TORONTO, May 2, 2012 /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, 2012. 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)||$ 437||$ 482|
|Revenue||$ 5,679,624||$ 6,867,277|
|Net earnings||$ 883,216||$ 1,598,468|
|Basic and diluted earnings per common share||$ 0.10||$ 0.18|
| Basic and diluted weighted
average number of shares outstanding
Net earnings declined to $883,216 in the first quarter of 2012 compared to last year's $1,598,468 largely as a result of lower revenue. Earnings per common share were 10 cents compared to 18 cents last year.
Factoring volume decreased to $437 million compared to $482 million in last year's first quarter on lower non-recourse factoring volume. Revenue declined by 17% to $5,679,624 this year compared to $6,867,277 in the first quarter of 2011 as a result of the lower non-recourse volume, as well as reduced average funds employed and somewhat lower yields in our recourse factoring operations.
Commenting on the first quarter's results, Mr. Tom Henderson, the Company's President and CEO, noted: "The Company started 2012 at a lower level of business activity and while first quarter earnings were just over half of last year's, direction and momentum is on our side. The Company's funds employed increased by 11% in the first quarter and the pipeline of prospective transactions is growing. It is this positive momentum that should see improved results as the year progresses. I look forward to the future with confidence."
As noted in the Company's press release of April 20, 2012, a regular quarterly dividend of $0.075 per share has been declared payable June 1, 2012 to shareholders of record at the close of business May 15, 2012.
For further information:
Chief Financial Officer
Accord Financial Corp.
77 Bloor Street West, 18th floor
Toronto, Ontario, M5S 1M2
(416) 961-0304 Ext. 207