ISP Finance Services Ltd. (“the company”) held is Annual General Meeting on July 27, 2017 at the Knutsford Court hotel. The company’s Chief Executive Officer (CEO), Dennis Smith opened his address by giving an over view of the company’s financial performance for the 2016 financial year.
The company grew its Gross loan portfolio by 20.7% to total $367.0. Revenues for the financial year end increased by 12% to $230.59 million compared to $206.18 million for the last financial year. While, interest expense declined by 29% to $24.27 million from $34.03 million for the 2015 financial year end. The company reported total operating expenses of $170.88 million, a 20% increase when compared to $142.51 million posted in 2015. As a result, net income for the year was reported at $40.24 million, an increase of 47% on the previous year’s total of $27.32 million.
The CEO stressed that the company continues to structure its products and processes to meet the demand of the borrowing public while ensuring a satisfactory return to all shareholder. To that end, the company has developed expertise in identifying and establishing criteria for lending which minimize risk while delivering an adequate return. In addition, Mr. Smith added that he believes that well a trained and highly motivated team is the most important ingredient for continued business growth and providing prompt and efficient service is essential in attracting new customer and retaining existing ones. Mr. Smith then went on to identify the 5 key factors that affect IPS’s business:
- Loan capital for lending, which was raised through an initial public offering and a bond issue.
- Employee performance, this is accomplished through continued training and evaluation
- Collections and loan delinquency management through improved techniques and technology
- Risk and portfolio strategy management, managed through continuous review of policy and procedures
- New business and customer retention, requiring ISP to be attentive and innovative.
Towards the end of the meeting shareholders posed varying questions.
- Chief among them was a concern regarding ISP’s performance relative to other companies in the industry.
Mr Smith alluded to ISP loan portfolio which according to him as growth an average of over 30% year over year, which is above average when compared to the market. He also added that ISP intended to differentiate itself through superior service delivery.
- ISP’s board of director’s opinion regarding the pending legislation to regulate the industry.
Mr Smith responded by voicing his support of the legislation has it adds credibility and provides visibility while weeding out company that bring the industry into disrepute.
- Plans to expand to other locations
Mr Smith pointed out that the company has done well in its current location but intends to expand to further locations.