Home Trust clocks another successful year
Home Capital Group maintained its reputation for growth - the Globe and Mail recently named it one of the top 10 stocks of the decade - after releasing its year-end results for 2009.
The lender saw earnings for the year reach $144.5 million, up 32.9 per cent from 2008, thanks in large part to a successful fourth quarter. On-balance sheet residential mortgages increased 33.9 per cent in 2009 and total originations grew by almost a quarter.
"Looking ahead, we are confident that Home Capital remains well positioned to continue generating robust earnings and growth in 2010," the company said in its fourth quarter report, adding it has set objectives of 15 to 20 per cent growth in earnings and assets for the year ahead.
Home Capital has gone through a number of recent changes, including the December departure of long-time president Nick Kyprianou and the appointment of Martin Reid, the company''''s former treasurer. In January, the company announced its investment with National Energy Corporation, which operates as National Home Services, and its plans to finance current and future residential water heater installations by NHS to the tune of $90 to $100 million in 2010.
In its report, the lender also emphasized its pull-back from non-residential mortgages to "reduce the company''''s exposure to this sector in light of the uncertainty in the commercial real estate markets."