KEY POINTS:
Hanover Finance has cited tighter market conditions for a 39 per cent drop in December half year profit.
The finance company made an unaudited net profit before tax of $17 million, compared with $28m in the comparable period in 2006.
Chief executive David Bryan said the result was still a solid performance, despite the lower top-line profit figure.
Cash reserves at the half year balance date were "significant," just above $80m.
Shareholder equity was well above trust deed requirements.
Mr Bryan said adverse conditions in the banking and finance sector over the last six months had spread broadly from debentures through to debt/credit markets, funds management and latterly the sharemarket.
"We would like to acknowledge our investors support and ongoing loyalty in helping us achieve these results."
Chairman Greg Muir said he believed the outlook remained positive for finance companies "that are well-run and have strong governance and management, a consistent record of profit and an international credit rating".
- NZPA
