Ahead of Thursday’s release of Carfinco Income Funds third quarter results, Industrial Alliance Securities has released a bright forecast for the specialty finance firm.
The report expects an EPS of $0.16 per unit compared to $0.09 per unit over the same period last year.
It goes on to predict that loan receivables are expected to reach $130.9 million compared to $111.5 million in Q3, 2009 equating to year-over-year growth of 17.4 per cent for the quarter and 21 per cent for 2010.
In an interview appearing in Canadian AutoWorld’s October edition, Carfino president and CEO Tracy Graf noted he was “optimistic for the future economic forecast in Canada.”
Loan receivables are also expected to grow, fuelled by existing products and dealer relationships in 2010. No growth, however, is expected from the Quebec opportunity or risk based pricing opportunity.
“We anticipate revenues of $9.6 million for the quarter, an increase of 15.1 per cent compared to Q3, 2009,” the report said. “Net interest income before provision for credit losses is expected to increase by 15.3 per cent to $8.4 million year-over-year.”
Carfinco is expected to release Q3 financial results after market close on Thursday.