Investors Title, which issues and underwrites title insurance policies, posted a 5 percent gain in net income in the first quarter despite lower revenue.
The Chapel Hill company reported Wednesday that revenue for the quarter totaled $24.9 million, down 12 percent, as a result of lower premiums for policies written during the quarter.
Investors Title reported that most of its agencies enjoyed higher revenue, but that was more than offset by reductions at a few larger agencies.
Net income totaled $1.8 million, or 93 cents per share, versus $1.7 million, or 86 cents per share, a year ago.
Operating expenses fell 14 percent, primarily due to lower commissions and a a decrease in the provision for claims.
“With interest rates remaining low, and an improving economy in our core markets, we remain optimistic that the strong housing market will drive higher transaction volumes throughout the year,” Chairman J. Allen Fine said in a statement.
Since title insurance protects against losses arising from ownership disputes, the title insurance market typically rises and falls based on the health of the housing market and refinancing activity.
Investors Title also manages investments for individuals and businesses.
Investors Title shares were trading mid-day Wednesday at $95.20, down 80 cents. The company’s shares have fallen 5 percent this year.