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REGIONAL ACCEPTANCE CORPORATION ANNOUNCES THIRD QUARTER RESULTS

 GREENVILLE, N.C., Oct. 18 /PRNewswire/ -- Regional Acceptance Corporation (NASDAQ-NMS: REGA) announced that its net income for the quarter ended Sept. 30, 1993, was $1,205,458, an increase of 50 percent over pro forma net income for the comparable 1992 quarter. For the nine months ended Sept. 30, 1993, excluding a non-recurring income tax credit of $471,000, pro forma net income was $3,387,675, an increase of 51 percent over pro forma income for the same 1992 period.
 On a per share basis, pro forma net income was $.15 for the quarter and $.46 for the nine months ended Sept. 30, 1993, excluding the non- recurring credit. These results compare to $.12 and $.34 for the comparable 1992 periods. Loans receivable at Sept. 30 were $61.8 million. This amount represents an increase of $12.2 million, 33 percent annualized, over loans at Dec. 31, 1992, and an increase of $14.8 million, 31 percent, over loans at Sept. 30, 1992.
 President and Chief Executive Officer William R. Stallings said the growth in outstanding loans confirmed the company's confidence in the viability of the market niche it serves. He added that the company's new office in Raleigh is performing above expectations and is now operating profitably. The success of the Raleigh branch also confirms the company's belief that it can operate successfully in larger markets.
 In discussing delinquent accounts, Stallings noted that such accounts over 30 days past due on a contractual basis were 2.8 percent at Sept. 30, 1993. Charge-offs for the nine months ended Sept. 30, 1993, were 1.1 percent of outstanding loans. These ratios compare to 2.4 percent and 1.2 percent at Dec. 31, 1992, and 2.5 percent and 1.1 percent at Sept. 30, 1992. Stallings commented that despite the modest increase in the delinquency ratio, the company's ratio compares very favorably with other lenders and does not indicate any change in loan underwriting policies. The company's delinquency statistics include accounts in bankruptcy and repossession.
 Regional Acceptance Corporation finances consumer purchases of late model used automobiles and also makes direct consumer loans. The company operates 13 branch offices from Raleigh to the coast of North Carolina.
 REGIONAL ACCEPTANCE CORPORATION
 Condensed Balance Sheets
 (Amounts in thousands)
 Sept. 30, Dec. 31,
 1993 1992
 (Unaudited)
 Loans receivable $61,834 49,677
 Less allowance for loan losses -1,286 -1,056
 Loans receivable, net 60,548 48,621
 Other assets 1,378 617
 Total assets $61,926 49,238
 Senior debt 33,431 34,613
 Subordinated debt 4,850 4,725
 Other liabilities 2,956 921
 Total liabilities 41,237 40,259
 Stockholders' equity 20,689 8,979
 Total liabilities and
 stockholders' equity $61,926 49,238
 Condensed Statements of Income
 (Amounts in thousands, except per share amounts)
 (Unaudited)
 Quarter Ended Nine Months Ended
 Sept. 30, Sept. 30,
 1993 1992 1993 1992
 Interest income $3,227 2,646 9,207 7,484
 Interest expense 695 740 2,254 2,150
 Net interest income 2,532 1,906 6,953 5,334
 Provision for loan losses 268 213 763 542
 Net interest income 2,264 1,693 6,190 4,792
 Other income 770 484 2,327 1,447
 Other expense 1,050 856 2,938 2,552
 Income before taxes, pro forma 1,984 1,321 5,579 3,687
 Income tax expense, pro forma 779 519 2,192 1,448
 Income tax effect of change from
 Subchapter S Corporation -- -- 471 --
 Net income, pro forma $1,205 802 3,858 2,239
 Pro forma net income per share,
 excluding income tax effect
 of change from Subchapter S
 Corporation $ .15 .12 .46 .34
 Pro forma weighted average
 shares outstanding 8,000 6,624 7,434 6,624
 -0- 10/18/93
 /CONTACT: Robert D. Barry, chief financial officer, of Regional Acceptance Corporation, 919-756-2148/
 (REGA)


CO: Regional Acceptance Corporation ST: North Carolina IN: FIN AUT SU: ERN

CM-MM -- CH005 -- 3318 10/18/93 11:00 EDT
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Publication:PR Newswire
Date:Oct 18, 1993
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