Business
Builders Capital Mortgage Corp. Reports First Quarter 2022 Results
Trend of Increasing Profits Continues with Strong and Expanding Mortgage Portfolio Calgary, A...
About this update from Builders Capital Mortgage Corp. Class A
[{"type":"text","content":"Builders Capital Mortgage Corp. Reports First Quarter 2022 ResultsTrend of Increasing Profits Continues with Strong and Expanding Mortgage PortfolioCalgary, Alberta--(Newsfile Corp. - May 19, 2022) - Builders Capital Mortgage Corp. (TSXV: BCF) (\"Builders Capital\" or \"the Company\") announced the release of its first quarter financial results for the period ending March 31, 2022. Highlights include:Consistent with our targeted distribution, dividends of $0.2016 per share were paid to Class A public shareholders representing an 8% annualized return on the original $10.00 issue price for the thirty-third consecutive quarter since inception.Total comprehensive income grew to $665,000, up 18% year-over-year.Earnings per share increased to $0.23, up 21% year-over-year.Assets held for sale were successfully reduced by 61% to represent a mere 4.6% of shareholders' equity.Geographic diversity of our portfolio was further enhanced with continued growth in the BC market and our recent expansion into Nova Scotia. We achieved an approximate weighted average loan-to-value ratio of 73% on our mortgage portfolio, in line with our 75% target level.In commenting on these results, Sandy Loutitt, President of Builders Capital, stated:\"Our earnings at Builders Capital have been on an upward trend for the last ten quarters with our earnings per share hitting its highest level since March, 2017. This improvement has been the direct result of management's success in strengthening and growing the Company's mortgage portfolio and in substantially reducing any loan losses. We have been experiencing robust real estate markets recently and have made concerted efforts to capitalize on the opportunity that such market conditions create. In particular, these conditions have afforded us with the ability to both source new mortgage investments and to divest ourselves of the bulk of any remaining foreclosed assets. At the same time, and with an eye to a future that may entail a cooling of these market conditions, we continue to prudently assess the value of any new projects we finance as we strive to ensure an adequate margin for error in our loans-to-value calculations.\"Despite any challenges experienced over the last few years, we have successfully managed and grown the mortgage portfolio of Builders Capital to be larger, better diversified, more current a...