Date: September 28, 2018
Lasco Financial Services Limited’s (LASF) AGM was held today September 28, 2018 and was hosted by Hon. Lascelles Chin, Chairman of Lasco Financial Services Limited. The meeting began with the usual welcoming and introductions which was subsequently followed by the independent auditor’s report.
Mrs. Jacinth Hall-Tracey, the managing director gave a brief overview of the company’s financial performance. The company’s total revenues increased 51.3% from $1.07 billion to $1.62 billion for the financial year ended March 2018. Net profits for the said period increased by 35.4% to $254.2 million (2017: $187.7 million). Mrs. Hall-Tracey added that “revenue for the first quarter rose by 74% to $554.5 million, operating profit up by 107% to $172.2 million resulting in a net profit of $100.5 million, a 50% increase”.
After the acquisition of Credit Scotia (currently Lasco Microfinance Limited), the loans division of the Lasco Financial Services Limited (LFSL) was transferred to the former, which is now a 100% subsidiary of the Lasco Financial Services Group. The aim of the company was to expand its loan business which resulted in its loans portfolio growing from 281M to 546M. Furthermore, the company launched and implemented its Guardian Insurance coverage of its micro customers as well as offering indemnity plans through the Cuna Mutual Assurance.
Remittances, which appears to be a very important driver of revenue, has enabled the company to increase its transactions per annum. Mrs. Hall-Tracey noted that, “Our remittance network allows us to reach over 1.4 million transactions per annum into our customer base.” She further highlighted, that the company has excelled in its operations over the past years as “the number one agent with 61% market share, being in the top five cambios and among the top five microfinance companies in Jamaica.”
The company noted the following:
Why CrediScotia
• Portfolio size of $642M
• Return on portfolio of 53%
• Market share – 8%
• Risk management – de-risk our revenue streams
Events after the year end
• Merger of the Loans company with the Loan Division – merger of staff, sulture, loan policies, technology
• Termination of MoneyGram Service at LASCO Financial Barbados
• Partnerships with Caribbean Assurance Brokers to distribute the Travel Medical Insurance & Trip cancellation insurance
Outlook
• All focus on the growth of the loans business, product development and leveraging our relationship with the Lasco affiliated companies
• The synergies and efficiencies from the acquisition and merger are expected to manifest
• Implementing a Risk Management Framework to ensure that we identify and address any key operational risk which could likely arise in a fast moving company such as ours
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