Wednesday, 9 May 2012

Carfinco Grabs Rave Reviews & Delivers More Record Results

TSX: CFN
Shares outstanding: 24.65 million
Shares fully diluted: 24.65 million


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It has been an exciting week so far for Carfinco shareholders and its stock price.  On Monday's Market Call on BNN, Jason Donville again mentioned that he is adding to his already large position in the company.  Shortly after, Bob Thompson, CEO of Brownstone was also on BNN extending accolades to Carfinco.
 
It seems that those collective mentions yesterday helped push CFN to another all time high with the stock briefly touching $8.69.  At market close yesterday, Carfinco again proved to shareholders and the investment community that all of the buzz around the company was well deserved with the release of financial results for the first quarter ended March 31, 2012.   Again, earnings records were broken following truly exceptional results delivered by the company.
 
Loan originations were up almost 33% over the same quarter last year and normalized pre-tax earnings for Q1 were $6.6 million.
 
HIGHLIGHTS - Q1/2012 ended March 31:
• Carfinco distributed 9.0 cents per share to its shareholders. This equates to a pay-out ratio of 42.1%
• Revenues of $16.8 million represent an increase of 24.1% from the $13.5 million for the first quarter of 2011;
• Earnings before taxes for the quarter were $6.3 million, up 15.0% from the $5.5 million for the first quarter of 2011;
• Earnings per share for the quarter were 19 cents, up 11.8% from the 17 cents per unit recorded for the first quarter of 2011;
• Return on shareholder's equity for the quarter on an annualized basis was 51.2%;
• Shareholder's equity increased 6.9% to $37.4 million during the quarter
• Loan originations for the quarter were $32.4 million, a 32.6% increase from the $24.4 million for the first quarter of 2011;
• Principal balance of finance receivables was $172.5 million, increasing 18.3% from the first quarter of 2011;
• 31+ days delinquent accounts for the quarter were 2.5%, a decrease of 24.2% from 3.3% at the end of the first quarter of 2011.
 
See full Q1 results here...