Capital Gains Yield Profit for Pac Rim

Pac Rim Holding Corp., a Woodland Hills workers’ compensation insurer, said capital gains on its investments resulted in a profit of $1.03 million in the third quarter, up six-fold from earnings of $171,000 a year earlier.

But revenue for the quarter ended Sept. 30 dropped 11% to $31.5 million, from $35.5 million a year earlier. Pac Rim said the decrease in revenue was due mainly to capital constraints. The company added that it had retained an investment banking firm to help it obtain additional capital.

For the nine months ended Sept. 30, Pac Rim reported a profit of $1.99 million, almost all of it from capital gains. That was down 5% from a profit of $2.09 million in the same period a year earlier. Revenue for the nine months totaled $80.6 million, down 22% from $103.5 million in the previous year.