Nationwide Mutual Insurance Company ended 2012 with close to $1 billion in earnings, reversing the company’s net loss in 2011.
The Columbus, Ohio-based multiline insurer discloses in its year-2012 financial results, ended December 31, net income for the year of $940 million, a substantial turn-around from the $677 million loss posted in 2011. Net income for the fourth quarter totaled $176 million, up 402 percent from the $35 million recorded for the year ago period.
Revenue in the four quarter totaled $6 billion, up 25.2 percent from the $4.8 billion registered in the fourth quarter of 2011. For all of 2012, Nationwide’s revenue totaled $22.7 billion, a 22 percent rise from the $18.6 billion posted in 2011.
Financial services net operating income for 2012 was $606 million, down slightly from $681 million reported in 2011. Nationwide attributes the modest decline to a net benefit related to customer acquisition costs in 2011 that helped prior year earnings.
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The company reports that total financial services sales (including new and renewal production premiums and deposits) declined in 2012 to $18.2 billion, a 7.2 percent dip from the $19.6 billion recorded in 2011. However, excluding sales of variable annuities with living benefit guarantees, financial services sales were up 14.5 percent over 2011.