This article is from the Australian Property Journal archive
The trend in Australians applying for finance through mortgage brokers rather than banks has lifted Mortgage Choice’s loan book to $25.7 billion.
The increased loan book has underpin another year of growth for Mortgage Choice, which is now sixth behind the Commonwealth Bank, National Australian Bank, Westpac, ANZ and St. George.
Yesterday, The company posted a net profit of $14.8 million, an increase of 16% over $12.7 million in 2005, reported under AGAAP.
Meanwhile, total revenue for the year was $126.2 million, including total commission income of $123.1 million. This included $60.1 million derived from new mortgage origination, up 13% on the previous year. Trailing commission income increased to $63 million, now 51.2% of total commission income.
Over the year, Mortgage Choice generated $10.6 billion in housing loan approvals during FY2006 and continues to achieve industry high productivity levels per broker.
Mortgage Choice’s managing director Paul Lahiff said the result was achieved against a backdrop of strategic focus; continued high demand for our services; a committed Franchise network and prudent expense control.
“The continued growth in the company’s loan book reflects extended loan life and, new business volumes during the period were in line with expectations,” he added.
The company has declared a final dividend of 7.5 cents per share bringing FY2006 total to 14.5 cents per share including a special dividend of 2 cents.
By Adam Parsons
