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Published: 2023-07-27 16:21:19 ET
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EX-99.2 3 ex-99206302023.htm EX-99.2 Document

Exhibit 99.2
Erie Indemnity Company
Statements of Operations
(dollars in thousands, except per share data)
Three months ended June 30,Six months ended June 30,
2023202220232022
(Unaudited)(Unaudited)
Operating revenue
Management fee revenue - policy issuance and renewal services$633,339 $544,555 $1,191,429 $1,032,547 
Management fee revenue - administrative services15,636 14,476 30,825 28,789 
Administrative services reimbursement revenue184,466 160,675 357,293 324,002 
Service agreement revenue6,429 6,437 12,788 12,915 
Total operating revenue839,870 726,143 1,592,335 1,398,253 
Operating expenses
Cost of operations - policy issuance and renewal services521,246 461,468 990,341 885,939 
Cost of operations - administrative services184,466 160,675 357,293 324,002 
Total operating expenses705,712 622,143 1,347,634 1,209,941 
Operating income134,158 104,000 244,701 188,312 
Investment income
Net investment income13,535 8,268 15,718 18,772 
Net realized and unrealized investment losses(1,737)(10,324)(7,019)(17,603)
Net impairment losses recognized in earnings(171)(38)(1,804)(254)
Total investment income (loss)11,627 (2,094)6,895 915 
Interest expense— 895 — 1,894 
Other income3,305 337 6,642 810 
Income before income taxes149,090 101,348 258,238 188,143 
Income tax expense31,238 21,201 54,145 39,377 
Net income$117,852 $80,147 $204,093 $148,766 
Net income per share
Class A common stock – basic$2.53 $1.72 $4.38 $3.19 
Class A common stock – diluted$2.25 $1.53 $3.90 $2.84 
Class B common stock – basic and diluted$380 $258 $657 $479 
Weighted average shares outstanding – Basic
Class A common stock46,189,026 46,188,845 46,188,923 46,188,803 
Class B common stock2,542 2,542 2,542 2,542 
Weighted average shares outstanding – Diluted
Class A common stock52,299,974 52,296,139 52,298,298 52,298,321 
Class B common stock2,542 2,542 2,542 2,542 
Dividends declared per share
Class A common stock$1.19 $1.11 $2.38 $2.22 
Class B common stock$178.50 $166.50 $357.00 $333.00 
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Erie Indemnity Company
Statements of Financial Position
(in thousands)
June 30, 2023December 31, 2022
(Unaudited)
Assets
Current assets:
Cash and cash equivalents$142,996 $142,090 
Available-for-sale securities63,510 24,267 
Receivables from Erie Insurance Exchange and affiliates, net591,008 524,937 
Prepaid expenses and other current assets66,399 79,201 
Accrued investment income8,890 8,301 
Total current assets872,803 778,796 
Available-for-sale securities, net857,442 870,394 
Equity securities77,220 72,560 
Fixed assets, net422,903 413,874 
Agent loans, net60,367 60,537 
Other assets34,776 43,295 
Total assets$2,325,511 $2,239,456 
Liabilities and shareholders' equity
Current liabilities:
Commissions payable$347,795 $300,028 
Agent bonuses37,443 95,166 
Accounts payable and accrued liabilities164,718 165,915 
Dividends payable55,419 55,419 
Contract liability39,046 36,547 
Deferred executive compensation7,672 12,036 
Total current liabilities652,093 665,111 
Defined benefit pension plans55,075 51,224 
Contract liability18,892 17,895 
Deferred executive compensation13,539 13,724 
Deferred income taxes, net15,647 14,075 
Other long-term liabilities25,353 29,019 
Total liabilities780,599 791,048 
Shareholders’ equity1,544,912 1,448,408 
Total liabilities and shareholders’ equity$2,325,511 $2,239,456 
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