IFG expects Irish mortgage business loss in second half of year

FINANCIAL services group IFG expects its Irish mortgage business to be loss-making in the second half of the year as lending volumes continue to fall.

On a group level, half-year pre-tax profits increased to €11.6 million from €9.4m during the first half of 2008. Revenues were down on 2008, falling to €49m from €54.2m, while adjusted earnings per share decreased to 12.04c from the 12.8c a year previous.

The IFG board said it would maintain its interim dividend at 1.27c, the same as had been delivered in H1 2008. Its Irish operations saw a 36% increase in adjusted operating profit to €2.1m from the €1.5m in the same period last year.