Mortgage insurer PMI Group Inc
The company posted a loss of $228.2 million, or $2.76 a share from continuing operations for the latest fourth quarter, compared with a loss of $181.0 million, or $2.22 a share, a year back.
Analysts on average were looking for a loss of $1.67 a share, according to Thomson Reuters I/B/E/S.
PMI's U.S. mortgage insurance operations posted a net loss of $242 million. This is up sharply from a loss of $174.1 million the unit posted in the same period last year.
Mortgage insurance is bought by homebuyers securing loans with down payments of less than 20 percent to repay the lender if there is a default.
PMI's principal operating subsidiary said on Monday that Fannie Mae
PMI also said it is currently in discussions with Freddie Mac
Mortgage insurers like PMI and rivals Radian Group Inc
MGIC, the No.1 U.S. mortgage insurer, posted its tenth straight quarterly loss last month as a rising number of homeowners failed to pay their mortgages. However, Genworth Financial Inc
Shares of the Walnut Creek, California-based company were down 5 percent at $2.30 before the bell.
The shares closed at $2.41 Friday on the New York Stock Exchange. The stock traded as low as 26 cents last March.
(Reporting by Anurag Kotoky in Bangalore; Editing by Aradhana Aravindan, Jarshad Kakkrakandy)