ATLANTA, Feb. 7, 2011 /PRNewswire/ — Crawford & Company (www.crawfordandcompany.com) (NYSE: CRDA and CRDB), the world’s largest independent provider of claims management solutions to insurance companies and self-insured entities, today announced its financial results for the year and fourth quarter ended December 31, 2010.
Fourth quarter 2010 consolidated revenues before reimbursements totaled a new quarterly record of $301.5 million, an increase of 26% over $238.4 million in the 2009 fourth quarter. Fourth quarter 2010 net income attributable to Crawford & Company was $14.8 million, increasing 67% over $8.9 million in the 2009 fourth quarter. Fourth quarter 2010 diluted earnings per share was $0.28 compared to diluted earnings per share of $0.17 in the prior-year quarter, an increase of 65%.
Full year consolidated revenues before reimbursements totaled more than $1.0 billion for 2010, increasing $60.5 million from 2009. Net income attributable to Crawford & Company in 2010 was $28.3 million, compared to a net loss in 2009 of $(115.7) million. Full year 2010 diluted earnings per share was $0.53, compared to a loss per share of $(2.23) in the prior year.
During the 2010 fourth quarter, the Company recorded an additional net $3.5 million goodwill impairment charge related in part to additional consideration paid for the purchase of Broadspire Management Services, Inc. This was in addition to the $7.3 million goodwill impairment charge recorded in the 2010 second quarter for related issues. Excluding the impairment charges, 2010 fourth quarter and full-year net income attributable to Crawford & Company would have been $17.8 million and $38.2 million, respectively, and diluted earnings per share would have been $0.33 and $0.72, respectively.
The 2009 net loss attributable to Crawford & Company includes a non-cash impairment charge of $140.9 million, primarily related to the write-down of goodwill in the Company’s Broadspire segment. Excluding the non-cash impairment charge, 2009 net income attributable to Crawford & Company would have been $25.2 million and diluted earnings per share would have been $0.48.
Diluted earnings (loss) per share and the related non-GAAP adjusted diluted earnings per share, including the required reconciliation for the impact of the goodwill impairment charges, is set out in the table below:
The full earnings release is available here.