Mercury General (MCY) FY2022 results: revenue $3.6 billion, down 8.8% on the year

Mercury General Corp. (MCY) reported revenue of $3.6 billion for fiscal 2022, the year ended 31 December 2022, down 8.8% on the year before. Net income was -$513 million, and diluted earnings per share $-9.26. The figures are the company's own, from the 10-K it filed with the SEC on 14 February 2023.

Revenue

$3.6 billion

-8.8% on the year

FY2015FY2022

Operating margin

-18.4%

7.5% a year earlier

FY2015FY2022

Net income

-$513 million

FY2015FY2022

Diluted EPS

-$9.26

FY2015FY2022

this yearthe year beforeHover a bar for its figure.

The year in brief

The four quarters: Q1 FY2022 · Q2 FY2022 · Q3 FY2022 · Q4 FY2022

Income statement (profit and loss)

$ million	FY2022	FY2021	FY2020	On the year
Revenue	3,643	3,993	3,785	-8.8%
Cost of revenue	11.0	12.8	11.8	-14.1%
Gross profit	3,632	3,981	3,773	-8.8%
Gross margin	99.7%	99.7%	99.7%
Operating income	-671	299	459
Operating margin	-18.4%	7.5%	12.1%
Interest expense	17.2	17.1	17.0	+0.7%
Pre-tax income	-671	299	459
Income tax	-158	51.4	83.9
Effective tax rate	n/a	17.2%	18.3%
Net income	-513	248	375
Net margin	-14.1%	6.2%	9.9%
Diluted EPS	-$9.26	$4.48	$6.77

$ million except per share.

Free cash flow is operating cash flow less capital expenditure; the effective tax rate is income tax over pre-tax income; margins are the line over revenue. Gross profit is revenue less cost of revenue, and operating income is revenue less the company's own total costs, where the statement does not print those lines. Those four are arithmetic on the filed numbers; everything else is as filed. Money is in $ million as the company files it, or in $ billion by the switch above the tables; per share figures and share counts are as they are.

Cash flow

$ million	FY2022	FY2021	FY2020	On the year
Operating cash flow	353	502	606	-29.7%
Capital expenditure	35.5	41.4	40.0	-14.3%
Free cash flow	317	460	566	-31.1%
Free cash flow margin	8.7%	11.5%	14.9%
Cash from investing	-316	-374	-411
Cash from financing	-82.0	-141	-140
Depreciation and amortisation	82.4	79.1	68.5	+4.2%
Share-based compensation	0.0	0.1	0.1	-89.4%
Dividends paid	105	140	140	-24.8%
Dividend per share	$1.91	$2.53	$2.52	-24.8%
Diluted shares, weighted	55m	55m	55m	-0.0%
Shares outstanding at period end	55m	55m	55m	0.0%

Balance sheet

$ million	FY2022	FY2021	FY2020	On the year
Shareholders' equity	1,522	2,140	2,033	-28.9%
Debt	400	375	375	+6.7%
Other liabilities	4,592	4,257	3,921	+7.9%
Total liabilities and equity	6,514	6,772	6,328	-3.8%
Fixed assets	171	191	179	-10.4%
Goodwill	42.8	42.8	42.8	0.0%
Intangible assets	9.2	10.3	11.3	-10.2%
Investments	n/a	n/a	376
Cash and equivalents	290	336	348	-13.6%
Other assets	6,001	6,193	5,371	-3.1%
Total assets	6,514	6,772	6,328	-3.8%

10-K for the year ended 31 December 2022, filed 14 February 2023: the filing.