Ross R. Moody, Chairman of the Board, President, and Chief Executive Officer of National Western Life Group, Inc. (Nasdaq: NWLI), announced today third quarter 2020 consolidated net earnings of $10.8 million, or $3.06 per diluted Class A common share, compared with consolidated net earnings of $20.0 million, or $5.65 per diluted Class A common share, for the third quarter of 2019. For the nine months ended September 30, 2020, the Company reported consolidated net earnings of $57.2 million, or $16.17 per diluted Class A common share, compared with $93.9 million, or $26.55 per diluted Class A common share, a year ago. The Company's book value per share as of September 30, 2020 increased to $609.25.
Total revenues for the quarter ended September 30, 2020 increased to $202.7 million from $173.2 million in the third quarter of 2019 reflecting the continuing recovery of investment asset unrealized losses which occurred during the first quarter of 2020. Despite the disruption in financial credit markets as a result of the COVID-19 pandemic, the Company reported that in excess of 97% of its fixed income investment portfolio remained in investment grade categories as of September 30, 2020. Mr. Moody noted, "While encountering an unprecedented set of circumstances we are continuing to move forward. Our annuity sales for the first nine months increased 29% over last year. Life insurance sales, which are much more dependent upon person-to-person interaction, have increased over 9% so far this year compared to 2019. These sales successes illustrate the entrepreneurial spirit of our independent distribution partners and the resiliency of our home office team in continuing to support their sales and marketing efforts."
Consolidated net earnings in the quarter and nine months ended September 30, 2020 incorporate adjustments emanating from the Company's annual review of actuarial assumptions associated with its in force life insurance and annuity books of business. Commenting on the results, Mr. Moody indicated, "Each year in the third quarter, our actuarial professionals conduct detailed studies and analysis regarding the performance of our business identifying changes in trends and factors that may have deviated from what was originally assumed when we priced our products. Given what has progressively occurred in recent times with low interest rates and investment yields, the need for policyholders to increasingly access the liquidity features of our products, and volatility in financial markets, we updated our assumptions during the quarter to more closely align with current experience which in some cases caused additional reserves to be established and in other cases necessitated amortizing deferred costs of business more rapidly. The alignment should allow more consistent reporting of future financial results."
National Western Life Group, Inc. is the parent organization of National Western Life Insurance Company, which is the parent organization of Ozark National Life Insurance Company, both stock life insurance companies in aggregate offering a broad portfolio of individual universal life, whole life and term insurance plans, as well as annuity products. At September 30, 2020, the Company maintained consolidated total assets of $12.4 billion, consolidated stockholders' equity of $2.2 billion, and combined life insurance inforce of $22.2 billion.
