March 02,2018
Victoria Mutual Investments (VMIL) for the year ended December 31, 2017 reported total interest income of $735.67 million, a marginal increase of 0.4% relative to the $732.75 million recorded for the corresponding period in 2016.
Interest expense for the period amounted to $488.68 million, relative to the $481.99 million recorded in 2016.
As such, Net interest income closed the period at $246.99 million, a 1.5% or $3.77 million decline relative to the $250.76 million recorded for the corresponding period in 2016.
VMIL recorded gains from investment activities for the period of $193.08 million, a 30.7% or $85.55 million decline relative to the gain of $278.62 recorded in 2016.
Net fees and commissions closed the period at $500.16 million, a gross increase of $78.9% compared with the 279.58 million recorded for the comparable period in 2016.
Other income for the year reflected a total of $26.23 million, a significant increase of $24.38 million or 1321.5% surge compared to $1.85 million recorded for last year.
Staff cost and other operating expenses increased 35.2% and 2.8% respectively, to close the period at $292.33 million (2016: $216.29 million) and $206.30 million (2016: $200.78 million) respectively. The company noted, “We invested in human resources to meet the changing needs of our business”.
Profit before taxation amounted to $467.83 million for the period, an 18.8% or $45.07 increase relative to $393.73 million recorded for the prior financial year. Taxation amounted to $121.52 million (2016: $76.46 million).
Consequently, net profit for the year totaled $346.30 million, a 9.1% or $29.02 million increase relative to the $317.28 million booked for the same period on 2016.
Earnings per share totalled $0.23 (2016: $0.21) for the year. The number of shares used in our calculations 1,500,025,000 units. Notably, VMILs stock price closed the trading period on March 1, 2018 at a price of $4.42.
Management noted, “Our Unit Trust portfolios exhibited impressive growth, with our Bond Fund II and III portfolios being the top performing US Dollar Funds for 2017, providing returns of 6.3% and 7.3%, respectively. In addition, our Equity Unit Trust Portfolio delivered excellent returns of 30.1% and our -More- Property Fund, which invests in high quality commercial real estate, had an encouraging start with new acquisitions planned for 2018.”
Balance Sheet:
As at December 31, 2017, The Company’s asset base totaled $20.07 billion, up from $16.26 billion at December 31, 2016. The main contributor to the increase in total assets was ‘Cash and Cash Equivalents’ and ‘Resale Agreements’ which contributed $3.41 billion and $3.37 billion respectively relative to $316.98 million and $1.98 billion for the 2016 year end. VMIL noted, “This was primarily attributable to funds received from or on behalf of clients”.
Total Stockholders’ Equity as at December 31, 2017 was $2.58 billion (2016: $1.61 billion); resulting in a book value per share of $1.72 (2016: $1.08).
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