I have already made separate posts related to the 4Q 2011 Earnings of Big Financial Corps in the following six US Big Financial Corp Sub-Sectors:
.....US Big Nine Financial Corps
.....US Big National/Regional Banks
.....US Big Credit Card Corps
.....US Big Health Insurance Corps
.....US Big Security Broker/Investment Advice Corps
.....US Big Insurance Corps
In this post, I am addressing all of the remaining US Big Financial Corps, other than Fannie Mae and Freddie Mac, with Pretax Earnings of at least $100 mil, in either the 4Q 2011 or the 4Q 2010, which have released their 4Q 2011 earnings so far.
Below here are 4Q 2011 Pretax Earnings, along with the prior year 4Q 2010 amounts, of these 24 US Big Financial Corps, broken down by Financial Sub-Sector.
..............................................................................Increase
...............................................PTI(L)....PTI(L)......(Decrease)
.................................................4Q...........4Q..................
...............................................2011.......2010....Amount....%
.................................................(millions of dollars)
Financial Data Services
Western Union.........................353.........288.........65......23%
FIS(1)......................................260.........177.........83......47%
Fiserv(2).................................237.........219..........18........8%
Moodys...................................156.........173.........(17)....-10%
Dun & Bradstreet.....................135.........134.............1........1%
Fidelity Natl Fincl....................117.........183.........(66)....-36%
Equifax....................................113...........96..........17......18%
Alliance Data Systems.............107...........73..........34......47%
Lender Proc Svcs(3).................67..........118.........(51)....-43%
First Data................................(73).......(276).......203......74%
Total all 10...........................1,472.......1,185........287......24%
Diversified Financial Services
SLM........................................795.........760..........35........5%
Toyota Motor Credit...............698.......1,013.......(315)....-31%
GM Financial..........................170..........129...........41......32%
NelNet....................................104..........136.........(32)....-24%
PHH(4).....................................21..........313........(292)....-93%
Ally Financial........................(161).........225........(386)..-172%
HSBC Finance US...................(869)........(219)......(650)..-297%
Total all 7...............................758.......2,357.....(1,599)....-68%
REITs
Simon Property Group(5)........314.........264...........50......19%
Public Storage.........................219.........189...........30......16%
HCP(6)....................................179.........127...........52......41%
Boston Properties(7)...............115...........69...........46......67%
Vornado Realty(8)....................96.........119..........(23)....-19%
Prologis(9)..............................(47).......(104)..........57......55%
Total all 5.............................. 876..........664..........212......32%
Miscellaneous Financial
CBRE Group(10).....................150.........149..............1.........1%
H&R Block............................(204).......(184)..........(20)....-11%
Total all 2...............................(54)........(35)...........(19)....-54%
Grand Total all 24...............3,052.......4,171.......(1,119)...-27%
(1) FIS 2011 PTI excludes Debt Refinancing Costs and Investment Impairment Charges.
(2) Fiserv 2010 PTI excludes Loss 0n Debt Extinguishment.
(3) Lender Processing Services 2011 PTI excludes Special Litigation and Regulatory Charges.
(4) PHH PTI in both years includes Gain or Loss related to Change in Fair Value of Mortgage Servicing Rights.
(5) Simon Property Group 2011 PTI excludes Gain on Acquisition of Controlling Interest andGain on Sale of Assets.
(6) HCP 2011 PTI excludes Special Litigation Settlement Charge.
(7) Boston Properties 2010 PTI excludes Loss on Debt Extinguishment.
(8) Vornado Realty 2011 PTI excludes Gain on Asset Dispositions. Its 2010 PTI excludes both Gain on Asset Dispositions and Gain on Debt Extinguishment.
(9) Prologis 2011 PTI excludes Asset Impairment Charge. Its 2010 PTI excludes both Asset Impairment Charge and Loss on Debt Extinguishment.
(10) CBRE Group 2010 PTI excludes Write Off of Financing Costs.
As you can see from the above chart, the driver of this 27% drop in Total Pretax Earnings in the 4Q 2011 of these 24 Corps is clearly the Diversified Financial Service Corps.
Clearly, US Republican Congressional Actions and Inaction played a prominent role in this drop in earnings growth of these US Financial Corps in the 4Q 2011.
I think Energy Secretary Steven Chu is spot on when he talks about the importance to the country of the key highly incentivized tax incentives for REITs to make energy efficiency building retrofit investments in 2012.
