TORONTO, March 7, 2013 /CNW/ - Xceed Mortgage Corporation [TSX: XMC]
("Xceed" or the "Company") today reported its results for the three
month period ended January 31, 2013.
The following are highlights of the first quarter results:
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Net income after tax of $80 thousand for the 3 month period ended
January 31, 2013.
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Basic book value per share and diluted book value per share of $2.24 and
$2.08 as at January 31, 2013.
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The Company's primary source of revenue continues to be from the sale of
pools of insured mortgages to third parties. In Q1, 2013, the Company
sold $44.3 million of insured mortgages for a net gain of $0.7 million.
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The Company's liquidity position has improved substantially with cash
and cash equivalents of $27.1 million as at January 31, 2013 compared
to $6.1 million as at October 31, 2012. This improvement resulted from
the payout of the senior subordinated interest in QSPE-XCD in December
2012 along with sales of insured mortgages close to the quarter ended
January 31, 2013.
Management Comments on Results
Mr. Michael Jones, President and CEO, commented that "the first quarter
of 2013 was slightly ahead of break-even with positive revenues
resulting from the sale of insured mortgages."
Mr. Jones also noted that "the first quarter has been highly competitive
with market participants offering lower mortgage spreads combined with
higher broker commissions to attract origination volumes."
Mr. Jones noted that "as announced in December 2012, the Company
received $10.6 million in cash relating to the payout of the Company's
senior subordinated Q-XCD note which improved the overall liquidity
profile of the Company."
The Company has filed its financial statements and management's
discussion and analysis on SEDAR and they will be posted on the
company's website.
These filings provide additional details on the above noted items along
with additional information regarding results for the quarter and
cautions regarding forward-looking statements. The materials can be
accessed at www.sedar.com or on the Company's website at www.xceedmortgage.com.
Investor Inquiries
Michael Jones, President and Chief Executive Officer, and Jeff Bouganim,
Chief Financial Officer will be available from Thursday, March 7, 2013
onwards to respond to investor inquiries regarding these results.
Michael Jones can be reached at:
Telephone: (416) 364-7944 Ext.3434
E-mail: MJones@XceedMortgage.com
Jeff Bouganim can be reached at:
Telephone: (416) 364-7944 Ext.3335
E-mail: JBouganim@XceedMortgage.com
About Xceed Mortgage
Xceed Mortgage Corporation, based in Toronto, is a Canadian provider of
residential mortgages that it originates in Canada. The Company has
approximately $0.8 billion of mortgages under administration. The
Company's shares are traded on the Toronto Stock Exchange (TSX: XMC).
To find out more about Xceed Mortgage Corporation, visit our website at
www.xceedmortgage.com.
Forward-Looking Statements
Forward-looking statements in this document are based on current
expectations that are subject to significant risks and uncertainties.
Actual results might differ materially due to various factors such as
the competitive nature of the mortgage industry, the ability of the
Company to continue to execute its growth and development strategy, and
the reliance of the Company on key personnel. The Company and the
Company's management assume no obligation to update these
forward-looking statements, or to update the reasons why actual results
could differ from those reflected in these. Additional information
identifying risks and uncertainties is contained in the company's
regulatory filings available on its website and at www.sedar.com.
SOURCE: Xceed Mortgage Corporation
