Firstfolio records strong growth
The turnaround in profitability has been driven by double digit growth in revenue to $47.4m, economies of scale realised, improved yeild management and cost reductions. These combined to underpin the EBITDA of $5.39 million for the full year, at the top end of guidance.
"Firstfolio's mortgage portfolio grew by 50% tp$12 billion during the year, through a mixture of acquisitions and organic growth. Combined with the acquistions and the above mentioned business changes this created an underlying annualised earnings' run rate of $7.6m for the year ended June 30 2009," said Chief Executive Officer, Mark Forsyth.
"As the last remaining, truly independent non-bank listed entity in Australia, we are in a unique position to continue to pursue well-managed operations that offer long-term value for shareholders.
"We have navigated the business conditions of the past 12 months to emerge fitter and healthier, with a renewed appetite for growth within our mortgage platform, and to explore new products in the areas of insurance," Mr Forsyth said."
"This year we have focussed on building our relationship with key wholesale funding partners including ING, Adelaide Bank and Origin. This approach has led to our secure long-term financing commitments at competitive rates," he added.
Firstfolio recently strengthened its senior management team, appointing two highly qualified industry executives to drive expansion of Firstfolio's wholesale finance and third-party distribution operations, as well as the rollout of an expanded financial services offering.
Firstfolio has forecast full-year 2010 EBITDA guidance between $10 and $11 million.