| | | | | | | | | | | | | | | | | | | | | | | | | | |
| | Three months ended September 30, | | Nine months ended September 30, |
| | 2021 | | 2020 | | 2021 | | 2020 |
| | (Unaudited) | | (Unaudited) |
Operating revenue | | | | | | | | |
Management fee revenue - policy issuance and renewal services | | $ | 504,891 | | | $ | 484,551 | | | $ | 1,462,880 | | | $ | 1,412,096 | |
Management fee revenue - administrative services | | 14,471 | | | 14,910 | | | 43,985 | | | 44,494 | |
Administrative services reimbursement revenue | | 162,410 | | | 147,710 | | | 473,133 | | | 451,229 | |
Service agreement revenue | | 6,067 | | | 6,310 | | | 18,048 | | | 19,418 | |
Total operating revenue | | 687,839 | | | 653,481 | | | 1,998,046 | | | 1,927,237 | |
| | | | | | | | |
Operating expenses | | | | | | | | |
Cost of operations - policy issuance and renewal services | | 430,326 | | | 409,546 | | | 1,268,650 | | | 1,202,903 | |
Cost of operations - administrative services | | 162,410 | | | 147,710 | | | 473,133 | | | 451,229 | |
| | | | | | | | |
Total operating expenses | | 592,736 | | | 557,256 | | | 1,741,783 | | | 1,654,132 | |
Operating income | | 95,103 | | | 96,225 | | | 256,263 | | | 273,105 | |
| | | | | | | | |
Investment income | | | | | | | | |
Net investment income | | 18,858 | | | 10,645 | | | 49,605 | | | 20,353 | |
Net realized investment gains | | 1,610 | | | 5,915 | | | 5,183 | | | 1,635 | |
Net impairment recoveries (losses) recognized in earnings | | 130 | | | (122) | | | 216 | | | (3,192) | |
| | | | | | | | |
Total investment income | | 20,598 | | | 16,438 | | | 55,004 | | | 18,796 | |
| | | | | | | | |
Interest expense, net | | 1,034 | | | 3 | | | 3,082 | | | 8 | |
Other expense | | 541 | | | 964 | | | 1,608 | | | 1,588 | |
Income before income taxes | | 114,126 | | | 111,696 | | | 306,577 | | | 290,305 | |
Income tax expense | | 23,903 | | | 22,480 | | | 63,759 | | | 59,786 | |
Net income | | $ | 90,223 | | | $ | 89,216 | | | $ | 242,818 | | | $ | 230,519 | |
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| | | | | | | | |
Net income per share | | | | | | | | |
Class A common stock – basic | | $ | 1.94 | | | $ | 1.92 | | | $ | 5.21 | | | $ | 4.95 | |
Class A common stock – diluted | | $ | 1.72 | | | $ | 1.71 | | | $ | 4.64 | | | $ | 4.41 | |
Class B common stock – basic and diluted | | $ | 291 | | | $ | 287 | | | $ | 782 | | | $ | 742 | |
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| | | | | | | | |
Weighted average shares outstanding – Basic | | | | | | | | |
Class A common stock | | 46,189,035 | | | 46,189,030 | | | 46,188,729 | | | 46,188,544 | |
Class B common stock | | 2,542 | | | 2,542 | | | 2,542 | | | 2,542 | |
| | | | | | | | |
Weighted average shares outstanding – Diluted | | | | | | | | |
Class A common stock | | 52,305,245 | | | 52,310,429 | | | 52,307,859 | | | 52,312,588 | |
Class B common stock | | 2,542 | | | 2,542 | | | 2,542 | | | 2,542 | |
| | | | | | | | |
Dividends declared per share | | | | | | | | |
Class A common stock | | $ | 1.035 | | | $ | 0.965 | | | $ | 3.105 | | | $ | 2.895 | |
Class B common stock | | $ | 155.25 | | | $ | 144.75 | | | $ | 465.75 | | | $ | 434.25 | |