May 31, 2018
Reported in US$ (except where it is indicated otherwise)
Proven Investments Limited (PROVEN) for the year ended March 31, 2018 ended reported interest income of $28.49 million, an 18% or $4.34 million increase when compared with the $24.15 million reported for the same period in 2017. Total interest income for the quarter amounted to $7.40 million reflecting an increase of 36% over the $5.42 million achieved in the corresponding quarter of the previous year.
Interest expense for the period amounted to $8.10 million, a 16% decline when compared to the $9.65 million booked for the comparable period in the prior year. As such, net interest income for the year ended witnessed a 41% or $5.89 million increase to total $20.39 million relative to the $14.50 million in the corresponding period of the previous year.
Dividend income amounted to $807,000, a 41% decrease from the $1.36 million recorded in 2017, while Fees & Commission income increased by 114% to $5.08 million relative to $2.37 million in 2017. Net foreign exchange loss amounted to $444,000 relative to a gain of $1.90 million recorded in 2017.
Other income moved from $1.01 million to total $3.67 million for period a vast increase of 265%. Proven also booked an increase in pension management income to total $2.36 million, up from $1.97 million booked last year for the same time period. In addition, Net fair Value adjustments and realised gains of $4.29 million was booked (2017: $1.72 million).
Consequently, net revenue increased by 46% to total $36.15 million compared to $24.82 million recorded for the corresponding period in 2017. For the quarter, Net Revenue rose 113% to $10.51 million relative to $4.92 million in 2017.
Operating Expenses climbed by 20% for the period to total $24.54 million relative to $20.43 million in 2017. Of this,
- Administrative and General Expenses recorded a 14% increase to close at $8.87 million relative to $7.80 million documented for the prior year.
- Depreciation and Amortization increased 24% to $1.66 million (2017: $1.34 million)
- Preference Share Dividend declined 55% to $976,000 (2017: $2.18 million)
- Staff cost increased 4% for the period from $8.31 million in 2017 to $8.61 million.
- Impairment losses of loans and other assets climbed 97% to $2.27 million (2017: $1.16 million).
- Property Expense grossly increased 281%, to lcose the period at $2.16 million relative to $565,000 recorded in 2017.
Consequently, Operating Profit for the year rose 165% to $11.61 million (2017: $4.39 million). Operating profit for the period also increased 166% to $2.49 million relative to the loss of $3.75 million recorded in 2017.
Proven booked Gain on acquisition of subsidiary of $48,000 relative to the $8.03 million recorded in 2017.
Profit before tax amounted to $11.66 million versus the $12.42 million booked in 2017. Taxation increased year over year by 209% from $697,000 to $2.15 million. As such, Net Profit amounted to $9.51 million, a 19% decline when compared to the $11.72 million in 2017. Proven booked profit for the quarter of $1.74 million compared to $4.50 million recorded for the comparable period in 2017.
Net profit attributable to shareholders for the period amounted to $5.68 million relative to $8.85 million in 2017. Profit attributable to shareholders for the quarter totaled $449,000 versus $4.09 booked in 2017.
Total comprehensive income for the period amounted to $6.30 million compared to $18.86 million for the corresponding period in 2017.
Earnings per share (EPS) for the quarter amounted to $0.07 cents (2017: $0.65 cents), while the EPS for the year ended amounted to $0.91 cents (2017: $1.42 cents). The number of shares used in our calculations is 625,307,963. Notably, the stock price for PROVEN and PROVENJA closed the trading period on February 8, 2018 at US$0.21 and $28.50 respectively.
Balance Sheet at a glance:
Total Assets as at March 31, 2018 to $576.91 million (2017: $633.33 million), a decline of 9%. This decline resulted from a $61.95 million decrease in Cash and Cash Equivalents to total $89.36 million (2017: $151.31 million) and a $14.12 million decline in Resale agreements to total $24.37 million (2017: $38.50 million).
Shareholders’ Equity totaled $107.35 million relative to $89.86 million in 2017; as such book value per share now amounts to $0.17 (2016: $0.14).
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