
|
|
|
|
|
|
|
EPS from
continuing operations attributable to common
shareholders - basic
|
|
$
|
5.11
|
|
|
|
|
|
|
|
EPS from
discontinued operations attributable to common
shareholders - basic
|
|
(0.09)
|
|
|
|
|
|
|
|
EPS attributable
to common shareholders - basic
|
|
$
|
5.02
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
EPS from
continuing operations attributable to common
shareholders - diluted
|
|
$
|
5.08
|
|
|
|
|
|
|
|
EPS from
discontinued operations attributable to common
shareholders - diluted
|
|
(0.09)
|
|
|
|
|
|
|
|
EPS attributable
to common shareholders - diluted
|
|
$
|
4.99
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Weighted average
shares - basic
|
|
284
|
|
|
|
|
|
|
|
Weighted average
shares - diluted
|
|
286
|
|
|
|
|
|
|
|
FIDELITY NATIONAL
FINANCIAL, INC.
YTD SEGMENT
INFORMATION
(In millions, except
order information in thousands)
(Unaudited)
|
|
|
|
Consolidated
|
|
Title
|
|
F&G
|
|
Corporate and
Other
|
Twelve Months
Ended
|
|
|
|
|
December 31,
2020
|
|
|
|
|
Net earnings
(loss) attributable to common shareholders
|
|
$
|
1,427
|
|
|
$
|
1,435
|
|
|
$
|
136
|
|
|
$
|
(144)
|
|
|
|
|
|
|
|
|
|
|
Loss from
discontinued operations, net of tax
|
|
(25)
|
|
|
—
|
|
|
(25)
|
|
|
—
|
|
|
|
|
|
|
|
|
|
|
Net earnings
(loss) from continuing operations attributable to common
shareholders
|
|
$
|
1,452
|
|
|
$
|
1,435
|
|
|
$
|
161
|
|
|
$
|
(144)
|
|
|
|
|
|
|
|
|
|
|
Pre-tax earnings
(loss) from continuing operations
|
|
$
|
1,784
|
|
|
$
|
1,878
|
|
|
$
|
86
|
|
|
$
|
(180)
|
|
|
|
|
|
|
|
|
|
|
Non-GAAP
Adjustments
|
|
|
|
|
|
|
|
|
Recognized
(gains) and losses, net
|
|
(181)
|
|
|
(143)
|
|
|
(45)
|
|
|
7
|
|
Indexed
product related derivatives
|
|
111
|
|
|
—
|
|
|
111
|
|
|
—
|
|
Debt issuance
costs
|
|
5
|
|
|
—
|
|
|
—
|
|
|
5
|
|
Purchase price
amortization
|
|
106
|
|
|
73
|
|
|
16
|
|
|
17
|
|
Transaction
costs
|
|
68
|
|
|
—
|
|
|
21
|
|
|
47
|
|
Other
adjustments
|
|
1
|
|
|
1
|
|
|
—
|
|
|
—
|
|
|
|
|
|
|
|
|
|
|
Adjusted pre-tax
earnings (loss)
|
|
$
|
1,894
|
|
|
$
|
1,809
|
|
|
$
|
189
|
|
|
$
|
(104)
|
|
|
|
|
|
|
|
|
|
|
Total non-GAAP,
pre-tax adjustments
|
|
$
|
110
|
|
|
$
|
(69)
|
|
|
$
|
103
|
|
|
$
|
76
|
|
Income taxes
on non-GAAP adjustments
|
|
(29)
|
|
|
18
|
|
|
(29)
|
|
|
(18)
|
|
Non-controlling interest on non-GAAP adjustments
|
|
(7)
|
|
|
(6)
|
|
|
—
|
|
|
(1)
|
|
Total non-GAAP
adjustments
|
|
$
|
74
|
|
|
$
|
(57)
|
|
|
$
|
74
|
|
|
$
|
57
|
|
|
|
|
|
|
|
|
|
|
Adjusted net
earnings (loss) from continuing operations attributable to
common shareholders
|
|
$
|
1,526
|
|
|
$
|
1,378
|
|
|
$
|
235
|
|
|
$
|
(87)
|
|
|
|
|
|
|
|
|
|
|
Adjusted EPS from
continuing operations attributable to common
shareholders - diluted
|
|
$
|
5.34
|
|
|
|
|
|
|
|
FIDELITY NATIONAL
FINANCIAL, INC.
YTD SEGMENT
INFORMATION
(In millions, except
order information in thousands)
(Unaudited)
|
|
|
|
|
|
|
|
Twelve Months
Ended
|
|
Consolidated
|
|
Title
|
|
Corporate and
Other
|
December 31,
2019
|
|
|
|
Direct title
premiums
|
|
$
|
2,381
|
|
|
$
|
2,381
|
|
|
$
|
—
|
|
Agency title
premiums
|
|
2,961
|
|
|
2,961
|
|
|
—
|
|
Escrow, title related
and other fees
|
|
2,584
|
|
|
2,389
|
|
|
195
|
|
Total title and
escrow
|
|
7,926
|
|
|
7,731
|
|
|
195
|
|
|
|
|
|
|
|
|
Interest and
investment income
|
|
225
|
|
|
202
|
|
|
23
|
|
Recognized gains and
losses, net
|
|
318
|
|
|
326
|
|
|
(8)
|
|
Total
revenue
|
|
8,469
|
|
|
8,259
|
|
|
210
|
|
|
|
|
|
|
|
|
Personnel
costs
|
|
2,696
|
|
|
2,562
|
|
|
134
|
|
Agent
commissions
|
|
2,258
|
|
|
2,258
|
|
|
—
|
|
Other operating
expenses
|
|
1,681
|
|
|
1,509
|
|
|
172
|
|
Depreciation and
amortization
|
|
178
|
|
|
154
|
|
|
24
|
|
Claim loss
expense
|
|
240
|
|
|
240
|
|
|
—
|
|
Interest
expense
|
|
47
|
|
|
—
|
|
|
47
|
|
Total
expenses
|
|
7,100
|
|
|
6,723
|
|
|
377
|
|
|
|
|
|
|
|
|
Pre-tax earnings
(loss)
|
|
$
|
1,369
|
|
|
$
|
1,536
|
|
|
$
|
(167)
|
|
|
|
|
|
|
|
|
Income tax
expense (benefit)
|
|
308
|
|
|
363
|
|
|
(55)
|
|
Earnings from
equity investments
|
|
15
|
|
|
13
|
|
|
2
|
|
Non-controlling interests
|
|
14
|
|
|
15
|
|
|
(1)
|
|
|
|
|
|
|
|
|
Net earnings
(loss) attributable to common shareholders
|
|
$
|
1,062
|
|
|
$
|
1,171
|
|
|
$
|
(109)
|
|
|
|
|
|
|
|
|
EPS attributable
to common shareholders - basic
|
|
$
|
3.89
|
|
|
|
|
|
EPS attributable
to common shareholders - diluted
|
|
$
|
3.83
|
|
|
|
|
|
|
|
|
|
|
|
|
Weighted average
shares - basic
|
|
273
|
|
|
|
|
|
Weighted average
shares - diluted
|
|
277
|
|
|
|
|
|
FIDELITY NATIONAL
FINANCIAL, INC.
YTD SEGMENT
INFORMATION
(In millions, except
order information in thousands)
(Unaudited)
|
|
|
|
Consolidated
|
|
Title
|
|
Corporate and
Other
|
Twelve Months
Ended
|
|
|
|
December 31,
2019
|
|
|
|
Net earnings
(loss) attributable to common shareholders
|
|
$
|
1,062
|
|
|
$
|
1,171
|
|
|
$
|
(109)
|
|
|
|
|
|
|
|
|
Pre-tax earnings
(loss)
|
|
$
|
1,369
|
|
|
$
|
1,536
|
|
|
$
|
(167)
|
|
|
|
|
|
|
|
|
Non-GAAP
Adjustments
|
|
|
|
|
|
|
Recognized
(gains) and losses, net
|
|
(318)
|
|
|
(326)
|
|
|
8
|
|
FIA related
derivative
|
|
|
|
|
|
|
Reinsurance
related derivative
|
|
|
|
|
|
|
Purchase price
amortization
|
|
105
|
|
|
86
|
|
|
19
|
|
Transaction
costs
|
|
58
|
|
|
—
|
|
|
58
|
|
Severance
costs
|
|
$
|
6
|
|
|
$
|
—
|
|
|
$
|
6
|
|
Other
adjustments
|
|
1
|
|
|
1
|
|
|
—
|
|
|
|
|
|
|
|
|
Adjusted pre-tax
earnings (loss)
|
|
$
|
1,221
|
|
|
$
|
1,297
|
|
|
$
|
(76)
|
|
|
|
|
|
|
|
|
Total non-GAAP,
pre-tax adjustments
|
|
$
|
(148)
|
|
|
$
|
(239)
|
|
|
$
|
91
|
|
Income taxes
on non-GAAP adjustments
|
|
38
|
|
|
60
|
|
|
(22)
|
|
Non-controlling interest on non-GAAP adjustments
|
|
(12)
|
|
|
(11)
|
|
|
(1)
|
|
Total non-GAAP
adjustments
|
|
$
|
(122)
|
|
|
$
|
(190)
|
|
|
$
|
68
|
|
|
|
|
|
|
|
|
Adjusted net
earnings (loss) attributable to common shareholders
|
|
$
|
940
|
|
|
$
|
981
|
|
|
$
|
(41)
|
|
|
|
|
|
|
|
|
Adjusted EPS
attributable to common shareholders - diluted
|
|
$
|
3.39
|
|
|
|
|
|
FIDELITY NATIONAL
FINANCIAL, INC.
SUMMARY BALANCE
SHEET INFORMATION
(In
millions)
|
|
|
|
December
31,
2020
|
|
December
31,
2019
|
|
|
(Unaudited)
|
|
(Unaudited)
|
Cash and investment
portfolio
|
|
|
$
|
37,766
|
|
|
|
$
|
5,760
|
|
Goodwill
|
|
|
4,495
|
|
|
|
2,727
|
|
Title
plant
|
|
|
404
|
|
|
|
404
|
|
Total
assets
|
|
|
50,455
|
|
|
|
10,677
|
|
Notes
payable
|
|
|
2,662
|
|
|
|
838
|
|
Reserve for title
claim losses
|
|
|
1,623
|
|
|
|
1,509
|
|
Secured trust
deposits
|
|
|
711
|
|
|
|
791
|
|
Redeemable
non-controlling interests
|
|
|
—
|
|
|
|
344
|
|
Non-redeemable
non-controlling interests
|
|
|
41
|
|
|
|
(17)
|
|
Total equity and
non-controlling interests
|
|
|
8,392
|
|
|
|
5,709
|
|
Total equity
attributable to common shareholders
|
|
|
8,351
|
|
|
|
5,382
|
|
Non-GAAP Measures and Other Information
Title
The table below reconciles pre-tax title earnings to adjusted
pre-tax title earnings.
|
Three Months
Ended
|
|
|
Year
Ended
|
(Dollars in
millions)
|
December 31,
2020
|
December 31,
2019
|
|
|
December 31,
2020
|
December 31,
2019
|
Pre-tax
earnings
|
$
|
896
|
|
$
|
468
|
|
|
|
$
|
1,878
|
|
$
|
1,536
|
|
Non-GAAP adjustments
before taxes
|
|
|
|
|
|
|
Recognized
(gains) and losses, net
|
(290)
|
|
(135)
|
|
|
|
(143)
|
|
(326)
|
|
Purchase price
amortization
|
18
|
|
22
|
|
|
|
73
|
|
86
|
|
Other
adjustments
|
—
|
|
—
|
|
|
|
1
|
|
1
|
|
Total non-GAAP
adjustments
|
(272)
|
|
(113)
|
|
|
|
(69)
|
|
(239)
|
|
Adjusted pre-tax
earnings
|
$
|
624
|
|
$
|
355
|
|
|
|
$
|
1,809
|
|
$
|
1,297
|
|
Adjusted pre-tax
margin
|
22.7
|
%
|
16.3
|
%
|
|
|
19.6
|
%
|
16.3
|
%
|
FIDELITY NATIONAL
FINANCIAL, INC.
QUARTERLY
OPERATING STATISTICS
(Unaudited)
|
|
|
|
Q4
2020
|
|
Q3
2020
|
|
Q2
2020
|
|
Q1
2020
|
|
Q4
2019
|
|
Q3
2019
|
|
Q2
2019
|
|
Q1
2019
|
Quarterly Opened
Orders ('000's except % data)
|
Total opened
orders*
|
|
728
|
|
|
847
|
|
|
693
|
|
|
682
|
|
|
492
|
|
|
592
|
|
|
544
|
|
|
438
|
|
Total opened orders
per day*
|
|
11.6
|
|
|
13.2
|
|
|
10.8
|
|
|
11.0
|
|
|
7.8
|
|
|
9.3
|
|
|
8.5
|
|
|
7.2
|
|
Purchase % of opened
orders
|
|
38
|
%
|
|
40
|
%
|
|
37
|
%
|
|
41
|
%
|
|
50
|
%
|
|
52
|
%
|
|
61
|
%
|
|
65
|
%
|
Refinance % of opened
orders
|
|
62
|
%
|
|
60
|
%
|
|
63
|
%
|
|
59
|
%
|
|
50
|
%
|
|
48
|
%
|
|
39
|
%
|
|
35
|
%
|
Total closed
orders*
|
|
617
|
|
|
571
|
|
|
487
|
|
|
377
|
|
|
417
|
|
|
409
|
|
|
359
|
|
|
263
|
|
Total closed orders
per day*
|
|
9.8
|
|
|
8.9
|
|
|
7.6
|
|
|
6.1
|
|
|
6.6
|
|
|
6.4
|
|
|
5.6
|
|
|
4.3
|
|
Purchase % of closed
orders
|
|
38
|
%
|
|
42
|
%
|
|
35
|
%
|
|
46
|
%
|
|
49
|
%
|
|
55
|
%
|
|
65
|
%
|
|
66
|
%
|
Refinance % of closed
orders
|
|
62
|
%
|
|
58
|
%
|
|
65
|
%
|
|
54
|
%
|
|
51
|
%
|
|
45
|
%
|
|
35
|
%
|
|
34
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Commercial
(millions, except orders in '000's)
|
Total commercial
revenue
|
|
$
|
322
|
|
|
$
|
216
|
|
|
$
|
184
|
|
|
$
|
245
|
|
|
$
|
321
|
|
|
$
|
301
|
|
|
$
|
286
|
|
|
$
|
231
|
|
Total commercial
opened orders
|
|
57.0
|
|
|
58.1
|
|
|
43.9
|
|
|
56.3
|
|
|
55.1
|
|
|
56.0
|
|
|
58.6
|
|
|
49.8
|
|
Total commercial
closed orders
|
|
39.5
|
|
|
30.6
|
|
|
25.7
|
|
|
31.0
|
|
|
39.1
|
|
|
36.4
|
|
|
34.0
|
|
|
30.0
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
National commercial
revenue
|
|
$
|
177
|
|
|
$
|
113
|
|
|
$
|
96
|
|
|
$
|
132
|
|
|
$
|
186
|
|
|
$
|
172
|
|
|
$
|
163
|
|
|
$
|
122
|
|
National commercial
opened orders
|
|
21.4
|
|
|
21.7
|
|
|
15.2
|
|
|
21.5
|
|
|
22.6
|
|
|
23.8
|
|
|
25.3
|
|
|
20.6
|
|
National commercial
closed orders
|
|
13.4
|
|
|
9.8
|
|
|
8.8
|
|
|
10.7
|
|
|
16.2
|
|
|
14.1
|
|
|
12.7
|
|
|
10.5
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total Fee Per
File
|
Fee per
file
|
|
$
|
2,116
|
|
|
$
|
2,063
|
|
|
$
|
1,889
|
|
|
$
|
2,224
|
|
|
$
|
2,384
|
|
|
$
|
2,459
|
|
|
$
|
2,677
|
|
|
$
|
2,567
|
|
Residential fee per
file
|
|
$
|
1,661
|
|
|
$
|
1,803
|
|
|
$
|
1,614
|
|
|
$
|
1,744
|
|
|
$
|
1,792
|
|
|
$
|
1,928
|
|
|
$
|
2,075
|
|
|
$
|
1,964
|
|
Total commercial fee
per file
|
|
$
|
8,200
|
|
|
$
|
7,100
|
|
|
$
|
7,200
|
|
|
$
|
7,900
|
|
|
$
|
8,200
|
|
|
$
|
8,300
|
|
|
$
|
8,400
|
|
|
$
|
7,700
|
|
National commercial
fee per file
|
|
$
|
13,200
|
|
|
$
|
11,500
|
|
|
$
|
10,900
|
|
|
$
|
12,300
|
|
|
$
|
11,500
|
|
|
$
|
12,200
|
|
|
$
|
12,900
|
|
|
$
|
11,600
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total
Staffing
|
Total field
operations employees
|
|
12,800
|
|
|
12,300
|
|
|
10,900
|
|
|
12,500
|
|
|
12,300
|
|
|
12,200
|
|
|
12,000
|
|
|
11,700
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Actual title
claims paid ($ millions)
|
|
$
|
54
|
|
|
$
|
50
|
|
|
$
|
51
|
|
|
$
|
48
|
|
|
$
|
53
|
|
|
$
|
52
|
|
|
$
|
66
|
|
|
$
|
49
|
|
|
|
* Includes an
immaterial number of non-purchase and non-refinance
orders
|
F&G
The table below reconciles the reported after-tax net loss from
continuing operations to adjusted earnings from continuing
operations attributable to common shareholders.
|
Three months
ended
|
|
|
Seven months
ended
|
|
December 31,
2020
|
|
|
December 31,
2020
|
(Dollars in
millions)
|
|
|
|
|
Net earnings
(loss) attributable to common shareholders
|
$
|
137
|
|
|
|
$
|
136
|
|
Less: Earnings (loss)
from discontinued operations, net of tax
|
(2)
|
|
|
|
(25)
|
|
Net earnings
(loss) from continuing operations attributable to common
shareholders
|
$
|
139
|
|
|
|
$
|
161
|
|
Non-GAAP
adjustments (1,2):
|
|
|
|
|
Recognized (gains)
and losses, net
|
(76)
|
|
|
|
(45)
|
|
Indexed product
related derivatives
|
54
|
|
|
|
111
|
|
Purchase price
amortization
|
7
|
|
|
|
16
|
|
Transaction
costs
|
4
|
|
|
|
21
|
|
Income taxes on
non-GAAP adjustments
|
—
|
|
|
|
(29)
|
|
Adjusted earnings (loss) from continuing operations
attributable to common shareholders
|
$
|
128
|
|
|
|
$
|
235
|
|
Adjusted earnings from continuing operations include
$68 million of favorable items in the
current quarter and $86 million in
the year-to-date period.
The table below provides summary financial highlights.
|
Three Months
Ended
|
|
Seven months
ended
|
(Dollars in
millions)
|
December 31,
2020
|
|
December 31,
2020
|
Average assets under
management (AAUM)(1)
|
$
|
27,864
|
|
|
$
|
27,322
|
|
Net investment spread
- FIA(1)
|
3.02
|
%
|
|
3.21
|
%
|
Net investment spread
- All products(1)
|
2.55
|
%
|
|
2.74
|
%
|
Net earnings (loss)
from continuing operations attributable to common
shareholders
|
$
|
139
|
|
|
$
|
161
|
|
Adjusted earnings
from continuing operations attributable to common
shareholders(1)
|
$
|
128
|
|
|
$
|
235
|
|
The table below provides a summary of sales, which are not
affected by PGAAP and are comparable to prior period data.
|
|
Three Months
Ended
|
|
Twelve Months
Ended
|
(In
millions)
|
|
December 31,
2020
|
|
December 31,
2019
|
|
December 31,
2020
|
|
December 31,
2019
|
Fixed indexed annuity
(FIA) sales(1)
|
|
$
|
947
|
|
|
$
|
795
|
|
|
$
|
3,459
|
|
|
$
|
2,820
|
|
Total retail annuity
sales(1)
|
|
$
|
1,309
|
|
|
$
|
921
|
|
|
$
|
4,235
|
|
|
$
|
3,596
|
|
Footnotes:
- Non-GAAP financial measure. See the Non-GAAP Measures section
below for additional information.
- Amounts are net of offsets related to value of business
acquired (VOBA), deferred acquisition cost (DAC), deferred sale
inducement (DSI) amortization, and unearned revenue (UREV)
amortization, as applicable.
DEFINITIONS
The following represents the
definitions of non-GAAP measures used by F&G.
Adjusted Earnings
Adjusted Earnings is a
non-GAAP economic measure we use to evaluate financial performance
each period. Adjusted earnings is calculated by adjusting net
earnings (loss) from continuing operations to eliminate:
(i) Recognized (gains) and losses,
net: the impact of net investment gains/losses, including changes
in allowance for expected credit losses and other than temporary
impairment ("OTTI") losses, recognized in operations; the impact of
market volatility on the alternative asset portfolio; and the
effect of changes in fair value of the reinsurance related embedded
derivative;
(ii) Indexed product related
derivatives: the impacts related to changes in the fair value,
including both realized and unrealized gains and losses, of index
product related derivatives and embedded derivatives, net of
hedging cost, and the fair value accounting impact of assumed
reinsurance,
(iii) Purchase price amortization:
the impacts related to the amortization of certain intangibles
(internally developed software, trademarks and value of
distribution asset (VODA)) recognized as a result of acquisition
activities, and
(iv) Transaction costs: the
impacts related to acquisition, integration and merger related
items.
Adjustments to Adjusted Earnings are net of the corresponding
impact on amortization of intangibles, as appropriate. The income
tax impact related to these adjustments is measured using an
effective tax rate, as appropriate by tax jurisdiction. While these
adjustments are an integral part of the overall performance of
F&G, market conditions and/or the non-operating nature of these
items can overshadow the underlying performance of the core
business. Accordingly, management considers this to be a useful
measure internally and to investors and analysts in analyzing the
trends of our operations.
Adjusted Earnings Attributable to Common
Shareholders
Adjusted Earnings attributable to common
shareholders is a non-GAAP economic measure we use to evaluate
financial performance attributable to our common shareholders each
period. Adjusted Earnings attributable to common shareholders is
calculated by adjusting net earnings (loss) available to common
shareholders to eliminate the same items as described in the
Adjusted Earnings paragraph above. While these adjustments are an
integral part of the overall performance of the Company, market
conditions and/or the non-operating nature of these items can
overshadow the underlying performance of the core business.
Accordingly, Management considers this to be a useful measure
internally and to investors and analysts in analyzing the trends of
our operations.
Net Investment Spread
Net investment spread is
the excess of net investment income, adjusted for market volatility
on the alternative asset investment portfolio, earned over the sum
of interest credited to policyholders and the cost of hedging our
risk on indexed product policies. Management considers this
non-GAAP financial measure to be useful internally and to investors
and analysts when assessing the performance of the Company's
invested assets against the level of investment return provided to
policyholders, inclusive of hedging costs.
Average Assets Under Management (AAUM)
AAUM is
calculated as the sum of:
(i) total invested assets at
amortized cost, excluding derivatives;
(ii) related party loans and
investments;
(iii) accrued investment
income;
(iv) funds withheld at fair
value;
(v) the net payable/receivable for
the purchase/sale of investments, and
(iv) cash and cash equivalents,
excluding derivative collateral, at the beginning of the period and
the end of each month in the period, divided by the total number of
months in the period plus one.
Management considers this non-GAAP financial measure to be
useful internally and to investors and analysts when assessing the
rate of return on assets available for reinvestment.
Sales (FIA Sales and Total Retail Annuity
Sales)
Sales are not derived from any specific
GAAP income statement accounts or line items and should not be
viewed as a substitute for any financial measure determined in
accordance with GAAP. Annuity and IUL sales are recorded as deposit
liabilities (i.e. contractholder funds) within the Company's
unaudited condensed consolidated financial statements in accordance
with GAAP. Management believes that presentation of sales, as
measured for management purposes, enhances the understanding of our
business and helps depict longer term trends that may not be
apparent in the results of operations due to the timing of sales
and revenue recognition.
View original
content:http://www.prnewswire.com/news-releases/fnf-reports-fourth-quarter-2020-diluted-eps-from-continuing-operations-of-2-74-and-adjusted-diluted-eps-from-continuing-operations-of-2-01--pre-tax-title-margin-of-29-4-and-adjusted-pre-tax-title-margin-of-22-7-301234894.html
SOURCE Fidelity National Financial, Inc.