Jaguar's 3rd quarter earnings releasedJaguar Financial reports $792,000 in profits in third quarter of fiscal2009
TOTAL PROFITS OF $1,212,000 FOR NINE MONTHS TOSEPTEMBER 30, 2009
TORONTO, Nov. 12 /CNW/ - Jaguar FinancialCorporation ("Jaguar" or the "Company") today reported results for its thirdquarter ended September 30, 2009, of its 2009 fiscal year.
For the third quarter ended September 30, 2009, the Companyreported net income of $791,802 compared to a loss of$8,172,149 in the third quarter of 2008. The Company's recoveryafter a difficult fiscal 2008 is well underway, reporting net income of$1,212,565 for the nine months ended September 30,2009, compared to a loss of $12,725,400 in the sameperiod in 2008. Included in net income is the Company's non-cash s hare of theloss of its associated company, Lakeside Steel Inc. ("Lakeside"), of$756,447 compared to a gain of $618,777 in thequarter ended September 30, 2008.
Operating income, excluding the share of net income of Lakeside, was$1,548,249 and $2,974,042 for the three and ninemonths ended September 30, 2009 respectively. This compares tolosses of $8,790,926 and $13,306,786 for theequivalent periods in the prior year.
The improved results in the third quarter were driven by gains of$2,191,678 in the Company's investment portfolio compared tolosses of $6,119,522 in the third quarter of the prior year. Forthe nine months ended September 30, 2009, the Company hadinvestment gains of $8,066,021 compared to losses of$8,625,691 in the prior year. Included in the year to date amountare realized gains of $6,104,737 on the Company's investment inHudBay Minerals Inc. ("HudBay") and $1,182,333 on its investmentin Kinbauri Gold Corporation ("Kinbauri").
Jaguar reduced substantially its expenses from $2,518,692 inthe third quarter ended September 30, 2008, to$666,429 in the September 30, 2009 quarter. Asubstantial portion of the expenses in the September 30, 2009quarter, or $417,741, related to profit participation paid tolenders who financed the Company's investments in Kinbauri and HudBay.
Jaguar had cash and investments at fair value of $15,560,267as at September 30, 2009.
Vic Alboini, Chairman and Chief Executive Officer stated: "We have developeda brand name for catalytic investments in small cap and mid cap companies inCanada, following our realized gains in investments inHudBay, Kinbauri, Virtek Vision International and Century II Holdings. Ourcurrent major investments are in WGI Heavy Minerals, Lakeside Steel andRoyal LaserCorp."