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First American Financial Beats Estimates

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Title insurer First American Financial Corp. posted better-than-expected earnings Wednesday, a result of cost-cutting measures it had adopted late last summer and fall.

First American earned $1 million, or 2 cents a share, for the first three months, compared with a $27.6-million loss, or 42 cents a share, for last year’s first quarter. Analysts had expected a loss of 16 cents, according to a survey by Nelson Information services.

Quarterly revenue fell 12% to $646.2 million from $730.9 million.

Coupled with a rebound in the national residential resale markets, which started in February, the Santa Ana company said its profitability should improve in the spring and summer months.

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In the second quarter, analysts expect the company to earn 68 cents a share, according to a First Call/Thomson Financial survey of five analysts.

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