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CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($)
$ in Thousands
9 Months Ended
Sep. 30, 2021
Sep. 30, 2020
Cash flow from operating activities:    
Net income (loss) $ (94,531) $ (40,091)
Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities:    
Net realized and unrealized (gains) losses (10,949) (8,882)
Amortization of investment premium or discount, net 2,986 2,353
Depreciation and amortization 1,447 1,427
Share-based compensation 956 1,194
Changes in operating assets and liabilities:    
Prepaid reinsurance premiums (42,657) (140,469)
Premiums receivable, net 785 (11,331)
Reinsurance recoverable, net (546,236) (242,611)
Deferred acquisition costs, net 6,428 4,979
Current and deferred income taxes, net 5,283 (23,322)
Deferred revenue (976) (61)
Loss and loss adjustment expense reserves 497,170 229,618
Unearned premiums (8,354) 19,504
Reinsurance payable and funds withheld liabilities 103,852 128,520
Other (5,906) 400
Net cash provided by (used in) operating activities (90,702) (78,772)
Cash flow from investing activities:    
Proceeds from sales of equity securities 0 11,441
Proceeds from sales of debt securities 205,932 346,890
Purchases of equity securities (2,745) (4,727)
Purchases of debt securities (145,117) (402,894)
Maturities and redemptions of debt securities 62,907 60,767
Purchases of property and equipment (1,236) (2,585)
Net cash provided by (used in) investing activities 119,741 8,892
Cash flow from financing activities:    
Proceeds from issuance of long-term debt, net of issuance costs 19,872 0
Purchases of FedNat Holding Company common stock 0 (10,418)
Issuance of common stock 15,571 0
Issuance of common stock for share-based awards 11 42
Dividends paid 0 (3,819)
Net cash provided by (used in) financing activities 35,454 (14,195)
Net increase (decrease) in cash and cash equivalents 64,493 (84,075)
Cash and cash equivalents at beginning-of-period 102,367 133,361
Cash and cash equivalents at end-of-period 166,860 49,286
Supplemental disclosure of cash flow information:    
Cash paid (received) during the period for interest 7,625 7,500
Cash paid (received) during the period for income taxes (3,603) (598)
Significant non-cash investing and financing transactions:    
Right-of-use asset (6,885) (7,605)
Lease liability $ 6,885 $ 7,605