Fidelity National Financial reported net earnings of $80 million in the second quarter as pre-tax earnings in its title division grew by $17 million compared to the year ago period.
The company earned $140 million in 2Q 2010, but that figure was bolstered by a $63 million gain from the sale of its share in Sedgwick CMS.
Closed orders fell to 353,200 from 361,900 a year ago, and the mix of residential business shifted to 51% refinance (which has a lower fee than purchase) compared to 46% in 2Q 2010. But FNF chairman William Foley noted that the firm generated a 5% increase in the fee per file category as its commercial title business grew during the quarter.
Fidelity booked 12,000 closed commercial orders in 2Q with a fee per file rate of $7,800, resulting in nearly $94 million of revenue. One year prior, it booked 11,000 closed orders at a fee rate of $6,200 per file, resulting in $68 million of revenue.
While direct title premiums written increased from the previous year -- $357 million versus $345 million -- premiums from business agents came in at $485 million versus $553 million, reducing total title premiums written by $45 million.
