Dollar Financial Shares Gain On 4th-qtr Results

NEW YORK (AP) — Shares of Dollar Financial Corp. rose Friday after the payday lender posted fourth-quarter results that beat Wall Street expectations despite some difficulties related to the economic downturn.

The Berwyn, Penn.-based company posted a fourth-quarter loss of $1.30 per share after the market closed Thursday. Adjusted for expenses related to litigation, store closings and severance and acquisition costs and other items, Dollar Financial said it earned 39 cents per share in the period.

Analysts polled by Thomson Reuters, on average, were expecting adjusted profit of 33 cents per share.

Revenue for the quarter was $124.4 million, above Wall Street's forecast for $121.4 million.

Management said it expects profit of $1.90 to $2.10 per share for fiscal year 2010, excluding a 40-cents-per-share impact from adopting new accounting rules. It is unclear if the average analyst projection of $1.79 per share include the new rules.

The company said the wide forecast range reflects uncertainty about the economic recovery, but it expects to "significantly expand its global store base" including growth in Poland and the U.K. and Canada, where new regulations may make smaller chains available for sale.