COLLECTION HOUSE RAMPS UP PROFIT
11 February 2015, Written by Laura Daquino
DEBT collectors Collection House (ASX: CLH) have posted a 19.1 per cent increase on half year NPAT and a 22.7 per cent increase in revenue.
The company, which specialises in consumer debt, posted a profit of $11.2 million for the period, from a revenue of $63.8 million.
An interim fully franked dividend of 4.4 cents per share was also declared, a 12.8 per cent increase on the previous interim dividend of 3.9 cents.
Managing director and CEO Matthew Thomas says CLH is satisfied with the results, which are a continuation of eight years straight in profit increases.
Thomas says this last year marked a record high investment for the company in purchasing consumer debt.
"Our profits have gone up before, during and following the GFC which means we are in vastly different position compared to industries like mining where situations like that are actually a catalyst for our business growth," says Thomas.
"We are pretty positive about our year ahead, which is backed by investments in IT enhancements to our C5 platform have resulted in greater operational efficiencies across the organisation."
CLH group chair David Liddy says the first-half results demonstrate successful strategic execution of the company's growth strategy.
"This will continue as we further leverage our core strengths in compliance, innovation and data analytics," he says.
"We are in a secure position and the company is on track to deliver continued strong growth and stable returns for shareholders into the second half of 2015."