After the CoreLogic management team posted record sales in the third quarter, they again attempted to crack down on Senator Investment and Cannae Holdings' hostile offer of $ 66 per share.
"CoreLogic is shooting at all cylinders," said Frank Martell, President and CEO, during the company's earnings statement. "We are leaving 2020 with increasing momentum and believe we are well positioned to capitalize on the many value opportunities it offers to drive continued organic growth and margin gains."
Responding specifically to the hostile offer for the company is, according to the CoreLogic board of directors, "open to all avenues to create value". Martell then said, "The ever-changing stream of misinformation from the Senator and Cannae in support of their opportunistic attempts to acquire CoreLogic is deliberately ignoring the facts."
"We plan to continue to bring significant transparency to our business so that all of our shareholders can fully appreciate the substantial current and potential value that CoreLogic will deliver."
CoreLogic has not answered any questions about the Offer or the November 17th Special Meeting.
On October 21, the day before the results were released, Senator and Cannae posted a letter to CoreLogic shareholders to advocate.
The letter states: "CoreLogic has underperformed 145% over the past five years, is consistently below the bottom 4% of the total Russell 3000 due to lack of market expectations, has not met any of its long-term goals and has consistently produced negative organic products. " Growth.
"The same board of directors has now denied access to due diligence, attempted regulatory scrutiny of a potential transaction, doing shareholders a disservice by playing games with the special meeting, and undermining several attempts at constructive engagement," wrote Senator and Cannae.
Total revenue growth for the quarter was 16% year over year. However, if it were adjusted to remove the impact of the 2019 business outcomes as well as the coronavirus, revenue growth would have been around 23%, according to Jim Balas, Chief Financial Officer of CoreLogic, said during the earnings call. Strong market share gains in both operating segments contributed to an organic growth rate of 8%.
CoreLogic had third-quarter revenues of $ 436.7 million, compared to $ 375.6 million a year earlier. The comparison with the same period last year that Balas was referring to included $ 17 million in revenue for the third quarter of 2019 attributable to non-core off-the-shelf technology units that the company had sold and the switch to the model Review management company that has no 2020 counterpart.
Net income was $ 113.1 million for the third quarter, compared to $ 59 million in the second quarter and $ 23.1 million last year.
However, on October 16, CoreLogic announced that the reseller business, which marketed tenant controls along with loan and borrower screening services to mortgage lenders, had been retired effective the third quarter. As a result, CoreLogic net income from continuing operations for the third quarter was $ 102.5 million compared to $ 31.7 million a year earlier.
The Underwriting and Workflow Solutions segment posted net income from continuing operations of $ 124.8 million for the last quarter, compared to $ 70.6 million a year earlier.
At the same time, net income from continuing operations in the Property Intelligence and Risk Management segment increased from $ 19.4 million in the same period to $ 58.3 million.
However, the company's reporting line lost $ 80.7 million, compared to a loss of $ 58.3 million in the third quarter of 2019.