JMMBGL Reports 46% Increase Year End Net Profit Attributable to Shareholders
JMMB Group Limited (JMMBGL) for the year ended March 31, 2017 recorded net interest income of $6.77 billion compared to $5.50 billion in 2016, an increase of 23%. This as interest income grew by 10% to close at $14.71 billion, from the $13.34 billion booked in 2016, while interest expenses rose 1% to total $7.94 billion relative to $7.83 billion in the prior year. For the quarter the company recorded a 17% improvement in interest income to $3.99 billion (2016: $3.41 billion), while interest expense increased 7% to $2.30 billion (2016: $2.14 billion). Net interest income for the fourth quarter rose 33% from $1.28 billion to close at $1.70 billion.
Fees and commission income amounted to $918.30 million, an improvement of 23% on the $749.14 million last year. Foreign exchange margins from cambio trading posted an increase of 30% year over year to close at $1.22 billion (2016: $934.83 million), while net gains from securities trading showed an increase of 34% totaling $5.38 billion (2016: $4.02 billion).
Dividend income for the period totaled $31.26 million an increase of 30% compared to a total of $24.02 million a year ago. Fees earned on managing funds on behalf of clients amounted to $369.01 million (2016: $218.25 million).
Operating expenses amounted to $10.45 billion, increasing by 19% (2016: $8.78 billion) which led to operating profit of $4.25 billion, a significant increase when compared to the $2.68 billion booked the year prior. Of total expenses, staff costs increased 23% to $5.39 billion (2016: $4.37 billion) while other expenses climbed 15% to $5.06 billion (2016: $4.41 billion). Notably, expenses for the quarter rose 14% from $2.48 billion for the period ended March 31, 2016 to $2.83 billion for the corresponding period in 2017.
The company booked impairment losses on financial assets of $8.75 million (2016: $61.81 million) and a loss on acquisition of net assets of overseas entity of$87.65 million. Furthermore a gain on disposal of property, plant and equipment of $5.18 million was booked in contrast to a loss of $5.66 million a year earlier. As such profit before taxation improved 60% year over year to close at $4.16 billion, relative to $2.60 billion the prior year. Following taxation of $805.52 million for the year, net profit amounted to $3.35 billion compared to $2.30 billion in 2016. Net profits for the quarter totaled $667.11 million, an increase of 18% on the $566.51 million recorded for the corresponding period in 2016.
Net profit attributable to the shareholders of the company totaled $3.31 billion relative to $2.26 billion in 2016. For the quarter, net profit attributable to shareholders amounted to $662.56 million a 17% growth on the prior year’s corresponding quarter amount of $563.89 million. As a result, earnings per share for the year amounted to $2.03 (2016: $1.39) while EPS for the quarter amounted to $0.41 (2016: $0.35). The number of shares used in the calculations amounted to 1,630,552,530 units.
Balance Sheet at a glance:
Total assets as at March 31, 2017 amounted to $251.56 billion relative to $230.61 billion in 2016. The increase in the asset base was driven by a 9% of $14.60 billion increase in investment securities to $171.57 billion (2016; $156.98 billion). Notably, loans and notes receivables also increased, moving from $337.45 in 2016 billion to $47.13 billion as at March 31, 2017.
Shareholders’ equity totaled $25.91 billion (2016: $21.92 billion). As a result, book value per share stood at $15.89 (2016: $13.45).
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 effect transactions or have positions in securities mentioned herein. In addition, employees of Mayberry may have positions and effect transactions in the securities mentioned herein.