by John Darer® CLU ChFC MSSC RSP CLTC
The largest purchaser of structured settlement payment rights, JGWPT Holdings, the parent of JG Wenworth and Peachtree Settlement Funding, was abruptly slammed on Wall Street today, a reaction to financials on themost recent JGWPT Form 8-K filing.
Some of the lowlights in JGWPT Holdings' May 14, 2014 Form 8 -K:
Total receivables balance approximately $10 million less than Q1 2013
- Revenues decreased 25.4% from Q1 2013
- Increased term loan interest expense of $2.2 million over Q1 2013
- Adjusted Net Income dropped more than 50% from Q1 2013
John Schwab, JGWPT’s Chief Financial Officer, said, “The impact of higher interest rates on… first quarter profitability was partially offset by reduced operating costs driven by our operating efficiency and cost reduction initiatives.”