Capital Title Group Posts Record Level Full Year 2005 Revenue of $380.2 Million
|March 14, 2006|
4th Quarter Revenue of $89.7 Million Hits Record Level
PHOENIX -- Capital Title Group Inc. (Nasdaq: CTGI) -- named for a second consecutive year in FORTUNE'S 100 Fastest Growing Companies in America in 2005 -- is a national provider of title, appraisal, flood and other transaction services to the real estate and mortgage lending industries.
Capital Title reported record revenue of $380.2 million for the year ended Dec. 31, 2005, an increase of $79.9 million or 26.6% compared to revenue of $300.3 million for the full year 2004. Earnings attributable to common stock for 2005 was $19.7 million or $0.79 per diluted share compared to earnings attributable to common stock for the year 2004 of $14.2 million or $0.64 per diluted share. The company benefited from a full year of operations in its Lender Services segment as acquisitions were made in midyear 2004.
Fourth quarter revenue climbed to $89.7 million, rising 7.9% compared to revenue of $83.2 million for the corresponding 2004 fourth quarter. Earnings attributable to common stock for the three-month period was $3.7 million or $0.14 per diluted share compared to $3.4 million or $0.15 per diluted share in the comparable 2004 three-month period.
"We are very pleased to report that we set new records in 2005 with revenues of $380.2 million and diluted earnings attributable to common stock of $0.79 per share. We capitalized on acquisitions made in 2004 that were accretive to earnings, provided diversification to our revenue stream and established a national footprint for the company," stated Donald R. Head, chairman of the board, president and chief executive officer.
"We held the line on operating expenses, which, primarily as a result of higher revenue levels, decreased as a percentage of revenue by 1.2% in 2005. Open and closed order counts, along with our average fee per closed order, increased in 2005, reflecting that a strong real estate market continued in 2005 following the record levels we experienced in 2004.
"We are proud of the accomplishments our dedicated executive management team and entire staff produced in 2005. We believe the strength of our group, coupled with our financial strength, positions us to take full advantage of additional growth and diversification opportunities as they become available," Head concluded.
There will be a delay in the filing of Capital Title Group Inc.'s Annual Report on Form 10-K for the year ended Dec. 31, 2005, that is primarily attributable to completion of the new audit procedures required by Section 404 of the Sarbanes-Oxley Act of 2002, which have taken longer to complete than expected because this is the first year for compliance with such requirements. The company expects to file its Annual Report on Form 10-K for the year ended Dec. 31, 2005, on or before March 31, 2006.
Source: Capital Title Group Inc.