SOURCE: Financial Industries Corporation

August 12, 2007 10:50 ET

Financial Industries Corporation Reports Quarterly Financial Results

AUSTIN, TX--(Marketwire - August 12, 2007) - Financial Industries Corporation (PINKSHEETS: FNIN) Thursday reported financial results for its second quarter ended June 30, 2007.

For the six months ended June 30, 2007, FIC's net income was $619,000, or $0.06 per share, on revenues of $39.1 million. This compares to a net loss of $45,000, or $0.00 per share, on revenues of $35.7 million for the same period of 2006.

Some of the notable factors affecting the change in net income over that for the same period for 2006 include:

--  an increase of $1.7 million in premiums earned, due primarily to
    increases in sales of final expense whole life insurance and mortgage
    protection term insurance products;
--  an increase of $1.5 million in net investment income, primarily due to
    dividend income received on investments in equity securities;
--  an increase of $1.3 million in other revenues, due primarily to
    additional fees earned on separate accounts and fees earned for services
    performed under an administrative services agreement with FIC's former
    subsidiary; and
--  an increase in operating expenses of $1.8 million, primarily due to
    higher audit, other consulting, and legal fees.
    

"We are pleased with these results and encouraged by the progress being made by our sales and marketing group," said Bill Prouty, FIC's chief executive officer. "Our final expense life insurance product has been very well received, and our plans for additional offerings are taking shape nicely."

Additional factors affecting results are listed in the company's Form 10-Q, filed with the Securities and Exchange Commission and available at www.sec.gov or www.ficgroup.com.

FIC, through its Investors Life subsidiary, markets and underwrites individual life insurance products. For more information on FIC, go to http://www.ficgroup.com on the Internet.

Statements in this document relating to future developments, disclosures and other statements that are not historical facts are forward-looking statements. Actual results may differ materially from these forward-looking statements as a result of market conditions, the timing and results of FIC's audits, reviews and filings with regulatory bodies, the interest of and actions by third parties engaging in transactions with FIC and other factors contained in FIC's Form 10-K for the year ended Dec. 31, 2006, and other filings with the SEC.

Contact Information

  • Contact Information:
    Financial Industries Corporation
    Shannon Coffin
    Phone: 512-404-5128
    E-mail: ir@ficgroup.com