Mexico's factoring industry reported net income of 84.5m pesos (US$7.3m) in the first half of 2004, a 16 per cent decrease from the same period a year ago, according to financial system authority CNBV.
The industry's financial margin increased 20 per cent to 397m pesos, but net commissions paid out widened 63 per cent to 10.3m pesos.
Administrative costs increased 8 per cent to 160m pesos. Hurting the bottom line was a 9 per cent rise in the sector's tax burden, reaching 45.4m pesos.
Assets rose 14 per cent to 11.3bn pesos, while the performing factoring portfolio increased 18 per cent to 10.5bn pesos.
In terms of funding sources, bank loans to the sector increased 15 per cent to 8.4bn pesos, while debt securities issued by factoring companies fell 14 per cent to 489m pesos. The sector's equity was up 17 per cent at 2.1bn pesos.
