Money Store Inc. reported fourth-quarter net income 70% higher than a year earlier, and full-year results 56% higher than 1994's.
The specialty lender also announced it expects to sell as many as five million new shares of common stock in a public stock offering.
For the year, Money Store reported, net income rose to $48.7 million, or 95 cents a share - compared with 62 cents a share in 1994. During the fourth quarter, net income rose to $17.5 million, or 34 cents a share, 14 cents a share higher than the year-earlier period.
The company attributed the results to higher loan volume in its home equity, student loan, and automobile finance businesses.
During the year, home equity loan originations rose 43%, to $2.9 billion. Of this total volume, the company reported, $854 million came during the fourth quarter.
The company reported that automobile loan originations amounted to $128 million in 1995. Fourth-quarter originations accounted for $54 million, or 42.2%, of this business.
While loan volume rose during the year and quarter, the company said home equity and small business loan delinquencies declined in the fourth quarter. Home equity loans 30 days or more past due fell 61 basis points from Sept. 30, to 4.86% of those serviced, while small business loan delinquencies fell 19 basis points over the same period, to 5.33% of loans serviced.
Net chargeoffs of home equity loans as a percentage of loans serviced also fell for the full year - to 0.42% from 0.54% in 1994.
