AmeriCredit Profit Up in Fiscal Second Quarter

AmeriCredit Corp. today announced net income of $95 million, or $0.74 per share, for its fiscal second quarter ended December 31, 2006. AmeriCredit reported net income of $87 million, or $0.59 per share, for the same period a year earlier. For the six months ended December 31, 2006, AmeriCredit reported net income of $170 million, or $1.27 per share, versus earnings of $141 million, or $0.93 per share, for the six months ended December 31, 2005.
 
Net income for the three and six months ended December 31, 2006, included a $23 million after-tax gain ($36 million pre-tax), or $0.18 per share and $0.17 per share, respectively, related to the partial sale of AmeriCredit’s investment in DealerTrack Holdings, Inc. Net income for all periods ended December 31, 2005, included a $6 million after-tax gain ($9 million pre-tax), or $0.04 per share, related to the partial sale of AmeriCredit’s investment in DealerTrack Holdings, Inc.

Automobile loan purchases increased to $1.74 billion for the second quarter of fiscal year 2007, compared to $1.34 billion for the same period last year. Loan purchases for the six months ended December 31, 2006, were $3.42 billion compared to $2.86 billion for the same period a year earlier. Managed receivables totaled $12.58 billion at December 31, 2006, compared to $11.00 billion at December 31, 2005.

Annualized net charge-offs totaled 5.8% of average managed receivables for the December 2006 quarter compared to 5.9% for the December 2005 quarter. For the six months ended December 31, 2006, annualized net charge-offs were 5.6% compared to 5.8% for the same period last year.

Managed auto receivables 31-to-60 days delinquent were 6.7% of the portfolio at December 31, 2006, compared to 6.5% at December 31, 2005. Accounts more than 60 days delinquent were 2.6% of the portfolio at December 31, 2006, compared to 2.8% at December 31, 2005.

"With the broader product spectrum provided by our recent acquisitions and solid origination trends coming out of the first half of our fiscal year, we are well positioned to take advantage of the seasonally strong March and June quarters," said President and Chief Executive Officer Dan Berce.