FirstCity Financial Corporation Reports Fourth Quarter And Full Year 2010 Results
Q4 2009 included $6.1 million of other income in connection with FirstCity's settlement of a lawsuit.
Selected other financial data from continuing operations for Q4 2010:
The Company's total operating costs and expenses (excluding provision, interest and income tax expenses) decreased to $11.7 million for Q4 2010 from $12.2 million in Q4 2009, due primarily to $0.5 million of costs and expenses recorded by the Company's consolidated wireless communications equipment manufacturing subsidiary (special situations platform investment) in Q4 2009 compared to $-0- in Q4 2010 (the Company deconsolidated this subsidiary in June 2010 – see discussion below).
Total interest expense increased to $4.4 million in Q4 2010 from $3.7 million in Q4 2009. FirstCity's average debt holdings were $294.6 million at a 6.0% average cost of funds for Q4 2010, compared to its average debt holdings of $310.1 million at a 4.8% average cost of funds for Q4 2009. Our increased cost of funds primarily relates to the higher interest and fees charged on our Reducing Note Facility with Bank of Scotland (closed in June 2010) compared to the loan facilities we had in place with Bank of Scotland in 2009.The Company recorded $1.1 million of income tax expense in Q4 2010 compared to $0.2 million of income tax expense in Q4 2009. Income tax expense in Q4 2010 was composed primarily of foreign and state income taxes, and fluctuates regularly depending on the timing and amount of taxable revenues generated from our domestic and foreign acquisition partnerships, and our operating and servicing entities. Noncontrolling interest expense increased to $3.2 million in Q4 2010 from $2.4 million in Q4 2009. Noncontrolling interest expense represents the portions of net earnings that are attributed to our co-investors in our consolidated subsidiaries. This increase was a result of an increase in net earnings from certain of our consolidated subsidiaries in Q4 2010 compared to Q4 2009 – primarily our consolidated European acquisition partnerships and special situations platform.
Select the service that is right for you!COMPARE ALL SERVICES
Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.
- Real Money + Doug Kass + 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV