First American Financial Q4 Profit Drops

(RTTNews) - First American Financial Corp. (FAF) reported that its net income for the fourth-quarter dropped to $91.6 million or $0.81 per share, from $221.1 million or $1.96 per share, in the fourth quarter of 2017.

Net realized investment losses in the quarter were $67.5 million, or $0.47 per share, primarily due to the change in the fair value of equity securities.

Total revenue for the fourth quarter of 2018 was $1.4 billion, a decline of 4 percent relative to the fourth quarter of 2017.

Looking forward to 2019, the company expects strong performance in commercial business and growth in investment income, however, we anticipate continued pressure in residential business. It has adjusted cost structure accordingly and, as a result, it expects to meet long-term financial objectives for the year.