Yesterday Asset Acceptance Capital Corp., one of the major publically traded debt buyers and collectors, reported earnings for the quarter ended March 31, 2011.
Highlights from their Conference Call:
- Cash collections for their first quarter of 2011 increased 2.3% compared to the prior year period to $91.3 million. Excluding collections on healthcare portfolios collections increased 4.4%.
- They reported net income of $1.1 million, or $0.04 per fully diluted share, during the first quarter of 2011, compared to net income of $0.4 million, or $0.01 per fully diluted share, in the first quarter of 2010.
- During the first quarter of 2011, the Company invested $46.4 million to purchase charged-off consumer debt portfolios with a face value of $1,228.7 million, for a blended rate of 3.78%. This compares to the prior-year first quarter, when the Company invested $29.6 million to purchase consumer debt portfolios with a face value of $818.6 million, representing a blended rate of 3.62% of face value. All purchase data is adjusted for buybacks.
President and CEO of Asset Acceptance Capital Corp Rion Needs commented: “We continue to see improving trends in our business, as we were able to sustain the positive momentum we generated at the end of 2010.
All in all it was a positive earnings report and demonstrated the strong fundamentals of this massive opportunity sitting before us!