Atlanta-based sub-prime card specialist CompuCredit reported a net GAAP loss for the first quarter of $2.5 million, compared to net income of $30.7 million for 1Q/06. The Company says the loss was primarily due to lower than expected fee assessments due to lower than expected delinquencies, the timing of marketing efforts, and the final transitional effects of implementing its previously announced decision to discontinue billing finance charges and fees on credit card accounts that become over 90 days delinquent. Total managed receivables for the first quarter were $2,894,136,000, a 15% increase compared to one-year ago. As of March 31st, CompuCredit had 3,945,000 accounts, compared to 3,549,000 in 1Q/06. The adjusted charge-off rate was 12.5% in the first quarter, as compared to 11.9% for 4Q/06 and 7.1% in the year ago quarter. As of March 31st, the 60-plus day delinquency rate was 12.8%, as compared to 14.1% for 4Q/06 and 10.6% for 1Q/06. For complete details on CompuCredit’s first quarter performance, visit CardData ([www.carddata.com]).
COMPUCREDIT NET INCOME SNAPSHOT
1Q/06: $30.7 million
2Q/06: $28.3 million
3Q/06: $38.8 million
4Q/06: $ 9.7 million
1Q/07: (-$ 2.5 million)
Source: CardData (www.carddata.com)