MORTGAGE Choice has announced a net profit after tax of $8.3 million for the half year ended December 31 2008, down 22% on the prior corresponding period.
During the period, the company’s revenue fell 7% to $79.8 million as it generated just $4.6 billion in housing loan approvals – down 22%.
The board declared a first half fully franked dividend of 4.75 cents per share compared to 6.0 cents per share in the prior corresponding period.
Mortgage Choice’s loan book now stands at $34.4 billion at December 2008, up 9% from $31.6 billion at December 2007.
Meanwhile another mortgage broker had a better half year, Homeloans Limited recorded a net profit after tax of $2.61 million, up 15% on the previous corresponding period result of $2.27 million.
Following this strong result, the board has declared a fully franked interim dividend of 1.5 cents per share.
The result reflected an increase in net interest income of 3% to $7.8 million and an increase in net fee and commission income of 6% to $6.2 million. Total revenues grew by 3% to $59.2 million while operating expenses (excluding loan loss provisioning) reduced by 20% to $8.6 million.
Basic earnings per share increased by 16% to 2.61 cents per share (2.61 cents on a diluted basis). Net tangible asset backing per share also increased 6% to 46.64 cents per share compared to 30 June 2008.
As at half year end, HOM’s Loans under Management totalled $5.8 billion.
Australian Property Journal
