Mortgage Choice chief executive officer Susan Mitchell unveiled her company's annual results for the financial year ended 30 June 2018, disclosing an after tax net profit of A$23.4 million, up 3.3 per cent on the FY2017 result.The company's underlying statutory NPAT result was $25.6 million, although the final result for FY2018, was $4.2 million, due to a $7.1 million positive adjustment to receivables for changes in run-off costs and other assumptions; and a one-off, non-cash adjustment of $28.5 million due to the new broker remuneration model being introduced.The company said these results were in line with guidance provided in July when it announced new broker remuneration framework and operational changes. Mitchell said that, while there were some positive aspects to the results, Mortgage Choice was losing market share and the changes were required to ensure the business has a platform for sustainable growth. "Net profit in the broking business grew four per cent and the financial planning business continues to grow and perform well," she told the ASX via a company statement. "However, settlements in FY2018 declined in a flat market, and we are not growing our franchisee numbers," Mitchell said. Among the positives she saw were that regulators' macroprudential measures already in place, along with any further regulations stemming from the Royal Commissio, represented a growth opportunity, because as major banks tighten their lending standards borrowers would need more assistance in sourcing loans.  "More than half of all home loans each year are originated by mortgage brokers," she said. The company said it is looking to improve operating efficiencies across its business to help offset the impact of a higher average payout rate to franchisees, expecting a 10 per cent reduction in its operating expense baseThe introduction of the new remuneration model in July 2018 resulted in a one-off, non-cash negative adjustment of $28.5 million after tax to IFRS NPAT for FY2018, reflecting the higher share of future trail revenue going to franchisees. In FY2018 the company invested $3.4 million in its new broker platform, an integrated platform which increases productivity with a focus on reducing data entry across multiple systems.  Mitchell said it would enter a pilot phase before its roll-out to franchisees in early FY2019.  The outlook for the mortgage broking industry remains sound, with a combination of factors, including an increase in wholesale funding costs, regulatory changes and tightening lending policies creating a more complex lending environment, she said. Consistent with previous guidance, Mortgage Choice expects FY2019 cash NPAT to be approximately $16.5 million. This takes into account the new remuneration model and operational changes introduced in 2018 and assumes settlements continue at the same level as in FY2018, the company said.