JMMBGL reports 12% increase in first quarter net profit attributable to the shareholders

August 12, 2022


JMMB Group Limited (JMMBGL)

Unaudited Financials for the three months ended June 30, 2022:

JMMB Group Limited – (JMMBGL) for the three months ended June 30, 2022 booked Net interest income of $2.91 billion compared to $2.86 billion booked June 2021, an increase of 2%. Of this, Interest income grew by 23% to close at $7.84 billion, from the $6.39 billion booked in 2021, while interest expenses increased by 40% to total $4.93 billion relative to $3.53 billion in the prior year.

Fees and commission income for the quarter amounted to $1.67 billion an increase of 75% from the $957.01 million recorded for last year’s corresponding period. Foreign exchange margins from cambio trading recorded an increase of 51% year over year to close the quarter at $883.20 million (2021: $583.17 million), while net gains from securities trading showed a decrease of 58% totaling $1.03 billion (2021: $2.45 billion). However, dividend income for the quarter grew 270% to close at $61.57 million relative to $16.62 million in 2021’s first quarter.

As a result, operating revenue net of interest expense amounted to $6.55 billion (2021: $6.86 billion).

The Company recorded an impairment loss on financial assets of $374.69 million compared to $241.64 million for the same quarter of 2021.

Operating expenses amounted to $5.32 billion (2021: $4.72 billion), up 13% year over year. Operating profit for the quarter amounted to $1.24 billion relative to the $2.14 billion booked twelve months earlier.

Notably, other income increased 14,097% to $4.12 million relative to $29,000 recorded the prior first quarter. Share of profit of associated company amounted to $1.26 billion versus share of loss of $318.66 million booked in 2021. As such, pre-tax profit amounted to $2.12 billion (2021: $2.22 billion).

Following taxes of $148.64 million (2021: $289.48 million), JMMBGL booked a 2% increase in net profit to $1.97 billion compared to $1.93 billion reported for the similar period of 2021.

Net profit attributable to the shareholders of the company totalled $1.92 billion relative to $1.71 billion in 2021, an improvement of 12% year over year. Total comprehensive loss for the quarter amounted to $5.99 billion versus a total comprehensive income of $3.04 billion recorded twelve months earlier.

As a result, earnings per share (EPS) for the three months amounted to $0.98 (2021: $0.88). The twelve-month trailing EPS amounted to $5.95 where the number of shares used in the calculations amounted to 1,955,552,532 units. Notably, JMMBGL’s stock price closed trading on August 12, 2022 at $43.95 with a corresponding P/E of 7.38 times.


Balance Sheet at a glance:

Total assets as at June 30, 2022 rose 15% to $624.89 billion relative to $544.56 billion in 2021. The growth year over year was attributed to a 14% increase in investment securities and a 20% increase in loans and notes receivables to $331.81 billion (2021: $290.92 billion) and $152.50 billion (2021: $127.13 billion) respectively.

Shareholders’ equity totalled $49.26 billion (2021: $62.70 billion). As a result, book value per share stood at $25.19 (2021: $32.06).



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