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TORONTO, Oct. 24, 2013 (GLOBE NEWSWIRE) -- Atrium Mortgage Investment Corporation (TSX:AI) is pleased to announce its results for the third quarter of 2013.
Earnings per share (basic and diluted) − $0.22 (Q3 last year − $0.20)
Dividends paid per share − $0.20
Total assets − $276 million
High quality mortgage portfolio:
Increased first mortgages to 88.0% of portfolio
96% of all loans are less than or equal to 75% loan to value
Dollar amount in excess of 75% loan to value is $1.0 million
Overall portfolio loan to value reduced to 62.6%
Average mortgage interest rate stable at 8.7%
Maintained a highly diversified portfolio of mortgage investment
Atrium recently increased its line of credit to $80 million, reflecting the growth in business volumes and the confidence of its bankers
Atrium continues to earn well above its dividend payout. Year-to-date earnings are $0.63, versus dividends paid of $0.60. Shareholders of record December 31, 2013 will receive a special dividend on March 5, 2014 of the excess of taxable earnings over dividends paid.
"We are very pleased with Atrium's results for the quarter. We earned 109% of our dividend payout this quarter, and we expect to be able to continue to operate at this elevated level of earnings for the balance of the year. The recently closed $32.5 million convertible debenture has allowed us to improve our leverage. Our current debt to assets ratio is still less than 23%. We believe that a gradual increase in our leverage, including the recently increased line of credit, will provide further improvement in earnings going forward," noted Robert Goodall, Chief Executive Officer of Atrium.
Mr. Goodall continued, "We have successfully managed our risk profile by maintaining a conservative loan to value ratio, both on a portfolio and individual loan basis. We are proud of having more than 96% of our portfolio in 'low ratio mortgages' (mortgages with a loan to value of less than 75%). We have a diversified mortgage portfolio which is focussed almost exclusively on major urban centres where we have offices and local representation, in Ontario, Alberta and British Columbia.