CoreLogic Reports Results For The Second Quarter of 2011

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Dan Smith
Investor Relations
CoreLogic
(703) 610-5410
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Alyson Austin
Corporate Communications
CoreLogic
(949) 214-1414
newsmedia@corelogic.com

August 04, 2011, Santa Ana, Calif. –

CORELOGIC REPORTS SECOND QUARTER 2011 NET INCOME OF $31.5 MILLION, OR $0.29 PER SHARE, ON REVENUE OF $396.4 MILLION

SECOND QUARTER PRE-TAX INCOME OF $42.8 MILLION, ADJUSTED PRE-TAX INCOME2 OF $21.0 MILLION, ADJUSTED EBITDA2 OF $61.1 MILLION

RESULTS INCLUDE ONE-TIME ACQUISITION-RELATED GAIN ON INITIAL INVESTMENT IN RP DATA OF $58.9 MILLION

  • Second quarter revenues totaled $396.4 million, compared to $411.0 million in the second quarter of 2010.
  • Data and Analytics segment benefited from the RP Data acquisition, higher capital markets project-based revenues and higher consumer services revenues.
  • Business and Information Services segment experienced significant declines in appraisal and broker price opinion business reflecting client losses, changing market dynamics and general declines in industry origination and problem loan volumes.
  • Company made significant progress on cost savings initiatives with estimated $20.0 million in 2011 benefits.
  • Continued innovation in the Data and Analytics segment with the issuance of two patents and new product launches.
  • Announced a strategic outsourcing relationship with Cognizant that will reduce the company’s global workforce by 40 percent.
  • Repurchased 8.7 million shares in the quarter, for total proceeds of $161.4 million.
  • Hired Frank Martell as the company’s CFO.

CoreLogic (NYSE:CLGX) today reported net income of $31.5 million for the quarter ended June 30, 2011 compared with net income of $24.4 million in the same period of 2010. Diluted earnings were $0.29 per share in the second quarter of 2011 compared with diluted earnings of $0.22 per share in the second quarter of 2010.

Significant pre-tax items in the second quarter of 2011 included acquisition-related gains of $58.9 million recorded on the company’s existing investment in RP Data and the write-off of deferred financing costs associated with the company’s prior credit facility of $10.2 million.

Anand Nallathambi, President and Chief Executive Officer, commented on the quarter, “During the second quarter we continued to strategically reposition our company with the acquisition of RP Data and the announced partnership with Cognizant. We also made progress on aggressive cost cutting and streamlining initiatives that will benefit the company into the future.”

Continuing on, Nallathambi added: “The Data and Analytics segment delivered another solid quarter with growth in risk and fraud services. We also launched a web-based portal, IdentityLogic, that will be a consumer-facing credit-monitoring service. Finally, the Business and Information Services segment expanded its flood data and geo-spatial offerings and made progress on the international expansion of its market-leading tax servicing business.”

“Continued innovation and growth in our core businesses is essential in light of the uncertainty in the U.S. housing market. Regulatory and economic concerns have constrained the volume of mortgage originations despite low interest rates and record levels of single-family home affordability. As a result, we did not experience the typical degree of seasonality in the second quarter. These effects, and lack of typical seasonality, negatively impacted our quarterly results on a year-over-year basis, and make us increasingly cautious in our outlook for the remainder of the year.”

The CoreLogic press release announcing its financial results for the second quarter 2011 is available to download as a PDF by clicking the link below.

CoreLogic Reports Results For The Second Quarter of 2011

2This is a non-GAAP measure. For a discussion and reconciliation of non-GAAP measures to the GAAP equivalent, see page 11 and following.