Date: August 9,2018

Access Financial Services Limited (AFS) for the three months ended June 30, 2018 reported $401.66 million in total interest income, a 17% increase relative to the $343.04 million recorded in 2017. Of this, Interest Income from Loans amounted to $400.15 million (2017: $339.32 million), while Interest Income from Securities totalled $1.51 million (2017:$3.72 million).

Interest Expense charged for the period totalled $24.06 million, a 14% decline compared with the $28.00 million booked in 2017. This resulted in AFS booking a Net Interest Income of $377.60 million for the period, 20% more than the $315.04 million in 2017.

Net Fees and Commission Income for the period under review amounted to $35.51 million, a 64% decline from the $97.60 million in 2017.

AFS booked a total of $413.11 million for Net Trading Income, which remained relatively flat compared with the $412.64 million in 2017.

AFS reported income from Money Services and Other Income of $378,000 (2017: $427,000) and $11.42 million (2017:$13.70 million) respectively. Foreign Exchange also posted a gain of $8.15 million (2017: $6.61 million). As such, Other Operating Income for the period totalled $19.95 million compared with $20.74 million in 2017.

AFS reported Operating Expenses for the period of $198.56 million (2017: $224.88 million). Of this:

• Staff Costs totalled $100.88 million (2017: $88.30 million)
• Allowance for Credit Losses amounted to $15.26 million (2017: $51.75 million)
• Depreciation & Amortization amounted to $8.88 million (2017: $5.99 million)
• Marketing Expenses totalled $7.74 million (2017: $7.16 million)
• Other Operating Expenses booked for the period totalled $65.79 million (2017: $71.68 million)

AFS reported Profit before Taxation of $234.51 million for the period relative to $208.50 million recorded in 2017. Following a taxation amount of $17.80 million (2017: $20.04 million), AFS booked a Profit for the period of $216.72 million, a 15% increase relative to the $188.46 million recorded for the comparable period in 2017.

Consequently earnings per share for the period amounted to $0.79 (2017: 0.69). The trailing twelve months earnings per share amounted to $2.71.  The total number of shares used in the calculations amounted to 274,509,840 Additionally, AFS’s stock price closed at $41.00 as at the end of trading on August 08, 2018.

Balance Sheet Highlights:

As at June 30, 2018, the company’s assets totalled $3.86 billion, up 21% from $3.20 billion in 2017. This increase was largely attributable to Loans and Advances which amounted to approximately $3.16 billion, $586.53 million more than $2.57 billion in 2017.

Shareholder’s equity as at June 30, 2018 stood at $2.54 billion (2017: $1.82 billion) resulting in book value per share of approximately $9.24 (2017: $6.62).

Disclaimer:

Analyst Certification -This research report is for information purposes only and should not be construed as a recommendation. Each research analyst (s) also certify that no part of their compensation was, is, or will be, directly or indirectly, related to the specific recommendation (s) or view (s) expressed by that research analyst in this research report.

Company Disclosure -The information contained herein has been obtained from sources believed to be reliable, however its accuracy and completeness cannot be guaranteed. You are hereby notified that any disclosure, copying, distribution or taking any action in reliance on the contents of this information is strictly prohibited and may be unlawful. Mayberry may affect transactions or have positions in securities mentioned herein. In addition, employees of Mayberry may have positions and effect transactions in the securities mentioned herein.