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Home Capital Group Inc HMCBF


Primary Symbol: T.HCG

Home Capital Group Inc. is a Canada-based holding company that operates through its principal subsidiary, Home Trust Company (Home Trust). Home Trust is a federally regulated trust company offering residential and non-residential mortgage lending, securitization of residential mortgage products, consumer lending and credit card services. In addition, Home Trust and its wholly owned subsidiary, Home Bank offer deposits through brokers and financial planners, and through a direct-to-consumer brand, Oaken Financial. Its mortgage lending includes classic single-family residential lending, insured residential lending, residential commercial lending, and non-residential commercial lending. Its consumer lending loan portfolio comprises credit cards, lines of credit and other consumer retail loans. In addition, the Company manages a treasury portfolio to support liquidity requirements and invest excess capital.


TSX:HCG - Post by User

Comment by CanadianKiaon Nov 11, 2020 8:26am
120 Views
Post# 31876255

RE:!!!YIPEE KI YAY!!!

RE:!!!YIPEE KI YAY!!!Amazing Quarter. like i said, the shares should be at 40-50 bucks considering how consistent this company has been. its brutal to be at 27 bucks. 

Share buy backs will probably beginning mid year next year and take them even further ahead
canader wrote:

Net Income: $1.12 per share in Q3 2020 compared with $0.67 in Q3 2019

  • Net income of $58.5 million or $1.12 per share in Q3 2020, up 72.3% compared to $0.65 per share in Q2 2020 and up 67.2% from $0.67 per share in Q3 2019. Net income was $34.1 million in Q2 2020 and $39.0 million in Q3 2019.
  • Adjusted net income of $61.6 million or $1.18 per share in Q3 2020, up 68.6% from $0.70 per share in Q2 2020 and up 63.9% from $0.72 per share in Q3 2019. Results are adjusted for items of note related to implementing our Ignite Program.
  • Net interest margin of 2.51% in Q3 2020, compared with 2.40% in Q2 2020 and 2.22% in Q3 2019.
  • Non-interest expenses of $64.5 million, compared with $66.9 million in Q2 2020 and $59.9 million in Q3 2019.

Asset Growth: Mortgage originations grew by 26.6% over Q3 2019

  • Mortgage originations of $1.96 billion in Q3 2020, compared with $1.50 billion in Q2 2020 and $1.55 billion in Q3 2019.
  • Single-family mortgage originations of $1.50 billion in Q3 2020, compared with $1.13 billion in Q2 2020 and $1.19 billion in Q3 2019.
  • Total loan portfolio of $17.44 billion at the end of Q3 2020, an increase of 1.3% from the end of Q2 2020 and an increase of 2.6% from the end of Q3 2019.
  • Loans under administration of $23.06 billion at the end of Q3 2020, up 0.8% from the end of Q2 2020 and up 0.4% from the end of Q3 2019.

Funding: Deposits through our Oaken channel of $3.87 billion make up 27.7% of total deposits

  • Total deposits of $13.96 billion at the end of Q3 2020, compared with $14.01 billion at the end of Q2 2020 and $13.52 billion at the end of Q3 2019.
  • Total Oaken deposits of $3.87 billion at the end of Q3 2020, an increase of 5.3% from the end of Q2 2020 and an increase of 18.3% from the end of Q3 2019.
  • Oaken’s share of total deposits was 27.7% at the end of Q3 2020, compared with 26.2% at the end of Q2 2020 and 24.2% at the end of Q3 2019.

Credit Quality: Credit provisions of (0.16)% of gross loans compared with 0.43% in Q2 2020 and 0.09% in Q3 2019

  • Total provision for credit losses (“PCL”) was a release of $7.0 million, compared with provision for credit losses of $18.7 million in Q2 2020 and $3.7 million in Q3 2019.
  • Allowance for credit losses of 0.45% of gross loans, compared with 0.63% at the end of Q2 2020 and 0.36% at the end of Q3 2019.
  • Net write-offs as a percentage of gross loans of 0.55% in Q3 2020, compared to 0.02% in Q2 2020 and 0.06% in Q3 2019.
  • Net non-performing loans (represented by Stage 3 loans under IFRS 9) were 0.47% of gross loans at the end of Q3 2020, compared with 0.42% at the end of Q2 2020 and 0.49% at the end of Q3 2019.
  • Residential mortgage and other loan deferrals consist of 701 loans with a balance of $343.9 million as at the end of Q3 2020 and 335 loans with a balance of $146.1 million as at October 31, 2020. Loan deferrals consisted of 3,932 loans with a balance of $1,817.4 million at the end of Q2 and 2,698 loans with a balance of $1,299.0 million at the end of July 2020.


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