Dorchester Pacific, which avoided failure in 2010 by convincing investors to accept a debt-for-equity swap, narrowed its first-half loss and reiterated its target for a full-year profit, helped by earnings from recently acquired debt collector EC Credit Control.
The shares climbed 8% to 27 cents on the NZX, bringing their gain this year to about 207%. The net loss was $87,000 in the six months ended September 30, from a loss of $993,000 a year earlier, the Auckland-based company says in a statement. Operating revenue rose 26% to $5.4 million.
Dorchester has added EC Credit to its existing insurance and finance businesses, which both lifted income in the first half.
The company first flagged a full-year profit of at least $1 million when it announced the acquisition in September. Profit for the 2014 year would be $4 million to $5 million, it said today.
The company's turnaround includes the early buyback of $15 million of June 2013 notes after it secured an equivalent amount of bank funding.
It anticipates a jump in shareholders' funds in 2013 when 150 million options are exercisable next June at 12.5 cents apiece.
This article is tagged with the following keywords. Find out more about MyNBR Tags
- New lawyers not doing 'much better' than job at McDonald's – report surprises
- NBR ONLINE paid member subscribers top 4000
- Easy to axe overseas holidays, says insurer
- NZ dollar pushes above 71USc as investors regain confidence after Brexit vote
- Brexit applies a strong currency and customer-growth headwind to Xero
Most listened to
- NBR technology editor Chris Keall on hitting 4000 member subscribers
- InternetNZ's Andrew Cushen on the Search & Surveillance Act review - and his key areas of concern
- New Zealand Law Society president Kathryn Beck says young lawyers "will go" if the industry does not listen to a new report
- Craigs' analyst Stephen Ridgewell is forecasting Brexit will slow Xero's growth in Britain
- Google tax: Spark boss Simon Moutter says everything's above board with Southern Cross' use of tax-haven Bermuda