Countrywide Reports Earnings Up 30%

Countrywide Credit Industries Inc., Calabasas, Calif., has reported unaudited earnings of $90.8 million for the fiscal first quarter ended May 31, 30% higher than its earnings of $70 million a year ago.Basic and diluted earnings per share were $0.82 and $0.78, respectively, up from $0.66 and $0.64. The company's board of directors declared a cash dividend of $0.08 per common share for the first quarter, payable July 31 to shareholders of record on July 15, 1998. Countrywide chief executive officer Angelo R. Mozilo said the highlight of the quarter was record fundings of $20.9 billion, up 123% from a year ago. "While this is predominantly a refinance market, purchase mortgage fundings also reached an all-time high of $9.0 billion during the quarter," Mr. Mozilo said. Subprime and home equity loans accounted for 23% of the production sector gain on sale for the quarter and 11% of the sector's pretax profits, he said. The servicing portfolio ended the quarter at $192 billion, and the servicing sector margin declined to "essentially a break-even level" because of an increase in the normal amortization of the servicing asset, Mr. Mozilo said. The company's website address is www.countrywide.com.