Aca Capital Holdings Inc (1304623) SEC Filing 10-Q Quarterly report for the period ending Saturday, September 30, 2006

Aca Capital Holdings Inc

CIK: 1304623

Exhibit 99.1

ACA Capital Reports Financial and Economic Results for the Third Quarter and Nine Months Ended September 30, 2006

NEW YORK – December 6, 2006 – ACA Capital Holdings, Inc. (NYSE: ACA) today announced third quarter 2006 net income of $16.1 million, or $0.53 per diluted share.  This represents a 40% increase from third quarter 2005 net income of $11.5 million, and a 36% increase in earnings per diluted share of $0.39 in the third quarter of 2005.

For the nine months ended September 30, 2006, ACA Capital reported net income of $42.3 million, or $1.40 per diluted share.  This represents a 72% increase as compared to the nine months ended September 30, 2005 net income of $24.6 million, and a 69% increase in earnings per diluted share of $0.83 for this same period.

“ACA Capital’s performance in the third quarter was exceptional and confirms our strategy of positioning the Company for strong growth in a variety of credit market environments” said President and Chief Executive Officer Alan S. Roseman.  “Our nine month net economic income results already have surpassed our full year 2005 results by $7.9 million, or 23%.  The diversity of our three strategic business segments, coupled with the $79.1 million in net proceeds from our initial public offering in November, has created significant ongoing growth potential, which is already beginning to be realized. In particular, our expanding counterparty relationships are leading to significant ongoing growth in our structured credit business. Also, our leadership position in the CDO asset management business is becoming widely recognized and creating additional opportunities.”

Net income and net income per diluted share are computed in accordance with accounting principles generally accepted in the United States of America (“GAAP”).  Additionally, to assist investors in their understanding of the Company’s quarterly results and their measurement of the Company’s growth and profitability, ACA Capital provides other non-GAAP information, including net economic income and base economic income.

Net Economic Income

In managing its business and measuring growth and profitability from a strategic and financial planning perspective, in addition to GAAP net income results, ACA Capital’s management and Board of Directors consider a supplemental measurement, net economic income.  Net economic income excludes the net income impact of:

1.  Unrealized gains (losses) on derivatives included in:

a.  Net insured credit swap revenue;

b.  Net realized and unrealized gains (losses) on derivative instruments; and

c.  Other net credit swap revenue;

2.  Realized gains (losses) on non-CDO investments; and

3.  The portion of interest expense related to the principal payments on borrowings financed with derivatives.


The following information was filed by Aca Capital Holdings Inc on Thursday, December 7, 2006 as an 8K 2.02 statement, which is an earnings press release pertaining to results of operations and financial condition. It may be helpful to assess the quality of management by comparing the information in the press release to the information in the accompanying 10-Q Quarterly Report statement of earnings and operation as management may choose to highlight particular information in the press release.

View differences made from one quarter to another to evaluate Aca Capital Holdings Inc's financial trajectory

Compare SEC Filings Year-over-Year (YoY) and Quarter-over-Quarter (QoQ)
Sample 10-K Year-over-Year (YoY) Comparison

Compare this 10-Q Quarterly Report to its predecessor by reading our highlights to see what text and tables were  removed  ,   added    and   changed   by Aca Capital Holdings Inc.


Assess how Aca Capital Holdings Inc's management team is paid from their Annual Proxy

Definitive Proxy Statement (Form DEF 14A)
Screenshot example of actual Proxy Statement

Aca Capital Holdings Inc's Definitive Proxy Statement (Form DEF 14A) filed after their 2006 10-K Annual Report includes:

  • Voting Procedures
  • Board Members
  • Executive Team
  • Salaries, Bonuses, Perks
  • Peers / Competitors


SEC Filing Tools
CIK: 1304623
Form Type: 10-Q Quarterly Report
Accession Number: 0001104659-06-082937
Submitted to the SEC: Wed Dec 20 2006 5:20:19 PM EST
Accepted by the SEC: Wed Dec 20 2006
Period: Saturday, September 30, 2006
Industry: Security And Commodity Brokers Dealers Exchanges And Services

External Resources:

Bookmark the Permalink: