Boston-based student lender The First Marblehead Corp. has reported a consolidated net loss of $88 million for the first quarter of fiscal 2012, compared to a consolidated net loss for the first quarter of fiscal 2011 of $65 million. The decrease was largely driven by an increase in the provision for loan losses of $17.8 million incurred by its securitization trusts segment, according to a statement.

The company’s education financing segment, which more closely reflects the results attributable to First Marblehead stockholders, incurred a net loss of $18.1 million, compared to a net loss of $16.1 million for the same quarter a year ago.

"I am very pleased with the progress we made during our first full peak lending season utilizing our Monogram loan platform. The credit quality of the originations continued to exceed our expectations," said Daniel Meyers, chairman and chief executive officer. "The Monogram platform creates the type of high-quality portfolios which should be attractive to bank partners, our own bank subsidiary, and the capital markets."

The company presents two distinct reporting segments: education financing and securitization trusts. The education financing segment includes services in designing and implementing various private education loan programs as well as other services, including portfolio management, trust administration, securitization structuring and asset servicing. The securitization trusts segment reflects the results of 14 consolidated trusts, including 11 for which the company no ownership interest.

As of Sept. 30, the company had $245.4 million in cash, cash equivalents and short-term investments, compared to $267.4 million at June 30, 2011. During the quarter, the company used $10.5 million in cash to fund purchases of mortgage-backed securities in an effort to further diversify Union Federal’s assets.