Omaha, Neb. – (March 11, 2008) Mutual of Omaha today reported 2007 consolidated net income of $217 million on total revenues of $4.24 billion, compared to net income of $166 million on total revenues of $4.20 billion in 2006.
The Omaha-based insurance and financial services company reported consolidated pre-tax earnings of $316 million in 2007, compared with $245 million a year earlier. Net realized investment gains were $17 million in 2007, compared to $10 million in 2006.
Mutual finished 2007 with total assets, retained earnings and statutory surplus at record levels.
Consolidated total assets at Dec. 31, 2007 were $19.4 billion, up from $19.0 billion at year-end 2006. Retained earnings were $3.6 billion, up from $3.4 billion a year earlier.
Statutory surplus, which is measured using the statutory accounting principles required by state insurance regulators, was a record $2.22 billion at year-end 2007, up from $2.14 billion at the close of 2006.
Mutual of Omaha Chairman and CEO Dan Neary said the company is in the strongest financial position in its history, thanks to the focused efforts of its workforce and a consistent strategy that emphasizes growth in core products, a strong extended product portfolio, new business ventures that complement the company’s strengths and exiting business lines that do not significantly contribute to profitability.
Revenue generated by the company’s core products grew by $315 million, or 13.3 percent, in 2007. “Given current economic conditions and the relatively flat growth throughout our industry last year, these results are especially significant,” Neary said.
“In many ways, 2007 was an historic year for Mutual of Omaha. We achieved record sales and earnings throughout our business units, maintained our high level of customer service, launched a banking initiative that will further extend our brand and began work on a development project that will transform our neighborhood,” Neary said.
In 2007 Mutual of Omaha launched Mutual of Omaha Bank, which operates 13 locations Nebraska and Colorado and ended the year with $703 million in assets. Ground also was broken for Midtown Crossing at Turner Park, a $300 million mixed-use development adjacent to Mutual’s headquarters.
“In the highly competitive insurance and financial services marketplace, Mutual of Omaha is distinguished by the strength of our products, service and reputation. Our core product focus, along with ensuring that activities throughout the company are aligned with corporate objectives, set the stage for continued success,” he said
Mutual of Omaha provides insurance and financial products for individuals, businesses and groups throughout the United States.
