This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration. Need a new registration confirmation email? Click here
OVERLAND PARK, Kan., Feb. 14, 2013 (GLOBE NEWSWIRE) -- QC Holdings, Inc. (Nasdaq:QCCO) reported a loss from continuing operations of $1.3 million and revenues of $47.2 million for the quarter ended December 31, 2012. For the year ended December 31, 2012, income from continuing operations totaled $7.9 million and revenues were $180.6 million.
The quarter and year ended December 31, 2012 include a $2.6 million loss ($1.6 million after income taxes) resulting from the company's sale of the majority of its automobile loans receivable, as well as approximately $2.3 million in goodwill and intangible impairment charges related to the company's Canadian online subsidiary and South Carolina branches, respectively.
For the three months and year ended December 31, 2011, income from continuing operations totaled $3.5 million and $11.9 million, respectively, and revenues were $46.7 million and $176.6 million, respectively.
The three months and year ended December 31, 2012 and 2011 include discontinued operations relating to branches that were closed during each period. Schedules reconciling adjusted EBITDA to income from continuing operations for the three months and year ended December 31, 2012 and 2011 are provided below.
** Fourth Quarter **
Revenues improved $493,000, or 1.1%, quarter-to-quarter, primarily due to the inclusion of fees and interest from the company's longer-term, higher-dollar installment products, which were introduced in early 2012.
Branch operating costs, exclusive of loan losses, increased $1.0 million (to $20.9 million) during the three months ended December 31, 2012 versus prior year's fourth quarter. This increase was primarily a result of higher compensation attributable to growth in the company's new installment products, as well as higher collection-related bank costs.
Loan losses increased $1.5 million during the three months ended December 31, 2012, totaling $12.8 million versus $11.3 million in prior year's quarter. The loss ratio increased to 27.2% in fourth quarter 2012 versus 24.1% in fourth quarter 2011. The higher loss ratio is primarily attributable to a lower collection rate in the current quarter versus prior year. For the quarter, collections on returned items declined to 36% from 40%.