Business
Builders Capital Mortgage Corp. Reports Third Quarter 2023 Results: Another Quarter of Strong Consistent Performance
Calgary, Alberta--(Newsfile Corp. - November 29, 2023) - Builders Capital Mortgage Corp. (TSXV: B...
About this update from Builders Capital Mortgage Corp. Class A
[{"type":"text","content":"Builders Capital Mortgage Corp. Reports Third Quarter 2023 Results: Another Quarter of Strong Consistent PerformanceCalgary, Alberta--(Newsfile Corp. - November 29, 2023) - Builders Capital Mortgage Corp. (TSXV: BCF) (\"Builders Capital\" or \"the Company\") announced today the release of its third quarter financial results for the period ended September 30, 2023. Highlights include:Total comprehensive income ended the quarter at $817,368 in the third quarter of 2023, making this another profitable quarter.We distributed $0.20 per share to our Class A public shareholders continuing our 10-year unbroken dividend record since inception.Subsequent to the quarter-end, we distributed $0.40 per share to our Class B shareholders or the equivalent of an annualized 16% return on the original $10.00 share issue price. Earnings per share increased to $0.26.Assets held for sale were successfully reduced by 45% year-over-year. By quarter-end, assets held for sale represented just 2.2% of shareholders' equity. We achieved an approximate weighted average loan-to-value ratio on our mortgage portfolio of slightly better than our 75% target level.In commenting on these results, Sandy Loutitt, President of Builders Capital, stated:\"Builders Capital has achieved another strong quarter. We are pleased with the overall portfolio returns which are consistent with our previous quarters. We would consider ourselves as cautiously optimistic in that we see continued profitability though in the later portions of 2023 and early 2024 we can see that profitability will not extend to all of our market segments. Accordingly, we are positioning ourselves to manage forward risk and fully expect to pay our A dividends as we have in the past. We've never missed distributing our planned $.20 per quarter to our A shareholders, and were able to distribute quarterly dividends at an annualized 16% rate to our B shareholders at the end of last month while also growing our retained earnings.\"\"There are concerns in the market that the Canadian economy might slip into recession in the reasonably near future, however high levels of immigration and new household creation are expected to keep demand for housing elevated for some time to come regardless. We are confident that our particular skill set and expertise in the construction finance marketplace will allow us to cont...