Consumer Portfolio Services Inc. Reports Q2 Net Earnings and Revenues
IRVINE, Calif.--July 24, 2001--Consumer Portfolio Services Inc. today announced net earnings for its second quarter ended June 30, 2001.Net earnings for the quarter ended June 30, 2001 were $241,000, or $0.01 per diluted share, compared with a net loss of $3.2 million, or ($0.16) per diluted share, for the quarter ended June 30, 2000. Diluted shares outstanding were 21.2 million and 20.3 million for the quarters ending June 30, 2001 and 2000, respectively.
For the three months ended June 30, 2001 total revenues increased approximately $2.8 million, or 20%, to $16.3 million compared with $13.6 million for the three months ended June 30, 2000.
For the six months ended June 30, 2001 net earnings were $427,000, or $0.02 per diluted share, compared with a net loss of $14.3 million, or ($0.71) per diluted share, for the year earlier period. Diluted shares outstanding were 21.3 million and 20.2 million for the six-month periods ending June 30, 2001 and 2000, respectively.
Revenues for the six months ended June 30, 2001 totaled $33.6 million, an increase of $19.7 million, or 142%, compared with $13.9 million in the 2000 period.
Purchases of contracts from automobile dealers during the quarter ended June 30, 2001 increased $42.1 million, or 30%, to $181.1 million from $139 million for the second quarter of 2000. During the three-month period ended June 30, 2001 the company sold $180.9 million of contracts compared with $144 million for the same period in the prior year, an increase of 26%.
The aggregate outstanding balance of contracts serviced by the company at June 30, 2001 was $354.2 million, representing a decrease of 39% from $583.7 million at June 30, 2000.
Balances of accounts past due more than 30 days represented 3.7% of the servicing portfolio at June 30, 2001 compared with 4.9% at June 30, 2000, a decrease of 24%.
The annualized net charge off rate for the three-month period ended June 30, 2001 was 4.5% compared with 9.6% for the three-month period ended June 30, 2000, a decrease of 53%. The inventory of repossessed vehicles was 1.7% of the servicing portfolio as of both June 30, 2001 and 2000, respectively.
"The process of re-establishing Consumer Portfolio Services as a leader in our industry is a challenge and an opportunity. Our continued progress and profitability are extremely gratifying," said Charles E. Bradley, president and chief executive officer of Consumer Portfolio Services.
Consumer Portfolio Services Inc. and Subsidiaries
Condensed Consolidated Statements of Operations
(In thousands, except per share data)
(Unaudited)
Three months ended Six months ended
June 30, June 30,
2001 2000 2001 2000
Revenues:
Gain on sale of contracts, net $ 9,121 $ 3,495 $ 18,492 $ 7,841
Interest income 4,299 5,792 9,313 (3,165)
Servicing fees 2,628 4,289 5,208 9,385
Other income (loss) 272 (26) 632 (137)
16,320 13,550 33,645 13,924
Expenses:
Employee costs 5,918 5,585 12,870 12,378
General and administrative 3,799 4,485 6,666 8,013
Interest 3,489 3,991 7,758 8,769
Other expenses 2,873 2,675 5,804 5,467
16,079 16,736 33,098 34,627
Earnings (loss) before income
tax expense (benefit) 241 (3,186) 547 (20,703)
Income tax expense (benefit) - - 120 (6,420)
Net earnings (loss) $ 241 $ (3,186) $ 427 $(14,283)
Earnings (loss) per share:
Basic $ 0.01 $ (0.16) $ 0.02 $ (0.71)
Diluted 0.01 (0.16) 0.02 (0.71)
Number of shares used in
computing earnings (loss)
per share:
Basic 19,540 20,319 19,558 20,232
Diluted 21,222 20,319 21,297 20,232
Condensed Consolidated Balance Sheets
(In thousands)
(Unaudited)
June 30, Dec. 31,
2001 2000
Cash and restricted cash $ 9,779 $ 24,315
Contracts held for sale 4,222 18,830
Residual interest in securitizations 111,498 99,199
Other assets 30,857 33,350
$ 156,356 $ 175,694
Accounts payable and other liabilities $ 12,785 $ 16,373
Senior secured debt 26,000 38,000
Subordinated debt 54,658 59,199
93,443 113,572
Shareholders' equity 62,913 62,122
$ 156,356 $ 175,694