For Further Information:
United Financial Mortgage Corp. Coffin Communications Group
600 Enterprise Dr., Suite 206 15300 Ventura Bl., Suite 303
Oak Brook, IL 60523 Sherman Oaks, CA 91403
(630) 571-7222 (818) 789 0100
(630) 571-2623 Fax (818) 789 1152 Fax
Contact: Steve Khoshabe Contact: Martin Halsall
Chief Financial Officer Senior Account Principal
[email protected] [email protected]
FOR IMMEDIATE RELEASE:
United Financial Mortgage Corp. Reports Results
for Second Quarter Fiscal Year 2001
* Net income increases 79% over year-ago quarter
Oak Brook, Il., Dec. 14, 2000 -- United Financial Mortgage Corp. (CHX: "UFM"
or "the Company") today announced operating results for the second quarter
ended Oct. 31, 2000.
Revenues for the second quarter ended Oct. 31, 2000, increased 16% to $3.35
million, compared to revenues of $2.89 million for the second quarter ended
Oct. 31, 1999. Net income for the second quarter ended Oct. 31, 2000,
increased 79% to $171,960, or $0.04 per diluted share, compared to net
income of $96,181 or $0.02 per diluted share for the second quarter ended
Oct. 31, 1999.
The Company's second quarter earnings were enhanced by an increase in loan
originations and volume.
Joseph Khoshabe, President and CEO of United Financial Mortgage stated, "We
are pleased to announce the Company has closed its second quarter on a
positive note. Our loan volume and revenues increased significantly
compared to the same period last year. The Company continued to gain
earnings momentum during the second fiscal quarter. Earnings per diluted
share improved from $0.02 for the first fiscal quarter to $0.04 for the
second fiscal quarter."
About United Financial Mortgage
United Financial Mortgage Corp. is a national mortgage banker principally
engaged in originating retail and wholesale mortgages for single family
residences of one to four units. The Company is headquartered in Oak Brook,
Ill., and has regional offices in several other states. The Company's web
site (www.ufmc.com) allows consumers to get information on the many
different types of mortgage loans offered by the Company, calculate mortgage
payments, and apply online for a mortgage.
- more -
<PAGE>
UFM Second Quarter Results Ended Oct. 31, 2000
Dec. 14, 2000
Page 2
This press release may contain forward-looking statements that involve risks
and uncertainties that could cause actual results to differ materially from
the statements contained herein. Such risks and uncertainties include, but
are not limited to, changes in the performance of the financial markets,
changes in the demand for and market acceptance of the Company's products,
changes in the mortgage lending industry or changes in general economic
conditions, including interest rates, the impact of competition, changes in
the value of real estate, the ability to maintain and increase sources of
funding, and other risks disclosed from time to time in the Company's SEC
reports and filings.
<PAGE>
UFM Second Quarter Results Ended Oct. 31, 2000
Dec. 14, 2000
Page 3
<TABLE>
United Financial Mortgage Corp
Balance Sheet
6 Months Ended 6 Months Ended
October 31, 1999 October 31, 2000
<S> <C> <C>
ASSETS
Current Assets:
Cash $ 4,640,467 $ 4,259,372
Loans Held For Sale 28,459,083 34,429,576
Accounts Receivable 222,308 158,554
Due From Employees 42,700 10,717
Due From Officers 2,439 -
U.S. Savings Bonds 2,000 -
Notes Receivable 100,000 94,500
Prepaid Expense 121,212 103,586
----------- -----------
Total Current Assets 33,590,208 39,056,306
Furniture, Fixtures, and Equipment
Cost 709,482 708,000
Accumulated Depreciation (338,775) (428,818)
----------- -----------
Total Furniture, Fixtures, and 370,707 279,182
Other Assets:
Servicing Rights 269,250 330,437
Land Investments - 126,000
Escrow Deposits 197,984 -
Security Deposits 24,410 25,854
Investments 5,850 113,102
Goodwill Net 120,987 119,639
----------- -----------
Total Other Assets 618,481 715,032
Total Assets $ 34,579,396 $ 40,050,519
=========== ===========
LIABILITIES AND STOCKHOLDERS EQUITY
Current Liabilities
Accounts Payable 189,071 259,626
Loans Payable 616,970 -
Leases Payable-Short Term 9,858 11,500
Accrued Expenses 137,675 269,992
Accrued Income Tax 42,960 -
Deferred Taxes Payable 113,623 34,840
Escrow Payable 82,722 22,955
Notes Payable-Current 26,614,657 32,726,305
----------- -----------
Total Current Liabilites 27,807,537 33,325,217
Leases Payable-Long Term 18,967 9,000
----------- -----------
Total Liabilities 27,826,504 33,334,217
Stockholders Equity
Common Shares 6,521,625 6,488,286
Preferred Shares 315,000 315,000
Retained Earnings (83,733) (86,984)
----------- -----------
Total Stockholders' Equity 6,752,892 6,716,302
Total Liabilities and Stockhold $ 34,579,396 $ 40,050,519
=========== ===========
</TABLE>
<PAGE>
UFM Second Quarter Results Ended Oct. 31, 2000
Dec. 14, 2000
Page 3
<TABLE>
United Financial Mortgage Corp
Statement of Income
As of Oct. 31, 2000
3 Months Ended 6 Months Ended 3 Months Ended 6 Months Ended
Oct 31, 1999 Oct 31, 1999 Oct 31, 2000 Oct 31, 2000
<S> <C> <C> <C> <C>
Revenues:
Commissions and Fees 2,460,136 4,890,367 2,824,559 5,227,130
Interest Income 432,051 917,197 524,775 1,053,340
Other Income and Expenses (3,395) (3,395) - -
---------- ---------- ---------- ----------
Total Revenues $ 2,888,793 $ 5,804,169 $ 3,349,333 $ 6,280,470
Expenses:
Salaries and Commissions 1,717,511 3,276,856 1,801,530 3,328,652
Selling & Administrative 762,960 1,493,884 775,624 1,499,615
Depreciation/Amortization 38,152 73,991 47,931 86,940
Interest Expense 432,586 905,350 496,702 1,011,805
---------- ---------- ---------- ----------
Total Expenses $ 2,951,209 $ 5,750,080 $ 3,121,788 $ 5,927,013
Income(Loss) Before Income Taxes (62,416) 54,088 227,546 353,457
Income Tax Provision (158,597) (110,831) 55,585 110,032
---------- ---------- ---------- ----------
Net Income(Loss) $ 96,181 $ 164,919 $ 171,960 $ 243,425
========== ========== ========== ==========
Net Income(Loss) Applicable to
Common Shareholders $ 96,181 $ 164,919 $ 171,960 $ 243,425
========== ========== ========== ==========
Basic Net Income(loss) Per Share $ 0.0247 $ 0.0423 $ 0.0444 $ 0.0628
Diluted Net Income Per Share $ 0.0232 $ 0.0399 $ 0.0414 $ 0.0586
Shares Used in Computation of Basic
net income per share 3,895,529 3,895,529 3,877,129 3,877,129
Shares Used in Computation of Diluted
net income per share 4,137,529 4,137,529 4,152,129 4,152,129
</TABLE>
