2021-02-17 16:07:51 MFIN Medallion Financial
02/17/21 02/1716:07 02/17/2116:07 | Medallion Financial reports Q4 EPS 26c, consensus 25cReports book value per share $9.30 vs. $10.68 last year. Medallion Bank's Tier 1 leverage ratio at quarter-end was 16.93%. Total assets were $1.6B as of December 31, 2020. The company said, "We stayed the course of tightening our credit and underwriting criteria during the year. Application volumes remained high, and growth continued, while net-charge offs remained low, demonstrating the strength of those portfolios. We look forward to building on the momentum our consumer segments have shown this past year. In addition, we continue to focus on the build-out of our fintech Strategic Partnership Program at Medallion Bank where volume was up in January. We believe we will sign our second partnership in the next 60 days and that this line of business will grow in 2021. We received payments from the medallion loans and other assets of $12.8 million in the fourth quarter and recorded $6.7 million of recoveries for the year. We continue to prioritize recoveries as we have significantly reduced our medallion loan exposure year over year. In the fourth quarter we lowered our New York City medallion values from $90,300 net to $79,500 net which ultimately contributed to a medallion segment loss of $3.6 million for the quarter. Our net interest margin remained strong in the fourth quarter at 8.89%, as the higher yielding consumer portfolio continues to perform while the medallion loans have been impaired and placed on non-accrual." |
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