new report on Builders Capital Mortgage Corp. We have released a new report on Builders Capital Mortgage Corp. (TSXV: BCF).
We are impressed by the Q3 results! Record-breaking revenue, up 28% YoY, fueled by increased mortgages outstanding and lending rates. EPS saw a solid 17% YoY growth.
Notably, mortgages outstanding hit an all-time high at $36M, up 1% QoQ. BCF's risk profile appears stable, with no significant changes in mortgages, property types, or geographic diversification.
Pleasantly surprising, BCF experienced no material increase in impaired mortgages despite industry challenges. As a prudent measure, the company raised loan loss allowances by 30 bp in response to sector deceleration.
Anticipating Bank of Canada rate cuts in the next six months, BCF is well-positioned for increased demand with a conservative approach.
*FRC provides issuer paid coverage.
*Past performance is not indicative of future results.