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CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($)
$ in Thousands
3 Months Ended
Mar. 31, 2020
Mar. 31, 2019
Cash flow from operating activities:    
Net income (loss) $ 2,133 $ (3,865)
Adjustments to reconcile net income to net cash provided by (used in) operating activities:    
Net realized and unrealized investment (gains) losses 2,825 (2,301)
Loss (gain) on early extinguishment of debt 0 3,575
Amortization of investment premium or discount, net 400 197
Depreciation and amortization 465 355
Share-based compensation 453 675
Changes in operating assets and liabilities:    
Prepaid reinsurance premiums 56,194 38,719
Premiums receivable, net 3,085 7,107
Reinsurance recoverable, net (51,567) (90,498)
Deferred acquisition costs and value of business acquired, net (1,579) (796)
Income taxes, net 1,510 (1,146)
Deferred revenue (86) (18)
Loss and loss adjustment expense reserves 51,313 77,894
Unearned premiums (2,612) (6,132)
Reinsurance payable (39,416) (32,200)
Other (1,745) 1,639
Net cash provided by (used in) operating activities 21,373 (6,795)
Cash flow from investing activities:    
Proceeds from sales of equity securities 2,056 1,506
Proceeds from sales of debt securities 103,118 49,174
Purchases of equity securities 3,428 2,188
Purchases of debt securities (134,971) (62,741)
Maturities and redemptions of debt securities 10,850 8,271
Purchases of property and equipment (1,224) (486)
Net cash provided by (used in) investing activities (23,599) (6,464)
Cash flow from financing activities:    
Proceeds from issuance of long-term debt, net of issuance costs 0 98,464
Payment of long-term debt and prepayment penalties 0 (48,000)
Purchases of FedNat Holding Company common stock (6,643) 0
Dividends paid (1,302) (1,039)
Net cash provided by (used in) financing activities (7,945) 49,425
Net increase (decrease) in cash and cash equivalents (10,171) 36,166
Cash and cash equivalents at beginning-of-period 133,361 64,423
Cash and cash equivalents at end-of-period 123,190 100,589
Supplemental disclosure of cash flow information:    
Cash paid (received) during the period for interest 3,750 902
Cash paid (received) during the period for income taxes (811) (277)
Right-of-use asset (7,938) (8,103)
Lease liability $ 7,938 $ 8,103