Date: July 27, 2018
ISP Financial Services Limited’s (ISP) AGM was held today July 27, 2018 and was hosted by Mr. Clifton Cameron, chairman of the said company. The meeting began with the usual welcoming and introductions which was subsequently followed by the independent auditor’s report.
The company’s loan portfolio increased by 40% to $437.5 million from $313.27 million in the prior year. This assisted the ISP to increase its total equity to a record level of $86.3 million, a rise of 22% year over year. There was also growth in interest income from loans’ which moved up to $287 million in 2017 from $230 million of the prior year. This positively impacted the company’s bottom line which grew by 24% to $50 million.
Mr. Cameron highlighted that, “The company has evolved into an important player in the microfinance sector offering loans to individuals, micro and small businesses unable to access financing from the formal banking sector. The financial year 2017 marked a major milestone, we surpassed the $500 million mark in total assets.” With these favourable results this will build the company’s confidence so as to provide satisfactory returns to the shareholders in years to come.
ISP plans to “broaden its footprint nationally,” which Mr. Cameron noted to be developments through technology and mergers and acquisitions and these are currently being assessed. Possible areas of target include Portmore and Montego Bay, extending its client base island wide.
Notably the company’s cash balances significantly declined by approximately $50M in order to aggressively grow the loan portfolio. The question was asked by a shareholder as to where this cash will come from to facilitate this strategy going forward. As explained by the chairman, “With good treasury management the company will be able to maintain this as we project growth and will raise additional debt capital when necessary.”
Outlook
• Launch of online app in 2018
• Increase loan portfolio through mergers and acquisitions
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