Mortgage guarantor Fannie Mae (FNMA.OB) reported net income of $7.6 billion for the fourth quarter of 2012, compared to a net loss of $2.4 billion for the fourth quarter of 2011. Net revenues were $5.9 billion for the fourth quarter of 2012.
For 2012, the company reported net income of $17.2 billion for 2012, compared with a net loss of $16.9 billion for 2011.
The improvement in the company's full-year and quarterly net income was due primarily to improved credit results driven by a decline in serious delinquency rates, an increase in home prices, higher sales prices on Fannie Mae-owned properties, and the company's resolution agreements with Bank of America.
Net income attributable to common stockholders for the year was $1.40 billion, compared to a loss of $26.47 billion in the prior year. On a per share basis, net income was $0.24, compared to a loss of $4.61 per share last year.
Annual net revenues increased to $22.99 billion from last year's $20.44 billion.
"Our financial results improved significantly in 2012 and we expect our earnings to remain strong over the next few years," said Timothy J. Mayopoulos, president and chief executive officer.
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