August 15, 2023
JMMB Group Limited (JMMBGL) for the first quarter ended June 30, 2023, reported a 26% increase in interest income totalling $9.85 billion compared to $7.84 billion in the corresponding three months last year.
Interest expense increased 57% to close at $7.75 billion versus $4.93 billion booked in June 2022.
Net interest income amounted to $2.10 billion (2022: $2.91 billion), this represents a decrease of 28% year over year.
Fees and commission income decreased by 17% to close at $1.39 billion (2022: $1.67 billion), while Gains on securities trading increased by 131% from $1.03 billion in 2022 to $2.36 billion for the three months. As a result, Operating revenue net of interest expense for the first quarter amounted to $6.59 billion, a 1% increase relative to $6.55 billion reported in 2022.
Total Operating Expenses for the three months amounted to $5.82 billion, a 9% increase relative to $5.32 billion reported in 2022.
Operating Profit totalled $776.60 million, a 37% decrease from the corresponding period last year. (2022: $1.24 billion). However, Share of profits of associated companies amounted to $1.73 billion (2022: loss of $2.90 billion).
Consequently, Profit before Taxation for the first quarter ended June 30, 2023, amounted to $2.03 billion, comparable to loss before tax of $2.03 billion reported in 2022.
Tax credit for the three months amounted to $520.29 million (2022: tax of $148.64 million). As such, Net Profit for the period closed at $2.55 billion versus net loss of $2.18 billion booked in 2022.
Net Profit attributable to Equity holders of the parent for the three months ended June 30, 2023 amounted to $2.50 billion (2022: net loss of $2.24 billion).
Consequently, Earnings Per Share for the three months amounted to $1.28 (2022: LPS: $1.14). The twelve month trailing EPS was $5.58 and the number of shares used in these calculations was 1,955,552,532.
Notably, JMMBGL’s stock price closed the trading period on August 15, 2023, at a price of $27.14 with a corresponding P/E ratio of 4.87x.
Balance Sheet Highlights
The company’s assets totalled $679.60 billion (2022: $622.74 billion). The 9% growth in total assets was particularly due to ‘Loans and Notes Receivable’ and ‘Investments and resale agreements’ growing 36% to $188.95 billion (2022: $152.50 billion) and 6% to $350.72 billion (2022: $331.81 billion), respectively.
Shareholder’s equity was $54.31 billion (2022: $47.11 billion), representing a book value per share of $27.77 (2022: $24.09).
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