Santander Consumer USA Holdings (SC) swung to a net profit for the quarter ended Dec. 31, 2016. The company has made a net profit of $61.28 million, or $ 0.17 a share in the quarter, against a net loss of $19.56 million, or $0.05 a share in the last year period.
Revenue during the quarter surged 64.42 percent to $386.09 million from $234.82 million in the previous year period. Net interest income for the quarter dropped 5.18 percent over the prior year period to $1,131.97 million. Non-interest loss was $48 million for the quarter as against loss of $97.59 million in the previous year period.
Santander Consumer USA Holdings has made provision of $685.71 million for loan losses during the quarter, down 19.40 percent from $850.72 million in the same period last year.
Net interest margin contracted 140 basis points to 11.30 percent in the quarter from 12.70 percent in the last year period.
"Full year 2016 results demonstrate SC's continued profitability and solid returns, earning net income of $766 million while also taking a measured approach to originations in a competitive market and improving the credit quality of our balance sheet. As expected, our 2016 vintage-level loss performance continues to come in better than 2015. We expect this positive trend will be reflected in nominal gross losses in future quarters. We continue to believe our consistent focus on disciplined underwriting, compliance and being simple, personal and fair in everything we do is setting SC up for long-term, sustainable and differentiated success," said Jason Kulas, president and chief executive Officer.
Assets outpace liabilities growthTotal assets stood at $38,539.10 million as on Dec. 31, 2016, up 5.38 percent compared with $36,570.37 million on Dec. 31, 2015. On the other hand, total liabilities stood at $33,300.48 million as on Dec. 31, 2016, up 3.59 percent from $32,145.41 million on Dec. 31, 2015. Shareholders equity stood at $5,238.62 million as on Dec. 31, 2016, up 18.39 percent or $813.66 million from year-ago.
Return on average assets was at 0.60 percent in the quarter against a negative 0.20 percent in the last year period. Return on average equity was at 4.70 percent in the quarter against a negative 1.80 percent in the last year period.
Disclaimer: Please note that this is an auto-generated article. IRIS does not guarantee the accuracy, adequacy or completeness of any information and is not responsible for any errors or omissions or for the results obtained from the use of such information. IRIS especially states that it has no financial liability whatsoever to any user on account of the use of information provided on its website. For queries contact: editor@irisindia.net
