Welcome to our dedicated page for Credit Accep Mich news (Ticker: CACC), a resource for investors and traders seeking the latest updates and insights on Credit Accep Mich stock.
Credit Acceptance Corporation (Nasdaq: CACC) is a U.S. consumer finance company that focuses on automobile-related financing programs offered through a nationwide network of automobile dealers. The company’s news flow reflects its role in auto finance, its funding activities, and its public-company reporting obligations.
On this page, readers can review news items that Credit Acceptance has released through channels such as GlobeNewswire and that are referenced in its SEC filings. These include quarterly earnings announcements that discuss consolidated net income, adjusted net income, loan portfolio trends, forecasted collection rates on Consumer Loans, and changes in forecasted net cash flows from the loan portfolio. Such releases often provide detail on Consumer Loan assignment volumes, dealer enrollment and active dealer counts, and the company’s approach to forecasting and managing credit performance.
Another major category of news relates to the company’s funding and capital structure. Credit Acceptance regularly announces extensions and amendments to its revolving secured warehouse facilities and its revolving secured line of credit facility, including revised maturity dates and interest rate spreads over the Secured Overnight Financing Rate (SOFR). The company also issues press releases about asset-backed non-recourse secured financings, in which consumer loans are conveyed to special purpose entities and trusts that issue notes backed by those loans.
Corporate governance and leadership updates also appear in the company’s news. For example, Credit Acceptance has announced a CEO transition, with details on the planned retirement of its current Chief Executive Officer and the appointment of a successor, along with related board roles. The company additionally highlights workplace and culture recognitions from external organizations in its earnings and corporate communications.
Investors and observers can use this news page to follow developments in Credit Acceptance’s earnings, loan portfolio performance, funding arrangements, and leadership changes, as well as recurring descriptions of its auto dealer financing programs and their impact on consumers with varied credit histories.
Credit Acceptance Corporation (CACC) has made headlines by ranking #8 in IDG’s Insider Pro and Computerworld 2021 Best Places to Work in IT for Midsize companies, climbing 10 spots from the previous year. This recognition follows a thorough evaluation of the company's nomination and feedback from its IT team. This is the fourth workplace award the company has received this year, also earning accolades as one of the Best Workplaces in Financial Services & Insurance for seven consecutive years, the 2021 Top Workplaces USA Award, and the 2021 Nevada Top Workplaces for two years running.
Credit Acceptance Corporation (Nasdaq: CACC) has completed a $450 million asset-backed non-recourse secured financing, contributing consumer loans valued at approximately $562.6 million to a special purpose entity. The financing involves three classes of notes, with an expected annualized cost of around 1.5%. The notes will revolve for 24 months before amortizing based on cash flows from the loans. The financing aims to reduce outstanding debt and support general corporate purposes. CACC will retain 4% of cash flows for servicing, while the remaining will cover interest and principal payments.
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Credit Acceptance Corporation (CACC) reported consolidated net income of $202.1 million ($11.82 per diluted share) for Q1 2021, a significant recovery from a net loss of $83.8 million ($4.61 per diluted share) in Q1 2020. Adjusted net income was $164.8 million ($9.64 per diluted share), slightly down from $175.7 million ($9.66 per diluted share) year-over-year. The company recognized a $27.2 million contingent loss due to litigation settlement with Massachusetts. Despite improved cash flows and collections, uncertainties remain due to the ongoing impact of the COVID-19 pandemic.
Credit Acceptance Corporation (Nasdaq: CACC) announced the retirement of CEO Brett A. Roberts effective May 3, 2021, after nearly 30 years with the company. Kenneth S. Booth, the current CFO, will succeed him. Under Roberts, adjusted net income per share increased from $0.62 in 2001 to $38.26 in 2020, reflecting a compounded annual growth rate of 24.3%. The company also reported an economic profit rise from a loss of $3.2 million to $471.3 million during the same period. Vinayak R. Hegde will join the Board as an independent director, enhancing leadership expertise.
Credit Acceptance Corporation (CACC) announced that it will release its first quarter 2021 earnings on April 29, 2021, after the market closes. A webcast to discuss these earnings will take place at 5:00 p.m. ET on the same day. Investors can access the live event via the company’s Investor Relations page or by calling 877-303-2904. Credit Acceptance has been providing financing programs for automobile dealers since 1972, enabling consumers with poor credit histories to purchase vehicles and improve their credit scores.
Summary not available.
Credit Acceptance Corporation (Nasdaq: CACC) has completed a $500 million asset-backed non-recourse secured financing transaction. This involves the contribution of loans valued at approximately $625.1 million to a special purpose entity which will transfer the loans to a trust. The financing's expected annualized cost is about 1.4%, and it will amortize after 24 months based on cash flows from the contributed loans. The company will retain 4% of cash flows for servicing expenses, while the remainder will go towards paying principal, interest, and ongoing costs.
Credit Acceptance Corporation (Nasdaq: CACC) announced an extension of its $400 million revolving secured warehouse facility's maturity date from July 12, 2022, to April 30, 2024. There were no changes to the terms of the facility. As of February 3, 2021, $75 million was outstanding under the facility. Credit Acceptance has been enabling automobile dealers to sell vehicles to consumers with poor credit since 1972, thus providing them an opportunity to improve their credit scores.
Credit Acceptance Corporation (CACC) reported a consolidated net income of $166.3 million, or $9.43 per diluted share for Q4 2020, up from $161.9 million in Q4 2019. For the full year, net income fell to $421.0 million, or $23.47 per diluted share, down from $656.1 million. Adjusted net income for Q4 was $189.5 million, while for the year it was $686.3 million. The company faced challenges due to the COVID-19 pandemic, resulting in reduced demand and cash flows. A credit loss provision of $92.6 million for Q4 and $556.9 million for the year was reported under the CECL accounting standard.
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