EX-99.1 2 news0307.txt NEWS RELEASE Exhibit 99.1 ------------ NEWS RELEASE CONTACT: Lester A. Aaron Chief Financial Officer (818) 591-9800 UNICO AMERICAN CORPORATION REPORTS RESULTS FOR ITS FIRST QUARTER ENDED MARCH 31, 2007 Woodland Hills, California, May 11, 2007 - Unico American Corporation (NASDAQ - "UNAM") announced today that for its quarter ended March 31, 2007, revenues were $12,845,975 and net income was $1,688,588 ($0.30 diluted income per share) compared with revenues of $14,073,675 and net income of $1,887,550 ($0.34 diluted income per share) for the quarter ended March 31, 2006. Stockholders' equity was $62,810,927 at March 31, 2007, or $11.22 per common share including unrealized after-tax investment losses of $11,007 compared to stockholders' equity of $60,871,022 or $10.89 per common share including unrealized after-tax investment losses of $216,074 at December 31, 2006. Unico American Corporation is an insurance holding company that provides property, casualty, health and life insurance, and related premium financing through its wholly owned subsidiaries. (Table Follows) UNICO AMERICAN CORPORATION AND SUBSIDIARIES SUMMARY OF CONSOLIDATED FINANCIAL DATA (UNAUDITED) ($ in thousands, except per share) Three Months Ended Ended March 31 -------- 2007 2006 ---- ---- Revenues -------- Insurance Company Revenues Premium earned $12,740 $14,845 Premium ceded 3,031 3,631 ----- ------ Net premium earned 9,709 11,214 Investment income 1,622 1,334 Other income 10 28 ------ ------ Total Insurance Company Revenues 11,341 12,576 Other Revenues from Insurance Operations Gross commissions and fees 1,315 1,300 Investment income 38 21 Finance charges and fees earned 149 173 Other income 3 4 ------ ------ Total Revenues 12,846 14,074 ------ ------ Expenses -------- Losses and loss adjustment expenses 5,934 6,518 Policy acquisition costs 1,996 2,451 Salaries and employee benefits 1,422 1,285 Commissions to agents/brokers 204 158 Other operating expenses 765 748 ------ ------ Total Expenses 10,321 11,160 ------ ------ Income Before Income Taxes 2,525 2,914 Income Tax Provision 836 1,026 ----- ----- Net Income $1,689 $1,888 ===== ===== PER SHARE DATA -------------- Basic Earnings Per Share $0.30 $0.34 Weighted Average Shares (000) 5,596 5,506 Diluted Earnings Per Share $0.30 $0.34 Weighted Average Shares (000) 5,679 5,626 INSURANCE COMPANY STATUTORY OPERATING RATIOS -------------------------------------------- Losses and Loss Adjustment Expenses 60.8% 57.9% Underwriting Expenses 30.7% 30.6% ---- ---- Combined Ratio 91.5% 88.5% ==== ====