May 02, 2023

Dolla Financial Services Limited (DOLLA) for the first quarter ended March 31,2023, reported a 110% increase in Interest income to $297.41 million (2022: $141.44 million).

Net Interest income for the quarter increased by 93% year over year to $248.49 million (2022: $128.63 million), while interest expense amounted to $48.92 million (2022: $12.81 million).

Provision for Expected Credit Losses (ECL) for the quarter amount to $6.42 million (2022: $4.84 million).

As a result, net interest income after loan impairment for Q1 amounted to $242.07 million (2022: $123.79 million).

Non-Interest income for the period:

• Fees and Other Income amounted to $12.92 million (2022: other loss of $3,000)
• Foreign Exchange Losses totalled $5.48 million (2022: gains of $1.33 million)

Consequently, total net interest income and other revenue stood at $249.51 million (2022: $125.11 million).

Administrative Expenses rose 110% year over year to $124.27 million (2022: $59.22 million).

This resulted in profit before taxation of $125.25 million (2022: $65.89 million).

After accounting for taxation of $1.85 million (2022: $6.05 million), net profit for the year end totalled $123.39 million, an increase of 106% compared to $59.85 million for the corresponding period of 2022.

Total Comprehensive Income for the period was $122.76 million (2022: $58.46 million).

Earnings per share (EPS) for the quarter ended March 31, 2023 totalled $0.05 relative to $0.02 booked for the comparable period of 2022. The trailing twelve months EPS amounted to $0.14. The number of shares used in our calculations amounted to 2,500,000,000 units. DOLLA closed the trading period on May 01, 2023 at $2.71 with a corresponding P/E of 19.69x.

Balance Sheet at a glance:

As at March 31, 2023, the Company’s total asset base amounted to $2.53 billion (2022: $939.06 million). The increase was mainly due to ‘Loans, Net of Provision for Credit Losses’ which closed at $2.27 billion (2022: $870.26 million).

Equity attributable to stockholders of parent amounted to $793.60 million (2022: $373.15 million) with book value per share amounting to $0.32 (2022: $0.15).

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