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Jun 30, 2020

MGIC Q2 2020 Earnings Report

Net income reflected challenges from the economic environment and was impacted by loan loss reserves.

Key Takeaways

MGIC Investment Corporation reported a net income of $14.0 million, or $0.04 per diluted share, for the second quarter of 2020. The results were impacted by the loan loss reserves established for expected losses on new loan delinquencies due to the economic environment.

Maintained full operations through remote work model due to COVID-19 pandemic.

New insurance written was $28.2 billion, compared to $14.9 billion in the second quarter of 2019.

Insurance in force of $230.5 billion at June 30, 2020 increased by 2% during the quarter and 8% compared to June 30, 2019.

Primary delinquency inventory of 69,326 loans at June 30, 2020 increased from 30,028 loans at December 31, 2019.

Total Revenue
$294M
Previous year: $292M
+0.6%
EPS
$0.03
Previous year: $0.46
-93.5%
New Insurance Written
$28.2B
Previous year: $14.9B
+89.3%
Insurance In Force
$231B
Loss Ratio
89.2%
Gross Profit
$250M
Previous year: $249M
+0.1%
Cash and Equivalents
$367M
Previous year: $219M
+67.5%
Free Cash Flow
$235M
Previous year: $114M
+107.0%
Total Assets
$6.57B
Previous year: $6.06B
+8.6%

MGIC

MGIC

Forward Guidance

The company did not provide specific financial guidance in its earnings report.