PHH’s Fleet Management Segment Earns $21 Million in Profit in Q3
SPARKS, MD – Fleet management services and mortgage company PHH released its third-quarter financial results. Its fleet management services Q3 segment profit was $21 million, which the report stated was consistent with its third quarter of 2011.
The report said this profit is a result of growth in fleet management fees and lower funding costs but was offset by a decline in fleet lease income due to a 3% drop in the average number of leased vehicles and lower operating lease syndication volumes.
The company’s fleet management fees went up to $45 million in Q3 2012, up from $42 million in Q3 of 2011. PHH stated that this increase resulted from more maintenance service card units and an increase in asset-based fleet management services resulting from asset dispositions.
For its overall earnings for Q3, which include its mortgage business and fleet, PHH reported a net loss of $42 million. The company stated these results include a $13 million pre-tax loss related to early repayment of the company’s 2013 medium term notes.