In spite of being punched with more than anticipated number of bad debts, Canterbury investment firm, Pyne Gould Corporation has raised its profit estimate by 5% to $22 million, for the year ending June.

The Company says that its $70 million buyout of GMAC's vehicle loan book is already yielding good results. Operating income of the South Island-based lender and fund manager has witnessed a swell of $17 million. And this was possible because of a good performance of the vehicle loan business of its finance division, Marac. It is speculated that the firm would carry on gaining from the acquirement by Marac of assets, which fulfill the business core policies and needed proceeds.

Also, the Company has gained a lot from its planned union with the New Zealand Automobile Association. Other than this, Pyne Gould revealed that its wealth management enterprise, Perpetual Asset Management and its investment fund Torchlight Investment Group also delivered a good performance.

Meanwhile, the corporation has set apart $17.5 million for its bad debts. Seeing that majority of the Company's debts are in property assets, it is planning to leave the field. This way, it will be able to boost its revenues and loan book.

The Company's results for the whole year were made public, on Thursday.