TORONTO, May 4 /CNW/ - Accord Financial Corp. (TSX - ACD), a leading
North American provider of factoring and other asset-based financial
services to businesses, today released its financial results for the
quarter ended March 31, 2011. The financial figures presented in this
release are reported in Canadian dollars and have been prepared in
accordance with International Financial Reporting Standards.
SUMMARY OF FINANCIAL RESULTS
Three Months Ended March 31
Factoring volume (millions)
Basic and diluted earnings per common share
Basic and diluted weighted average number of shares
Net earnings totalled $1,598,468 in the first quarter of 2011 slightly
below last year's $1,608,824. Net earnings declined on somewhat lower
revenue and higher interest expense. Despite slightly lower net
earnings, earnings per common share increased to 18 cents compared to
17 cents last year on a lower share count resulting from share
repurchases under the Company's Issuer Bid.
Factoring volume decreased to $482 million compared to $505 million in
last year's first quarter on lower non-recourse volume. Revenue
declined by $112,000 or 2% to $6,867,000 this year compared to
$6,979,000 in the first quarter of 2010 as a result of the lower
non-recourse volume, as well as the impact of a weaker U.S. dollar on
the translation of our U.S. operations revenue into Canadian dollars.
Commenting on the first quarter's results, Mr. Tom Henderson, the
Company's President and CEO, noted: "While the Company started 2011 out
solidly and our Canadian lending business is performing very nicely,
our U.S. lending and Canadian non-recourse factoring businesses are
facing aggressive competition from the U.S. regional banks and Canadian
credit insurers, respectively. This is impacting factoring volumes and
margins. Accordingly, 2011 will be a year of challenges for the
As noted in the Company's press release of April 20, 2011, a regular
quarterly dividend of $0.075 per share has been declared payable June
1, 2011 to shareholders of record at the close of business May 16,
SOURCE Accord Financial Corp.
For further information:
Vice President, Chief Financial Officer
Accord Financial Corp.
77 Bloor Street West, 18th floor
Toronto, Ontario, M5S 1M2
(416) 961-0304 Ext. 207