Credit Acceptance Corp. reports 1996 earnings of $41,509,000 or 89 cents per share.SOUTHFIELD Southfield, city (1990 pop. 75,728), Oakland co., SE Mich., a suburb of Detroit, on the Rouge River; laid out 1817, inc. as a city 1958. There are electronics research, meat-processing, and printing facilities, and manufactures include plastic, metal, rubber, and , Mich.--(BUSINESS WIRE)--Jan. 22, 1997-- Fourth Quarter Earnings of $11,541,000 or 25 Cents Per Share Cents per share The amount of a mutual fund's dividend or capital gains distributions that a shareholder will receive for each share owned. Credit Acceptance Corp. (NASDAQ NASDAQ in full National Association of Securities Dealers Automated Quotations U.S. market for over-the-counter securities. Established in 1971 by the National Association of Securities Dealers (NASD), NASDAQ is an automated quotation system that reports on :CACC CACC Center for Animal Care and Control CACC Canadian Association for Community Care CACC Central Alabama Community College CACC Chilterns Association of Camera Clubs (United Kingdom) ) announced today that consolidated con·sol·i·date v. con·sol·i·dat·ed, con·sol·i·dat·ing, con·sol·i·dates v.tr. 1. To unite into one system or whole; combine: net income for the year ended Dec. 31, 1996 was $41,509,000 or 89 cents per share compared to $29,572,000 or 68 cents per share for the same period in 1995. This represents an increase in consolidated net income of 40 percent over the prior year (31 percent increase in earnings per share). For the quarter ended Dec. 31, 1996, consolidated net income was $11,541,000 or 25 cents per share compared with $8,750,000 or 19 cents per share for the quarter ended Dec. 31, 1995, representing increases of 32 percent and 31 percent, respectively. Donald Donald (Domnall, Domhnall, Dumhnuil, Dónall) is an anglicized version of a Scottish or Irish Gaelic personal name, containing the elements dumno "world" and val "rule", viz. "ruler of the world". Compare Dumnorix. A. Foss, chairman and CEO (1) (Chief Executive Officer) The highest individual in command of an organization. Typically the president of the company, the CEO reports to the Chairman of the Board. , reported the company enrolled 1,916 new dealers in the United States United States, officially United States of America, republic (2005 est. pop. 295,734,000), 3,539,227 sq mi (9,166,598 sq km), North America. The United States is the world's third largest country in population and the fourth largest country in area. , 490 new dealers in the United Kingdom, 36 new dealers in Canada Canada (kăn`ədə), independent nation (2001 pop. 30,007,094), 3,851,787 sq mi (9,976,128 sq km), N North America. Canada occupies all of North America N of the United States (and E of Alaska) except for Greenland and the French islands of , and 45 new dealers in Ireland Ireland, Irish Eire (âr`ə) [to it are related the poetic Erin and perhaps the Latin Hibernia], island, 32,598 sq mi (84,429 sq km), second largest of the British Isles. for the year ended Dec. 31, 1996, bringing the total number of participating dealers to 5,385. New installment contracts installment contract n. an agreement in which payments of money, delivery of goods or performance of services are to be made in a series of payments, deliveries or performances, usually on specific dates or upon certain happenings. accepted increased by 52 percent for the year ended Dec. 31, 1996. Total outstanding net installment contracts receivable increased to $1,029,951,000 as of Dec. 31, 1996, a 58 percent increase over Dec. 31, 1995. Credit Acceptance Corp. is a specialized spe·cial·ize v. spe·cial·ized, spe·cial·iz·ing, spe·cial·iz·es v.intr. 1. To pursue a special activity, occupation, or field of study. 2. financial services The examples and perspective in this article or section may not represent a worldwide view of the subject. Please [ improve this article] or discuss the issue on the talk page. company which provides funding, receivables Receivables An asset designation applicable to all debts, unsettled transactions or other monetary obligations owed to a company by its debtors or customers. Receivables are recorded by a company's accountants and reported on the balance sheet, and they and include all debts owed management, collection, sales training and related products and services to automobile automobile, self-propelled vehicle used for travel on land. The term is commonly applied to a four-wheeled vehicle designed to carry two to six passengers and a limited amount of cargo, as contrasted with a truck, which is designed primarily for the transportation of dealers selling vehicles to consumers with limited access to traditional sources of consumer credit. -0-
Credit Acceptance Corp.
Summary Financial Data
(Dollars in thousands, except per share data)
Three Months Ended Year Ended
Dec. 31, Dec. 31,
1996 1995 1996 1995
Income Statement
REVENUE
Finance charges $26,692 $18,074 $92,944 $66,276
Interest and other fees 5,311 3,210 16,309 9,491
Dealer enrollment fees 1,425 832 5,028 2,810
Premiums earned 2,197 1,953 9,653 6,504
_______ _______ _______ _______
Total revenue 35,625 24,069 123,934 85,081
COSTS AND EXPENSES
Salaries and wages 3,070 2,593 11,675 9,499
General and administrative 3,671 2,687 14,305 9,870
Provision for credit losses 4,202 2,122 13,071 7,066
Sales and marketing 1,532 809 4,647 2,347
Provision for claims 590 593 3,060 1,964
Interest 4,943 1,728 13,568 8,785
_______ _______ _______ _______
Total costs and expenses 18,008 10,532 60,326 39,531
_______ _______ _______ _______
OPERATING INCOME 17,617 13,537 63,608 45,550
(Gain) loss on foreign
exchange translation (24) 2 (27) 57
Provision for income taxes 6,100 4,785 22,126 15,921
_______ _______ _______ _______
NET INCOME $11,541 $ 8,750 $41,509 $29,572
_______ _______ _______ _______
_______ _______ _______ _______
Net income per common share $0.25 $0.19 $0.89 $0.68
_______ _______ _______ _______
_______ _______ _______ _______
Weighted average shares
outstanding 46,948,337 46,532,752 46,623,655 43,527,770
Percent change in -
Total revenue 48.0% - 45.7% -
Net income 31.9% - 40.4% -
Earnings per share 30.7% - 31.0% -
Credit Acceptance Corp.
Summary Financial Data
(Dollars in thousands)
As of Dec. 31
1996 1995
Balance Sheet Data
ASSETS
Cash and investments $ 6,549 $ 2,933
Installment contracts receivable 1,042,146 660,209
Allowance for credit losses (12,195) (7,757)
________ ________
Installment contracts receivable, net 1,029,951 652,452
Floor plan receivables 15,493 13,249
Notes receivable 2,663 3,232
Property and equipment, net 14,958 10,630
Other assets 4,804 4,912
________ ________
TOTAL ASSETS $ 1,074,418 $ 687,408
________ ________
________ ________
LIABILITIES
Total debt $ 288,899 $ 95,780
Accounts payable and accrued
liabilities 28,734 18,860
Income taxes payable 2,569 214
Deferred dealer enrollment fees, net 2,264 1,649
Dealer holdbacks, net 496,434 363,519
Deferred income taxes 8,988 8,024
________ ________
TOTAL LIABILITIES $ 827,888 $ 488,046
________ ________
TOTAL SHAREHOLDERS' EQUITY 246,530 199,362
________ ________
TOTAL LIABILITIES AND SHAREHOLDERS'
EQUITY $ 1,074,418 $ 687,408
________ ________
________ ________
Operating Data
Number of dealers at period end 5,385 3,328
Credit Acceptance Corp.
Summary Financial Data
(Dollars in thousands)
Installment Contracts
Receivable
The following table summarizes
the composition of installment
contracts receivable:
As of Dec. 31
1996 1995
Gross installment
contracts
receivable $ 1,251,139 $ 790,607
Unearned finance
charges (201,760) (125,536)
Unearned insurance
premiums, insurance
reserves and fees (7,233) (4,862)
________ ________
Installment contracts
receivable $ 1,042,146 $ 660,209
________ ________
________ ________
Non-accrual installment
contracts as a percent
of total gross
installment
contracts 34.1% 31.8%
________ ________
________ ________
A summary of changes in gross
installment contracts receivable
is as follows:
Three Months Ended Year Ended
Dec. 31, Dec. 31,
1996 1995 1996 1995
Balance, beginning of
period $1,118,330 $708,560 $ 790,607 $486,897
Gross amount of
installment contracts
accepted 268,640 172,882 965,690 634,899
Cash collections on
installment contracts
receivable (109,742) (71,134) (388,328) (261,921)
Charge offs (38,664) (19,701) (129,405) (69,268)
Currency Translation 12,575 -(a) 12,575 -(a)
__________ ________ __________ ________
Balance, end of period $1,251,139 $790,607 $1,251,139 $790,607
__________ ________ __________ ________
__________ ________ __________ ________
(a) Immaterial
Dealer Holdbacks
The following table summarizes the
composition of dealer holdbacks:
As of Dec. 31,
1996 1995
Dealer holdbacks $998,593 $628,386
Less: Advances (net of
reserve of $8,754
and $3,214 at
Dec. 31, 1996 and
1995, respectively) (502,159) (264,867)
________ ________
Dealer holdbacks, net $496,434 $363,519
________ ________
________ ________
CONTACT: Credit Acceptance Corp., Southfield Douglas Douglas, city, Isle of Man Douglas, city (1991 pop. 19,950), capital of the Isle of Man, Great Britain. It is a popular resort, connected by rail to Ramsey and Port Erin, on the Irish Sea. Tourism is the chief industry. W. Busk busk intr.v. busked, busk·ing, busks To play music or perform entertainment in a public place, usually while soliciting money. , 810/353-2700 ext. 432 John P. Cavanaugh, 810/353-2700 ext. 442 |
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