Strong real estate loans push up IndyMac profit

Stronger mortgage production at IndyMac Bancorp Inc. in the fourth quarter pushed profit up 29 percent, the company said today.

Profit rose to $72.3 million, or $1.09 per share, from $56 million, or 87 cents, the company said. The quarter included a 9-cent-per-share charge for an accounting change related to mortgage servicing rights.

Excluding the charge, IndyMac reported profit of $1.18 per share. Revenue increased 21 percent to $281 million.

A group of analysts polled by Thomson Financial had predicted profit of $1.15 per share on revenue of $280.2 million.

IndyMac reported that it earned $300.2 million for the year, or $4.54 per share, compared with $211.3 million or $3.40 per share, for the full year 2004.

Looking ahead, the bank expects 2006 profit at $4.50 to $5.20 per share, including stock options. Analysts had forecast $4.83 a share.

The company's shares were trading at $39.13 in afternoon trading on the New York Stock Exchange.

***

Send tips or a Letter to the Editor to janis@inman.com or call (510) 658-9252, ext. 140.

All rights reserved. This content may not be used or reproduced in any manner whatsoever, in part or in whole, without written permission of Inman News. Use of this content without permission is a violation of federal copyright law.