Source Capital Posts Lower Net Income
Source Capital Corp. Thursday reported a 13 percent decrease in net income for 1997 but a 57 percent increase in operating income.
Net results suffered in comparison with 1996 because of a $376,000 gain on the sale of a shopping center in the fourth quarter of that year.
In 1997, Source earned $738,960, or 54 cents per share, compared with $846,955, or 59 cents per share, in 1996.
For the fourth quarter, the Spokane commercial lender earned $209,759, or 15 cents per share, compared with $414,434, or 29 cents per share, in the 1996 period.
Source added equipment leasing and factoring to its business in 1997. Those operations added to costs, but by year-end the leasing business had moved into the black.
Factoring should be profitable by the third quarter of 1998, according to a company statement.
Also, the company sold $6 million in 7.5 percent debentures to 10 institutional shareholders. The sale should improve the liquidity of Source stock, the company said.
The sale helps account for an increase in assets to $44 million from $30.9 million a year earlier.